Hi! I am 26 years old (f)...have been working in digital marketing for last 2years but in really low salary with no growth in kolkata. I am thinking about pursuing MBA from a private university to give a boost in my career. Still having a little doubt about how the placement and other things will work as I will be 28 by then...? Kindly help me to understand.

Ans: Asma,

I understand what you are going through design a decent resume, not more than 2 pages, apply for job's using online search, that fit your qualifications and aptitude.

Try you will certainly succeed!

Ans: Nanda,

Look for SME paint companies in your area, the professional experience and wealth of knowledge will be certainly be needed by them.

Wish you luck!?

Ans: Well in India it's retirement age, however your experience can be offered to SME's in your area.

Go meet the concerned and offer your expertise.. Sure you will be hired!

Ans: Find out why you are not getting, ..NIT college's.. what are the prerequisites required,fulfill them or apply to other local college's affiliated to good universities, they are as good as the big names!

Ans: I believe I have replied to you earlier, please check my earlier reply!?

Ans: Madam (Minor) ...better stay anonymous with your minor boyfriend, before you guy's invite trouble.

A perfect film script, dukh baree, underaged mohabath ki kahani.. So many problems and twists.

An ambitious plan without an action plan is like a cycle without peddle... Going nowhere!?

Both of you must get back to your studies, tell your boyfriend, to fend for himself.. Or his dreams won't be fruitful...yours too.. Where ever you are in MP, time to focus on your studies.

There's no quick fix on what should he do... If he wants you to do..!?

You said it.. Impossible.. Get rid of the nuisance, move ahead with your life.. Seriously!?

Ans: Dear Siuli,
Talk to a lawyer who will guide you on the separation process; also he/she will draft the terms and conditions keeping in mind that you are dependent financially on your husband and how he will provide for you and your daughter.
Be strong through all of this and slowly start thinking about yourself and how you will lead a life by yourself.

All the best!
Anu Krishna
Mind Coach|NLP Trainer|Author
Drop in: www.unfear.io
Reach me: Facebook: anukrish07/ AND LinkedIn: anukrishna-joyofserving/

Ans: Dear Anonymous,
Do you not worry about what will happen if this maid opens her mouth and cries foul? And here you are talking marriage behind your wife's back? How do you think your wife will react? Obviously she has been your companion for decades...you think she is going to welcome the 'new' bride?
You have seen life through all its ups and downs to know that being mature and practical is what will work here! So, what will be the most mature and practical thing to do? You know what to do and I am sure that you were just checking in here with me to simply align with the way you are thinking about this...

All the best!
Anu Krishna
Mind Coach|NLP Trainer|Author
Drop in: www.unfear.io
Reach me: Facebook: anukrish07/ AND LinkedIn: anukrishna-joyofserving/

Ans: Evaluating Your Financial Situation
You are earning a take-home salary of Rs. 39,500 and living on rent. You have a matured savings amount of Rs. 9.5 lakhs and a PF balance of over Rs. 1.5 lakhs. Your two daughters are 18 and 13 years old, with the elder one turning 19 by September 2024 and the younger one turning 14 by October 2024. You aim to meet upcoming liabilities and purchase a home in 10 years. Let's delve into a comprehensive investment strategy to help you achieve these goals.

Immediate Financial Priorities
Emergency Fund:
Ensure you have an emergency fund equal to 6-12 months of your living expenses. This fund should be easily accessible and kept in a savings account or liquid fund.

Debt Repayment:
If you have any high-interest debt (e.g., credit card debt), prioritize paying it off. High-interest debt can erode your savings faster than you can build them.

Health and Life Insurance:
Ensure you have adequate health insurance for your family. Additionally, having term life insurance is crucial to secure your family's future in case of an unfortunate event.

Education Fund for Daughters
Higher Education:
Your elder daughter will soon enter higher education. Create a separate fund to cover her education expenses. Consider investing in a balanced mix of debt and equity funds to match the timeline.

Younger Daughter’s Education:
Start a long-term investment plan for your younger daughter's higher education. You have around 4-5 years before she enters college, so a mix of equity and debt funds is appropriate.

Investment Strategy for Home Purchase in 10 Years
Systematic Investment Plans (SIPs):
SIPs in mutual funds are an excellent way to build a corpus over time. They offer the benefit of rupee cost averaging and compounding. Since your goal is 10 years away, consider investing in equity mutual funds through SIPs for higher returns.

Balanced or Hybrid Funds:
To reduce risk while still aiming for growth, you can invest in balanced or hybrid funds. These funds invest in both equity and debt, providing a balanced approach.

Recurring Deposits (RDs) and Fixed Deposits (FDs):
While not as high-yielding as mutual funds, RDs and FDs offer guaranteed returns and are suitable for those seeking low-risk investments.

Gold as an Investment
Advantages:
Gold acts as a hedge against inflation and currency fluctuations. It is a safe investment, especially during economic uncertainty.

Disadvantages:
Gold does not generate regular income like dividends or interest. Its value can be volatile in the short term.

Recommendation:
Limit gold investments to 5-10% of your portfolio. Consider gold ETFs or sovereign gold bonds for better liquidity and returns.

Detailed Investment Plan
Monthly Investment Allocation
Given your take-home salary and financial commitments, a disciplined approach is crucial.

Emergency Fund:
Maintain Rs. 2-3 lakhs in a liquid fund or savings account for emergencies.

SIPs for Education:

Elder Daughter: Start an SIP of Rs. 5,000 per month in a balanced fund.
Younger Daughter: Start an SIP of Rs. 3,000 per month in an equity fund.
SIPs for Home Purchase:
Allocate Rs. 10,000 per month in diversified equity mutual funds through SIPs. This will help build a substantial corpus over 10 years.

Gold Investment:
Invest Rs. 2,000 per month in gold ETFs or sovereign gold bonds.

Retirement Fund:
Continue your PF contributions and consider an additional SIP of Rs. 3,000 per month in a retirement-focused fund.

Utilization of Lump Sum Savings
Education Fund:
Allocate Rs. 3 lakhs from your matured savings to a balanced fund for your elder daughter's immediate education expenses.

Home Purchase Fund:
Invest Rs. 4 lakhs in a combination of equity and hybrid funds to kickstart your home purchase fund.

Retirement Fund:
Invest Rs. 2.5 lakhs in a diversified equity fund or a retirement-focused mutual fund.

Monitoring and Rebalancing
Regular Review:
Review your investment portfolio every 6 months. Assess the performance of your funds and make adjustments if necessary.

Rebalancing:
Rebalance your portfolio annually to maintain your desired asset allocation. This helps in managing risk and optimizing returns.

Long-term Investment Principles
Discipline and Consistency:
Regular and disciplined investing is crucial. Stick to your SIPs and avoid the temptation to withdraw funds prematurely.

Risk Management:
Diversify your investments across asset classes to manage risk. Avoid putting all your money in a single type of investment.

Professional Guidance:
Consult with a Certified Financial Planner (CFP) periodically to ensure your investment strategy remains aligned with your goals.

Benefits of Actively Managed Funds
Potential for Higher Returns:
Actively managed funds aim to outperform the market through strategic stock selection and timing.

Professional Management:
Experienced fund managers continuously monitor and adjust the portfolio to capitalize on market opportunities.

Flexibility:
Actively managed funds can quickly adapt to changing market conditions, which is beneficial in volatile markets.

Drawbacks of Index Funds
Market Performance:
Index funds only match market performance and cannot outperform it. In bearish markets, they perform poorly.

Lack of Flexibility:
Index funds are passively managed and cannot adapt to market changes or opportunities.

Disadvantages of Direct Funds
Higher Responsibility:
Investing in direct funds requires thorough research and continuous monitoring, which might not be feasible for all investors.

Lack of Guidance:
Without professional advice, you might miss out on strategic investment opportunities and risk management.

Time-Consuming:
Managing direct funds can be time-consuming and requires a deep understanding of market dynamics.

Final Insights
Your current financial situation requires a balanced approach towards meeting immediate needs and future goals. Establishing a robust emergency fund, focusing on your daughters’ education, and systematically building a home purchase fund are essential steps. Diversifying your investments across equity, debt, and gold will help manage risk and enhance returns. Regular monitoring, disciplined investing, and professional guidance from a Certified Financial Planner will ensure you stay on track towards achieving your financial objectives.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in