A Guide to Goal-Based Investing: Meeting Your Financial Objectives

March 10, 2023 06:27 pm | Updated 06:27 pm IST

As your needs change, you should have a plan that provides you with varying levels of protection and comprehensive coverage.

Maintaining financial stability and security requires having financial goals and investing appropriately in order to achieve them over the long term. A lack of a clear financial plan can make it difficult for you to reach important milestones, such as purchasing a home, sending your children to college, or retiring comfortably. Setting clear goals and investing appropriately can assist individuals in achieving these milestones and securing their financial futures. By making smart investment decisions today, you can ensure that you are able to reach your goals tomorrow and live the life you want.

What is goal-based investing?

In goal-based investing, you identify your financial goals and plan your investments accordingly. You can use it to prioritize your investments and create a roadmap for achieving your goals. Your investment strategy will be determined by your time horizon and the financial objectives you wish to achieve. Individuals who wish to save for specific financial objectives, such as retirement, education, home ownership, or portfolio development, can benefit from goal-based investing.

What are the different terms used to describe financial goals?

A person should have short-, medium-, and long-term financial goals. Short-term goals can be achieved in a year, while medium-term goals take one to five years. Long-term goals take more than five years to achieve. Each goal requires a unique investment strategy.

●       Investments for short-term goals are usually low-risk. The objective is to preserve capital while earning a reasonable return. Investment options for short-term savings include high-yield savings accounts, certificates of deposit, and money market funds.

●       Investing for medium-term goals requires a more balanced approach . The objective is to earn a higher return than short-term investments while preserving your capital as well. Medium-term investment options include balanced mutual funds, municipal bonds, and fixed annuities.

●    Long-term investment options include individual stocks, growth mutual funds, and real estate. A long term investment strategy helps you shore up and grow your savings for long term goals like children’s education, a dream home and your retirement corpus. Long term strategy must include both high risk and also low risk investments, to aim for a more balanced portfolio.  This will ensure that your wealth grows steadily, even as your savings stay protected.

Are you familiar with HDFC Life Click 2 Protect Super?

Financial protection for your loved ones is one of your most important long-term goals. If an unfortunate event occurs, having a safety net that can cover your family’s financial needs is essential and this goal is best served by HDFC Life Click 2 Protect Super.

HDFC Life Click 2 Protect Super is a term insurance policy that provides comprehensive coverage for the policyholder’s family in case of an untimely death. The following are some of the key features and benefits of this plan:


1. Flexible coverage options: The plan offers four different coverage options to choose from – Life, Extra Life, Income, and Income Plus, depending on the policyholder’s individual needs and preferences.

2. Accidental death benefit: The plan provides an additional sum assured in case of accidental death of the policyholder.

3. Tax benefits: The premiums paid and benefits received under this plan are eligible for tax benefits under section 80C and section 10(10D) of the Income Tax Act, 1961.

4. Inflation protection: The policyholder can choose to increase the sum assured annually to keep up with inflation.

5. Hassle-free application process: The application process for this plan is completely online, making it quick and convenient.


1. Financial protection: The policy provides financial support to the policyholder’s family in the event of his/her untimely death, allowing them to maintain their standard of living.

2. Waiver of premium benefit: If the policyholder becomes totally and permanently disabled, the policy remains active without further premium payments being required.

3. Flexibility to choose the payout option: Policyholders may choose between lump sum or monthly payout options depending on their family’s financial needs.

4. Additional riders: The plan offers the option to add additional riders like critical illness, accidental death, and disability cover for enhanced protection.

5. Low premium rates: The plan offers competitive premium rates, making it an affordable option for individuals seeking comprehensive life insurance coverage.

To summarize, HDFC Life Click 2 Protect Super is primarily a term insurance plan but its flexibility and range of coverage options make it ideal for goal-based investing. This plan offers a range of coverage options, as well as the option to increase the sum assured annually, making it a customizable option for those seeking comprehensive protection. Aside from its competitive premium rates, the plan is an affordable option for individuals looking to protect their families. Overall, HDFC Life Click 2 Protect Super is an excellent option for those seeking a goal-based investment plan that also provides financial protection for their family.

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