Capital growth investment strategy is a widely accepted and followed portfolio management strategy. As the name suggest, the strategy aims at capital growth, maximizing portfolio value, over time. Before we start, here is the danger signal – capital growth strategy is a high risk investment strategy which requires great investment discipline and money management.

A portfolio which follows capital growth strategy is mainly comprises of equities. Often more than 60 to 70 percent capital is invested in stocks, preferably growth stocks. Remaining portfolio can be constituted of low profit low risk investments such as fixed income securities, money market funds, cash, and/or precious metals like gold to limit overall portfolio risk. The exact portfolio capital allocation depends on many things like individual profit goals, risk tolerance, risk capital involved, portfolio size and investing experience.

Many times one can see capital growth portfolios which allocate more than 90 percent capital to equities. Capital growth investors often prefer small and mid cap stocks over large cap stocks, because these show greater growth and are expected to offer increased return over time. Diversification of portfolio is important in capital growth strategy and is achieved by investing in different products like stocks, options, futures, ETFs, funds, bonds, etc. Portfolios which allocate most (all) of the capital to equities achieve diversification by investing in different industry stocks, different markets, using derivatives to hedge risks, and by investing in both high growth high risk stocks and low profit low risk stocks.

Capital growth investment strategy is a long-term strategy, which may or may not require periodical reassessments and rearrangements of portfolio allocations. Investable stocks are found using various growth investing tools and strategies.  Active portfolio management is recommended for experience investors, to replace low performing investments with high performing ones. But remember, active management often requires greater costs.

The advantages of capital growth investment strategy involve faster increase in asset value and better chance of profit than most other investment strategies. The disadvantages include higher risk, unpredictable returns and high volatile portfolio. With capital growth strategy, market entry and exit timings are very important; and there are too many market, risk and economical factors to be considered. The silver lining is ‘irrespective of frequent ups and downs, the equity market shows almost steady growth in long-term; which is higher than most other financial markets’.

Financial management is the feature of management that involves the application of general management principles to the specified financial issues. It is basically like planning with the business enterprise to make sure that there is a positive cash flow and also to maximize shareholders wealth. Financial management involves a huge risk since it needs complex practices and process which also includes maintenance of administration and financial aspects. And also identifying and managing the risks.

Financial managers have to make decision on financing, investments, dividends payouts and managing the working capital. It is not an easy task; generally the managers will face some problems in problem measurement, uncertainty and temporal spread. The financial managers should be up to date with the financial concepts and tools like capital budgeting, fiancé sources, types of financial statements, accounting, reporting and risk management.

Managerial finance is the process of providing funds for certain activities. The main goal of managerial finance is to maximize the wealth of the company and also the value of the stock at the same time to balance the risk and profitability. People who engage themselves in financial management must be sound enough in financial management concepts.

For the candidates who are seeking management degrees the best choice can be the finance. The main role of the financial managers is to overlook the financial analysis and reports and to help the company in making financial decisions; development of the business and of the most important thing is the strategic planning. So the main job of the financial analyst is to use all these tools and devices to structure the investment of the company and business growth. In the modern world the analysts and the managers play a very important role in global financing and expansions.

 

So if you are a person who is looking for financial role in an enterprise the main thing that is needed is the degree program. When choosing a program in finance you must remember those institutes you have choose is reputable and recognized in the finance field. Authorized bodies look for MBA programs overseas because of the consistency and quality of the education.

On the other hand if you are running a small or medium organization and you need to apply some financial management tools to run your organization more successfully then you can go in for a shorter course or online programs which is offered by many reputable financial institutions.

Several MBA programs are offered as full time, part time and as distance education learning courses with specialization in some concentrations. Higher load, more intense and tight examination schedules are involved in the accelerated MBA programs. And part time MBA programs are other options where the classes are held in the evening after the normal working hours in some rare cases the classes are held in the weekends. MBA programs are developed to meet the needs of the financial managers and executives helping the people to earn their financial degrees without making to sacrifice their jobs.

From this spectrum it can be said that financial management is very important to enhance the financial skills of an organization at the same time for an individual. Well developed financial management skills will take the enterprise to the cutting edge.

Kotak Life Insurance is one of the fastest growing life insurance companies in India. It is a 76:24 joint venture between Kotak Mahindra Bank Ltd., its affiliates and Old Mutual Plc. Kotak Mahindra Group is one of India’s leading banking and financial services organizations, with offering range of services like personal finance, life insurance, corporate and investment banking, commercial banking, stock broking, asset management, etc. Old Mutual Plc is an international savings and wealth management company based in the UK.

Kotak Life Insurance has shown remarkable growth in the insurance sector, since its inception in 2001. The company’s employee strength is around 5,565 people in its various functions and has 197 branches across the country.

Kotak Life Insurance offers many types of insurance plans for people. It offers insurance solution for the individual and groups under the following categories-

Protection Plans-

Kotak Loan Protection Plan

Kotak Term/Preferred Term Plan

Kotak Eternal Life Plans

Savings & Investment Plans-

Kotak Super Advantage Plan

Kotak Platinum Edge Plan

Kotak Single Invest Plan

Kotak Capital Multiplier Plan

Kotak Money Back Plan

Kotak Endowment Plan

Kotak Premium Return Plan

Kotak Suraksheet Jeevan

Child Plans-

Kotak Child Advantage Plan

Kotak Headstart Child Plans

Retirement Plans-

Kotak Long Life Wealth Plus

Kotak Long Life Secure Plus

Kotak Second Innings Plan

Kotak Guaranteed Pension Builder

Kotak Retirement Income Plan

Group Plans-

Kotak Group Shield

Kotak Group Assure

Kotak Term Grouplan

Kotak Gratuity Grouplan

Kotak Superannualtion Grouplan

Kotak Credit-Term Grouplan

Kotak Complete Cover Grouplan

NRI Plans-

Birla Sun Life also offers range of insurance products for NRI’s. They are-

Wealth Creation Plans-

Kotak Capital Multiplier Plan

Kotak Child Advantage Plan

Kotak Endowment Plan

Kotak Money Back Plan

Protection Plans-

Kotak Eternal Life Plans

Kotak Preferred Term Plan

Kotak Premium Return Plan

Retirement Plans-

Kotak Long Life Secure Plus

Kotak Long Life Wealth Plus

Kotak Capital Multiplier Plan

Corporate Office-

Kotak Mahindra Old Mutual Life Insurance Limited.

Unit nos.901 & 902, 9th floor,

Wing A & B, Godrej Coliseum,

Lokmanya Pan Bazar,

Behind Evrard Nagar,

Sion (East),

Mumbai-400002

Tel:+91 22 6621 5999

Fax: +91 22 6621 5757, 6621 5858

Website-www.kotaklifeinsurance.com