ulip fund management

8/8/2019 Ulip Fund Management

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ULIP FUND MANAGEMENT 0

CONTENTS

Sl. No. Chapter Name Page No.1. Acknowledgement 12. Executive

Summary

2

3. Introduction 3-44. Company Profile 5-105. Products 11-326. Research

Methodology

33-34

7. Fund details &analysis

35-55

8. Findings 56-579. Recommendations 5810 Limitation 5911.

Bibliography 60


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ACKNOWLEDGEMENTIT IS MY PROUD PRIVILEGE TO EXPRESS THE DEEP GRATITUDE TO THE

MANAGEMENT OF MET LIFE INDIA INSURANCE CO. PVT LTD. FOR

ALLOWING ME TO UNDERTAKE A PROJECT. I AM INDEBTED TO MANY

PEOPLE FOR THE COMPLETION OF THE PROJECT. FIRST OF ALL I

WOULD LIKE TO MENTION THE NAME OF MR. SHIBENDRA SHARMA TO

WHOM I REMAIN GRATEFUL FOR GIVING ME THE OPPURTUNITY TO DO

THE PROJECT AT METLIFE INDIA INSURANCE CO. PVT. LTD. HE GUIDED

ME THROUGHOUT THE PROJECT AND WITHOUT HIS HELP THE PROJECT

WOULD NEVER HAVE MATEREALIZED.

FOR THIS PROJECT I ACKNOWLEDGE WITH SINCERE GRATITUDE THE

SUGGESTIONS AND IDEAS OF MR. JOYDEEP MUKHERJEE, MR.

SUBHABRATA MAZUMDAR, MY INTERNAL GUIDE PROF. ASUTOSH KAR

AND OUR COURSE COORDINATOR MR. SIDDHARTHA RANJAN BASAK

AND OUR PRINCIPLE MR. BIJAY BHUJABAL. I WOULD ALSO LIKE TO

ACKNOWLEDGE THE HELP FORWADED TO ME BY THE STAFFS OF

METLIFE INDIA INSURANCE CO.PVT.LTD.


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EXECUTIVE SUMMARY

AS A PART OF MBA PROGRAMME IN NSHM BUSINESS SCHOOL UNDER

THE WEST BENGAL UNIVERSITY OF TECHNOLOGY AND AICTE

GUIDELINES WE HAVE TO UNDERGO SUMMER TRAINING FOR EIGHT

WEEK IN AN ORGANIZATION WHERE WE ARE TO BE EXPOSED TO THE

PRACTICAL ASPECTS OF BUSINESS WORLD. I DID MY PROJECT ON ULIP

FUND MANAGEMENT OF THE COMPANY.

FUND MANAGEMENT MEANS IT IS THE IMPLIMENTATION OF PLANS OF

INVESTING THE FUNDS AND MANAGING ITS PORTFOLIO FOR ITS

BETTER TRADING ACTIVITIES. SO, THIS EIGHT WEEK I HAVE STUDIED

ON THE FUND MANAGEMENT OF THE ULIP PLANS THE COMPANY GETS

FROM ITS CUSTOMER.

DURING MY PROJECT ANALYSIS I HAVE COLLECTED SOME PRIMARY

DATA AND AFTER ANALYSING THOSE I FOUND SOME FACTS WHICH

WILL BE HELP FULL TO THE COMPANY PROSPECT IN NEAR FUTURE.


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INTRODUCTIONWHAT IS FUND: Fund can be defined as a sum of money which has

been devoted together or individually for a specific purpose or any

assets which may convert into liquid assets or money after a certain

period of times.

According to business dictionary we may call it as sum of money set

aside and earmarked for a specified purpose. It may refer to the way

for resourcing the other project.

PURPOUSE OF FUNDING:

Convert short-term debt into long-term debt that bears fixed

interest and is represented by bonds.

Place or store up in a for accumulation.

provide a fund for the redemption of principal or payment of

interest.

Invest money in government securities.

A reserve of money set aside for some purpose. Accumulate a fund for the discharge of a recurrent liability; "fund a

medical care plan".

Store: a supply of something available for future use; "he brought

back a large store of Cuban cigars".

Furnish money for; "The government funds basic research in many

areas".

Investment Company: a financial institution that sells shares to

individuals and invests in securities issued by other companies.


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WHAT IS ULIP PLAN :A ULIP is a unit linked insurance plan. This isthe type of investment where the characteristics of insurance and

mutual fund are combined. Some part of the money invested goes into

the insurance cover and the remaining goes into an asset class.

ULIP is life insurance solution that provides for the benefits of

protection and flexibility in investment.

We further can say it is a type of insurance vehicle in which the

policyholder purchases units at their net asset values and also makescontributions toward another investment vehicle. Unit linked

insurance plans allow for the coverage of an insurance policy, and

provide the option to invest in any number of qualified investments,

such as stock, bonds or mutual funds.

According to the Investopedia a unit linked insurance plan acts just

like a savings vehicle, but also has the benefits of an insurance

contract. When an investor purchases units in a ULIP, he or she

is purchasing units along with a larger number of investors, just like

an investor would purchase units in a mutual fund.

So, in short we can say that ULIP or Unit Linked Insurance Plan is

nothing but a combination of insurance and units (like- bond, stock,

share) which has its NAV or Net Annual Value which fluctuates

according to the market situation.


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COMPANY PROFILENAME: METLIFE INDIA INSURANCE COMPANY PRIVATE LTD.

ADDRESS: 4th Floor, Premises No. 3A

Shakespeare Sarani,

Kolkata : 700 071

HEAD OFFICE: MetLife India Insurance Company Limited. No.5 Brigade Seshmahal Vani Vilas Road

Basavanagudi

Bangalore

Phone : 080 - 66006969 / 26438638

Fax : 080-22421970

Pin : 560004

REGISTERED OFFICE: MetLife India Insurance Company Limited5th Floor Orchid Centre Golf Course Road Sector 53,Gurgaon

Phone:0124-4179000

Fax:2572748

Pin : 122002

WEBSITE: www.metlife.co.in


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BACKGROUND OF THE COMPANYMetlife India Insurance Company (Metlife) is an affiliate ofMetlife,

Inc. and was incorporated as a joint venture between Metlife

International Holdings, Inc., The Jammu and Kashmir Bank, m.

Palonji and Co. Private Limited and other private investors.

Metlife is one of the fastest growing companies among the industry. It

is offering a range of huge innovative products and group of

customers at more than 700 locations through its Bank partners andcompany-owned offices.

Metlife has more than 55000 Financial Advisors, who help customer

to achieve peace of mind across the length and breadth of the country.

MetLife, Inc., through its affiliates, reaches more than 70 million

customers in the Americas, Asia Pacific and Europe. Affiliated

companies, outside of India, include the number one life insurer in the

United States (based on life insurance inforce), with over 140 years of

experience and relationships with more than 90 of the top one

hundred FORTUNE 500 companies. The MetLife companies offer

life insurance, annuities, automobile and home insurance, retail

banking and other financial services to individuals, as well as group

insurance, reinsurance and retirement and savings products and

services to corporations and other institutions.


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FACT SHEET

Founded 2001

Started Operation FY 2001-02

Headquarters Bangalore, India

World Wide Web Address www.metlife.co.in

Managing Director Rajesh Relan

Employees 7688

Financial Advisors 56,072

Bancassurance Tie-Ups 5 (J&K Bank/Axis

Bank/Dhanalakshmi

Bank/Karnataka

Bank/Barclays)

Number Of Products Over 20 products

Presence Through MetLife

Offices

192 offices in 131 cities

Presence Through BankPartners

1910 offices in 686 cities

Comment [s1]:


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"Coming into your

own",performing as

a Leader to be really

effective and

successful by

acting and making

decisions

independently to get

results.

It's all about People,

MetLife's key

resource. MetLife

will succeed

because we are

winning from

within.

Functioning

productively in

teams towards a

common purpose;

realising the

collective power odiverse work-

groups.

Operating with an

intense dedication to

managing monetary

resources for strong

business results.

Conducting all

business endeavors

with truth, sincerityand fairness.

Continuously

creating and

introducing new andoriginal ideas and

ways of doing thing


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Management:-

Rajesh Relan

Managing Director

MSVS Phanesh Murthy

Appointed Actuary

Shilpa Vaid

Deputy Director- Human Resources

Gaurav Sharma

Director - Customer Service and Operations

Girish Malhotra

Director- Agency

KR Anil KumarDirector - Financial Planning

& Controller

KS Raghavan

Chief Administrative Officer

Preetinder Chadha

Deputy Director - Corporate Sales &

Training

P. S. Sankaran

Director Business Support

Sameer Bansal


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Director- BA & BP

Vijay Raghavan

Director - Marketing & Strategy

Partners:-

Corporate Social Responsibility:-

MetLife has always been committed to making a positive difference

in the lives of the individuals and communities. Today, that

commitment drives volunteer work and philanthropy across the

globe. Working with non-profit organizations, MetLife supports programs that provide young people with the skills they need to

succeed in life and create opportunities for people of all ages.


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PRODUCTS

Child Plan:-

Met Bhavishya:

MetLife offers 'Met Bhavishya' - a guaranteed money back plan that

pays out funds to help to meet the education and career milestones of

children. With this plan, the Life Insured is that of the parent. The

plan also has inbuilt guaranteed additions to add value to the policy

over its term.

There are two options to choose from and fixed term benefits,

periodic additions & terminal additions are payable based on the

option that select. The policy is suitable for parents with children

between the ages 0-12 and parents in the age group of 20-50 years

old.

Met Junior Endowment

is born in family. And, parents would like to provide their star with all

the building blocks that could develop his or her potential to the

fullest. This could mean special instruction sessions for talented

children, unique training gear for exceptional athletes or qualified

training for born singers to provide that extra-edge.

To ensure this, parents would need an investment and protection

package that is exclusively designed to help you plan for financial

security, no matter what uncertainties life brings.


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'Met Little Star', a Unit-Linked, regular premium, child insurance

plan helps parents do just that. It secures finances for child's

educational needs and ensures that plans go as planned, no matter

what the circumstances.

\Met JuniorMoney Back

MetLife offers 'Met JuniorMoney Back' - a money back plan that

combines savings and security. Child's well-being is our highest

priority. SoMetLife offer a money back plan which provides

guaranteed periodic survival benefits at the end of 5, 10 & 15 years,

along with guaranteed growth of savings.

A plan which offers both timely and efficient return on investment

with payouts at different milestones.

Survival Benefit

At the end of 5

years

20% of Sum Assured

At the end of 10years

20% of Sum Assured

At the end of 15

years

20% of Sum Assured

Upon survival to

maturity

40% of Sum Assured plus total

Guaranteed Additions

Met Magic

MetLife offers 'Met Magic', a Unit-Linked (non-medical, regular

premium) life insurance plan (Non Par).


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Parents always want their little angel to have the best, in every sphere

of life. You don't want your child to have to compromise. No matter

what the circumstances.

Met Magic, a unique life insurance plan, helps you secure the future

of your loved one!

(IN THIS POLICY, THE INVESTMENT RISK IN INVESTMENT

PORTFOLIO IS BORNE BY THE POLICY HOLDER )

Retirement:-

Met Growth

MetLife offers 'Met Growth' - a Unit-Linked solution to help in

golden years. It is specially designed to provide financial security for

future requirements. This plan allows to start planning immediately

by ensuring the safety of first year premiums. It also helps create

retirement fund faster by giving you 100% allocation from the second

year onwards, coupled with attractive loyalty additions into fund.

Guaranteed.

Entry Age (in completed Min 0 years (3 months to be


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years) completed)Max 60 years

Maturity Age Min 18 years

Max 75 years

Coverage Term 15 / 20 / 25 / 30 years

Premium Payment Term Regular

Minimum Annualized

Premium

Rs. 12,000

Basic Sum Assured Min - 5 times the Annualized

Premium ***Other Sum Assured

multiples - 10 times & 20 times the

Annualized Premium.

Premium Paying Modes Monthly, Quarterly, Half-yearly,

Yearly

Benefit

y Death BenefitIn the unfortunate event of death, the higher of the Sum Assured

or the Fund Value would be payable.

If death of the Person Insured occurs before age 7, the Fund

Value plus the regular premium received by us in the first policy

year is payable.

y Maturity BenefitOn maturity, you will receive the Fund Value including theGuaranteed Loyalty Addition or you can opt for the settlement

options.


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y Loyalty AdditionsYou get the guarantee of enhancing your wealth creation

through guaranteed loyalty additions (up to 120% of the first

year annual premium) at the end of the 10th & 15th year plus

Guaranteed Additions as a % of the Fund Value.

At the end of the 10th year: 50% of the first year annualized

premium

At the end of the 15th year:

Met Advantage Plus

MetLife offers 'Met Advantage Plus' - a Unit-Linked Pension Plan

that allows to effectively and efficiently accumulate retirement needs.

As the name suggests, it comes with many advantages.One can

choose from eight annuity options, two life cover options and get tax

benefits under Section 80 C and 10 (10 A). One can buy the plan

without any hassles and invest more as you approach retirement by

using the top-up functionality. All in all, its a plan which works

harder when one stop working. For one, it ensures that you lead a

comfortable lifestyle post retirement.

Entry Age (in completed

years)

Min 20 years

Max 55 years

Minimum Term 10 years

Minimum Vesting Age 45 years

Maximum Vesting Age 65 years

Minimum Premiums Single Pay: Rs. 1,00,000


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Regular Premium: Rs. 10,000Premium Paying Term Single Pay & Regular Pay

Benefits

y Death BenefitIn case of death during the accumulation period, the death

benefit payable is:

Under Option A: A guaranteed amount of 110% of the Fund

Value is payable to the nominee.

Under Option B: 100% of the Fund Value is payable to thenominee.

y Vesting BenefitOn the vesting date, i.e. at the end of the accumulation term,you

can take one-third of your retirement kitty as a tax-free lump

sum and utilize the balance to buy annuities. Or you can use the

entire retirement kitty to buy annuities.

Met Pension-Par

'Met Pension (Par)' serves as a friendly helping hand so one can stay

financially independent even after retirement. It helps to build up afund for golden years.

With this plan,one can ensure his\her enjoy retirement as a happy new

chapter.

Entry Age (in

completed years)

Min 18 years

Max 60 years

Minimum Term 10 years

Minimum VestingAge

45 years

Maximum Vesting 70 years


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Age

Minimum Sum

Assured

Rs. 50,000

Maximum Sum

Assured

No Limit

Minimum Annual

Premium

Rs. 4000 p.a. for Regular Pay

Premium PaymentTerm Single Pay, Limited Pay (3 or 5 Pay) &Regular Pay

Benefits

Death Benefit

In case of death while one is saving for retirement, the death benefit

payable

1. Return of premiums.

2. Accrued reversionary bonus, if any.

3. Any insurance on the life of the Insured that may be provided by

riders to this policy.

Vesting Benefit

On the vesting date, you can take one third of your retirement kitty as

a tax-free lump sum and utilize the balance to buy annuities or you

can use the entire retirement kitty to buy annuities. The retirement

fund on the date of vesting is equal to the Sum Assured plus

Guaranteed Additions plus the compounded reversionary bonuses

plus the terminal bonus, if any.



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Savings:-

Met Sukh

MetLife offers 'Met Sukh'- a guaranteed money-back policy which

provides guaranteed periodic survival benefits at the end of 5, 10, 15

& 20 years and guaranteed additions of 10% of the Sum Assured for

the entire term. It not only covers your life, but also guarantees you

cash payments at various milestones along with guaranteed growth of

your savings.

Entry Age Min - 15 years

Max - 55 years

Coverage Term 20 years


Minimum Sum Assured Rs. 75,000

Maximum Sum Assured No Limit

Benefits


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y Death BenefitIn the unfortunate event of death of the Person Insured, the Sum

Assured along with the Guaranteed Additions are payable.

The policyholder is entitled to Guaranteed Additions of Rs. 100

per Rs. 1,000 of the Sum Assured for each completed year.

y Maturity BenefitOn maturity, the life insured will receive the Survival Benefits

plus the Guaranteed Addition.

y Survival Benefits

Met Suvidha

'Met Suvidha' is a flexible Endowment Plan that combines savings

and security. In addition to providing you protection till the maturity

of the plan, it helps you save for your specific long term financial

objectives. This long term savings-cum-protection plan comes to a

customer at affordable premiums.

At the end of 5 years 20% of the Sum

Assured

At the end of 10

years

20% of the Sum

Assured

At the end of 15

years

20% of the Sum

Assured

Upon survival to

maturity

40% of the Sum

Assured plus Total



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Met Suvidha is available in both participating as well as non-

participating versions.

Minimum Entry Age Par: 15 years - 60 years

Non-Par: 15 years - 70 years

Term Par: - 15 years - 30 years

Non-Par: 5 years - 30 years

Premium Paying Terms Single Pay, Limited Pay (5 or

10) & Regular Pay

Minimum Annual Premium

Amount

Rs. 2,500


Maximum Sum Assured No Limit

Met Saral

MetLife presents 'Met Saral' - a non- participating endowment plan.

As the name suggests, its a simple savings plan which gets customer

into the savings habit without any medical tests. All need to do is fill

in a simple application form and are ensured a guaranteed maturity

amount of Rs 100,000, even in the case of death during the term. Take

the first step towards a better financial future for customer and his

family. Ensure and insure the first Lakh.


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Met 100

'Met 100' - a whole life policy where customer pay premiums for 15,

20 or 25 years.

It helps create a legacy for the children, leaving money for a

dependant spouse and, more importantly, provides insurance cover at

affordable rates.

Met 100 is available in participating as well as non- participatingversions.

Non-Par Par

Minimum Entry

Age

15 yrs 0 yrs

Maximum Entry

Age

70 yrs for ppt of 15 yrs



70 yrs for ppt of

15 yrs

65 yrs for ppt of20 yrs

60 yrs for ppt of

25 yrs

70 yrs for life

ppt

Premium Paying

Terms

15, 20, 25 yrs 15, 20, 25 yrs

Minimum Sum

Assured

Rs. 50,000 Rs. 50,000


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Maximum SumAssured

No limit (subject to UW) No limit(subject to UW)

Minimum

Annual Premium

Rs. 1,000 for issue age of =

15 yrs

Met 100 Gold:

Rs. 2,500

Met 100

Platinum: Rs.

7,500

Death Benefit

Met 100 - Par

In the event of death, the Sum

Assured plus the ReversionaryBonus and Terminal Bonuses, if

any, are payable.

Met 100 - Non-Par

In the event of death, the SumAssured is payable.

Maturity Benefit

Met 100 - Par

On maturity of the policy, the

Sum Assured plus the

Reversionary Bonus and

Terminal Bonuses, if any, are

payable.

Met 100 - Non-Par

On maturity of the policy, the

Sum Assured is payable

Protection:-


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Met Suraksha

MetLife offers 'Met Suraksha - Term Assurance (TA)', a non

participating term assurance plan which provides life cover at a

nominal cost. To put it simply, it is a life insurance plan that gives

complete protection to enjoy life to the fullest. Customer can further

customize plan with two riders Accidental Death Benefit and

Critical Illness.

Met Suraksha TROP

MetLife offers 'Met Suraksha - Term with Return of Premium

(TROP)', a non participating term assurance plan which provides life

cover at a nominal cost. To put it simply, it is a life insurance plan

that gives complete protection to enjoy life to the fullest. You can

further customize your plan with two riders Accidental Death

Benefit and Critical Illness.

Met Mortgage Protector

This plan which provides life cover for home loans taken for any

period above 5 years. It is a decreasing term insurance with single and

limited premium options. The plan covers an amount equal to the

outstanding amount as per the policy schedule.


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It ensures the assets that have created stays with family.

Rural :-

None of us can be sure what tomorrow will bring. Shield your

families against the unknown. MetLifes rural plans protect your

loved ones against financial liabilities and help you save for

tomorrow. All at affordable premiums

Met Vishwas

'Met Vishwas', - a single premium, micro insurance, non-

participating term assurance plan which provides life cover at a

nominal cost. On survival, customers get 110% or 125% of the

premium.

Minimum Entry Age 18 years

Maximum Entry Age 60 years

Maximum Maturity

Age

70 years


Maximum Sum

Assured

Rs. 50,000

Policy Term 5 or 10 years


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Premium Paying Terms Single Pay

Met Suvidha-Rural

Met Suvidha (Rural) is a participating flexible Endowment Plan that

combines savings and security. In addition to providing protection up

to maturity, it helps to save for specific long term financial objectives.

This long term savings-cum-protection plan comes at affordable

premiums.

Benefits:

Met Suvidha - Par

In the event of death during the

term of the policy, the

beneficiary will receive the base

Sum Assured, the accrued

reversionary bonus and terminal

bonus if any.

Maturity Benefit

Met Suvidha - Par

On maturity of the policy, you

will receive the base Sum

Assured, the accrued

reversionary bonus and terminal

bonus if any.

y It is an Endowment plan that offers both savings and lifeinsurance.y Flexible premium paying options to suit various income cycles.y A plan which participates in the bonuses declared by the

company.

y Customization possible with Accident Death Benefit, CriticalIllness, Term, Waiver of Premium Riders for comprehensive

protection.


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Investment:-

MetLifes Unit-Linked Insurance Plans ensure systematic

enhancement of wealth. Be it higher returns or the right blend of

protection and wealth optimization, they help to ensure the rightchoice and peace of mind.

(IN THESE POLICY, THE INVESTMENT RISK IN INVESTMENT

PORTFOLIO IS BORNE BY THE POLICY HOLDER )

Met Easy

A simplified unit-linked plan which offers an opportunity to

systematically build wealth and protection for you and your family.

10 years 15 years 20 years

Minimum

Age at Entry

8 3 0 (3 months to

be completed)

Maximum

Age at Entry

55 50 50

Minimum

Premium

20,000 15,000 12,000

Maximum

Premium

6,00,000 4,00,000 3,00,000


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(The maximum Sum Assured available in this product is based on

age, at the time of buying the policy.)

Benefits-

Death Benefit

In the event of

death:

In the 1st Policy

Year: Higher of

50% of the Sum

Assured or the

Fund Value is

payable.

After the 1st Policy

Year: Higher of

100% of the Sum

Assured or Fund

Value. If death of

the Person Insuredoccurs before age

7, the Fund Value

plus the Regular

Premium received

by us in the first

policy year is

payable.

Maturity Benefit

On maturity, you

will receive the

Fund Value

including the

Loyalty Addition

or you can opt for

the settlement

options.

Loyalty Additions

With Met Easy,

you get the benefit

of potentially

enhancing your

wealth creation

with loyalty

additions that are

added to your

policy on maturity.

Sum Assured 5 times theannualized

regular premium

7.5 times theannualized

regular premium

10 times theannualized

regular premium

Premium

payment

modes

Yearly, Half-

yearly,

Quarterly,

Monthly

Yearly, Half-

yearly,

Quarterly,

Monthly

Yearly, Half-

yearly,

Quarterly,

Monthly


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Met Smart Gold

MetLife offers 'Met Smart Gold'- a Unit-Linked wealth creation cum

protection plan for the well-heeled. It's specially conceived so that one

can get a plan to match his specific financial requirements.

If you are keen on investing lump sum amounts over a shorter

horizon, this is the ideal plan for you.

Met Smart Plus-Regular Pay

'Met Smart Plus' a Unit-Linked Whole life plan that matures at age

100. If you want to protect your family from lifes uncertainties; at the

same time, you wish insurance would yield higher returns on your

investments. You want your insurance policy to help realize all your

dreams. Its a right plan to go with.

Entry Age (in completed

years)

Min 0 years (3 months to be

completed)

Max 70 years

Maturity Age 100 years


Minimum Annualized

Premium

Rs. 12,000


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Minimum Basic SumAssured

Rs. 60,000

Premium PaymentModes Monthly, Quarterly, Half-yearly,

Yearly

Met Smart Plus- Single Pay

Same as Met Smart Plus Regular but premium is payable in a single

term or at the time of policy taken.

Met Smart Premier- Regular Pay

MetLife offers 'Met Smart Premier' a Unit-Linked Whole life plan

that matures at age 100. You want to protect your family from lifes

uncertainties; at the same time, you wish insurance would yield higher

returns on your investments. You want your insurance policy to help

realize all your dreams.

Met Smart Premier- Single Pay

Payable lump sum at the time of policy taken.

Health:-

Met Health Care

UIN no: 117N048V01

Health problems strike unexpectedly. In addition to causing ill health,

it can also scar financial health. One need to protect himself against

such a situation through a health insurance plan. In order to ensure


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you are well protected to face any health condition that could befall

you, MetLife presents - Met Health Care, a simple health insurance

policy with unique and smart advantages for you and your family#.

(# Family means spouse and two children. Every additional family

member shall be underwritten as per the underwriting conditions laid

by the Company from time to time.)

Met Health Care is a long term health insurance plan from MetLife.

This plan covers

1. Hospitalization expenses by providing a Daily Cash benefit as

chosen by you.

2. 10 major Critical Illnesses by providing a lump sum benefit.

3. Total & Permanent Disability due to accident by providing a lump

sum benefit.

All the above benefits can be availed without the hassle of undergoing

any medical examination. Just fill up the simple application form and

start enjoying the unmatched benefits ofMet Health Care.

Minimum/Maximum age

of entry

18 years-55 years (At first entry, for

the Principal insured)

3 months-55 years (For Secondary

Insured lives)

Cover ceasing age 65 years

Maturity/Death Benefit No Maturity/Death Benefit payable

Benefits Offered (a) Daily Hospitalisation Cash Benefit

(b) Daily ICU Cash Benefit

(c) Recuperation Benefit

(d) Critical Illness Benefit

(e) Accidental Total & Permanent


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DisabilityBenefit

Premium paying

frequency

Yearly. Half-Yearly mode is avaiable

only if each of the persons insured

choose a daily cash benefit of Rs.

3000 or more.

Illustration

Benefit Option 1 Option 2 Option 3 Option 4 Option 5

Daily

Hospitalisation

Cash Benefit

Rs. 1000

per day

Rs. 2000

per day

Rs. 3000

per day

Rs. 4000

per day

Rs. 5000

per day

Daily ICU

Cash Benefit

Rs. 2000

per day

Rs. 4000

per day

Rs. 6000

per day

Rs. 6000

per day

Rs. 6000

per day

Recuperation

Benefit

Rs. 3000 Rs. 6000 Rs. 9000 Rs.

10000

Rs.

10000

Critical Illness

Benefit

Rs. 1

Lakh

Rs. 2

Lakh

Rs. 3

Lakh

Rs. 3

Lakh

Rs. 3

Lakh

Accidental

Total &

Permanent

Disability

Benefit

Rs. 1

Lakh

Rs. 2

Lakh

Rs. 3

Lakh

Rs. 3

Lakh

Rs. 3

Lakh

Benefits

Death/Maturity Benefit


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There is no Death/Maturity Benefit underMet Health Care.

Tax Benefits

The premium paid (excluding the service tax) under this plan is

eligible for Tax Benefits under Section 80 D of the Income Tax

Act, 1961 as per the provisions and conditions given therein and

are subject to any changes made in the tax laws in future.

Reasons to Buy

1. Coverage for the entire family.

2. No Claim Discounts.

3. Guaranteed Cover* till age 65.

4. Payouts in addition to other Insurance Plans.

5. Multiple Claims.


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RESEARCH AND METHODOLOGY

AS the project is on the basis of the ULIP products, in order to realize

the study a considerably volume of both primary and secondary data

is needed. Then it is realized further to arrange some other analysis on

the relevant data is needed.

Collectionofprimary data: The primary data has been collected fromthe METLIFE customer database who already have invested their

money into the ULIP products of the company during the period of

25-Aug-2009 to 25-Aug-2010. The study is conducted on the last one

year fund performance of the company

Collectionofsecondary data: The secondary data which is regardingthe company fund update and its performance has been drawn from

the company websites only.

This study is necessarily based on the limited knowledge and little

practical exposure the constraints of resources and time have further

imposed limits to the study boundaries. The response of the customer

was very busty and could not afford time more than 2-3 minutes.


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Objectivesof

the project: whatever the data have collected during theeight weeks, have tried to find out below things:-

The company puts their all funds of the ULIP plans into sevenfunds, namely

1)PROTECTOR2)PRESERVER3)MODERATOR4)BALANCER5)ACCELARATOR6)MULTIPLIAR and7)VIRTUE

It is being tried to find which fund growth rate is maximumduring the last one year (considering my interns period)

It is also tried to search in which fund the Financial Advisors ofthe company suggesting their customer to keep the funds.

As the funds are considering some sensitive sectors of the Indianeconomy and besides the ULIP is one of the best growing sector

in India so that the company have to deal with it very carefully.

For this reason discussion of the funds are needed.


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FUND DETAILS &DATA ANALYSISPROTECTOR:

OBJECTIVES OF THE FUND: To earn regular income by

investing in high quality fixed income securities.

INVESTMENT PHILOSOPHY:

The fund targets 100% investment in Govt. securities & other debt

securities to meet the stated objectives.

ASSETS CLASS :

Govt. securities & other debt securitiesCash & money marketASSETS CLASS

Cash &MoneyMarket 9%

Govt. securities 27%

Corporate Bond 64%

Considering a pie will be easy to define that what the funds

considering of:


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MOVEMENT OF THE FUND:

Month NAV

Aug-09 13.505

Sep-09 13.525

Oct-09 13.601

Nov-09 13.769

Dec-09 13.832Jan-10 13.923

Fev-10 13.95

Mar-10 14.027

Apr-10 14.162

May-10 14.305

Jun-10 14.31

Jul-10 14.355

Aug-10 14.303

9%

27%

64%

ASSETS CLASS

Cash&moneymarket Govt .securities CorporateBonds


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PRESERVER:OBJECTIVE OF THE FUND:

To generate a income at a level consistent with the preservation

of the capital, through investment in securities issued or

guaranteed by central or state Govt.


The fund will target 100% investment in Government & Govt.

securities to get the stated objective

ASSETS CLASS :

Government & Govt. guaranteed securitiesCash & money market

.


considering of:

ASSETS CLASS


Government & Govt.

securities

85%


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MOVEMENT OF THE FUND:

Month NAV

Aug-09 13.118

Sep-09 13.142

Oct-09 13.181

Nov-09 13.279

Dec-09 13.32

Jan-10 13.403

Fev-10 13.43

Mar-10 13.478

Apr-10 13.541

May-10 13.67

Jun-10 13.634

Jul-10 13.646

Aug-10 13.575

15%

85%

ASSETS CLASS

cash&moneyma rket Go vt.&Govt.secirities


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MODERATOR:INVESTMENT OBJECTIVE:

To earn regular income by investing in high quality fixed income

securities and to generate capital appreciation by investing little into

the equity.

INVEST PHILOSOPHY:

The fund targets 20% investments in Equity and rest 80% in Govt. &

other debt securities to meet the stated objectives.

ASSETS CLASSES:

Govt. & other debt securitiesEquitiesCash & money market


considering of:

ASSETS CLASS



Equities 18%

Corporate Bonds 55%


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MOVEMENT OF FUND:

Month NAV

Aug-09 15.166

Sep-09 15.266

Oct-09 15.445 Nov-09 15.581

Dec-09 15.693

Jan-10 15.806

Fev-10 15.64

Mar-10 15.866

Apr-10 16.033

May-10 16.047

Jun-10 16.172

Jul-10 16.328

Aug-10 16.293

10%

17%

18%

55%

ASSETS CLASS

Cash& Moneymarket G ovt.secur iti es Equi ti es Corpor ate Bonds


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UL P FU M EME 43

S , it is s fi t t st rts it . fi r s s it

t fi r f . ri t r. S if si r t f ts

l sis t t t M f r t is:

18

19

20

21

22

23

24


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BALANCER:Investment Objective:

To generate capital appreciation and current income through a

judicious mix of equities and Fixed Income securities.

Investment Philosophy:

The fund targets 50% investment in Equities and rest 50% in Govt. &

other debt securities to meet the stated objective.

ASSETS CLASS:

Govt. & Other debt securitiesEquitiesCash &Money marketCorporate Bonds

ASSETS CLASS

Corporate Bonds 36%

Equities 46%

Cash&Money market 4%



considering of:


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MOVEMENT OF FUND:

Month NAV

Aug-09 17.794

Sep-09 18.088Oct-09 18.42

Nov-09 18.473

Dec-09 18.704

Jan-10 18.871

Fev-10 18.287

Mar-10 18.882

Apr-10 19.159

May-10 10.023

Jun-10 19.072

Jul-10 19.386Aug-10 19.544

36%

46%

4%

14%

ASSETS CLASS

Corporate Bonds Equities Cash& Moneym arket Govt. Securities


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ACCELATO

R:

INVESTMENT OBJECTIVE:

To achieve capital appreciation by investing predominantly in

Equities, with limited investment in fixed income securities.


The fund targets 80% investments in Equities and the rest 20% in

Govt. & other debt securities in order to get the above objective.

ASSETS CLASS:

Govt. & Other debt securitiesEquitiesCash & money marketCorporate Bonds

ASSETS CLASS

Corporate Bonds 19%Equities 76%


Govt. securities 1%


considering of:


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MOVEMENT OF FUND:

Month NAV

Aug-09 20.076Sep-09 21.247

Oct-09 21.783

Nov-09 21.732

Dec-09 22.183

Jan-10 22.427

Fev-10 21.318

Mar-10 22.408

Apr-10 22.023

May-10 21.997

Jun-10 22.485Jul-10 23.073

Aug-10 23.439

4

1

76

19

ASSETS CLASS

Cash&Money Market Govt.securities Equities CorporateBonds


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MULTI

PLIE

R:

INVESTMENT OBJECTIVE:

To generate long term capital appreciation by investing diversified

Equities.


The fund targets 100% investment in Equities to meet the above

stated objective.

ASSETS CLASS:

EquitiesCash & money market

ASSETS CLASS

Equities 94%



considering of:


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MOVEMENT OF FUND:

Month NAV

Aug-09 21.417Sep-09 22.107

Oct-09 22.834

Nov-09 22.689

Dec-09 23.223

Jan-10 23.491

Fev-10 22.027

Mar-10 23.405

Apr-10 23.096

May-10 22.814

Jun-10 23.418Jul-10 24.201

Aug-10 24.723

6%

94%

ASSETS CLASS

Cash&MoneyMarket Equi ti es


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VIRTUE:INVESTMENT OBJECTIVE:

To generate long term capital appreciation by investing in diversified

Equities of companies promoting healthy life style and enhancing

quality of life.


The fund targets 100% investment in Equities to meet the stated

objective.

ASSETS CLASS:

EquitiesCash & money market

ASSETS CLASS

Equities 94%



considering of:


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MOVEMENT OF FUND:

Month NAV

Aug-09 8.301Sep-09 9.102

Oct-09 9.501

Nov-09 9.522

Dec-09 9.901

Jan-10 10.038

Fev-10 9.891

Mar-10 9.921

Apr-10 9.902

May-10 9.482

Jun-10 9.915Jul-10 10.307

Aug-10 10.228

6%

94%

ASSETS CLASS

Cash&MoneyMarket Equi ti es


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FINDINGSSo during the data analysis it is found that the company have several

funds to invest their ULIP funds which are considering the facts like

Cash &Money market of the country, Equities, Government & Other

Debt Securities, Corporate Bonds etc. Those factors are ever changing

and dependents upon the facts like market scenario, government rules

& regulation etc. So, it is the duty of the company to make it clear to

the customer that where they should keep their fund.

During project time it is being tried to find that at which fund the

customer keep their fund, and resulted the following:

The above table shows that 53% of the customer keeps their fund in

the fund MULTIPLIER. The customer data is unable to produce as it

is against the company rules & regulation, but the bar chart represent

the right situation of the customers funding.

0%

10%

20%

30%

40%

50%

60%

Protector Preserver Moderator Balancer Accelarator Multiplier Virtue

BAR DIAGRAM SHOWING CUSTOMERS'

INVESTMENT


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RECOMENDATIONFrom the data analysis and findings it is easy to say:

The most of the customer keeps their funds with the fundMultiplier.

The fund gives the 3rd highest return from the market.The fund Virtue has its highest return during the period of time.

From the coming month of September-2010 it is necessary for the

Insurance companies to announce fixed return or a guaranteed

return from ULIP plan. So the market is going to become more

competitive and interesting for the investors.

In this scenario if the company possibly can convince the

customer to keep their funds with that fund which grows

maximum in a year, then it will be easy for the company and thecustomer to achieve desired revenue.

Another point which should be mentioned at last that is most of the

customers are unknown about the facts that what is actually

happening with their ULIP plans , and how it works in the market.

So such customers are unable to experience the plans properly. It is

the duty of the Financial Advisers to give them a little knowledge

about it, which will allow the customer to switches their fund

according their wish.


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LIMITATIONSThe study is depends on some data and information which are being

collected from the company and analysed by the help of some

techniques. But this study has a certain limit to accept as there have

certain limitation on it:

The customer data has to keep in secret according to thecompany rules & regulation.

It was not possible to analyse each and every customer at a time,thats why the customer diversification has been made only in a

sample size.

70 numbers of customers are taken as a sample size.The fund growths are of the very short period of 12 months, it

may be changed according to the market scenario. This growth

chart is being calculated as on it is on 25-Aug-2010 consideringthe time period of 12 months.


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BIBILOGRAPHY

For the completion of this project the help has

taken from the following sources:

I. http://www.businessdictionary.com/definition/fund.html

II. http://www.investopedia.com/terms/u/unit-linked-insurance-plan.asp

III. www.metlife.co.in

ulip fund management

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