NAV of LIC's ULIPs suffer minimal damage in meltdown
The meltdown in equity market has only minimally affected the Net Asset Value (NAV) of ULIP products of Life Insurance Corporation, a top company official said here.
By PTI |
MUMBAI: The meltdown in equity market has only minimally affected the Net Asset Value (NAV) of ULIP products of Life Insurance Corporation, a top company official said here.
"Despite a sharp decline in the markets, the NAV of our products has not decreased in the same propotion. We have controlled it," LIC's Managing Director, D K Mehrotra, told PTI.
"There is a minimum impact on NAV of our funds which we are managing under Unit Linked Insurance Products (ULIP)," he said.
The scrips under ULIP are doing well as the fund managers take into consideration various points before selecting them, he said.
"The scrips are taken with a conscious decision so that in case there is such sort of a meltdown, the impact on the customers should be minimum," he said.
The portfolios, the fund managers adopted for the ULIP products were nicely handpicked and so the impact has not been much, he said.
However, he conceded the meltdown in equity markets has affected sale of ULIP products. "Meltdown has affected the industry as such. It has affected the pace of the sales. People (investors) have become little wary of the market, they are becoming very cautious," Mehrotra said.
Meanwhile, the conventional products of LIC are doing well. "Although, the slowdown has affected the sale of ULIP products but the conventional products are doing well," he said.
"Despite a sharp decline in the markets, the NAV of our products has not decreased in the same propotion. We have controlled it," LIC's Managing Director, D K Mehrotra, told PTI.
"There is a minimum impact on NAV of our funds which we are managing under Unit Linked Insurance Products (ULIP)," he said.
The scrips under ULIP are doing well as the fund managers take into consideration various points before selecting them, he said.
"The scrips are taken with a conscious decision so that in case there is such sort of a meltdown, the impact on the customers should be minimum," he said.
The portfolios, the fund managers adopted for the ULIP products were nicely handpicked and so the impact has not been much, he said.
However, he conceded the meltdown in equity markets has affected sale of ULIP products. "Meltdown has affected the industry as such. It has affected the pace of the sales. People (investors) have become little wary of the market, they are becoming very cautious," Mehrotra said.
Meanwhile, the conventional products of LIC are doing well. "Although, the slowdown has affected the sale of ULIP products but the conventional products are doing well," he said.
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