Home > Money > Question
Need Expert Advice?Our Gurus Can Help

24 Year Old Aims for Rs. 1 Crore in 10 Years with Monthly SIPs - Expert Advice Needed!

Milind

Milind Vadjikar  |396 Answers  |Ask -

Insurance, Stocks, MF, PF Expert - Answered on Sep 19, 2024

Milind Vadjikar is an independent MF distributor registered with Association of Mutual Funds in India (AMFI) and a retirement financial planning advisor registered with Pension Fund Regulatory and Development Authority (PFRDA).
He has a mechanical engineering degree from Government Engineering College, Sambhajinagar, and an MBA in international business from the Symbiosis Institute of Business Management, Pune.
With over 16 years of experience in stock investments, and over six year experience in investment guidance and support, he believes that balanced asset allocation and goal-focused disciplined investing is the key to achieving investor goals.... more
Asked by Anonymous - Dec 07, 2023Hindi
Listen
Money

Hi sir, I am 24, Goal 1 cr in next 10 year MONTHLY total SIP @ 7000 ,( PPFS 2 , MOTILAL Oswal midcap1.5k , axis small cap2.5k, ICICI valu discovery1k) step up 30% per year Lump sum - 10000 NipponPower fund 10000 - HDFC REQUIREMENT FUND EQUITY. ( Step up 15-30% each half year as per performance PLS SUGGEST. Any deletion or addition.

Ans: I offer you two scenarios:
1. Step up both SIP and lumpsum by 40% every year to reach your target of 1 Cr corpus, 10 years from now.

2. Step up your SIP and lumpsum by 15% every year to reach your target of 1 Cr corpus 15 years from now. (Modest return of 13% assumed)

Your sip break up is:
PPFAS flexicap fund (2 K)
MO Midcap fund (1.5 K)
Axis Small Cap (2.5 K)
ICICI Pru Value Discovery Fund (1 K)

I suggest you to remove ICICI Pru Value Discovery Fund from your portfolio and add that 1 K sip into MO midcap fund.

Also I recommend you to migrate to Nippon India Small Cap Fund (2.5 K)

The lumpsum I would suggest you to invest in Quant ELSS tax saver fund and SBI Technology Opportunities Fund

*Investments in mutual funds are subject to market risks. Please read all scheme related documents carefully before investing

You may follow us on X at @mars_invest for updates.

Happy Investing!!
DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Users are advised to pursue the information provided by the rediffGURU only as a source of information to be as a point of reference and to rely on their own judgement when making a decision.
Money

You may like to see similar questions and answers below

Ramalingam

Ramalingam Kalirajan  |6592 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 29, 2024

Asked by Anonymous - Jun 30, 2023Hindi
Listen
Money
Hello Sir, I am 43 yrs old and have 35k monthly SIP as below.. Kindly suggest if any changes needed. I am planning to increase it to 10% by next month. Asset Class/Scheme Name Category Risk Appetite Existing sip amount Mirae Asset Emerging Bluechip-Reg(G) Blend Very High 3000 Parag Parikh Flexi Cap Fund-Reg(G) Blend Very High 3000 ICICI Pru Value Discovery Fund(G) Value / Contra Very High 3000 Aditya Birla SL Floating Rate Fund(G) Floater Fund Low To Moderate 1500 DSP Global Innovation FoF-Reg(G) Global Very High 3000 HDFC Short Term Debt Fund(G) Short Duration Fund Moderate 2000 Kotak Balanced Advantage Fund-Reg(G) Hybrid Very High 2000 Kotak Small Cap Fund(G) Mid / Small Very High 3000 ICICI Pru Savings Fund(G) Low Duration Fund Moderate 1500 HDFC Flexi Cap Fund(G) Value / Contra Very High 3000 DSP Midcap Fund-Reg(G) Mid / Small Very High 3000 ICICI Pru Balanced Advantage Fund(G) Hybrid High 2000 Mirae Asset Equity Savings Fund-Reg(G) Hybrid Moderately High 2000 DSP Quant Fund-Reg(G) Quality Very High 3000
Ans: Optimizing Your Monthly SIP Portfolio for Long-Term Growth

Your proactive approach to investing through monthly SIPs reflects a commitment to building wealth and achieving your financial goals. Let's review your current portfolio and make informed recommendations for potential adjustments.

Assessing Your Existing SIP Portfolio

Your SIP portfolio comprises a diverse mix of asset classes and fund categories, catering to various risk appetites and investment objectives. Here's a brief overview:

Blend Funds: Mirae Asset Emerging Bluechip Fund and Parag Parikh Flexi Cap Fund offer exposure to both large and mid-cap segments, providing growth potential with a blend of stability.
Value/Contra Funds: ICICI Pru Value Discovery Fund and HDFC Flexi Cap Fund focus on identifying undervalued stocks, potentially offering attractive returns over the long term.
Floater Fund: Aditya Birla SL Floating Rate Fund provides stability and income generation through investments in floating-rate securities.
Global Fund: DSP Global Innovation FoF offers exposure to global innovation-driven companies, diversifying geographical risk and tapping into international growth opportunities.
Debt Funds: HDFC Short Term Debt Fund and ICICI Pru Savings Fund provide stability and income generation with moderate risk exposure.
Identifying Areas for Potential Adjustment

Risk Assessment: Given the high-risk nature of several funds in your portfolio, it's essential to ensure alignment with your risk tolerance and investment horizon. Reassess your risk appetite and consider rebalancing your portfolio accordingly.

Overlapping Holdings: Review your portfolio for any overlapping holdings or duplicate exposures across funds. Consolidating similar investments can streamline your portfolio and optimize diversification.

Performance Evaluation: Evaluate the historical performance of each fund relative to its benchmark and peer group. Identify underperforming funds and consider replacing them with alternatives that offer better prospects for growth.

Asset Allocation: Maintain a balanced asset allocation across equity, debt, and hybrid funds to manage risk effectively and achieve your long-term financial goals.

Recommendations for Adjustments

Increase SIP Amount: As you plan to increase your SIP allocation by 10%, consider allocating additional funds to well-performing funds with proven track records and growth potential.

Streamline Portfolio: Consider consolidating your portfolio by trimming or eliminating underperforming funds. Focus on retaining funds that align with your investment objectives and risk tolerance.

Explore New Opportunities: With the additional investment amount, consider exploring new funds or asset classes that complement your existing holdings and provide opportunities for diversification and growth.

Seeking Professional Guidance

As a Certified Financial Planner, I recommend conducting a comprehensive portfolio review to identify areas for optimization and align your investments with your financial goals. Professional guidance can help navigate market uncertainties and maximize your investment outcomes.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |6592 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Apr 23, 2024

Asked by Anonymous - Apr 23, 2024Hindi
Listen
Money
Sir, I am 35, following are my SIPs per month: I have just started investment 1. Canara Robeco ELSS Tax Saver- Rs. 1000/- 2. HDFC Large and Mid Cap Fund Regular Growth- Rs. 1000/- 3.HDFC Flexicap Fund Regular Plan Growth- 1000/- 4. HDFC Retirement Saving Fund- Regular Plan Growth-1000/- 5. HDFC Balanced Advantage Fund - Regular Plan Growth- 1000/-. 6. Icici prudential Balanced Advantage Fund Regular-1000 7. Icici prudential Dividend Yield Fund-1000 8. Icici prudential Equity and Debt fund-1000 9. Icici prudential Value and Discovery fund-1000 10. Nippon small and multi cap-1000 Please suggest whether if any changes needed or should I continue investing on above mf
Ans: You've set a strong foundation with a diverse range of funds, showing a proactive approach to investing. However, there are a few considerations to keep in mind to optimize your portfolio:

Diversification: While diversifying across fund types is good, ensure you're not over-diversifying within similar categories. Consolidating similar funds can simplify your portfolio.
Consistency: Regular review is essential. Keep an eye on fund performance, and if a fund consistently underperforms its benchmark or peers, consider replacing it.
Goals Alignment: Ensure your investment choices align with your financial goals. For example, ELSS for tax-saving should ideally be held for the long term, while balanced funds can offer a mix of growth and stability.
Risk Tolerance: Understand your risk tolerance. Some funds like small and mid-cap or value discovery can be more volatile but offer higher growth potential. Ensure your portfolio aligns with your risk appetite.
Costs: Keep an eye on the expense ratio. Lower expense ratios can improve your returns over the long term.
Considering these factors, you might consider:

Consolidating funds with similar objectives.
Reviewing the performance of Icici prudential Dividend Yield Fund and Nippon small and multi-cap, as these categories can be volatile.
Rebalancing your portfolio periodically to ensure alignment with your goals and risk tolerance.
Remember, while it's essential to stay invested for the long term, regular reviews and adjustments can help optimize your returns and keep your portfolio aligned with your financial goals. Consult with a financial advisor for personalized advice tailored to your needs.

..Read more

Latest Questions
Milind

Milind Vadjikar  |396 Answers  |Ask -

Insurance, Stocks, MF, PF Expert - Answered on Oct 14, 2024

Asked by Anonymous - Oct 12, 2024Hindi
Listen
Money
Hello Sir, I'm 44 years of age and want to plan for creating a corpus of 5 Cr by age of 60. I have 40L lying in savings which I want to invest in MFs and start with Monthly SIP as well apart from this. At 60 I'm looking to start a SWP, in regards to this could you please suggest which MFs should I invest in to achieve this goal and how should I diversify SIP and lumpsum investments? Thank you!!
Ans: Hello;

Please deploy the 40 L staggered over 6 months in pure equity mutual funds.

Also start a monthly sip of 40 K for 16 years.

You may allocate sip and lumpsum as follows:
1. Flexicap type mutual fund for eg. PPFAS flexicap fund[G] (25%)

2. Large and Midcap type mutual fund for eg. Kotak equity opportunities fund[G] (25%)

3. Midcap type mutual fund for eg. Nippon India Growth fund[G] (25%)

4. Smallcap type mutual fund for eg SBI small cap fund [G] (12.5%)

5. Thematic type mutual fund for eg Tata Digital fund[G] (12.5%)

Funds recommended are in top quartile in terms of performance in their respective category.

Both sip and lumpsum investments will yield you a corpus of 5 Cr+, 16 years from now, as desired.

After 55 you need to transfer your gains to liquid or ultra short duration debt funds to protect it against market volatility.

After retirement you move your corpus to conservative hybrid debt type mutual fund for eg. Kotak debt hybrid fund and do an SWP at the rate of 3% annually you may expect a monthly income of 1.25 L(pre-tax).

Happy Investing!!

*Investments in mutual funds are subject to market risks. Please read all scheme related documents carefully before investing.

...Read more

Ravi

Ravi Mittal  |352 Answers  |Ask -

Dating, Relationships Expert - Answered on Oct 14, 2024

Relationship
Hello, I m 21 female I m in a long distance relationship with 32 year male.this person was behind me and always asked me to give him a chance to prove his love for me. At that period i was afaird of relationships as I didn't have courage to go against wish of my parents as i know they wolud never agree for love marriage,so that is fir sure i'll do arrange Marriage. All these things have been explained by my side to this person.He gad feelings for me thats what he showed to me even I felt a connection towards him, so we decided let's not commit anything anout marraige as we both wee not sure about these thing. After some time i realised these person has already made his mind ki he'll date me and he wanted to have everything that an relationship has but he will not marry me.But i m completely in love with.Even i told him about it ki I can't share him n won't be able to see him.with someone else.i just can't imagine myself without him. I fought with him even begged and cried but he always defend his self sayi g i told already ki he loves me and will keep loving me but will not marry me . He vists me after 6-9 months interval every time he visuts me he needs to have physical relationship. I don't know whether I m right or wrong but i feel like I m being used by him. I tried several time to end this relationship but i end up chasing him.Plz help me,guide me
Ans: Dear Rutuja,
If you have the slightest feeling that he doesn't share the same feelings for you as you do for him, or that he has wrong intentions, you have every right to end the relationship. In fact, that would be the right thing to do. I understand that it is difficult to break up with someone you love, but does he love you? Don't you think you deserve someone who loves you and does not make you feel as if you are being used?

Have a clear conversation with him- address all your concerns. If he still maintains his stand of not getting married to you, then let him know that you are not on the same page as him. Remember, for a relationship to work, your future goals need to align.

Best Wishes.

...Read more

Ravi

Ravi Mittal  |352 Answers  |Ask -

Dating, Relationships Expert - Answered on Oct 14, 2024

Asked by Anonymous - Oct 10, 2024
Relationship
I am a girl who met a muy in a friendly chat app and been talking to him through text and calls since the past 6 months...he told me about his past 3 breakups which were online too and he didnt meet those girls.He told he loved my nature and loves me madly n cannot live without me..i was moving with him as a friend initially,but feeling turned into love gradually..he lied to me about his name too n i found many a times flirting and chatting with other girls.Still i have forgiven as he is my first love. Recently,I met with an accident and was in a serious condition ..my phone was with my relative and she told him about my condition when he put a message to me.He even asked my relatives about the hospital address n my relative has given it. He didn't turn up and was chatting online with other girls till early morning n continued later too by chatting n cracking jokes when i was in such a serious condition.A friend of mine told me about this. When i confronted him after my discharge,he told my relative didnt give the response which is a lie ..as the proof chatting with other girls is there..n later he didnt even text to know how am i for 2days.. I am an emotional girl ,attaching n detaching is a bit difficult thing...i am broken ..when he didnt love me ..what made him use the words like he cannot live without me n will marry me. He asked for a chance,i am fed up of his lies..i made him introduce to my parents also..When i am so true to him..why does he need to chat n flirt with other girls?..even after knowing my condition instead of meeting me..he was chatting.. We still didnt meet,thought of meeting n met with an accident Does he deserve an other chance or should i leave him,please suggest mam.Why is he doing so?.I even helped him small amounts financially too when he asked for.
Ans: Dear Anonymous,
I am very concerned about the last part of your question where you mentioned helping him financially. We ask all our dating app users not to discuss money let alone involve in a financial transaction with an online match. It gives me the impression that he might have been pursuing the relationship with you for monetary benefits; I am not saying that with surety but there is always a chance of that happening.

And now let's address your main concern- if you should give him another chance. I cannot decide that for you but let me ask you one thing- do you think you deserve to be with a person who did not care that you were in a critical condition and continued flirting with others? Even if we keep your accident aside, do you think it is a healthy relationship where one partner keeps flirting with people outside the relationship? I don't think so.

Please make the right choice and don't focus on momentary happiness, think about how this relationship will affect your future.

Best Wishes.

...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