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Sushil

Sushil Sukhwani  |594 Answers  |Ask -

Study Abroad Expert - Answered on Jan 18, 2024

Sushil Sukhwani is the founding director of the overseas education consultant firm, Edwise International. He has 31 years of experience in counselling students who have opted to study abroad in various countries, including the UK, USA, Canada and Australia. He is part of the board of directors at the American International Recruitment Council and an honorary committee member of the Australian Alumni Association. Sukhwani is an MBA graduate from Bond University, Australia. ... more
Asked by Anonymous - Jan 01, 2024Hindi
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Career

I am a 3rd year BTech student studying mechanical engineering from a low ranked tier 2 IIT. My cgpa will definitely be less than 6.8 by the time I graduate. What can I consider in order to pick up and still have a good career. 1. Attempt gate and try PSU job, 2. Attempt gate and go for Mtech in IITs. 3. Go for Masters in Germany irrespective of the uni since I have a low gpa and cannot be accepted into top universities of Germany. Higher education in any other countries is out of question as we can't afford it.

Ans: Hello,

To begin with, thank you for contacting us. I am happy to hear that you are currently pursuing the 3rd year of your Bachelor’s of Technology (B.Tech) degree in Mechanical Engineering. As an answer to your query, I would like to tell you that although your CGPA will be low, in order to guarantee a thriving career, you have a few options that you can take into consideration. Remember that each possibility has its own pros and cons.

Concerning your query as to whether you should attempt GATE and pursue a PSU job, I would like to tell you that GATE scores are frequently taken into account by PSUs during the hiring process. If you are keen on working in the public sector, then this is surely a good choice. I would suggest that concentrating on the particular prerequisites of the PSUs you are interested in, you study hard for the GATE. Next, considering if you should attempt GATE and pursue Master’s of Technology (M.Tech) at an IIT, I would like to say that this can be a wise decision particularly if you are dedicated to this field of study and have a keen interest in research or specialization. Remember, at a number of esteemed universities, to secure admissions to postgraduate courses, GATE scores are vital, and thus, I would suggest that you prepare well and strive to achieve a high GATE score. Also, make sure that your application throws light on your abilities and pertinent work experiences. Concerning your 3rd option i.e. to pursue Master’s in Germany, you would be happy to hear that a number of German universities offer English-taught programs, and thus, continuing your studies there would be a viable choice. The country is renowned for the robust engineering education it offers, and in comparison to a few other nations, the living expenses in Germany can be much cheaper. Despite having a low GPA, concentrate on drafting a strong application that outlines your abilities and experiences.

Remember, your hobbies, professional objectives, as well as your own circumstances play a key role in deciding the best fit. Think about what best resonates with your goals and work hard to get ready for the chosen course. I would also recommend that you engage in internships or projects in order to acquire hands-on experience, this can in turn, bolster your profile and boost your competitiveness in the labor market or for further studies.

For more information, you can visit our website.
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Sushil

Sushil Sukhwani  |594 Answers  |Ask -

Study Abroad Expert - Answered on Jan 12, 2024

Asked by Anonymous - Jan 01, 2024Hindi
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Career
My son is a third year engineering (EEE) from Bangalore. He is a bright child but his CGPA is quite low and as of now, he says he doesn't not want to pursue this field for masters. Earlier, the plan was to do Masters in US but the slump in IT has made us rethink that option. What are his career options? Will it possible to get into good colleges with a CGPA below 8.
Ans: Hello,

First and foremost, thank you for getting in touch with us. I am happy to hear that your son is currently pursuing the third year of his Engineering degree. To answer your question first, I would like to tell you that although a low CGPA can pose difficulties, it is not always a deciding element to achieve future success. Remember that people with a background in electrical engineering can opt from a broad range of job opportunities. Beyond earning a master's degree, your son can consider other professional pathways. He can take into account jobs in sectors viz., automation, renewable energy, telecommunications, or even opt for a career in the field of data science, business analytics, or software development. I would recommend that your son acquires hands-on experience through taking up entry-level jobs or engaging in internships. Not just that, bear in mind that getting in touch with and developing a robust job portfolio can help make up for a lower CGPA. In order to boost his abilities and for him to become a suitable candidate for employers, your son should also consider pursuing specialized courses or certificates.

Talking about higher studies, other than the GPA, several other variables viz., letters of recommendation, pertinent professional experience, as well as personal essays are also taken into account by certain universities. I would suggest that your son conducts an all-round study and applies to universities that take a comprehensive approach towards the admission process. While the entry prerequisites to top-notch universities may be strict, there are outstanding programs that take into account an applicant’s holistic profile. In order for your son to make an educated choice concerning his future, I would suggest that he acquires advice from experts in the industry as well as from academic advisors.

For more information, you can visit our website.

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Latest Questions
Ramalingam

Ramalingam Kalirajan  |8867 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jun 06, 2025

Asked by Anonymous - Jun 06, 2025
Money
I am 33 and I have around 6.4 Lakh Invested in Axis ELSS Tax Saver Fund,3 Lakh in SBI Long Term Equity Fund, 2.2 Lakh in SBI Bluechip Fund & 1.4 Lakh in SBI Focused Equity Fund. I am also running a 30000/- monthly SIP with almost 40% of it in Smallcap segment and 20% in Gold Fund. I have a NPS Auto Choice Account of 17 Lakh with a yearly addition of 1.2 lakh. How much can all this generate by the time of my retirement?
Ans: You have a strong base already. You are only 33 years old. You have around 25 years to grow your wealth till retirement. Let us analyse your total investments and long-term potential from a 360-degree view.

We will assess every part of your portfolio, the risks, the growth potential, and how you can improve it step by step.

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Your Present Investments in Mutual Funds

You have invested Rs. 6.4 lakh in ELSS, Rs. 3 lakh in a long-term equity fund, Rs. 2.2 lakh in a bluechip fund, and Rs. 1.4 lakh in a focused fund.

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Your total mutual fund lumpsum investment is Rs. 13 lakh.

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These funds are mostly equity-oriented and for long-term growth.

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ELSS funds are locked for 3 years but give tax benefits under section 80C.

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Your mix of ELSS, large cap and focused funds shows good diversification.

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The focus is more towards tax saving and large cap growth.

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This is suitable for someone with a stable income and long-term view.

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But your fund mix should be reviewed every year.

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Some funds may underperform over time and need replacement.

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Active monitoring gives better results than just investing and forgetting.

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A Certified Financial Planner can help you review and restructure if needed.

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Continue tracking performance every 6 months to stay on track.

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Your Monthly SIPs and Allocation Pattern

You are running a Rs. 30,000 SIP each month.

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40% of it is in small cap funds.

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20% is in gold mutual fund.

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The rest 40% seems to be in large/multi-cap or other diversified equity funds.

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Now let us analyse this composition:

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40% in small cap is quite aggressive.

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Small caps are very volatile. They can give high returns but also deep corrections.

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Keep small cap allocation below 25% in total equity SIPs.

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You can move some SIP amount to a balanced advantage fund.

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Balanced funds give stability when markets are down.

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20% in gold mutual fund is on the higher side.

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Gold is not a compounding asset like equity.

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Over long term, gold delivers lower return than equity.

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Use gold only for 5-10% of total portfolio. Not more.

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The rest 40% in equity is fine, but needs regular review.

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Maintain SIPs in regular plans through Certified Financial Planner.

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Direct funds give no handholding or guidance when markets fall.

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Regular plans help you stay committed and balanced.

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Rebalancing SIPs every 12–18 months improves returns and reduces risk.

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Your National Pension System (NPS) Contribution

You have Rs. 17 lakh corpus in NPS Auto Choice.

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You are adding Rs. 1.2 lakh per year to NPS.

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NPS Auto Choice invests automatically in equity, debt and govt securities.

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Your allocation will shift towards debt slowly as you age.

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This reduces risk after age 45.

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NPS is a good retirement asset due to long lock-in.

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But maturity proceeds are partly taxable and partly annuity.

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So don’t depend only on NPS for retirement.

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Use mutual funds also to build tax-efficient corpus.

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NPS is a supporting vehicle, not a full retirement solution.

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How Much Can All These Generate Till Retirement?

Let us assume you invest for 25 more years.

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You will add Rs. 30,000 monthly SIPs. That’s Rs. 3.6 lakh/year.

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You will also add Rs. 1.2 lakh/year to NPS.

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Your mutual fund lumpsum of Rs. 13 lakh continues to grow.

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Based on long-term equity CAGR of 11% to 12%, your corpus will grow strongly.

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In 25 years, your MF corpus alone can become several crores.

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Your NPS corpus can also cross Rs. 1 crore to Rs. 1.5 crore.

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Final retirement wealth can range between Rs. 3.5 crore to Rs. 5 crore or more.

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This depends on SIP discipline, fund choice, rebalancing and staying invested.

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Direct fund investors often lose returns due to fear and wrong decisions.

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Regular plan investors with Certified Financial Planner stay more consistent.

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That helps in wealth creation without panic or stopping SIPs.

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Improvement Areas in Your Current Strategy

Let us now talk about areas of improvement in your plan.

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Reduce gold fund SIP to 5% or 10%. Use rest in hybrid or flexi cap funds.

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Reduce small cap SIP exposure to 25% or less. Add large and balanced funds.

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Monitor ELSS performance. Don’t hold old ELSS just for tax benefit.

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Move older ELSS units to better performing funds after 3-year lock-in.

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Use a Certified Financial Planner for fund selection and annual review.

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Avoid investing through apps that show direct funds without guidance.

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Do not fall for lowest expense ratio trap.

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Many direct funds underperform due to no tracking or correction.

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Regular plans give you peace of mind and expert handholding.

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Start tracking goals – like retirement, home, child’s education.

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SIPs done without goals often get withdrawn during market dips.

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Emergency fund must be built separately. At least 6 months of expenses.

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Do not mix emergency savings and investments.

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Taxation Awareness You Must Keep in Mind

As your investments grow, tax rules will affect your returns.

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For equity mutual funds: LTCG above Rs. 1.25 lakh/year is taxed at 12.5%.

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STCG (less than 1 year) is taxed at 20%.

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For debt funds: gains are taxed as per your slab.

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NPS maturity is partly tax-free, partly annuity and taxable.

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Gold fund redemptions are taxed as per type of asset (debt-based).

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Plan your redemptions with tax calendar in mind.

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Avoid frequent switches. It reduces compounding and increases tax.

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Rebalance with minimal taxation in mind.

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Long-Term Stability Recommendations

You are already doing great.

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But to ensure success for next 25 years, follow these:

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Stick to SIP discipline no matter what market says.

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Review SIPs every year with Certified Financial Planner.

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Don’t change funds just because of short-term performance.

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Add hybrid and flexi-cap funds to reduce ups and downs.

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Avoid investing heavily in gold for long term.

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Shift risky allocation slowly to stable funds as you near 45.

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Use NPS only as a support system for retirement.

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Track your wealth growth every year without panic.

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Focus on goals and time horizon, not only on returns.

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Build Rs. 3 crore to Rs. 5 crore corpus slowly with consistent habits.

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Compounding rewards patience. Not shortcuts.

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Finally

You are already ahead of most investors of your age. Very disciplined.

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But success is not about starting alone. Staying the course is more important.

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Avoid gold fund overuse. Reduce small cap exposure slightly.

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Add stability via hybrid and balanced equity funds.

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Don’t switch to direct plans. They seem cheaper but may cost more emotionally.

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Investing through regular plans with Certified Financial Planner is safer.

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Continue current path with corrections. Retirement will be stress-free.

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Stay consistent. Review yearly. You will reach your wealth goals peacefully.

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Best Regards,
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K. Ramalingam, MBA, CFP,
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Chief Financial Planner,
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www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment

...Read more

DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Investment in securities market are subject to market risks. Read all the related document carefully before investing. The securities quoted are for illustration only and are not recommendatory. Users are advised to pursue the information provided by the rediffGURU only as a source of information and as a point of reference and to rely on their own judgement when making a decision. RediffGURUS is an intermediary as per India's Information Technology Act.

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