What are thing important in financial planning and how to reduce uncertainty risks.

1. SUMMER INTERNSHIP
PROJECT: FINANCIAL PLANNING
COMPANY: B S KAISER
HEMANT GUPTA
ROLL NO. 2015213
SECTION - D

2. INTRODUCTION
1. This research is more about to understanding of financial planning and why an individual needs
to plan his/her financial planning. By conduction a small survey with 57 responses analyze what
an individual know about financial planning and which instruments are used by them.
2. By using a small questions set analyze an individual Human Life Value and his/her future goals,
according to individual’s risk appetite create their portfolio.

3. OBJECTIVE
• To find out what types of future goals an individual have and how an individual’s future goals
change according to age.
• To get to know about how insurance industry works and what type of financial instruments use by
people.
• To analyse an individual investment distribution based on risk appetite and future goals.

4. ABOUT COMPANY AND INDUSTRY
B S KAISER: B S Kaiser is a small consultancy which provides financial planning and services to
his clients founded in 2006, has offices in two cities Delhi and Patna.
There are various financial instruments that are use by company for financial planning of the clients
according to their risk appetite.
INSURANCE INDUSTRY: In India insurance industry is the second largest but in terms of capital
it comes 7th place in the worlds. Insurance are two types (a). Life Insurance (b). General Insurance
Under life insurance there are two types (a). Term Plan (b). Endowment Plan
And general insurance is for financial assets.
Before year 2000 there were only government players and after privatization both domestic and
foreign players comes in this industry. IMF has estimated CAGR of this industry 14.32% for next one
decade and current yearly premium is ₨ 1.072 trillion.

5. HUMAN LIFE VALUE
Steps of finding individual life value
1. Find out all monthly EMI
2. Find out total monthly expenses
3. Calculate monthly living expenses
= Total monthly expenses – monthly EMI
4. Calculate HLV
= (Monthly Living Expenses*12 / One Year FD Rate )*100

6. FINANCIAL PLANNING
1. first step to calculate all the expenses then estimate the income of the client.
2. Find out all the goals of the client.
3. Analysis the risk appetite of the client.
4. According to his/her risk appetite create portfolio of the client by using various financial
instruments.
For example- if client’s age between 30-45 years he can bear more risk than the age group of 45-
60 years.

7. SURVEY ANALYSIS
81%
10%
7%
2%
21 Years- 30 Years
31 Years- 40 Years
41 Years- 50 Years
51Years and Above
9% 2%
45%
44%
Business intern
Service Student
7%
5%
26%
62%
10 Lakh- 15 Lakh
15 lakh and Above
5 lakh- 10 Lakh
Upto 5 Lakh
DISTRIBUTION OF AGE BASED ON SURVEY DISTRIBUTION OF OCCUPATION BASED ON SURVEY
DISTRIBUTION OF
ANNUAL INCOME
BASED ON SURVEY

8. SURVEY ANALYSIS
12%
9%
25%
2%
52%
a) Hold sufficient cash for emergencies
b) Ensure your family are financially
protected in case of your premature death
c) Establish plan to meet your goals
d) Help you decide when to retire
e) All of the Above
44%
35%
18%
3%
0 -15%
16% - 30%
31% - 50%
50% AND ABOVE
WHAT PERCENTAGE (%) OF
MONTHLY INCOME YOU ABLE
TO SAVE?
WHAT ARE YOUR FINANCIAL OBJECTIVE
FOR INVESTMENT?

9. SURVEY ANALYSIS
FROM WHERE DO YOU PREFER TO
PURCHASE THE FINANCIAL INSTRUMENTS?
NO YES
Total 8 49
0
10
20
30
40
50
60
Total
Total
DO YOU HOLD ANY INSURANCE
POLICY?

10. SURVEY ANALYSIS
OBJECTIVE FOR PURCHASING LIFE INSURANCE
POLICY
HAVE YOU INVESTED YOUR MONEY IN
FOLLOWING SCHEMES?

11. LIMITATION
• Due to paucity of time the number of respondents were only 57.
• Sample of this survey is based on a small group of respondent and in one city (Delhi). Therefore it
is difficult to generalize the findings to other geographic regions.
• No database related to the contact details of customers or potential customers was available.
Therefore the sample is based on convenience sampling method.

12. RECOMMENDATION & FUTURE SCOPE OF THIS
RESEARCH
RECOMMENDATION
• Open new offices in tier 2 and tier 3 cities.
• Increase staff (No. of employee)
FUTURE SCOPE OF THIS RESEARCH
In the future by increase the sample of responses, cover all age group and expand both area rural as
well as urban we can analyze more accurately what are the basic purpose for holding an insurance
policy and which instrument used by people more to plan their future goals.