Improve Your Car’s Fuel Efficiency

Be it UPA, BJP or any other acronym at the Centre, petrol prices will again head northwards. We can only feel helpless in the face of recurring and economy-driven price fluctuations.  Seeking measures to improve fuel economy is the only way to combat rising fuel prices. Do not disregard these simple guidelines; each little step can really start adding up to significant savings to your budget.

Do Fuel Quality/Types/Additives Help Mileage?

Petrol pump attendants often try to convince you to go for 'Speed petrol' or 'X-tra Mile diesel'. But this need not necessarily help improve your vehicle's fuel efficiency. Always use the grade recommended for the vehicle by the manufacturer. Higher octane fuel may not only be a waste of money but may harm the vehicle, as well. However sticking to one brand of fuel is always good for the engine. Know more about Octane Ratings

Keep the Windows Closed

Driving with your windows open considerably reduces mileage, far more than keeping the AC on while driving along highways. So preferably keep the windows closed and the AC on if you want to keep cool. Of course the air-conditioning decreases fuel efficiency considerably, so use it judiciously.Windows down or A/C on — which is more fuel-efficient?

Refill in the morning/late evening

During these times petrol is densest. Keep in mind - fuel pumps measure volumes of petrol, not densities of fuel concentration. You are charged according to "volume of measurement". [viaHowToAdvice.com]

Check Tyre Pressure

Keeping the tyres well inflated is one of the simplest things you can do to help improve your car's fuel efficiency. You can improve the mileage by about 3.3 percent if you keep your tyres inflated properly, according to the DOE.

Lighten Your Load

Empty out your boot of unnecessary items. For every extra 45 kg you carry, your fuel efficiency can drop by 1-2% in a typical vehicle.

S-L-O-W D-O-W-N

The faster you drive, the more fuel you use. Driving within the speed limit recommended by the manufacturer helps save fuel. Driving just 5mph over the speed limit can affect fuel economy by up to 23%. Likewise, quick acceleration consumes too much fuel; accelerate slowly and gradually.

Tune Your Engine

A well-tuned engine can improve fuel economy by up to 4%. So change your oil and follow your car manufacturer's recommendation on servicing.

Clean the Air Filters Regularly

Air filters keep impurities from damaging your engine. Replacing a clogged air filter can improve fuel economy by as much as 10%.

Don't Be a Clutch-Driver

Never keep your foot on the clutch while driving. When you do this, pressure is being placed on your clutch, and it not only reduces mileage, but also wears out the clutch plate, replacing which is not cheap.

Keep the Car in Showroom Condition

It's always prudent to keep the car in the showroom condition. Remember that any modification to the car, such as broad tyres, diffusers etc., will adversely affect the mileage.

Got another tip?

I'm sure there are more tips that you have tried and found to be productive. Please share them with others, too.

What To Do If You Lose Your Wallet

Having your wallet get lost or stolen is certainly a distressing event. Following several precautions as a general rule in case of loss or theft can help to minimize the damages in case this unpleasant event happens to you. If you do lose your wallet, you should also take quick action so that you'll suffer fewer repercussions.

Cancel Your Credit Cards

To minimize thieves' opportunities to use your cards and rack up charges, you'll want to be particularly proactive when it comes to canceling your credit cards. Even though you may not be required to pay fraudulent charges that are made with your cards, you do have a responsibility to report the cards missing or stolen as soon as you realize that they're gone. Call the phone numbers for all of your credit card providers and report it to them. Remember to call the providers of your retail credit cards as well as your major credit card providers.

Report It to the Police

If you do find that fraudulent charges have been made on your card, you will definitely want to call the police immediately. Fraud is a criminal offense, and the police can take steps to intervene if someone is currently attempting to commit fraud with the use of your credit cards and personal information. Reporting the missing wallet to police is also wise in case your wallet happens to be turned in by an honest citizen. Be sure to get a copy of the police report as well. You may need the police file number when reporting the incident to other agencies.

Contact Your Bank and Insurance Companies

You definitely want to let any financial institutions and insurance companies you deal with know that your wallet's been stolen and that your personal information has been compromised. Your bank can note the incident on your account and help you to close any accounts that have been affected. You should monitor your bank accounts closely in the weeks and months that follow to ensure that your accounts are not being used without your knowledge. Also, you will need to change your PIN as soon as possible if the thief has somehow obtained it. Your insurance company may also provide some kind of protection against identity theft, so you should alert them to the incident as well.

Contact the Credit Bureaus

It is especially important to contact the credit bureaus if your credit information or your Social Security card was in your wallet, because you don't want to be the victim of identity theft. Thieves can use this information to obtain new credit cards in your name, thus damaging your credit rating in the process. The primary credit reporting agencies (Equifax, Experian and Transunion) can place restrictions on your credit record so that if anyone attempts to apply for credit using your information, the creditor will have to contact you first to verify that it is you who is making the application.

Replace Your Identification

Since most people tend to keep their driver's license, health insurance information and a variety of other forms of identification in their wallets, you'll need to obtain new copies of all these documents. Report the loss of your driver's license to the Department of Motor Vehicles and obtain a new card. If you have any other forms of identification that were present in your wallet you'll need to obtain new copies of these documents as well. Government documents typically require you to go through a formal application process where you will have to provide proof of identity. The type of identity required depends upon the type of document you'll be replacing, so you should check with your state's guidelines on this. For this reason, it's a good idea not to carry all forms of identification in your wallet at the same time.

Take Stock of the Contents

Write a list of everything that was in your wallet. You probably have a number of store loyalty cards, membership cards and rewards cards. You can contact these card providers and ask them to issue new cards or membership numbers so that whoever has your wallet can't use them. Keep in mind that some cards may operate similarly to a credit card - such as a library card. Someone who obtains your wallet illegally can use your library card to borrow items from the library under your name, which you'll later be responsible for.

Before You Ever Leave Home

There are a number of things you should do before you ever leave home in order to ensure that if your wallet is lost or stolen that the process will be much less of an inconvenience. First and foremost, remove all unnecessary identification and store it in a safe place. Don't carry your Social Security card with you. This card makes it far too easy for dishonest people to take advantage of you. Also, remove any store credit cards that you rarely use. This way you won't have to report as many missing cards. You should also make detailed lists of the items you typically carry in your wallet, including card numbers and phone numbers to call should your card go missing. Making photocopies of cards and identification can make quick work of this process. Just bear in mind that you'll need to store copies of this information somewhere secure as well.

The Bottom Line

Being the victim of theft, any kind of theft, is stressful. Be smart about what you carry around in your wallet so that you can avoid unnecessary stresses. You should also keep your records at home complete and up-to-date so that you won't have to search all over the house for the documents and information you need to make all your reports and to obtain replacement copies of your lost identification. Keep in mind that an ounce of prevention is worth a pound of cure. The more you do to prevent theft, the less likely it is to occur. Carry your wallet in a safe place - a pocket or inside a purse that's not easily reached into. Close any zippers and buttons to ensure that your belongings are as well concealed as possible. It only takes a few extra moments to put things away carefully, and those few seconds of time could save you hours of heartache and inconvenience in the long run.

The other way to make good money

With increasing income, investments other than equity, fixed income and gold are gaining popularity, especially with high net worth individuals. The reason they look at alternative and exotic investments is diversification and increasing returns. While alternative investments also have the potential for substantial capital appreciation, often in excess of traditional investments, they have a larger probability of collapsing too, increasing the risk. However, some alternatives, such as commodities can hedge your portfolio in a market crisis.

ALTERNATIVE OPTIONS

While almost anything that has tangible value can qualify for an alternative investment, a couple of ideas have become very popular among investors in the last 10 years.
Private equity funds are one of the most popular alternatives in India, with hundreds of domestic and foreign funds available to the Indian investor. PE funds are essentially a pooled vehicle for investing in unlisted emerging companies that have substantial growth potential, as opposed to mutual funds that invested in listed and more mature companies. PE funds take large stakes in their companies and often play an operational role and bear higher risk than equity mutual funds. Because of the additional risk, they should provide substantial additional return, 25-30 per cent a year, where listed equities return 15-20 per cent. Among financial assets, hedge funds—alternative strategies that use instruments such as commodities, currencies and equity derivatives to generate returns uncorrelated to the market—are also now finding favour in India. Film funds are also another unique asset class—pooled vehicles investing in selected film projects—and a number have already been launched and gained investor traction.

Among physical assets, wine is an asset that has been recognised as an asset class of its own, with the London International Viners Exchange setting up a benchmark for wine that tracks the top 100 wines. Wine, either bought as individual bottles and stored in cellars, or in the form of wine funds managed by a professional (available in the US and UK), has typically returned 10-15 per cent annually over the years, comparable to the performance of global equities. The return of course has varied greatly by fund and bottle vintage. A broader asset class of collectibles, such as stamps and coins, has also found favour with investors. Coin investing—picking up rare coins from around the world that have unique aesthetic value and will appreciate—is popular as investors look at coins in gold, silver, and other precious metals. Stamp collecting—collecting postage stamps that will appreciate over a 15-plus year period, has a 100-plus year history as a collectible asset class, with well-known strategies for stamp investing. Art—whether collected in individual form as unique paintings or sculptures, or in a pooled vehicle as a fund—has also caught on with investors, although the launch of the first art fund in India (Osian's fund by Neville Tuli) had left investors with a bitter taste.

THE RISKS OF ALTERNATIVES

Exotic investing is high on risk. For one, most physical and financial alternative asset classes are illiquid. It is virtually impossible to get your funds if (a) you suddenly need the money, or (b) there is a market crisis and the investment is not performing in the interim. Pooled vehicles have experienced this first hand; Osian's art fund eventually shut down for this reason.

Holding costs are also a challenge for physical assets. Wine, stamps, coins and art when bought in an individual capacity (rather than a fund structure) do not live in demat and fund form, and your inventories can quickly build up. Storage costs are non-trivial, and storage quality is very important. The right storage can make all the price difference for two wine bottles after a 15-year period.
Valuations and the lack of transparency in them is also a difficult issue with exotics. Unlike equities and commodities that have tradable prices, wine bottles, sculptures and two year old tech companies don't list on the NSE and, typically, bias gets in the way of their valuation. Moreover, there are no known benchmark like the Nifty to measure performance.
Finally, what influences the prices of these products is ultimately out of our hands. The coin market, for instance, can be drastically affected by the government's coinage policies—stopping putting silver in coinage or changing mintage policies—which we may have 
no idea about!

REGULATION OR THE LACK OF IT

One of the biggest challenges with alternatives is the lack of regulation around the asset class. Financial investments such as private equity funds, for instance, are regulated under the Sebi Venture Capital Regulations or the Portfolio Manager Regulations, as are some hedge fund-like products, but reporting standards are hazy at best.

The proposed Sebi Alternative Investment Fund regulations is likely to correct many of the problems and create clear structures for PE/VC/Hedge Fund investing.

The situation for physical asset classes is even more complex. Like Osian's now-defunct art fund, wine funds and stamp funds, too, are completely unregulated. Besides the problem with both financial assets, such as PE funds, and physical assets, such as wine, the underlying asset (not the fund) is also not regulated. In these, you are really investing on faith!

SHOULD YOU INVEST?

With all the risks and rewards known, should you invest in exotics? As usual, it depends your investment sophistication. If you have not covered basic asset classes such as equities, debt and commodities, it is too early to start thinking alternatives. However, if you have got the basics in place, you should start, with a couple of caveats in mind.

The most important is start small. Only invest what is purely excess risk capital that can be tied up at least for 5-plus years (don't expect multibaggers in two years) and with which you can take serious risks. Finally, alternatives should be no more than 5-10 per cent of your total portfolio.

INVESTMENT PLANS

As with a traditional investment, it is important to have a strategy and do the right due diligence.

Focus on quality. Wine, art, stamps and unlisted companies are already so exotic that, within this pool, one should focus on quality. Invest in a few quality assets, particularly if you are buying in the physical form as a large numbers of assets add to storage costs and pare returns. Stay clued into the investment market. With physical assets, find the right storage options.

Buy from reputed dealers, agents and distributors. With financial assets, ask the private banker for all the due diligence and with a physical product, do a check on ethics, past history and track record. Beware of large upfront fees, and check the prices and commissions. If it seems too high or too low, there is probably an issue. Portals for wines, stamps and collectibles can give you an idea of prices.

When choosing a fund, look at its track record, particularly during tough times. Check how carefully 
performance is calculated and ask for audited numbers; see if the fund has returned money back to investors on time. With private equity, check the exit track record of the manager because mark-to-market return means little. Check on fund size, and invest in funds that have the right size for an asset class. Assets of `1,000 crore may be too much for a venture fund, while `1 crore too little for a film fund.

Alternatives are definitely a worthwhile space to pursue, when done in the right quantity and with the right approach.