Many investors start analyzing their financial decisions related to investment, savings, taxes etc during the start of the financial year.
Rohtak MFDs Vinay Goel and Anchal Katyal, partners at Balaji Money Managers sensed the opportunity to convince clients to increase their savings at the beginning of the new financial year.
The duo had conducted their first SIP drive in April 2019 very successfully. This motivated them to continue with SIP drive at the beginning of every financial year. Click here to read how they conducted their first SIP drive.
This time they executed 263 SIP amounting to Rs.9.67 lakh on April 6.
Here is how they conducted this SIP drive
- At first they shortlisted clients who had earned good returns in their portfolio by not redeeming funds in the last 1-2 years. Apparently, these were the clients who remained patient during volatile times
- As most of these clients had witnessed healthy returns, the duo asked them to increase their SIP investment by 10% on an annual basis
- The low interest rates in the traditional asset class helped them to convince clients to increase investment through SIP
- Also, approached clients to diversify their funds across fund categories overseas to be able to withstand events like pandemic in the future
Now let’s look at how Maninder Singh Chadha executed 80 SIPs on April 1. Maninder undertakes a theme-based SIP drive every financial year. He has conducted drives with varying themes in the past - ‘Debt Funds’, ‘Multicap Funds’, ‘Balanced Advantage Funds’, etc.
The drive for this financial year aimed at exploring global opportunities and was themed ‘International Markets’. These SIPs are invested in fund of funds and are kept perpetual. The participation from his existing clients contributed 80 SIPs worth Rs. 2.48 lakh on the first day of FY 21-22.
Maninder believes that winning client’s trust is essential for conducting a successful perpetual drive. They must be convinced that each drive aims at doing the best for them and it can aid in accomplishing financial goals sooner.
Here are the key highlights of the drive.
- Regular drives made the existing clients well-versed and comfortable with the concept of annual drives. Most of Maninder’s clients approach him in March to understand the theme of the upcoming drive. This way, he is able to spare some more time to focus on acquiring new clients.
- To combat the effects of inflation better, Maninder encourages his existing clients to participate in the drive with an amount equivalent to at least 10% of their current investments.
- Over the years, a theme-based drive has helped in creating a diversified investment portfolio and also opened the avenues to global investing.
- Digitalization of the drive facilitated seamless execution of transactions and also aided in maintaining social distancing in the current times of COVID-19.
