Personal Financial Planning

Syllabus

BCOP 511-18

Personal Financial Planning

UNIT–I

Financial Planning: Time Value of Money, Need and Importance of Personal Financial Planning, Principles of Personal Finance, Financial Planning Process, Factors Influencing Personal Financial Planning. Financial Statements and Ratios Analysis: Personal Financial Statements, Income and Expenditure Statement, Balance Sheet, Budget, Analyzing Financial Statements via Ratios. Investor Profiling: Investor’s life Cycle, Financial goals of Investor, Risk Profiling.

UNIT–II

Investment Fundamentals: Saving and Investment, Rules of Investing, Debt and Equity. Banking Products: Deposit and Loan Products, Other Special products for Senior Citizens, NRIs, Understanding credit Score and Credit Information Report. Insurance Products: Meaning and Features of Insurance, Principles of Insurance, Types of Insurance - Life, Health, Personal Accident Insurance. Investment in Equity: NSE/BSE, Investment Strategies and Portfolio Construction, Fundamental and Technical Analysis, Demat Account, Derivatives. Investment in Mutual Funds: Meaning, Structure of Mutual Funds in India, Mutual Funds Schemes, Systematic Investment Plan (SIP). Investment in Debt Market: Types of Debt Instruments, Government Securities, Corporate Bonds, Certificate of Deposits, Commercial Paper, PO Saving Schemes.

UNIT–III

Personal Taxation: Introduction to Personal Income Tax Planning, Methods of Accounting for Various Heads of Income, Tax Avoidance, Tax Evasion and Tax Planning, Income Tax Deductions, Gift Tax, Wealth Tax. Regulatory Guidelines: Know Your Customer (KYC) Norms, Anti Money Laundering (AML) Standards, Permanent Account Number (PAN).

UNIT–IV

Dynamics of Real Estate: Documentation, Verification, Real Estate and Bank Loan, Buying vs. Renting, Tax Implications of Real Estate. Introduction to Retirement Planning: Need of Retirement Planning, Rules of Retirement Planning, Retirement Planning Process, Estimation of Retirement Expenses, Basic Retirement Plans. Estate Planning: Meaning, Objectives, Estate Planning Tools, Will, Power of Attorney. Ethics in Personal Financial Planning: Code of Ethics and Rules of Conduct.