Home > Career > Question
Need Expert Advice?Our Gurus Can Help
Ashwini

Ashwini Dasgupta  |117 Answers  |Ask -

Personality Development Expert, Career Coach - Answered on Feb 06, 2024

Ashwini Dasgupta is a personality development coach and a neuro-linguistic programming trainer.
She has 15 years of experience training corporate professionals and has worked at Amazon, JP Morgan, Nomura and Satyam among others.
As a career coach, Ashwini specialises in helping growth-minded IT corporate managers develop their self-worth and create the right mindset so that they can achieve their career goals.
Besides corporate training, she offers personal consultations as well.
Ashwini holds a master’s degree in human resources from the Narsee Monjee Institute of Management Studies, Mumbai, and is a certified NLP trainer from the National Federation of NeuroLinguistic Programming, USA.
She has completed her soft skills training and image consultancy course from the Image Consulting Business Institute, Mumbai
Ashwini is also a PoSH trainer, certified by the Society for Human Resource Management.... more
Asked by Anonymous - Dec 12, 2023Hindi
Listen
Career

Hey ashwiki , i 25 year old with total 1 yr of experience. I did btech got job but as salary wasn't much , family suggested to go for mba . Did mba from tier-3 college now all i getting a sales job of 10-15k. Took one year gap to learn data analysis developed few real time peojects still not getting shortlisted. What to do i am damn confused and depressed please reply fast

Ans: Dear Sir/ Madam,

Sorry for the delay in reply

Few aspects you may look at -

Self Reflection-do a swot analysis on your skills. This will help you identify your strengths and what you are passionate about and if it aligns to your career goals
Networking
Optimize Linkedin platform. Join groups, connect with people.
Mention on your linkedin profile- open for jobs
Visit websites like glassdoor which will help you give insights on various organizations salary bands and culture. This can be a reference point to start your job hunt.
Mean time keep enhancing your skills
Take up freelancing work/ contract work
Shortlist companies you want to work with. Rework on your job search strategy
Seek help of recruitment agencies they are connected with almost every organization
Prepare on interviews so you can give your best
Attend job fair and events
Reach to HR's on linkedin

Hope this helps

Thanks
Ashwini Dasgupta
Author of Confidence Decoded. Is it a Skill or Attitude
Career

You may like to see similar questions and answers below

Patrick

Patrick Dsouza  |1354 Answers  |Ask -

CAT, XAT, CMAT, CET Expert - Answered on May 07, 2024

Asked by Anonymous - May 02, 2024Hindi
Listen
Career
I am 23years old male living in kolkata and a bcom general graduate with 73.52% in 2022, after that i taken gap years for mba entrance preparation but not able to crack or get desired percentile in any. Currently in 2024 i am repeating again for mba entrances to secure admission in 2025. I have no work or internships experience, no awards or certifications. I got 51.17 in 12th commerce and 54.71 in 10th. I got only a digital marketing beginner certification by google digital garage earlier on 2023. Currently i taken a digital marketing course from udemy of digital marketing to hone and develop the required skills I have been searching and applying for jobs since graduating but not able to get any desired one. Now i want to get into a good mba college tier 2 because may not eligible for tier 1 and 1.5 as per my profile but i will try anyways. So for that i need to make my profile good and need certifications and jobs or internships. I interest in sales, marketing, more but also Hr domain. But nowadays i am only getting Inssurance sales, bpo, telecaller or telemarketer, Kpo, sustomer support type jobs of around avg salary of 150000 pa. Which a 12th pass candidate also getting. I often thinks to get into bpo to gain experience and money to fill my profile and manage preparation expenses but also fear that what if i get stuck in that industry. I wanted to do mba to enchance and start my career in a management role to achieve a leadership role in upcoming years as a professional in sales and marketing industry. I don't know, i think i am stucked and lost in spiral web between situations and aspiration. I also thinking to get into banking or try govt. Exams to secure a job but i also feel that it will distract me more from my real life goals. I was not a great student or person earlier but now i am changed i know my responsibilities and i know my goals but i want a clear view to walk on that path. Please help with your genuine guidance. THANK YOU
Ans: My suggestion would be to work in sales along with your preparation for MBA entrance. Sales experience could help you to get better job during your placements and could also help you in your interview stage during admission process.

..Read more

Patrick

Patrick Dsouza  |1354 Answers  |Ask -

CAT, XAT, CMAT, CET Expert - Answered on May 06, 2024

Asked by Anonymous - May 03, 2024Hindi
Listen
Career
I am a bcom general graduate with 73.52% in 2022, after that i taken gap years for mba entrance preparation but not able to crack or get desired percentile in any. Currently in 2024 i am repeating again for mba entrances to secure admission in 2025. I have no work or internships experience, no awards or certifications. I got 51.17 in 12th commerce and 54.71 in 10th. I got only a digital marketing beginner certification by google digital garage earlier on 2023. Currently i taken a digital marketing course from udemy of digital marketing to hone and develop the required skills I have been searching and applying for jobs since graduating but not able to get any desired one. Now i want to get into a good mba college tier 2 because may not eligible for tier 1 and 1.5 as per my profile but i will try anyways. So for that i need to make my profile good and need certifications and jobs or internships. I interest in sales, marketing, more but also Hr domain. But nowadays i am only getting Inssurance sales, bpo, telecaller or telemarketer, Kpo, sustomer support type jobs of around avg salary of 150000 pa. Which a 12th pass candidate also getting. I often thinks to get into bpo to gain experience and money to fill my profile and manage preparation expenses but also fear that what if i get stuck in that industry. I wanted to do mba to enchance and start my career in a management role to achieve a leadership role in upcoming years as a professional in sales and marketing industry. I don't know, i think i am stucked and lost in spiral web between situations and aspiration. I also thinking to get into banking or try govt. Exams to secure a job but i also feel that it will distract me more from my real life goals. I was not a great student or person earlier but now i am changed i know my responsibilities and i know my goals but i want a clear view to walk on that path. Please help with your genuine guidance. THANK YOU
Ans: You can write MBA entrance exams but simultaneously try and get some experience. Even if you do not get job in the area of your interest, try to look for other areas that could interest you where you can get some work ex. Internship usually does not have much value during admission to B schools.

..Read more

Latest Questions
Ramalingam

Ramalingam Kalirajan  |10180 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 04, 2025

Asked by Anonymous - Jul 26, 2025Hindi
Money
I have invested in 1. Axis large cap 2. Mirae Asset Large and mid cap 3. Parag parikh flexi cap 4. Axis ELSS 5. SBI small cap Pls review and suggest corrective action
Ans: You have taken smart steps by investing in mutual funds. That itself deserves appreciation. Your fund choices also show effort and understanding. You have a mix of large cap, mid cap, ELSS, and flexi cap funds. That helps build diversification. But, a few gaps and overlaps need addressing.

» Asset Allocation Review

– You have exposure to large cap, flexi cap, and small cap.
– That gives a broad market coverage.
– But, mid cap exposure needs to be assessed.
– Mirae Large & Mid Cap may overlap with other holdings.
– ELSS adds tax benefit but may add redundancy.

– Asset allocation should align with risk and goal.
– If this is for long term, equity mix is fine.
– But, the fund mix must be goal-oriented.

– You also need a safety component.
– Hybrid or debt allocation is missing in your portfolio.
– One-sided equity exposure adds long-term risk.

– Without debt or hybrid, portfolio becomes aggressive.
– That may not suit conservative or medium-risk profiles.

» Fund Category Analysis

– You have invested in a large cap fund.
– Large cap offers stability and steady growth.
– But they give lower returns than mid or small cap.
– Useful during market downturns for capital protection.

– Large and mid cap category offers dual benefit.
– But it may overlap with your flexi cap holding.
– Many flexi caps also invest in large and mid caps.

– Small cap fund brings high risk and high reward.
– Very volatile in short term.
– If horizon is less than 10 years, reconsider small cap.

– ELSS is good for tax saving.
– But, it also acts like a flexi cap.
– May cause duplication if not planned well.

– Parag Parikh Flexi Cap is a diversified option.
– It may include international stocks too.
– This brings global exposure but also FX risk.

– Too many overlapping funds reduce effectiveness.
– Fewer funds with distinct roles give better control.

» Portfolio Duplication and Diversification

– Two large-cap oriented funds in one portfolio is unnecessary.
– Large cap and large & mid cap can overlap heavily.

– Flexi cap already has wide market coverage.
– Adding more mid and large cap makes it redundant.

– Parag Parikh Flexi Cap has multi-cap style with global flavour.
– That reduces the need for a separate large-cap fund.

– ELSS adds tax benefit, but should not be overused.
– One ELSS fund is enough for 80C section.

– Small cap should not exceed 10–15% of portfolio.
– Higher exposure increases downside in market crash.

– You can remove one large cap or large & mid cap fund.
– Choose only one among the overlapping categories.

» Missing Elements in Your Portfolio

– No presence of conservative or hybrid funds.
– Every long-term portfolio must have safety cushion.

– Consider adding a dynamic asset allocation fund.
– These funds balance equity and debt automatically.

– Debt funds or short-term funds are also useful.
– They give liquidity and reduce overall portfolio risk.

– Liquid funds help manage emergencies without disturbing SIP.
– Debt component builds a more complete plan.

– You also need rebalancing plan every 1–2 years.
– Without this, portfolio can become risk heavy or inefficient.

» Review Fund Performance Periodically

– Each fund must be reviewed every 12–18 months.
– Don’t go by short-term underperformance.

– Compare fund performance with peers and benchmark.
– Only if consistent underperformance is seen, consider exit.

– Even well-known funds go through bad phases.
– Hold if fundamentals are strong and style matches your goals.

– Track consistency, not just recent returns.
– Review with help of MFD holding CFP credential.

– They will guide if any fund deserves exit or switching.

» Goal Based Investing Approach

– All investments must be linked to a goal.
– Without goal, it becomes a collection, not a plan.

– Define each goal like retirement, child’s future, or home purchase.
– Allocate funds based on risk and time horizon.

– For long-term goals above 10 years, equity can dominate.
– For medium-term goals, use hybrid or multi-asset funds.

– For short-term goals, use debt or ultra-short funds.
– Mixing all categories in one goal leads to confusion.

– Create separate SIPs for each goal with correct asset mix.
– This gives clarity, purpose, and better tracking.

» Tax Implication Planning

– Equity mutual funds have new tax rule from 2023.
– LTCG above Rs.1.25 lakh taxed at 12.5%.

– Short-term capital gains taxed at 20%.
– Debt fund gains taxed as per slab.

– Avoid frequent redemption in SIP funds.
– Hold for long term to enjoy lower tax.

– Use SWP for regular income post maturity.
– SWP is more tax-efficient than IDCW.

– If ELSS fund is held for 3 years, it becomes free to exit.
– Exit if performance is weak or fund becomes redundant.

– Consult CFP before selling large SIPs.
– They will optimise tax and suggest best exit strategy.

» Direct Plan vs Regular Plan Analysis

– If you have invested in direct plans, review them.
– Direct plans don’t offer personalised advice.

– Investors often choose wrong funds alone.
– Lack of guidance results in emotional decisions.

– Regular plans through MFD with CFP support give peace of mind.
– Regular plans cost slightly more, but give much more value.

– Regular plans also help you do yearly review and rebalancing.
– You don’t get this help in direct plans.

– For serious long-term planning, choose regular plans.
– Cost is worth the support, tracking and expert inputs.

» Recommended Corrective Actions

– Exit one of the two large-cap oriented funds.
– Keep either large cap or large & mid cap.

– Continue Parag Parikh Flexi Cap if suits your long-term plan.
– Ensure you are fine with global exposure.

– Retain only one ELSS fund if you are using it for tax-saving.
– Don’t use ELSS as regular equity fund.

– Limit small cap to 10–15% of total equity holding.
– Don’t increase SIP in it unless risk appetite is high.

– Add hybrid fund to bring balance in your portfolio.
– Helps reduce overall volatility and protect capital.

– Consider short-term debt or liquid funds for emergencies.
– Avoid breaking SIPs during any cash crunch.

– Link each fund to a specific goal.
– Monitor progress against the goal every year.

– Review the portfolio with your Certified Financial Planner.
– Make changes slowly, not all at once.

» Finally

– Your current mutual fund portfolio shows strong intent and effort.
– A few overlaps and risks can be corrected with right guidance.
– Avoid too many similar funds.
– Keep only distinct and purposeful funds.
– Add some safety and balance to your portfolio.
– Use regular plans through a Certified Financial Planner.
– Avoid direct and index funds for long-term peace.
– Connect each fund to a goal.
– Monitor with discipline and adjust patiently.
– With these simple actions, your portfolio will become sharper and safer.

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

...Read more

Ramalingam

Ramalingam Kalirajan  |10180 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 04, 2025

Money
Sir please suggest axis life high growth fund or pnb metlife capital guarantee fund is worth investing?
Ans: You have asked a very important question.

Choosing between insurance-linked investment plans needs deep analysis.
You are trying to grow your money safely. That’s good.
But the plan should give actual growth. Not just promises.

Let’s assess both these products in detail.
And see whether they are really worth investing.

» Insurance with Investment: A Risky Mix

– These are capital guarantee insurance plans.
– They offer both life cover and market-linked returns.
– But neither the insurance nor investment is strong.

– The life cover is usually 10 times your annual premium.
– But it is much lower than a term insurance of same premium.
– So, insurance part is weak.

– Investment return is also limited.
– They say ‘guarantee’, but it’s only return of premium.
– Real wealth growth comes from actual return. Not just safety of invested amount.

– Charges are also high in such plans.
– Mortality charge, fund management charge, admin charge.
– These reduce your return in a big way.

– There is also a lock-in of 5 years.
– If you want to exit early, surrender value will be very low.
– So, flexibility is lost.

» Axis Life High Growth Fund – Not for Long Term Wealth

– This fund is linked with ULIP offered by Axis Life.
– It invests majorly in equity.

– Fund performance is driven by stock market.
– But the charges eat away a big chunk.

– Suppose market gives 10% return.
– After all charges, you may only get 6% to 7%.

– In long term, 2-3% difference can reduce your wealth a lot.
– Plus, insurance in ULIP is too low.

– You are taking high risk for low return.
– And that risk is not even tax-efficient.

– If you redeem before 5 years, you lose money.
– If you redeem after 5 years, returns are still lower than mutual funds.

– Not suitable for long-term wealth creation.

» PNB Metlife Capital Guarantee Plan – Just Capital Back, No Growth

– It says your invested capital is safe.
– But safety comes at a big cost.

– It invests in market-linked funds.
– But offers guarantee on capital only.

– Real return is capped or very low.
– Because they allocate part of premium to guarantee the capital.

– So, only remaining portion gets invested.
– And again, that investment is after charges.

– They also use conservative fund strategy.
– So, upside is very limited.

– Overall return may be even lower than bank FD.
– But with 5 to 10 year lock-in.

– No liquidity. No freedom to switch if goals change.
– Only benefit is mental peace of capital being safe.

– But that peace comes at high price.

» Mutual Fund Route – More Efficient, Transparent, Flexible

– You asked about insurance plans.
– But for long-term goals, mutual funds are much better.

– If you want insurance, buy pure term plan.
– It gives high cover at very low cost.

– Then, invest balance amount in mutual funds.
– They offer better return. More transparency. Lower cost.

– They also have liquidity and flexibility.
– You can start or stop anytime.

– They don’t lock your money forcefully.
– And still give you compounding benefit.

» Common Misconceptions – Let’s Clear

– Many think insurance plans are ‘safe’.
– But capital guarantee is not the same as return guarantee.

– You may get back Rs 10 lakh after 10 years.
– But if inflation was 6%, your real value is only Rs 5.5 lakh.

– They give safety illusion. But don’t create real wealth.

– Another myth is that ULIP returns are tax-free.
– But recent changes have removed this benefit for high premiums.

– Even with lower premium, returns are low due to high cost.
– So, you lose either in cost or tax or return.

» Direct Mutual Funds vs Regular – A Key Clarification

– Some people go for direct mutual funds thinking returns are higher.
– But direct route lacks guidance. No one to monitor.

– Mistakes may happen in fund selection or timing.
– Even small mistake can hurt long-term wealth.

– A Certified Financial Planner who is also a Mutual Fund Distributor gives 360° help.

– Helps you choose right fund.
– Monitors regularly. Rebalances when needed.

– This helps avoid emotional decisions.
– And builds more discipline in investing.

– Slightly higher cost in regular plan is fully worth it.
– Because professional help avoids big losses.

– Regular plan is safer for long-term investors.
– Especially if you have multiple goals and no time to manage.

» Disadvantages of Index Funds – Passive Is Not Always Better

– Index funds are passive. No fund manager role.
– They copy the index. No flexibility in stock selection.

– When market falls, they also fall fully.
– No downside protection.

– In India, active funds are still better.
– They beat the index more often.

– Good active fund managers select better stocks.
– And avoid poor performing companies.

– In uncertain markets, active funds are more stable.
– Index funds blindly follow market.

– If you want above-average return, index funds won’t help.

– For wealth creation, active mutual funds with guidance are better.

» If You Already Hold Insurance-Cum-Investment Plans

– If you already invested in ULIP or capital guarantee plans, review them.

– Ask: Are they giving decent return?
– Is insurance cover enough?

– If answer is no, surrender them after lock-in.

– Take pure term cover.
– Reinvest balance in suitable mutual funds.

– This will improve your wealth creation.

– Also give better insurance protection.

– Surrender charges may apply.
– But it's better to lose little now than lose bigger later.

» Final Insights

– Axis Life High Growth and PNB Capital Guarantee plans are not ideal.
– They offer low return with high cost and poor flexibility.

– Insurance cover is inadequate.
– Investment return is limited.

– Mutual funds with term insurance is more efficient.

– Regular mutual fund route with Certified Financial Planner is safer.

– Avoid index funds and direct plans.
– They look attractive, but have hidden risks.

– Stick to actively managed mutual funds.
– Choose mix of equity, hybrid, and debt based on goals.

– Invest with clear plan and disciplined approach.
– Review annually with professional help.

– This approach creates real wealth over time.
– And gives better peace of mind too.

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

...Read more

Ramalingam

Ramalingam Kalirajan  |10180 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 04, 2025

Money
am 27 years old i have LIC's Jeevan Umang Plan (945) With Commencement Date:-28/07/2022 With Instalment Premium: 66386.00 Per Year . For 20 Years. If I Surrender my LIC Policy than What amount of surrender value money it is worth it to surrender my ongoing policy
Ans: You have made a proactive step by reviewing your existing insurance-cum-investment plan. That reflects responsibility and financial awareness at an early stage of your life. Many investors delay such evaluations. But you’ve started early, and that is always rewarding in the long term.

Now, let us analyse your LIC Jeevan Umang (Plan 945) from a 360-degree lens.

» Understanding Your LIC Policy’s Nature

– This is a non-linked, with-profits, whole-life insurance plan.
– It offers life cover for the entire life and survival benefits after the premium-paying term.
– After 20 years of paying premiums, you will start getting yearly income for life.
– Also, on death or maturity (after age 100), your nominee or you will get lump sum money.

» What You’ve Paid So Far

– Commencement was on 28/07/2022.
– You have likely paid 2 full premiums of Rs 66,386 each.
– You may have paid the third instalment recently or it is due soon.
– Total payment so far is roughly Rs 1.32 lakh to Rs 2 lakh, depending on instalments completed.

» Surrender Value at This Stage

– LIC policies like Jeevan Umang build surrender value slowly in the initial years.
– No surrender value is available in the first 2 policy years.
– After 2 years, Guaranteed Surrender Value (GSV) is offered.
– In your case, since the policy just completed 2 years, GSV would be applicable.

– The surrender value is typically around 30% of total premiums paid (excluding GST, rider premium).
– In your case, expected surrender value can be Rs 35,000 to Rs 45,000.
– The amount is low because of LIC’s long-term structure and heavy allocation to initial charges.

» Should You Surrender the Policy Now?

– Surrendering early gives very low value.
– But continuing may lock your money in a sub-optimal product for 20 years.
– Let us explore this from multiple angles before deciding.

» Returns Expectation from LIC Jeevan Umang

– Internal Rate of Return (IRR) in Jeevan Umang is usually between 4% and 5%.
– This return is over the long term (20+ years) and includes bonuses.
– Bonuses are not guaranteed. They depend on LIC's future profits.
– Even in best-case scenarios, returns don’t beat inflation.

– For a young person like you, a 4% return does not create wealth.
– Mutual funds or other investment-focused tools offer better compounding potential.

» Drawbacks of Continuing Jeevan Umang

– Low liquidity: You cannot access your money for 20 years.
– Low returns: Earnings won’t outpace inflation or meet future goals.
– Opportunity cost: Better growth assets are available, especially at your age.
– Locked-in commitment: You must pay Rs 66,386 yearly for 20 years. That’s Rs 13+ lakh over time.

– If you miss premiums in between, policy may lapse or benefits reduce.
– Risk cover is also modest, compared to standalone term plans.

» Do You Need Life Insurance Right Now?

– At 27, you may or may not have major dependents.
– If unmarried and no major financial liabilities, insurance may not be urgent.
– When needed, pure term insurance gives high cover at low cost.
– For example, Rs 1 crore term cover may cost Rs 8,000–10,000 yearly.
– Compare that to Rs 66,386 for limited life cover in Jeevan Umang.

» What If You Invest the Same Amount Elsewhere?

– If you invest Rs 66,386 every year in a diversified mutual fund, returns can be far superior.
– Over 20 years, assuming conservative 10% return, the corpus may reach Rs 38–40 lakh.
– That’s significantly more than what Jeevan Umang can deliver.
– Mutual funds are flexible and liquid. You can pause, increase or redeem as needed.
– You stay in control of your money.

» Actively Managed Mutual Funds vs LIC

– Mutual funds are meant purely for wealth creation.
– LIC plans mix investment and insurance, which dilutes both.
– You get transparency, flexibility, and higher return expectation in mutual funds.
– Active fund managers dynamically rebalance based on market conditions.
– This agility is absent in traditional insurance plans.

» Why You Should Avoid Direct Mutual Funds

– Direct plans may seem cheaper due to lower expense ratio.
– But without expert guidance, wrong choices can ruin returns.
– Lack of goal alignment, poor rebalancing, or overexposure are common risks.
– A Certified Financial Planner (CFP) partnered MFD can help guide your journey.
– Regular plan investors get personal advisory support at no extra effort.
– This ensures correct fund choice, periodic reviews, and disciplined investing.

» What To Do After Surrendering Jeevan Umang

– Surrender the policy to avoid locking funds in a low-yield plan.
– The surrender amount may be small, but the future savings can be large.
– Use future Rs 66,386 annual amount in a diversified mutual fund SIP.
– Create a target-based portfolio based on your long-term goals.
– Get a pure term plan if insurance is needed. Keep it separate from investments.

– Build emergency fund for liquidity.
– Keep health insurance in place for protection.
– Align all financial moves to future goals, not just product features.

» Handling Emotional Attachment with LIC

– Many investors hesitate to exit LIC due to legacy, family belief, or peer advice.
– But financial decisions must serve your goals, not legacy systems.
– Being loyal to LIC doesn’t mean staying in unsuitable products.
– A professional and independent outlook is better than emotional dependency.

» Final Insights

– You’ve started financial introspection early, and that’s commendable.
– Your LIC Jeevan Umang is better suited for those needing low-risk, long-term assurance.
– It does not match the return expectations or flexibility needs of a young earner.
– Surrendering now, though slightly loss-making, frees you for better options.
– That gives you long-term control, agility, and compounding advantage.

– You can rebuild faster with the right mutual fund SIP strategy.
– Keep protection and investment separate always.
– Choose regular plans and consult a qualified CFP for best results.
– Focus on goal-based investments, not product-oriented approaches.
– This step today will make a huge difference to your financial future.

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

...Read more

Ramalingam

Ramalingam Kalirajan  |10180 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 04, 2025

Money
Long back around 1983-84 or so I had invested some amount in UTI's MASTER SHARE. The bunch of share certificates is lost in transit when I shifted my house. Amount invested is around Rs. 45000/-. How can I recover those shares? Who can help me? Regards
Ans: It is good that you remember the investment. This shows your financial awareness.
Many investors forget such old investments. You have taken the right step by asking for help.

Let us explore how you can recover your lost UTI Mastershare units.

Please follow each step carefully. Stay hopeful. Recovery is possible.

» Understand What UTI Mastershare Is
– It is a mutual fund scheme started by UTI in 1986.
– Earlier, it issued physical certificates for units.
– Now it is managed by UTI Mutual Fund in demat or statement form.

» Check If Your Units Still Exist
– Units may have been converted to electronic form (demat or folio).
– Even if they are physical, the records will be with UTI AMC.
– If dividends were reinvested, the value could be higher today.

» Prepare Basic Investment Details
– Note the year of investment (around 1983–84).
– Estimate the amount (you mentioned Rs. 45,000).
– Try to remember the city, bank branch, or agent used.
– Mention your PAN if available at the time.
– Write down all your past addresses since 1983.

» Contact UTI AMC (Asset Management Company)
– Visit: www.utimf.com

– You can also email: service at utimf.com
– Request for a duplicate unit statement.

– Mention investment year, name, and amount.
– Tell them about lost share certificates.
– Share your old address and identity proof.
– Attach any document with your signature.

» Fill Out the Relevant Forms
– UTI may ask you to fill “Duplicate Certificate Request” or “Indemnity Bond” form.
– You might also need to submit KYC documents.
– Self-attested PAN, Aadhaar, and old address proof will help.

» Get Signature Attestation from Banker
– The forms need your signature attested.
– Visit your bank branch and request attestation.
– Your bank manager will stamp and sign it.

» Submit a FIR or Police Complaint (Optional but Useful)
– File a non-traceable certificate or FIR for lost certificates.
– Many AMCs require it to issue duplicate units.
– Mention your move and transit loss.

» Submit the Documents to UTI Office
– You can submit to any UTI Financial Centre.
– Find the nearest one on their website.
– Carry originals and photocopies for verification.
– Take acknowledgment of receipt.

» Track the Recovery Process
– UTI will verify your documents.
– If matched, they will reissue units.
– You may get statement in physical or demat form.
– This process can take 3–6 weeks.

» Dematerialise If You Get Physical Certificate Again
– If UTI issues new physical units, convert to demat.
– It is safer and avoids future loss.
– Submit the certificates to your demat account provider.

» Update PAN and KYC Records
– Ensure your PAN is linked to the mutual fund folio.
– Do KYC with any mutual fund distributor or CAMS/KFintech.
– Updated KYC makes future transactions smoother.

» Check if Your Units Were Unclaimed or Transferred to IEPF
– After 7 years of no activity, funds can be moved to IEPF.
– IEPF is Investor Education and Protection Fund.
– Visit www.iepf.gov.in to search for your name.
– If found, you can apply to reclaim through UTI.

» Avoid DIY, Prefer Expert Assistance
– You can take help from a Certified Financial Planner (CFP).
– CFP can guide on exact documentation and follow-up.
– They can help check all mutual fund databases.
– If needed, they can even contact UTI on your behalf.

» Don’t Approach UTI Directly If You Face Issues
– Try Registrar and Transfer Agents (RTAs) like CAMS or KFintech.
– These agencies manage investor records for UTI.
– You can raise service requests with them also.
– Visit www.camsonline.com or www.kfintech.com.

» Value Recovery Can Be Significant
– Rs. 45,000 invested in 1983 could have grown well.
– With bonuses, dividends, and compounding, value may cross several lakhs.
– You may have earned reinvested NAV gains as well.
– Be patient during the tracing process.

» What to Avoid
– Do not sign blank documents.
– Avoid third-party agents without proper identity.
– Don’t discard old papers related to investment.
– Avoid applying for reissue multiple times. It causes confusion.

» After Recovery, What Next?
– Convert to electronic form to avoid further risk.
– Update mobile and email for alerts.
– Review all your old investments and consolidate them.
– Keep soft and hard copies in secure locations.

» How to Prevent Similar Issues in Future
– Keep a physical file of all investments.
– Also store digital scan in cloud storage.
– Use a tracking app or Excel sheet to monitor.
– Share details with spouse or children.

» Use This Opportunity to Reassess Investment Goals
– Recovered amount can be reinvested wisely.
– Choose diversified mutual funds for long term.
– Use regular plans through a Certified Financial Planner.
– Avoid direct mutual funds if not an expert.

» Disadvantages of Direct Funds
– No expert review or portfolio correction.
– No regular monitoring of market changes.
– No tax efficiency guidance during exit.
– No personalised goal tracking.
– Higher risk of wrong fund selection.

» Benefits of Regular Mutual Fund Plans through CFP
– Active tracking and personalised advice.
– Suitable funds picked based on your goals.
– Market ups and downs handled smartly.
– Periodic review and rebalancing done for you.
– Proper exit planning to save tax.

» Avoid Index Funds in Future
– Index funds follow market blindly.
– No protection during market falls.
– Do not generate alpha returns.
– Active funds are better with professional help.
– Your goal may need better growth than index.

» Final Insights
– You have done well by remembering and asking.
– Tracing old investments takes time. Stay consistent.
– You could be holding a valuable legacy investment.
– Protect it better this time.
– Use a Certified Financial Planner to reinvest safely.

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

...Read more

Ramalingam

Ramalingam Kalirajan  |10180 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 04, 2025

Money
Which SIP is best for a term of 15 years with medium risk and low risk? Also in which mutual fund should I invest for aterm of 15 years
Ans: You are taking the right step. A 15-year SIP can build a solid financial base. With the right plan, even small investments can grow big.

You have asked for medium and low-risk mutual fund SIPs for 15 years. That’s a very thoughtful question. It shows you want steady growth with safety. This is the right approach when building long-term goals.

Let us now explore your options based on your risk level and 15-year horizon.

» Why SIP Works for 15 Years

– SIP helps you invest regularly and with discipline.
– Market ups and downs don’t affect your emotions.
– In the long run, this gives better results.
– You benefit from compounding and rupee cost averaging.
– A 15-year SIP allows time to grow wealth slowly.
– It also reduces impact of short-term volatility.

– You can start with small amounts.
– You can increase SIP every year using step-up feature.
– SIP suits all income levels and all types of goals.
– Very helpful for goals like child’s education or retirement.

» Avoiding the Wrong Choices

– Don’t choose direct mutual funds without guidance.
– They may save commission but give no advice.
– Without advice, you may panic and make wrong moves.

– Direct funds don’t offer support in rebalancing.
– They don’t help you set or track goals.
– Regular mutual funds through MFD with CFP support are better.
– They offer tracking, guidance and emotional handholding.

– Also avoid index funds.
– Index funds only follow the market.
– No expert control to protect in market crashes.

– Active mutual funds are better.
– A good fund manager makes changes based on market cycles.
– This gives more stable returns over long term.

» Selecting the Right Risk Mix

– Since your SIP period is 15 years, equity should be part of it.
– Equity helps in beating inflation over long term.
– But not everyone is comfortable with high risk.

– For low risk, use conservative hybrid mutual funds.
– They have more debt and some equity.
– They give better returns than FDs in long term.
– They also provide some safety from market ups and downs.

– For medium risk, use aggressive hybrid mutual funds.
– These have more equity but balanced with debt.
– Risk is lower than full equity funds.
– These work well for people who want growth and some safety.

– Also consider multi-asset funds.
– These invest in equity, debt and gold together.
– This balance reduces the need for switching.
– They adjust allocation automatically.

– All these options work well for 15 years SIP.
– But fund selection must be done with a Certified Financial Planner.
– Right fund for you depends on your cash flow, goals and age.

» Asset Allocation Strategy for Your SIP

– Divide your SIP into two buckets: growth and safety.
– Growth bucket should have 60%–70% in equity-oriented hybrid funds.
– Safety bucket should have 30%–40% in conservative hybrid funds.

– Rebalance this mix every year or two.
– If markets rise too much, shift gains to safety bucket.
– If markets fall, continue SIP without stopping.

– Never stop SIP during market fall.
– That is when you buy more units at lower price.
– Long-term SIP needs patience and discipline.

– After 10 years, gradually reduce equity.
– Move slowly from medium risk to low risk funds.
– This protects your capital when nearing your goal.

» How to Set Goals and Track SIP Progress

– Link your SIP to a clear financial goal.
– Could be child’s education, retirement or wealth creation.
– Set a target value for the goal.
– Track your SIP growth every year.

– Don’t check returns every month.
– SIP is a slow and steady journey.
– Use target corpus as benchmark, not just annual return.

– Increase SIP amount every year by 10% if possible.
– This makes use of your income growth.
– It will grow your fund faster than fixed SIP.

– Review your fund performance every year.
– Remove underperforming funds with help of your CFP.
– Don’t hold too many funds.
– 2 or 3 well-chosen funds are enough.

» Tax Efficiency of SIP Mutual Funds

– Long-term capital gains in equity are taxed above Rs.1.25 lakh.
– Tax rate is 12.5% for gains above that.
– This is better than FD interest which is fully taxed.

– Hybrid funds also give capital gains.
– If held for more than 3 years, taxed as LTCG.
– For debt portion, tax is as per your income slab.

– SIP in hybrid funds is more tax friendly than traditional investments.
– It helps reduce tax burden when planned properly.

– Always consult CFP before redemption.
– That way, tax is planned smartly.

» Systematic Withdrawal Plan (SWP) After 15 Years

– After 15 years, you can start taking money monthly using SWP.
– Don’t use IDCW or dividend option.
– SWP gives steady cash flow and is more tax efficient.

– You decide how much to withdraw.
– Your remaining money keeps growing.
– This gives more control and peace of mind.

– Use growth option in SIP funds.
– At the end, convert to SWP smoothly.
– This is better than annuity or dividend plans.

» Emotional Discipline During SIP Journey

– Markets will go up and down.
– Don’t stop SIP during bad years.
– Those are the best buying opportunities.

– Don’t switch funds just because of short-term underperformance.
– Give at least 3–4 years for funds to perform.

– Don’t invest lump sum in risky funds.
– SIP reduces emotional errors.
– Keep emotions out and system in place.

– Always have emergency fund outside mutual funds.
– Don’t redeem SIP funds for emergencies.

– Keep one year of expenses in liquid mutual funds.
– This will prevent SIP interruptions.

» Role of a Certified Financial Planner in SIP Planning

– A Certified Financial Planner helps you select right fund mix.
– They understand your income, family needs and risk tolerance.
– They review and rebalance your portfolio on time.

– MFDs with CFP certification offer personalised help.
– They give emotional support during market falls.
– They ensure your SIP stays aligned to your goals.

– SIP is not just product selection.
– It needs goal tracking and fund management.
– That is why CFP-backed advice is better than going alone.

– You may save small fee in direct plans.
– But lose big opportunity due to wrong fund or wrong time.
– Regular funds give better long-term result with support.

» Finally

– SIP for 15 years is a smart decision.
– It builds wealth in a peaceful and slow way.
– Choose conservative and aggressive hybrid funds as per your comfort.
– Avoid index and direct mutual funds for this journey.
– Use regular plans with CFP-backed MFD support.
– Review yearly and increase SIP slowly.
– Link SIP to a goal for motivation.
– After 15 years, start SWP for monthly cash.
– Keep emotions out and structure strong.
– With proper plan, SIP becomes stress-free and powerful.
– You are already on the right path.
– With these small improvements, your goal will surely be reached.

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

...Read more

Ramalingam

Ramalingam Kalirajan  |10180 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 04, 2025

Money
I have debt of 16 laks , i have net income 40000, how can i manage to recover debt
Ans: You have shown good awareness by taking charge of your financial situation. Many avoid talking about debt. But by taking action, you are already ahead. You can recover and build again. Let us review everything practically and guide you step-by-step.

» Understand the Total Picture First

– You have Rs.16 lakh total debt.
– Monthly net income is Rs.40,000.
– That’s tight, but manageable with a disciplined plan.
– You may have multiple loans or credit dues.
– Check the exact EMI and interest rate of each one.
– List each loan clearly with its outstanding and rate.
– Only then you can take right decisions.

» Classify the Type of Loans

– Split debts into high-interest and low-interest types.
– High-interest ones are personal loans and credit card dues.
– Low-interest ones are home or education loans.
– High-interest loans damage your cash flow the most.
– So we attack those first with speed.

» Avoid Paying Minimum Due on Credit Cards

– Paying minimum due will trap you longer.
– Interest keeps adding on balance.
– Credit cards charge 36% to 42% annually.
– Always try to pay full amount or shift this loan.

» Stop Taking New Loans or EMI Buys

– Don’t take more loans unless it’s to consolidate.
– Avoid shopping with EMI plans.
– It will only make your cash tighter.
– You need complete control over every rupee now.

» Create a Survival Budget

– Your income is Rs.40,000 per month.
– You must fix expenses at Rs.25,000 or below.
– Cut down all luxury spends.
– Avoid eating out or travel expenses.
– Rent, groceries, transport, school fees only.
– Balance Rs.15,000 goes only for debt clearance.

» Follow the Snowball or Avalanche Method

– Snowball method: clear the smallest loan first.
– Avalanche method: clear the highest interest loan first.
– Avalanche gives faster relief in total interest.
– Choose one and stick to it with discipline.

» Explore One-Time Settlement Options

– If you have credit card dues, try a settlement.
– Some banks allow part payment and waive balance.
– But it affects your credit score.
– Use this only for dead-end cases.
– Always take this in writing from the bank.

» Take Support from Family if Comfortable

– Sometimes a family member can lend interest-free.
– This helps reduce pressure.
– But only borrow if you can repay on time.
– Keep this as a backup, not default plan.

» Consider a Debt Consolidation Loan

– Take one big loan to close all small ones.
– Use it to pay off costlier loans.
– This gives one EMI and lower rate.
– Choose only if you get better terms.
– And if you won’t increase spending again.

» Sell Idle Assets If Available

– Any gold lying unused?
– Old vehicle, gadgets, or other items?
– Sell and use funds to reduce loans.
– It’s better than paying 20% interest annually.
– Don’t hold on to things that don’t earn.

» Avoid Real Estate to Solve This

– Buying property now is wrong timing.
– It increases stress and reduces flexibility.
– You may get stuck with EMI and rent.
– Clearing debt first gives mental and financial space.

» Don’t Depend on Index Funds or Market Trading

– Index funds look simple, but not suitable now.
– They give average returns without any protection.
– You need growth with care.
– Active mutual funds are better when you recover.

» Invest Only When Debt is Under Control

– No investment till basic debts are cleared.
– First aim is zero high-interest loans.
– Then slowly create SIP in mutual funds.
– This way you can build without pressure.

» Protect Your Credit Score

– Even during debt, pay EMIs on time.
– Never delay more than 30 days.
– This protects your CIBIL score.
– You will need this later when you grow.

» Avoid LIC and ULIP Investments for Now

– If you already have LIC or ULIP, check surrender value.
– These plans are rigid and low-growth.
– If allowed, surrender and reduce your loans.
– After debt is cleared, invest fresh in mutual funds.
– Don’t mix insurance and investment together.

» Don’t Buy Annuities or Insurance Plans for Now

– You must first become debt-free.
– Annuities give very low returns.
– Insurance plans eat liquidity.
– Keep your cash flow free now.

» Take Help from a Certified Financial Planner

– You need professional plan and monitoring.
– A Certified Financial Planner can assess and guide.
– They help in budgeting, restructuring, and rebuilding.
– They give ideas suited to your exact case.

» Keep a Monthly Review Habit

– Create a small notebook or file.
– Track every EMI and payment date.
– Write down expenses daily.
– Every month, review progress and adjust.
– This habit will bring control and confidence.

» Build Emergency Fund Slowly

– Once your debt is low, start saving.
– Build 3–6 months of basic expenses.
– Keep this in liquid fund or bank.
– This avoids taking loan again for emergencies.

» Finally

– You are not alone in this journey.
– Many people have come out of debt.
– Your awareness and action will make all the difference.
– Reduce spending. Avoid new loans.
– Use savings or surplus to kill high-cost loans.
– Track progress monthly without fail.
– Don’t worry about past mistakes.
– Just take smart steps ahead with discipline.

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

...Read more

Ramalingam

Ramalingam Kalirajan  |10180 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 04, 2025

Money
Is there any facility from banks for debt consolidation ?
Ans: Yes, there are facilities from banks and financial institutions in India for debt consolidation. You have made a wise decision to explore this. Managing multiple EMIs can create stress and affect cash flow. A structured solution through consolidation can bring ease and control.

Let’s explore this in a 360-degree manner.

» What is Debt Consolidation?

– It is a process of combining multiple loans into one single loan.
– You replace multiple EMIs with one EMI.
– The goal is to reduce your interest burden and simplify repayment.

» Debt Consolidation Options Offered by Banks

– Banks and NBFCs offer personal loans for consolidation.
– Some offer top-up on existing loans (like home loan top-up).
– You can also explore loan against property (LAP) for large consolidation.
– Balance transfer with top-up is another option many banks offer.

» Personal Loan for Consolidation

– Quick to get and easy documentation.
– Interest rates can be lower than credit card debt.
– Fixed tenure and EMI gives you clarity.
– No collateral is needed.

» Top-Up on Existing Home Loan

– Ideal if you already have a home loan.
– Interest rates are much lower than personal loans.
– Tenure can be long, reducing EMI burden.
– Tax benefits continue on your home loan.

» Loan Against Property (LAP)

– Best suited if your need is above Rs 10 lakh.
– You pledge your owned property.
– Interest rate is lower than personal loan.
– Tenure can go up to 15–20 years.

» Balance Transfer with Top-Up Facility

– Banks allow transfer of existing loan to another bank.
– Along with transfer, you get additional top-up.
– This top-up can be used to repay other loans.
– New bank may offer better interest rate and terms.

» Features You Must Compare While Consolidating

– Compare interest rates of new and old loans.
– Check for processing fees and hidden charges.
– Understand prepayment rules of the new loan.
– Tenure flexibility and EMI affordability should be analysed.
– Don't ignore impact on credit score.

» When Consolidation Works Well

– When high-interest loans (like credit cards) are closed using low-cost loan.
– When cash flow improves due to lower EMI.
– When you have too many EMIs and dates to track.
– When you wish to improve your credit profile.

» Risks You Must Watch Out For

– Never consolidate without understanding new terms clearly.
– Avoid too long tenure just for lower EMI.
– Don’t use consolidation as an excuse to take fresh loans again.
– Wrong consolidation can increase total interest outgo.

» What Certified Financial Planners Recommend

– Always evaluate total interest cost of new vs. old loans.
– Aim for shorter tenure if you can afford the EMI.
– Choose secured loan (like LAP) only if tenure and interest benefit is high.
– Don’t consolidate unless you're committed to debt-free living.
– Avoid schemes from unregulated digital lenders or app-based NBFCs.

» Should You Consider Credit Counselling Services?

– If you feel overwhelmed, this can be useful.
– RBI-recognised organisations offer debt counselling.
– They help you plan repayment and manage lenders.
– But choose only authorised and reputed centres.

» Debt Consolidation vs. Debt Settlement

– Debt consolidation is a loan product.
– Debt settlement is negotiation with lenders to pay lesser than dues.
– Settlement affects your CIBIL score negatively.
– Consolidation helps maintain or improve your score.

» Impact on CIBIL and Loan Eligibility

– Closing multiple loans through one loan improves your credit score.
– Timely repayment of consolidated EMI helps improve profile.
– Your loan eligibility improves in long term.
– But during the first few months, your credit utilisation may look high.

» Common Mistakes to Avoid

– Don’t opt for high processing fee options just for convenience.
– Don’t choose long tenure without need.
– Don’t take fresh credit cards or loans after consolidation.
– Don’t default on new consolidated EMI.
– Don’t consolidate from informal or unknown lenders.

» Should You Consolidate Through Banks or NBFCs?

– Start with your existing bank – they already have your profile.
– Compare quotes from at least 2–3 banks.
– Private banks offer faster processing.
– NBFCs offer easier documentation, but often higher rates.

» Should You Consider Peer-to-Peer Lending for Consolidation?

– Not advisable for most people.
– Interest rates are usually higher.
– Risk of data leakage and mismanagement is high.
– Go for regulated bank/NBFC products only.

» How to Approach Consolidation Strategically?

– List all your current loans with interest, EMI, tenure.
– Identify the highest interest loans (like credit cards, personal loans).
– Find lowest interest option for replacement.
– Set a timeline to repay in 2–5 years.
– Automate EMIs and track progress monthly.

» How Can a Certified Financial Planner Help?

– Evaluate your cash flow and debt structure.
– Identify the right type of consolidation product.
– Help you optimise tenure and EMI mix.
– Support your long-term goal of being debt-free.
– Monitor and adjust strategy based on your financial behaviour.

» Can You Do It Without Taking a New Loan?

– Yes, if you can prioritise debt repayment through budgeting.
– Use emergency funds, if situation is urgent and manageable.
– Use bonuses or maturity from investments to repay costly loans.
– Avoid stopping SIPs unless there’s no option.

» How to Build Back Financial Discipline Post Consolidation

– Create a detailed monthly budget.
– Keep 3–6 months expenses as emergency fund.
– Build an envelope for short-term expenses.
– Resume SIPs as soon as loan burden reduces.
– Avoid credit card usage till you’re fully debt-free.

» Should You Use Direct Mutual Funds for Debt Repayment?

– Direct funds may look cheaper, but they lack professional guidance.
– Wrong schemes or wrong timing can lead to losses.
– Without Certified Financial Planner, DIY investing is risky.
– Regular funds through MFD with CFP helps maintain strategy.
– Also avoids emotional mistakes in tough market times.

» What if You Already Invest in Index Funds?

– Index funds look attractive due to low cost.
– But they lack downside protection in volatile markets.
– No professional expertise behind portfolio moves.
– Actively managed funds offer rebalancing and quality control.
– Better to switch to active funds for long-term safety.

» Final Insights

– Debt consolidation is useful if done with proper planning.
– Choose banks or NBFCs with care and transparency.
– Prefer lower interest, manageable tenure, and EMI.
– Don’t fall for shortcuts or informal options.
– Combine consolidation with budgeting and disciplined investing.
– A Certified Financial Planner can make the entire journey safer.

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

...Read more

Ramalingam

Ramalingam Kalirajan  |10180 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 04, 2025

Asked by Anonymous - Jul 09, 2025Hindi
Money
Sir please review my portfolio.time horizon long term 15 to 20 yr Monthly: 1: Nippon india large cap fund direct 1500 2: Hdfc midcap opportunity direct 1000 3: Motilal Oswal midcap direct 1000 4: Parag parikh flexi cap direct 1000 5: Bandhan small cap direct 1000 6: Nippon india small cap 1000
Ans: Your SIP plan shows thoughtful diversification. You’ve selected a variety of fund categories. That’s a very good starting point. You have made the effort to start early with long-term goals. And you’re consistent across market segments. Let’s now assess your mutual fund portfolio thoroughly.

» Portfolio Composition and Allocation

– You are investing Rs. 6,500 per month across six funds.
– You have included large cap, mid cap, small cap, and flexi cap funds.
– Allocation is well spread but can be more focused.
– Monthly SIP amounts are relatively small but consistent.
– As your income grows, step up SIPs regularly by 10-15% annually.
– You have 2 small cap funds and 2 mid cap funds. That is too much overlap.

» Assessment of Large Cap Exposure

– One fund is in the large cap space.
– Large caps offer stability in the portfolio.
– Allocation of Rs. 1,500 is around 23% of your SIP.
– This is decent for now, but can be increased slowly.
– Large caps are less volatile and can act as a cushion in down markets.

» Evaluation of Mid Cap Exposure

– You have chosen two mid cap funds.
– Rs. 2,000 goes to mid cap category every month.
– Mid caps offer growth but are more volatile than large caps.
– Duplication in mid cap funds may cause redundancy.
– One well-managed mid cap fund is enough.
– Having two mid cap funds with similar strategy is unnecessary.

» Review of Small Cap Allocation

– Two small cap funds make up Rs. 2,000 SIP.
– This is a high-risk-high-reward segment.
– Too much small cap exposure increases volatility.
– For a conservative long-term approach, one small cap is enough.
– Small caps fall more in bear markets.
– Consider gradually reducing exposure to one fund only.

» Flexi Cap Fund Role in Your Plan

– You’ve added one flexi cap fund with Rs. 1,000 SIP.
– These funds allow fund managers to invest across categories.
– This adds balance and flexibility to the portfolio.
– Continue this allocation and consider increasing over time.
– Flexi caps can adjust based on market conditions.
– They support both stability and growth.

» Overlap and Redundancy Concerns

– Having six funds with Rs. 1,000 to Rs. 1,500 each creates unnecessary spread.
– This causes duplication in underlying stocks.
– Multiple mid cap and small cap funds will have same holdings.
– Excess diversification reduces overall impact.
– Fewer but stronger funds perform better in long run.
– 3 to 4 carefully chosen funds are enough at this stage.

» Suggestion on Streamlining Portfolio

– Keep one each from large, mid, small, and flexi cap.
– Exit one mid cap and one small cap fund after checking 3-year performance.
– Stick to consistent performing funds, not recent winners.
– Avoid theme-based or momentum-style funds.

» Long-Term Suitability and Growth Potential

– Your 15 to 20-year horizon allows compounding to work.
– Equity funds are suitable for such a timeframe.
– You may see market ups and downs, stay invested.
– Long-term SIPs in good funds beat most fixed-income returns.
– Patience is the key in equity investing.

» Step-Up SIP and Top-Up Advice

– Your current SIP total is Rs. 6,500.
– If possible, increase it by Rs. 500 to Rs. 1,000 each year.
– Use bonuses or increments to top-up.
– Regular step-up builds a larger corpus with minimal pain.

» On Choosing Between Direct and Regular Plans

– All your funds are direct plans.
– Direct plans seem cheaper due to lower expense ratio.
– But you miss personalised advice and periodic rebalancing.
– Monitoring fund performance needs skill and time.
– Mistakes in fund choice or timing can erode gains.
– A regular plan through a qualified CFP and MFD adds guidance.
– CFPs bring deep analysis, strategy, and handholding in downturns.
– They also suggest fund switches and portfolio consolidation when required.
– With MFD, you can track everything in one place.
– You’ll save more by avoiding wrong decisions than the 1% fee.

» Taxation Understanding for Long-Term Equity SIPs

– As per new rule, LTCG above Rs. 1.25 lakh taxed at 12.5%.
– STCG taxed at 20%.
– Equity SIPs become long term after 1 year holding.
– Plan redemptions strategically to reduce tax.
– Do not withdraw all at once. Use staggered exit.
– Tax planning should be part of long-term SIP journey.

» Additional Suggestions to Make Portfolio Stronger

– Have 1 emergency fund worth 6 months’ expenses in liquid or overnight fund.
– Ensure adequate term insurance based on income.
– Take separate health cover apart from employer’s policy.
– Avoid investing in traditional insurance or ULIP plans.
– Review your funds once a year, not more.
– Don’t stop SIPs during market crash; continue or increase if possible.
– Set clear goals like retirement, house, or child education.
– Link SIPs to those goals and track progress every year.

» Behavioral Discipline and Emotional Control

– Stay calm during market falls.
– Don’t switch funds based on short-term returns.
– Don’t compare funds monthly.
– Don’t try to time the market.
– SIP works because it removes emotion.
– Stay focused on long-term growth, not monthly NAV.

» Final Insights

– You have done a great job starting early.
– You’ve picked decent funds from all major categories.
– Too many similar funds will not give extra return.
– Simplify your plan with 3 or 4 funds max.
– Consider regular plans with CFP guidance for better strategy.
– Stay invested, review yearly, and keep increasing SIP.
– Over 15 to 20 years, this approach can build significant wealth.

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

...Read more

Ramalingam

Ramalingam Kalirajan  |10180 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 04, 2025

Money
Sir i have 25k SIPs. Bifurcation is 8.5 in UTI nifty200 momentum 30, 5k each in hdfc mid cap and parag parikh flexi, 3k in tata digital india and 3.5 in quant small cap. Pls judge my portfolio and advice on corrections if any
Ans: You are already investing Rs. 25,000 monthly through SIPs. That is highly appreciated. The diversification across categories shows thoughtfulness. Still, it is important to check balance, overlaps, and purpose alignment.

Here is a detailed review and suggestions from a Certified Financial Planner’s point of view.

» Portfolio Composition Overview

– Your SIPs are spread across 5 mutual fund schemes.
– Rs. 8,500 in a momentum-based thematic fund.
– Rs. 5,000 in a mid cap fund.
– Rs. 5,000 in a flexi cap fund.
– Rs. 3,000 in a sectoral tech fund.
– Rs. 3,500 in a small cap fund.

Your approach shows a tilt towards high-risk, high-return funds. Good for long-term goals. But needs review from risk alignment and stability view.

» Momentum-Based Index Fund Risks

– Momentum investing focuses on trending stocks.
– It ignores valuations and fundamentals.
– This works in bull runs but underperforms in volatile markets.
– You have Rs. 8,500 monthly here, which is a large chunk.

» Why index-based funds can be dangerous

– Index funds like these track a formula, not quality.
– No human manager to avoid bad calls.
– They blindly follow price momentum, even in overvalued zones.
– Downside protection is very poor.
– Active fund managers avoid weak stocks.
– Index funds cannot filter bad entries.

Reduce your exposure here. Use only if you understand the risk. Better to use actively managed flexi-cap or multi-cap funds with dynamic strategy.

» Sectoral Digital Fund Caution

– You are investing Rs. 3,000 in a tech-based fund.
– These funds work well during digital expansion.
– But they carry very high risk due to concentration.
– They are vulnerable to global tech correction, regulations, and valuation risks.

Exposure to sectoral funds must be limited to 5-10% of total SIP. Yours is already at 12%. Reduce or pause fresh SIP here.

» Mid Cap and Small Cap Allocation Review

– Rs. 5,000 in mid cap and Rs. 3,500 in small cap.
– That is nearly 34% of your total SIP.
– Mid and small caps are wealth creators in long term.
– But both are very volatile in the short term.

Make sure your goal horizon is above 7 years. For medium-term goals (3–5 years), avoid small cap. Also, check overlapping between these two funds.

» Flexi Cap Fund – A Strong Foundation

– Rs. 5,000 in a reputed flexi cap fund.
– This provides a core diversified base.
– It offers dynamic allocation across large, mid, and small caps.
– Acts as a good balancing anchor.

Consider increasing SIP here if trimming from high-risk funds. Flexi caps can deliver consistency.

» Portfolio Category Weightage Analysis

Let’s check your category allocation from Rs. 25,000 SIPs:

– Thematic/Index-based momentum fund: 34%
– Mid cap: 20%
– Flexi cap: 20%
– Sectoral/Tech fund: 12%
– Small cap: 14%

This is highly tilted towards aggressive funds. Defensive funds like large cap, multi cap, and balanced advantage are missing. Long-term investing does not mean ignoring downside protection.

» Need for Large Cap or Multi Cap Stability

– No allocation currently to large cap or multi cap.
– These provide cushion in falling markets.
– Large caps offer stability and low beta behaviour.
– Multi caps bring mandatory balance among all categories.

Introduce one large cap or multi cap fund with Rs. 4,000–5,000 monthly SIP. This will help protect capital during sharp corrections.

» Avoid Direct Mutual Funds for Retail Investors

If you are investing in direct funds, then please consider this:

– Direct funds look cheaper, but carry long-term risk.
– No guided rebalancing or human intervention.
– Missing periodic reviews or emotional discipline.
– Regular funds via MFDs with CFPs offer consistent handholding.
– A Certified Financial Planner builds long-term discipline and adjusts asset allocation based on your goals.
– Returns without strategy are dangerous.

So, don’t chase direct funds only for saving 0.5% expense. Regular funds bring more peace and guidance.

» Importance of Goal Linking

– Are your SIPs mapped to specific goals?
– This helps avoid panic during volatility.
– Child education, house buying, retirement – all need different risk setups.

Currently, your SIPs look growth-focused, not goal-mapped. Categorise each SIP towards goal – short term (3 yrs), medium term (5–7 yrs), and long term (10+ yrs).

» Emergency Fund and Insurance Check

– Don’t invest all monthly surplus in mutual funds.
– Ensure 6–12 months of expenses in emergency fund.
– Keep it in sweep FD or liquid funds.

Also, check life cover for family protection. A term plan of 10x annual income is minimum. Health cover must be Rs. 10 lakhs minimum per person, especially post-40 age.

» Portfolio Corrections Suggested

– Trim SIP in momentum-based fund to Rs. 4,000.
– Reduce or pause SIP in tech sectoral fund.
– Increase SIP in flexi cap by Rs. 2,000–3,000.
– Introduce a new large cap or multi cap fund with Rs. 4,000–5,000 SIP.
– Small cap and mid cap SIPs are fine if your horizon is 7–10 years.
– Check for fund overlap using mutual fund portfolio analyzer.
– Prefer regular plans with advisory support. Avoid direct plans.

Overall, you must rebalance to reduce thematic and sectoral risk. Introduce stable growth engines.

» MF Capital Gains Tax Awareness

– From April 2024, new MF taxation rules apply.
– Equity MF LTCG above Rs. 1.25 lakh taxed at 12.5%.
– STCG taxed at 20%.
– Debt MF gains taxed as per your slab.

Plan your redemptions wisely. Use tax harvesting each year. SIPs are better for taxation as gains spread out.

» SIP Investment Time Horizon Discipline

– Every SIP must be continued for 7–10 years.
– Frequent switching hurts returns.
– Thematic and small cap funds must be reviewed every 18 months.
– Don’t judge funds only on 1-year returns. Look at 5-year rolling performance.

Avoid breaking SIPs for small market corrections. Consistency creates compounding.

» Final Insights

– You are on the right path with disciplined SIPs.
– Your portfolio is well diversified, but very aggressive.
– Momentum and tech are risky themes. Reduce exposure.
– Add one stable fund like large cap or multi cap.
– Flexi cap fund must play a larger role.
– Map each SIP to a clear goal.
– Avoid direct funds. Choose regular plans with certified guidance.
– Review fund performance every 12–18 months, not too frequently.
– Maintain emergency funds and adequate insurance alongside investments.
– Keep investing. Keep learning. Keep compounding.

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

...Read more

Ramalingam

Ramalingam Kalirajan  |10180 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 04, 2025

Asked by Anonymous - Jul 26, 2025Hindi
Money
I have a sin aged 34 no job health problems from childhood and not much education and not very smart i get every year 3 lacs from ny lic annuity in what way can i invest this along with some other annuities and idcw of my mutual fund totally about 5 kacs a tear for hom so that he gets steady income every month i have aldo invested in his and mine joint name 20 lacs in mutual funds also 3 lacs in post office 3 lacs sriram deposit and 15 lacs lic policies which mature now in couple of years by 2028.could u please guide me
Ans: You have shown deep care and long-term thinking. You are doing your best for your son despite many challenges. Your current financial structure gives a strong foundation. You already have regular annuity income, mutual funds, post office deposits, and LIC maturity due in coming years.

Now let us make a steady monthly income plan for your son. The focus will be on safety, simplicity, regular cash flow and capital protection. We will also aim to grow some portion of wealth so his future is safe even after 2028.

» Understand the Existing Financial Picture

– Your son is 34 years old.
– He has health problems and no job.
– He is not well educated and needs monthly support.
– You receive Rs.3 lakh per year from LIC annuity.
– You receive Rs.2 lakh more per year from IDCW and other annuities.
– Total yearly inflow is about Rs.5 lakh.
– This means about Rs.40,000 per month available for him.

– You also have Rs.20 lakh in mutual funds (joint name).
– Rs.3 lakh in post office deposit.
– Rs.3 lakh in Shriram deposit.
– Rs.15 lakh in LIC policies which mature by 2028.

– Your goal is to create dependable monthly income for your son.
– Also preserve and grow capital slowly and carefully.

» Step-by-Step Action Plan for Monthly Income

– Right now, he is already receiving about Rs.40,000 per month.
– That is a very good base income.
– If this is enough for monthly expenses, good.
– But if not, we can supplement it carefully.

– Don’t invest all at once.
– Use a layered structure of income.
– This means divide money into short term, medium term and long term.
– This gives balance of safety, income and slow growth.

– Keep 1 to 2 years’ expenses in liquid mutual fund.
– These funds are safe and give more than savings account.
– Withdraw monthly using SWP (Systematic Withdrawal Plan).
– This is better than using IDCW mutual funds.
– IDCW payout is not guaranteed.
– Fund house can skip or reduce payouts.
– In SWP, you control how much to withdraw every month.

– Choose regular mutual funds through MFD with CFP support.
– Avoid direct funds.
– Direct plans don’t give advice or review.
– Regular funds offer guidance, rebalancing and discipline.

» Shift from IDCW Mutual Funds to SWP Model

– IDCW mutual funds are not ideal.
– Dividends are not guaranteed.
– You may get less when markets fall.
– They are also taxed even if you don’t need the income.

– Instead, move to growth option funds.
– Withdraw through SWP every month.
– You decide fixed monthly income.
– If you withdraw only part of the return, capital will stay.

– This also gives better tax efficiency.
– Long term capital gains tax is 12.5% above Rs.1.25 lakh.
– This is lower than slab-based income tax.
– So SWP gives you more in hand after tax.

» Use Fixed Income for Stability

– Your Rs.3 lakh in post office is safe.
– Keep it for emergency or short-term needs.
– It gives fixed interest, though lower.
– Same for Rs.3 lakh Shriram deposit.
– Keep monitoring safety ratings of Shriram.
– Renew only if company stays strong.

– When LIC policies mature by 2028, re-allocate wisely.
– Don’t put back into any new LIC plans.
– LIC traditional policies give low return.
– Their lock-in and surrender conditions are not helpful.
– After maturity, move those funds into mutual fund buckets.
– Use part for income and part for slow growth.

» Surrender LIC or Insurance-cum-Investment Policies if not Annuitised Yet

– You have Rs.15 lakh in LIC maturing in few years.
– If any of these are not annuity policies, surrender now.
– Take surrender value and reinvest.
– LIC savings plans don’t grow money fast.
– Mutual funds are better for this goal.
– For those already annuitised, continue as they give income now.

– For other policies, use surrender value to build SWP strategy.
– This will make monthly income smooth and tax friendly.

» Keep Part of Funds in Growth-Oriented Funds

– Your son is young at 34.
– Though he needs income now, he also needs wealth for later.
– So keep part of Rs.20 lakh in equity mutual funds.
– These can give better growth over long term.
– Use actively managed funds, not index funds.
– Index funds can’t manage risk in market falls.
– Active funds have flexibility and human oversight.
– Fund managers can switch to better sectors and stocks.

– Review every 6 months.
– Keep only 25%–30% in equity at one time.
– Rest in short term, balanced and hybrid funds.

– Avoid annuity reinvestments.
– They lock capital and don’t adjust to inflation.
– Their returns remain flat for life.
– Mutual funds give growth with flexibility.

» Create a Monthly Income System – 3 Bucket Strategy

– Bucket 1: Keep 1–2 years’ expenses in liquid funds.
– Use SWP from here.
– This gives fixed monthly cash.

– Bucket 2: Keep 3–5 year fund in hybrid and balanced funds.
– This gives moderate return with less risk.
– Use STP (Systematic Transfer Plan) to refill Bucket 1 when needed.

– Bucket 3: Keep 5+ year money in good equity funds.
– This builds future capital.
– Helps manage inflation in later years.

– Review buckets yearly with help of Certified Financial Planner.
– Adjust amounts based on expenses, health and markets.

» Emergency, Legal and Nomination Safety Measures

– Keep health insurance active for your son.
– Check if any government support or scheme is available.
– Nominate him clearly in all investments.
– Prepare a simple Will mentioning his rights.

– Also create guardianship nomination if needed.
– Check if you have assigned Power of Attorney.
– This helps in case of emergency handling of accounts.

– Keep all documents, policy details and account statements organised.
– Tell family members where they are kept.

– Keep your own retirement needs separate.
– Don’t mix his income funds with your retirement corpus.

» Income Flow Once LIC Matures in 2028

– Rs.15 lakh from LIC maturity will be available soon.
– Divide into income and growth parts.
– Rs.10 lakh can go into SWP mutual funds.
– Rs.5 lakh can stay in hybrid or equity funds for future.
– This will improve income from 2028 onwards.
– Your son will need more money later due to inflation.
– So income and capital growth must go together.

» Finally

– You are doing the right thing by planning in advance.
– Monthly income of Rs.40,000 is already a good base.
– Shift from IDCW to SWP for better monthly cash flow.
– Avoid reinvesting into new LIC or annuity policies.
– Reinvest LIC maturity into mutual fund SWP and hybrid plans.
– Keep Rs.3 lakh post office and Rs.3 lakh Shriram for short-term needs.
– Keep 3 buckets: income, moderate growth, long term.
– Use Certified Financial Planner’s help for reviews and peace of mind.
– Keep insurance, documents and nominations updated.
– Secure legal rights for your son through Will or guardianship.

– This steady and structured approach will help your son live with dignity.
– Your care, discipline and planning will secure his future in your absence.
– You have done a wonderful job so far.
– With the right plan, things will only get better.

Best Regards,
K. Ramalingam, MBA, CFP,
Chief Financial Planner,
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.

Close  

You haven't logged in yet. To ask a question, Please Log in below
Login

A verification OTP will be sent to this
Mobile Number / Email

Enter OTP
A 6 digit code has been sent to

Resend OTP in120seconds

Dear User, You have not registered yet. Please register by filling the fields below to get expert answers from our Gurus
Sign up

By signing up, you agree to our
Terms & Conditions and Privacy Policy

Already have an account?

Enter OTP
A 6 digit code has been sent to Mobile

Resend OTP in120seconds

x