10 thing you should never say in a job interview

Ans: Hi Srinivas,

The fund you mentioned is a sectoral fund and these works like this only. It is not recommended to invest blindly in a random fund and lose your hard earned money.
Stop this SIP and consult a professional to start afresh. Go for a multi cap fund.

Or better work with a professional Certified Financial Planner - a CFP who can guide you with exact funds to invest in keeping in mind your age, requirements, financial goals and risk profile. A CFP periodically reviews your portfolio and suggest any amendments to be made, if required.

Let me know if you need more help.

Best Regards,
Reetika Sharma, Certified Financial Planner
https://www.instagram.com/cfpreetika/

Ans: Hi,

I understand that 3 of you come under salary bracket of 6 to 8 lakhs. And you want to know products suitable for you and both sons. Let us discuss pros and cons of each below along with other major necessities you should have:

- As a family, have a dedicated emergency fund of 6 months worth expenses in FD. If your monthly expense is 50k, have 3 lakhs FD and if monthly expense is 1 lakh, habe 6 lakhs worth FD. This fund will safeguard your expenses in case of any uncertain situation.
- As earning members, all of you should have a pure term cover of 1 crore each. Make sure to take proper term insurance and do not mix with any other rider / policy.
- Proper health insurance for family. Avoid mixing it with wealth policies and other policies. Buy proper health insurance for whole family. Can go for HDFC Ergo as it has the highest claim settlement ratio. Avoid going for cheaper premium policies.

Now, when these 3 requirements are done, start investing the surplus to meet your financial goals. Firstly, list all financial goals and invest.
- SBI Life policies - not recommended. Go for proper Term Insurance of Max Life or HDFC Life.
- Wealth Policies - not recommended as these come with high commission end products. It is always better to keep insurance and investment separate. One shall not expect insurance premiums as investment, insurance is always a cover against unforeseen risk and it should be kept like that.
Hence, do not mix your insurance with investment. Avoid all wealth policies and ULIPs and LIC policies.

For investment, choose the following:
- PPF - not recommended if you have an ongoing EPF.
- NPS - not for your sons as the amounts will be locked till 60 years.
- MF - recommended for all. you can choose from a variety of equity and debt instruments wrt your goals and risk capacity. It will generate upto 15% annual returns to meet your financial goals. Funds in MF is not locked and flexible.
- FD - use it only for emergency fund.
- Share market - not recommended. The way you will not google and cure yourself for an illness, same way you cannot google and invest. Take proper help.

You should work with an advisor who will understand your risk appetite and make an investment plan for your family.
Hence do consult a professional Certified Financial Planner - a CFP who can guide you with exact funds to invest in keeping in mind your age, requirements, financial goals and risk profile. A CFP periodically reviews your portfolio and suggest any amendments to be made, if required.

Let me know if you need more help.

Best Regards,
Reetika Sharma, Certified Financial Planner
https://www.instagram.com/cfpreetika/

Ans: Hi Madhusudan,

Expecting a better yield in 6 to 8 months is not a good idea. For such short term, capital preservation is the only choice. Park this entire amount in an FD and avoid looking for alternatives.

Let me know if you need more help.

Best Regards,
Reetika Sharma, Certified Financial Planner
https://www.instagram.com/cfpreetika/

Ans: Dear Sir,

The information provided is insufficient. I kindly request you to provide the following details:

1. Did she complete her HSC in Karnataka, or did she complete her entire schooling there?
2. When did you move from Tamil Nadu (TN) to Karnataka (KA)?
3. What address have you mentioned on her Aadhaar, ration card, etc.?
4. If she pursued her schooling in Karnataka, did she choose Kannada as one of her languages?
BEST REGARDS

Ans: Appreciate your timely observation and honesty in reviewing your investment. Many investors ignore such sharp movements. You noticed it early, which itself is a strength.

» Understanding What Happened
– Silver is a highly volatile asset
– Price movements are driven by global factors, not business growth
– Sharp rises are often followed by sharp corrections
– A 60 percent short-term rise was abnormal and not sustainable

» Nature of Silver as an Asset
– Silver does not generate earnings or cash flow
– Returns come only from price movement
– It does not compound like equity mutual funds
– Long-term wealth creation from silver is uncertain

» Risk of Staying Fully Invested
– High volatility can test patience and emotions
– Gains can reduce very fast, as you already experienced
– If markets turn against commodities, recovery may take long
– Silver should not be treated as a core long-term investment

» Direct Fund Concern
– You are holding a Direct Fund, which lacks professional handholding
– No Certified Financial Planner is guiding entry, exit, or allocation
– In volatile assets like silver, emotional decisions are common
– Regular funds through an MFD with CFP credential help manage timing and discipline

» Decision Insight: Stay or Withdraw
– If the investment was made for short-term profit, partial or full exit is sensible
– Booking gains protects capital and avoids regret
– If held for diversification, allocation should be very limited
– Silver exposure should never dominate a long-term portfolio

» Better Portfolio Alignment
– Long-term goals need assets that grow steadily
– Actively managed equity mutual funds adjust to market cycles
– They reduce downside risk through active decisions
– This supports your wealth goal better than commodities

» Tax Awareness
– Short-term gains on such investments can attract higher tax
– Frequent entry and exit reduces post-tax return
– Discipline matters more than timing in long-term planning

» Finally
– Do not let recent high returns anchor your decision
– Protect gains where the asset lacks compounding power
– Keep commodities as a small support, not a return engine
– Align investments with goals, not market excitement

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

https://www.youtube.com/@HolisticInvestment

Ans: Appreciate your discipline and clarity at a young age. A monthly SIP of Rs 55,000 across two portfolios, a long holding period, and a clear target already put you ahead of many investors. Your question is practical and well-thought.

» Current Position and Direction
– Age 38 gives you time, which is the biggest strength in wealth creation
– Existing corpus of around Rs 24 lakh provides a good base
– Nine years is a meaningful but not very long horizon, so portfolio balance matters
– Moderate to high risk profile is suitable, but risk must be controlled, not pushed blindly

» Target Corpus Reality Check
– A target of Rs 1.75 Cr to Rs 2 Cr by 2035 is ambitious but possible
– With the current SIP alone, reaching the higher end will be challenging without increases
– Markets do not grow in straight lines; returns will be uneven across years
– The gap between “possible” and “comfortable” will be filled by step-ups, not by taking extra risk

» Need for Yearly Step-Ups
– Yearly SIP step-up is strongly recommended
– Even a small annual increase linked to income growth improves probability a lot
– Step-ups reduce pressure on returns and improve outcome consistency
– This approach respects your risk profile and avoids stress during market volatility

» Portfolio Structure Assessment
– Overall equity exposure is on the higher side, which suits your age
– Mid-oriented exposure is meaningful, but concentration risk must be watched
– Flexi and diversified equity funds play a stabilising role and should remain core
– Having two portfolios is fine, but both are moving in a similar direction

» Observations on Overseas and Passive-Style Exposure
– Exposure linked to overseas market trackers increases currency and policy risk
– Passive-style funds move exactly with the market and do not protect on the downside
– In falling or sideways markets, there is no decision-making support
– Actively managed equity funds can shift sectors, reduce cash burn, and manage risk better
– For long goals, active management adds value through discipline, not prediction

» Commodity-Linked Allocations Insight
– Gold and silver-linked funds are not growth assets
– They do not compound like equity over long periods
– Such allocations are useful only as small stabilisers, not return drivers
– Higher allocation here may slow your journey towards the target corpus

» Diversification and Overlap Check
– Multiple funds with similar styles may create overlap without adding value
– Too many themes dilute focus and tracking ability
– A cleaner structure with clear roles for each fund improves control
– Both portfolios can be aligned better to avoid duplication

» Tax Awareness for Long-Term Planning
– Equity mutual fund gains beyond Rs 1.25 lakh are taxed at 12.5% for long term
– Short-term equity gains attract higher tax, so holding discipline is important
– Churn and frequent switching reduce post-tax returns
– A stable portfolio is more tax-efficient than an active trading mindset

» What Changes Are Sensible
– Reduce dependence on passive or commodity-linked exposure
– Strengthen core actively managed diversified equity allocation
– Maintain balance between growth and stability, not themes
– Introduce annual SIP step-ups aligned with income growth
– Review once a year, not every market cycle

» Final Insights
– Your goal is achievable with discipline, not aggression
– Time, consistency, and step-ups will matter more than chasing returns
– Simplification will improve clarity and confidence
– Staying invested during dull phases will decide success more than fund selection

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

https://www.youtube.com/@HolisticInvestment

Ans: Hi,

Can you please share more details such as your and father's household monthly expenses, your income, ages and loan details for me to help you better. Also share the details of the assets you currentle hold.

Best Regards,
Reetika Sharma, Certified Financial Planner
https://www.instagram.com/cfpreetika/

Ans: Vamshi, it is good to see that you started early and are investing a steady Rs.30,000 every month. Beginning SIP at 40 and thinking long term shows maturity and patience. The concern you are feeling is common in the first year, and it does not mean you have done anything wrong.

» Time frame and expectations
– Six months is a very short period for equity mutual funds.
– Equity works best when given time to pass through ups and downs.
– In the early phase, SIP units get accumulated more than showing returns.
– Real growth usually becomes visible after a few years, not months.

» Why growth is not visible right now
– Markets do not move in a straight line. Sideways and volatile phases are normal.
– Mid-cap oriented funds move slower during uncertain periods.
– SIP is doing its job quietly by buying more units at different levels.
– Lack of short-term growth is not a sign of poor fund quality.

» Review of your current fund mix
– Your portfolio has strong exposure to mid-cap style funds.
– Mid-cap funds can give good returns but can test patience in short periods.
– You also have diversified and multi-asset style exposure, which adds balance.
– Overall, the structure is growth-oriented but slightly tilted towards higher volatility.

» Whether to continue or make changes
– Stopping or changing funds just because of 6-month performance is not advisable.
– Frequent changes usually hurt long-term returns.
– At this stage, continuation is more important than replacement.
– Any change should be based on asset balance, not recent returns.

» What can be improved going forward
– Add stability by increasing allocation to diversified large and flexible equity styles.
– Keep mid-cap exposure, but avoid adding too many similar funds.
– Ensure each fund plays a clear role, not overlapping the same stocks.
– Avoid chasing recent performers.

» SIP discipline and behaviour
– Continue SIP without interruption for at least a few years.
– Do not check portfolio too often; quarterly review is enough.
– Volatility in early years actually helps long-term investors.
– Patience is more valuable than timing.

» Risk and goal alignment
– A 5 to 10 year horizon is suitable for equity investing.
– If goals are closer to 5 years, balance is more important than aggression.
– If goals are closer to 10 years, staying invested matters more than short-term noise.
– Clear goal tagging will give confidence during weak phases.

» 360-degree perspective
– Ensure you have adequate emergency fund outside mutual funds.
– Health and term insurance should be in place to protect investments.
– Avoid using equity investments for short-term needs.
– Keep SIP amount flexible as income grows.

» Final Insights
– Your concern is natural, but your action so far is sensible.
– Six months is too early to judge equity mutual funds.
– Do not stop SIP or switch funds based on short-term returns.
– Improve balance slowly, not urgently.
– Consistency and patience will reward you over time.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

https://www.youtube.com/@HolisticInvestment

Ans: Your discipline, simple lifestyle, and clear thinking at age 61 deserve genuine appreciation. Reaching a stage where your present corpus can support 15 years of expenses shows strong financial habits and self-control. This already puts you in a position of strength and choice.

» Understanding your current position
– You have minimal medical expenses today and follow a disciplined, minimalist life. This reduces pressure on your corpus.
– You have consciously stopped fresh investing and moved to withdrawal mode. This is natural at this life stage.
– Your current calculation shows that if expenses remain the same, the corpus can last around 15 years at today’s market value.
– This indicates balance, but it should not be treated as a fixed or permanent number.

» Why a straight 15-year calculation needs review
– Expenses rarely stay flat for 15 years, even with a simple lifestyle. Small increases add up over time.
– Health costs may be zero now, but ageing can change this suddenly, not gradually.
– Market value of corpus will move up and down. Withdrawal during weak phases can reduce longevity of money.
– Inflation silently reduces purchasing power, even for basic living costs.

» Assessment of your current SWP level
– If your SWP exactly matches today’s expenses, it is not aggressive, but it is also not conservative.
– A SWP that leaves no room for future uncertainty can slowly increase risk in later years.
– Your discipline is a big positive, but the plan should not depend only on discipline staying perfect forever.

» Should you reduce or increase your SWP
– Increasing SWP is not advisable at this stage unless there is surplus income from other safe sources.
– Maintaining the same SWP may work in the short term, but it needs regular review, not a one-time decision.
– A small reduction, even if not immediately needed, can add comfort and extend corpus life.
– The goal is not to maximise withdrawal, but to avoid regret in later years.

» How to think about SWP going forward
– Treat SWP as flexible, not fixed for 15 years.
– Review withdrawal once a year based on expenses, health, and market condition.
– During good market periods, you may continue smoothly.
– During weak market phases, be ready to pause or trim SWP slightly. This protects the core corpus.

» Health and contingency planning
– Even with zero medical expense today, a separate health buffer within the corpus is important.
– This buffer should not be touched for regular living costs.
– This reduces stress and avoids forced withdrawals during emergencies.

» Emotional comfort and quality of life
– Your minimalist life already supports peace of mind.
– A slightly conservative SWP often gives better sleep than an exact-match calculation.
– Financial plans at this stage should reduce anxiety, not test limits.

» Final Insights
– Your 15-year calculation is a good starting point, not a final answer.
– Avoid increasing SWP.
– Consider a modest reduction or at least keep flexibility to adjust.
– Annual review is more important than perfect maths today.
– Your discipline and simplicity are your biggest assets; protect them with a margin of safety.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

https://www.youtube.com/@HolisticInvestment