ANGELO Mathew works as an assistant editor in a media company. He has a hectic schedule and spends long hours in office.

A complete techie, this 23-year-old has a passion for cars and knows about every brand in town. But the same passion (or interest) does not mirror when it comes to his investments.

Simply because his dad insisted (on the agent's recommendation), he bought a life insurance policy-- a unit linked insurance plan (ULIP). It would save him tax, the agent had said!
(Read: Can you trust your insurance agent?)

Now, the only thing that Angelo understood about the ULIP was that he would make Rs 6 lakh in 6 years! Thanks to his insurance agent, Angelo wrongly believed that a ULIP is a tool to make fast cash.

What's the premium outgo?
He pays an annual premium of Rs 30,000 every year and has paid three premiums so far. Today, he is left with less than Rs 60,000. Thanks to two things which the agent never told him:

- Charges

- Volatile stock markets

On the next page: What caused the loss?

Photograph: Vipurva Parikh

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e-mail: Elda Christy

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