Category: armed forces officers

11 Apr 2023

Let’s Start the Financial New Year 2023 by Doing Things Right…

Getting ready for the new financial year 2023-24 (FY24) means understanding common financial mistakes that can cost you a lot. There are many pitfalls to avoid, including overspending via credit cards, not investing enough to handle emergencies, not reviewing your credit report, and procrastinating tax planning.

A term insurance policy is critical to protect your loved ones in the event of your untimely death. “Life insurance can provide financial support to your beneficiaries and help cover expenses such as future financial goals, outstanding debts and living expenses,” says our CEO Colonel Sanjeev Govila (retd).

You can read his interview published at Money Control to find out how you can avoid some seemingly simple financial mistakes that can negatively affect your life and finances.

Begin your New Financial Year Journey with Hum Fauji Initiatives. Contact Us

There may have been a New debt MF taxation rule they still can give better returns!

Debt funds have long been a favourite for tax-effective fixed-income investments. However, the new taxation rule that will come into effect from April 1, 2023, may take away this advantage from most debt funds. But industry experts still believe that despite the loss of taxation advantage debt funds have several advantages over fixed deposits. Here’s what our CEO Sanjeev Govila has to say.

Better return opportunity with debt MF: Corporate Debt funds will always give better returns than bank FDs. Pick up good quality corporate debt funds and you will always do better. Banking & PSU Debt funds too are doing better now.

Helps in managing interest rate risk: The powerful advantage of M2M (Mark to Market) available now and for say next 3 years or so would increase returns in Debt funds as interest rates go down. On the contrary, when rates go down, bank FDs will give lower returns.

Allowed to set off the capital gain: income from debt funds shall still be classified as capital gains which shall be available to be set off against any other capital loss.

Read what he has to say here:

Need help with financial planning and assistance, Contact Us

US Stock Market: Is it the right time to enter now?

In the first quarter of 2023, all major US indices, including the Dow 30, S&P 500, and Nasdaq 100, posted positive returns, making it a strong start to the year for stocks. But the most important question here is whether to fall for the good numbers and enter the market or not. Answers our CEO, Colonel Sanjeev Govila (retd) in his recent interview in Financial Express.

“The answer is Yes and No, depending on what are our risk-taking capacity and the time frame that we’re looking at for investments. The main risks of the past – inflation, the Russia- Ukraine war, lag in the Chinese economy, and supply chain issues – are still not under control. In fact, inflation is proving more stubborn than ever before with the jobs data refusing to come down, indicating an overheated economy. The Fed Reserve seems to have run out of options and the fact that any actions by it will only work on the US economy with a considerable lag indicates that the pain has a long way to go. That forms the case for waiting it out and buying time before entering the markets,” says Col. Govila (Retd).

19 Jan 2023

Get FREE Tickets for ‘11 Strangest Secrets of Wealth Creation’ Mega Event!!

A massive ‘Financial Wellbeing Conclave 2023’ is being organized in Mumbai after 3 years, from 19 – 21 Jan 2023, being attended by more than 1200 financial advisors across the country offline as also online. 

As a part of this Conclave, a MEGA Investor Awareness Program is being conducted online on the topic of 11 Strangest Secrets of Wealth Creation which will be delivered for the first time by 11 CEOs themselves of top Asset Management Companies of the country. Each Secret will be a very short-sweet-and-to-the-point 15 minutes’ delivery, making it a very intense bout of learning for you.

This online event is on January 21, 2023 (Saturday) from 10.15 AM to 1.30 PM and is expected to be attended by about 10,000 investors from across India.

Our CEO, Col Sanjeev Govila (retd), is the ‘Chair’ for this India Personal Finance Professional (IPFP) Summit and has been instrumental in helping curate this particular event. He will be there in Mumbai to kick-start it on the 21st Jan morning.

Hum Fauji Initiatives has been given a limited number of free tickets on a first-come-first-served basis which we expect to be lapped up very fast.

Register here for Free to get a free ticket for you and your family
or visit our CEO’s professional profile page directly for the event to book it:-

Please let us know when you have registered for the event so that we can ensure that at least our investors get their tickets in case the tickets get overbooked.

Similarly, In case you book a ticket, please ensure that you attend it or let us know in advance that you will not be attending it so that the ticket can be passed on to somebody else who could not get it.

04 Nov 2022

Last minute tax saving tips for senior citizens, pensioners and others

We are just a few days away and it is almost like the last chance to save tax during this financial year. In case you are a taxpayer or a senior citizen looking out for the best tax-saving tips at the last minute, here are a few investment options available to you under Section 80C (maximum total saving of Rs 1.5 Lakh in a financial year).

Some of them are one-time investments while others may require regular contributions to be made by you are:

1. Senior Citizen’s Saving Scheme (SCSS)

A very popular investment instrument meant only for those above 60 years of age. It provides a regular quarterly taxable income every three months currently offering 7.4% per annum. One can deposit a maximum of Rs 15 Lakh and the tenure of the deposit in SCSS is five years, further extendable by three more years. SCSS offers the highest post-tax returns as compared to all other fixed-income taxable instruments offered by the Government. So, it comes with the highest safety and is a regular income scheme.

2. Post Office Monthly Income Scheme (POMIS)

Almost similar to SCSS, currently the rate of interest is at 6.6% payable on a monthly basis, taxable, and the maximum investment allowed is Rs 4.5 Lakh in a single account and Rs 9 Lakh in a joint account. POMIS comes with the highest safety and is a regular income scheme.

3. National Savings Certificates (NSC)

Bought from Post Office, NSC currently offers a rate of interest of 6.8% per annum, tenure of 5 years, minimum Rs 1000 can be invested with no upper limit and the fully taxable interest is payable on maturity. NSC comes with the highest safety with compounding interest.

4. Pradhan Mantri Vaya Vandana Yojana (PMVVY)

It is a 10-year tenure government scheme managed by the LIC. It guarantees a certain monthly pension at a rate prevalent at the time of investment – currently 7.4% annually. Minimum and maximum investments respectively are Rs 1.5 Lakh and 15 Lakhs. Pension is taxable. So, it is the highest safety regular pension scheme.

5. Five Year Tax Saving Fixed Deposits (FDs)

All the banks as also the Post Office offer tax-saving FDs with a 5-year lock-in. The bank rates are about 6.3% right now while in the Post Office, it is 6.7%. The interest received is taxable and no premature encashment is allowed. So, it is a high safety scheme which may or may not have regular income as per your choice.

6. Public Provident Fund (PPF)

This is a long-term Post Office recurring scheme. If you have not opened a PPF account, you may take it provided you are comfortable with its long time frame. The maximum investment is Rs 1.5 Lakhs and the minimum is Rs 500 per year, you do not receive any regular income from it, the full tenure is 15 years and you are allowed to withdraw as per rules from the 6th year onwards. The maturity amount is fully tax-free. So, PPF is the highest safety, recurring investment scheme with no regular interest but all amounts tax-free on maturity or withdrawal.

7. National Pension System (NPS)

This is a pension scheme managed by seven fund managers under PFRDA rules. The tax saving is higher at Rs 2 Lakhs (under Sections 80C and 80CCD(1B)). Entry age is a maximum of up to 70 years of age while the withdrawal can be done earliest three years after entry if the entry has been done after 60 years of age. The amount of risk and safety taken depends on the account holder. So, it is a recurring investment scheme basically for getting a regular pension later and with higher tax limits.

8. Mutual Fund Tax Saving Scheme

Called ELSS (Equity Linked Saving Scheme), it is a 100% equity scheme with a 3-year individual lock-in of each money invested. It can be used for one-time bulk investment or recurring bulk / regular investment through the SIP (Systematic Investment Plan) route. After 3-year lock-in, the investment can be continued if one wishes to withdraw the fund value.

Some important tax-saving tips

Do not forget to claim the Section 80TTB exemption upto Rs 50,000 on interest from savings bank accounts and FDs. Medical insurance gives an additional tax saving of up to Rs 50,000 for senior citizens under section 80D. Remember, your income is tax-free up to Rs 3 Lakh. For those above 80 years of age, this limit is Rs 5 Lakhs.
While computing how much more to save for tax, do not forget to take into account your life insurance premiums, tuition fee paid for up to two children, and principal part of a home loan taken for a house.

(The author is a SEBI Registered Investment Advisor (RIA), and CEO, Hum Fauji Initiatives, a financial planning firm)

Check out the originally published article on by the author

If you need any further details or wish to connect with a Financial Planner, please write to team Hum Fauji Initiatives at

order here