Hello Doctor, I am 59 yrs old, 90 kgs, height 6'1", a pure vegetarian. Mine is basically a sitting job. Last July, while doing a routine check up, I found out that my Uric Acid had shot up to 7.60. In fact, my toenails had started coming off. My doctor then advised me to take Febutaz40 everyday for 3 months after which Uric Acid came down to 4.30. He then asked me to stop for 1 month and it again shot up to 7.50. He has now asked me to take 1 tablet every alternate day, now my Uric Acid count is 5.70. For the past few days, I have been experiencing swelling and pain in my feet around the ankles as well as in the toes and fingers. Sometimes it is a tingling pain. I have completed 3 months of Vitamin B12 ( Meganeuron OD Plus ) which now under my Doctors instructions I have stopped. I am also taking Vit D for the past 3 months and supposed to take for another 3 months. My Question is : Should I take Febutaz 40 everyday for Uric Acid or continue taking alternate day, as is now ? And what could the possible reason for this pain in the feet and the toes and fingers ? Should I continue with my Vit B12 medicine ? Last July, my HbA1c was 6.30 which I brought it down to 5.80 by changing my diet and walking exercise. I had stopped sugar intake totally for 6 months after which my HbA1c was down to 5.80. Now I have started on sugar intake but very limited quantity and that too once-twice a week. Now my HbA1c is 6.10. Is it okay or should I stop sugar intake totally ? Just for information during the past 10 months, my FBS is between 98 to 108 and PPBS is between 110 to 140. I am not taking any medicine for sugar control. My cholesterol is between 140 to 180. Could you please revert back to all my queries ? Thank you

Ans: To achieve a sustainable monthly withdrawal of Rs. 2 lakh (Rs. 24 lakh annually), we need to identify the right mix of investments and expected returns. Let us create a detailed framework.

1. Factors to Consider Before Investing
Time Horizon: You plan to start investing after a year. This delay impacts your compounding benefit, but planning ahead mitigates it.

Expected Rate of Return (ROI): Different instruments offer varied returns. Diversification ensures both growth and stability.

Withdrawal Feasibility: Sustainable withdrawals depend on balancing withdrawals with corpus growth.

Inflation Impact: Investments must generate returns above inflation to preserve corpus value.

Risk Appetite: Choose instruments aligning with your comfort towards volatility.

Tax Efficiency: Optimise your withdrawals and investments for better post-tax returns.

2. Expected ROI for Investment Options
Here is the expected ROI and rationale for different asset classes:

Actively Managed Equity Mutual Funds

Allocation: 50% of the corpus
Expected ROI: 12% annually
Rationale: These funds provide high returns and help beat inflation over the long term.
Debt Mutual Funds

Allocation: 30% of the corpus
Expected ROI: 7% annually
Rationale: These offer stability with moderate returns and are suitable for regular withdrawals.
Fixed-Income Instruments (e.g., FDs, SGBs)

Allocation: 15% of the corpus
Expected ROI: 6-7.5% annually
Rationale: Secure returns with no market risk. Ideal for stability.
Liquid Mutual Funds

Allocation: 5% of the corpus
Expected ROI: 4-5% annually
Rationale: Quick access for emergencies or interim cash flow needs.
3. Corpus Required for Rs. 2 Lakh Monthly Withdrawal
Corpus Based on ROI
At 8% ROI: A corpus of Rs. 3 crore is required.
At 9% ROI: A corpus of Rs. 2.66 crore is required.
At 10% ROI: A corpus of Rs. 2.4 crore is required.
The corpus requirement reduces with higher returns but increases risk exposure.

Building the Corpus Over One Year
If the funds are idle for a year, invest them in liquid mutual funds temporarily. These yield 4-5% with low risk.
Use Systematic Transfer Plans (STPs) to gradually move funds into equity and debt over 12-18 months.
4. Investment Plan for SWP
Equity Mutual Funds (50% Allocation)
Allocate Rs. 1.5 crore to equity funds.
Delay SWP for at least three years to allow growth.
Equity funds ensure high long-term returns, reducing inflation's impact.
Debt Mutual Funds (30% Allocation)
Allocate Rs. 90 lakh to debt funds.
Start SWP immediately from this portion.
These funds provide stable returns and low volatility.
Fixed-Income Instruments (15% Allocation)
Allocate Rs. 45 lakh to secure instruments like FDs or Sovereign Gold Bonds.
Use these funds for stability and emergencies.
Liquid Mutual Funds (5% Allocation)
Allocate Rs. 15 lakh to liquid funds.
Use these funds for interim liquidity needs and to manage cash flow gaps.
5. Steps for Efficient Withdrawal
Start withdrawals from debt and liquid funds first. Let equity funds grow for 3-5 years.
Monitor returns annually to adjust the withdrawal rate or asset allocation.
Keep a buffer of 1-2 years' expenses in liquid funds for emergencies.
Review the tax efficiency of your withdrawals and rebalance your portfolio every year.
Final Insights
A well-diversified portfolio ensures stable withdrawals of Rs. 2 lakh monthly. Focus on equity for growth, debt for stability, and liquid funds for emergencies. Starting the plan early and monitoring it regularly will ensure financial independence.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

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