Wealth Management Services

Deposit and Investment Services

• Safe keeping of funds and hassle free withdrawal

• Earning interest revenue

• Enjoying social status

• Availing of ancillary services SDL and SCS

How it differs

• Short term with bulk amounts earning higher interest rate

• Free life insurance policies

• Pre payment of time deposits

Asset Management services

• Portfolio management on behalf of customers

• Such investments in public/private equity funds and mutual funds

Investment Advisory services

• Recommends investment to customers

• Banks with research base can provide the service

Credit card Facility

• Very high outer limit

• Interest free period

• Special status credit card

• Life insurance cover of Rs.15 Lacs

• Co-branded credit cards

• Loyalty benefits

E-Banking Services

ECS

• Instant business payments

• Across globe

• Effected in minute

EFT

• Inter city transactions

• Different banks

• High value transaction

Taxation Services

• Investing in investments which can reduce taxable income

• Investment decisions between debt and equity

Estate Planning

• Arrangement to ensure disposal of one’s wealth in systematic manner for the benefit of one or more identified relatives

• Creating a will

• Creating a trust

Demat Services

• Dematerializaion – Conversion of physical certificates into dematerialized holdings

• Reduction of delays in transfer

• Fraudulent transfers

• Mitigating problem related to handling

Retirement Planning

• Mentally planning retirement life style

• Framing an overall income/expenditure

• Working out a desired level of net income from likely retirement corpus

NRI Special

• Allowing direct investment in trade

• Establishing any office of profit

• Purchase of landed property

• Allowing subscription to equity

Risk Management

• Completely risk averse – Investment in postal deposits

• Not entirely – Investment in large corporates equities

• Agreeable for risks – Combination of real assets

Case

• Income Rs.1.5 L

• Land 2 crore

• Car Rs.5 L

• PF Rs.10 L

• Bank Deposit Rs.20 L

• Equity Rs.50 L

Case 1

• Analysis

1. Does not require regular income

2. Concerned about future inflow

• Decision

1. 5 L – Bank deposit/Postal deposit

2. 45 L – Securities through MF

Case 2

• Analysis

1. Requires regular income

2. Concerned about safety

• Decision

1. 60% - National savings scheme/FD

2. 30% - Investment in gold/land

3. 10% - Debt/Equity