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Ramalingam

Ramalingam Kalirajan  |8332 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 18, 2024

Ramalingam Kalirajan has over 23 years of experience in mutual funds and financial planning.
He has an MBA in finance from the University of Madras and is a certified financial planner.
He is the director and chief financial planner at Holistic Investment, a Chennai-based firm that offers financial planning and wealth management advice.... more
Asked by Anonymous - Apr 14, 2024Hindi
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I am 32 and wants to initiate SIP amounting INR 15000-20000 per month . Can you guide me how to initiate this , it will be for long term min. next 10-15 year . My goal is to have decent savings and funds for my just born baby future

Ans: Starting SIPs for You & Your Little One: A Smart Move!
Congratulations on becoming a parent and thinking about your future! Starting a SIP (Systematic Investment Plan) of Rs. 15,000-20,000 per month is a fantastic decision for your long-term goals (10-15 years). Here's how to get started and some tips:

Choosing a Platform:

Multiple Options: You can invest in SIPs through various platforms:
Mutual Fund Distributor (MFD) with a CFP: Get personalized advice and invest through their platform.
Online Investment Platforms: Invest directly on user-friendly platforms.
Benefits of Each Platform:

MFD-CFP: They assess your risk tolerance, goals, and recommend suitable funds. They can also help choose an online platform.
Online Platforms: Convenient and offer a variety of investment options.
Initiating Your SIP:

Simple Process: Once you choose a platform and funds, setting up an SIP is straightforward.

Automated Investment: SIPs automatically deduct a fixed amount from your bank account every month, ensuring disciplined investing.

Investing for Your Child:

Separate SIP: Consider a separate SIP for your child's future goals (education, etc.). A CFP can help choose child-specific plans.
Remember:

Start Early: The power of compounding can significantly grow your investments over time. 10-15 years is a great investment horizon.

Diversification is Key: Invest in a mix of equity and debt funds to balance growth potential with stability. Actively managed funds involve experienced fund managers who try to pick stocks to outperform the market. Actively managed funds come with higher fees compared to passively managed funds.

Review Regularly: Review your SIPs (at least annually) with your MFD-CFP to ensure they remain aligned with your evolving goals.

Congrats on taking charge of your finances! SIPs are a powerful tool to build wealth for you and your child's future.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in
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.
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Ramalingam

Ramalingam Kalirajan  |8332 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 20, 2024

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I'm 34 years now,I m earning 15000 per month,I want open SIP how can I start, with how much monthly payment, long term 15 years I can
Ans: I appreciate your commitment to starting a systematic investment plan (SIP) despite your current income level. SIPs offer an accessible and disciplined approach to wealth creation, and I'm here to guide you through the process.

Assessing Your Financial Situation
Before starting a SIP, it's essential to evaluate your current financial situation, including your income, expenses, and financial goals. With a monthly income of ?15,000, it's commendable that you're prioritizing long-term wealth creation.

Determining Monthly Investment Amount
While the ideal SIP amount varies based on individual circumstances, a general guideline is to allocate a reasonable portion of your monthly income towards investments. Considering your income level, start with an affordable SIP amount that you can consistently maintain over the long term.

Setting Realistic Expectations
Given your income level, it's crucial to set realistic expectations regarding the SIP amount and the expected growth of your investment portfolio. While SIPs offer the potential for wealth accumulation over time, it's essential to understand that investment returns may fluctuate based on market conditions.

Planning for Long-Term Goals
With a long-term investment horizon of 15 years, you have the advantage of harnessing the power of compounding to grow your wealth steadily. Focus on selecting mutual funds with proven track records of consistent performance and adherence to investment objectives.

Choosing Suitable Mutual Funds
When selecting mutual funds for your SIP, prioritize diversified equity funds that offer exposure to a broad spectrum of stocks across various sectors and market capitalizations. Avoid high-risk investment options and focus on funds that align with your risk tolerance and investment horizon.

Leveraging the Benefits of Active Management
While index funds may seem appealing due to their lower fees, they lack the potential for outperformance seen in actively managed funds. Actively managed funds, overseen by experienced fund managers, have the flexibility to capitalize on market opportunities and navigate market volatility effectively.

Reviewing and Adjusting
Regularly review your SIP investments and adjust your portfolio as needed to stay aligned with your financial goals and risk tolerance. Monitor the performance of your mutual funds and make informed decisions based on changing market conditions and personal circumstances.

Conclusion
In conclusion, starting a SIP is a prudent step towards achieving your long-term financial goals. By allocating a portion of your monthly income towards investments and selecting suitable mutual funds, you can lay the foundation for long-term wealth creation and financial security.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |8332 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 27, 2024

Money
Sir I am 55 years old lady and interested to start my sip ..how do i start from home through online and in which fund to invest? Me and my husband are living after his retirement .our children are settled in foreign countries .we have no pension ..we are having some money 5 lakh and own house to live.no debts.please guide me sir.
Ans: Understanding Your Financial Situation
Your proactive approach to financial planning is commendable. At 55, starting a SIP (Systematic Investment Plan) is a wise decision. You and your husband have a secure living arrangement and no debts, which is excellent. With Rs 5 lakh available for investment, let’s explore how to start a SIP from home and choose suitable funds.

Starting SIP Online
Starting a SIP from home is convenient and straightforward. Most mutual fund companies and investment platforms offer online services. Follow these steps to get started:

Choose a Reputable MFD
Select a well-known mutual fund distributor (pls avoid digital investment platforms) that offers online SIP facilities. It's important to choose a MFD that is professional. accessible and has a good reputation for customer service.

Complete KYC
Ensure your KYC (Know Your Customer) process is complete. This can often be done online by submitting your PAN card, address proof, and a photograph. KYC is a mandatory process for investing in mutual funds in India. It helps in verifying your identity and address.

Register and Create an Account
Sign up on the platform by providing your personal details and completing the verification process. Creating an account is usually straightforward and involves filling in basic information like your name, email address, and phone number.

Select SIP
Choose the SIP option and decide on the amount you want to invest monthly. It's important to select an amount that you can comfortably invest every month without straining your finances.

Choose Funds
Select the mutual funds you wish to invest in based on your risk tolerance and financial goals. It's advisable to diversify your investments across different types of funds to balance risk and returns.

Set Up Auto-Debit
Link your bank account to set up an auto-debit facility for regular SIP payments. This ensures that your SIP amount is automatically deducted from your bank account every month, making the process hassle-free.

Monitor and Adjust
Regularly monitor your investments and make adjustments as needed to stay on track with your financial goals. Staying informed about the performance of your investments helps you make better decisions.

Role of a Mutual Fund Distributor (MFD)
A Mutual Fund Distributor (MFD) plays a crucial role in simplifying the investment process. Here's how an MFD can assist you in setting up KYC and SIP easily online:

Expertise and Guidance
MFDs have extensive knowledge about various mutual funds and investment strategies. They can guide you in choosing the right funds based on your risk profile and financial goals. Their expertise ensures that your investments are aligned with your objectives.

Assistance with KYC
Completing the KYC process can be overwhelming, especially if you are not familiar with the requirements. An MFD can assist you with the KYC process by providing step-by-step guidance. They can help you fill out the necessary forms and submit the required documents online.

Simplifying Account Setup
Setting up an account on an investment platform involves several steps. An MFD can simplify this process by helping you navigate through the platform. They can assist with registration, filling out personal details, and verifying your information.

Selecting the Right SIP
Choosing the right SIP amount and mutual funds is crucial for achieving your financial goals. An MFD can help you decide on a suitable SIP amount based on your income and expenses. They can also recommend mutual funds that match your risk tolerance and investment horizon.

Setting Up Auto-Debit
Linking your bank account for auto-debit can sometimes be tricky. An MFD can guide you through the process, ensuring that your SIP payments are set up correctly. This service ensures that your investments are made regularly without any hassle.

Regular Monitoring and Adjustments
Investments need to be monitored regularly to ensure they are performing as expected. An MFD can provide you with regular updates on your investment performance. They can suggest adjustments to your portfolio based on market conditions and your changing financial situation.

Choosing the Right Funds
Selecting the right mutual funds is crucial for achieving your financial goals. Here are some factors to consider when choosing funds:

Assessing Risk Tolerance
Understanding your risk tolerance helps in selecting suitable funds. At your age, a balanced approach is recommended. This means combining equity and debt funds to manage risk while aiming for reasonable returns.

Benefits of Actively Managed Funds
Actively managed funds offer several advantages over index funds. Fund managers actively make investment decisions to outperform the market. This approach provides the potential for higher returns and better risk management.

Avoiding Direct Mutual Funds
Direct mutual funds have lower expense ratios but require more time and knowledge. Investing through a Certified Financial Planner (CFP) ensures professional management and guidance. CFPs help optimize your investment strategy and align it with your goals.

Diversifying Your Portfolio
Diversification reduces risk by spreading investments across different asset classes. A mix of equity and debt funds provides stability and growth potential. Equity funds offer higher returns, while debt funds provide safety and regular income.

Creating a Balanced Portfolio
A balanced portfolio is essential for financial security. Allocate a portion of your investments to equity funds for growth. Simultaneously, invest in debt funds to ensure stability and income.

Regular Review and Adjustments
Regularly reviewing and adjusting your portfolio is important. Monitor the performance of your investments and make necessary changes. Staying informed about market trends and economic conditions helps in making informed decisions.

Building an Emergency Fund
An emergency fund is crucial for financial security. Set aside 6-12 months’ worth of expenses in a liquid account. This fund provides a safety net for unexpected expenses.

Ensuring Adequate Insurance Coverage
Health and life insurance are essential. Ensure you have adequate coverage to protect against unforeseen medical and life events. Review your existing policies and consider additional coverage if needed.

Planning for Inflation
Inflation can erode your purchasing power over time. Plan for inflation by investing in instruments that provide inflation-adjusted returns. Equity funds and actively managed funds can offer higher returns to combat inflation.

Seeking Professional Guidance
Consulting a Certified Financial Planner (CFP) can provide expert advice tailored to your financial situation. CFPs help in optimizing your investment strategy and achieving your goals. Their guidance ensures you make informed decisions and navigate market complexities effectively.

Conclusion
Your proactive approach to starting a SIP and managing your finances is commendable. By following the steps outlined above, you can start your SIP from home and select suitable funds. Balancing equity and debt investments ensures stability and growth. Consulting a Certified Financial Planner provides expert guidance and optimization.

Regularly review and adjust your portfolio to stay on track with your goals. Building an emergency fund and ensuring adequate insurance coverage provides financial security. Your disciplined approach positions you well for a comfortable financial future.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |8332 Answers  |Ask -

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

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Hello Sir , My Age is 25 and I am planning to start SIP although I am investing in stock market I don't have any idea in SIP and my goal is to have a corpus of 4 cr and from next year I will be able to save around 1 lakh rs per month so kindly help
Ans: Thank you for reaching out. It's great to hear you're planning to start investing in a Systematic Investment Plan (SIP).

At 25, you have a fantastic advantage with time on your side, allowing compounding to work in your favour.

Understanding SIP
SIP allows you to invest a fixed amount regularly in mutual funds.

It offers the benefits of disciplined investing and rupee cost averaging, helping mitigate market volatility.

Setting Your Goal
You've set an ambitious goal of accumulating a corpus of ?4 crores.

Starting early and investing regularly will help you achieve this target over time.

Monthly Savings Plan
You plan to save ?1 lakh per month starting next year.

This is a substantial amount and will significantly contribute to reaching your goal.

Expected Returns
Typically, mutual funds can offer varying returns.

For this discussion, let's assume an annual return of 12%. This is a reasonable estimate for long-term equity mutual funds.

Benefits of SIP
Rupee Cost Averaging: SIPs help average out the purchase cost over time.

Disciplined Investment: Regular investments instill financial discipline.

Compounding Benefits: Early and consistent investing leverages the power of compounding.

Flexible Investments: You can start with smaller amounts and gradually increase your SIP contributions.

Convenient and Automated: SIPs are automated, making the process convenient.

Steps to Start SIP
Define Your Goals: Clearly outline your financial goals and investment horizon.

Risk Assessment: Assess your risk tolerance to choose appropriate funds.

Select Funds: Choose actively managed funds for potentially higher returns.

KYC Compliance: Complete your KYC process, mandatory for investing in mutual funds.

Set Up SIP: Decide the SIP amount and start investing through your chosen mutual funds.

Evaluating Fund Performance
Historical Returns: Review the fund's historical performance.

Fund Manager's Track Record: Check the expertise and track record of the fund manager.

Expense Ratio: Lower expense ratios can lead to higher net returns.

Consistency: Look for funds with consistent performance across market cycles.

Monitoring Your Investments
Regular Review: Periodically review your investment portfolio.

Adjustments: Make necessary adjustments based on performance and goals.

Stay Informed: Keep yourself updated with market trends and news.

Disadvantages of Index Funds
Limited Flexibility: Index funds track a specific index, limiting flexibility.

No Outperformance: They aim to match, not outperform, the index.

Market Cap Bias: Heavily weighted towards large-cap stocks.

Benefits of Actively Managed Funds
Potential for Higher Returns: Skilled fund managers can outperform the market.

Flexibility: Managers can adjust portfolios based on market conditions.

Diversification: Actively managed funds often have a diversified portfolio.

Importance of Consulting a Certified Financial Planner
Personalized Advice: A CFP provides tailored investment strategies.

Holistic Planning: They consider your entire financial situation and goals.

Expert Guidance: Benefit from their expertise and market knowledge.

Building a Diversified Portfolio
Equity Funds: For long-term growth, consider equity mutual funds.

Debt Funds: Add stability with debt funds.

Balanced Funds: Combine equity and debt for moderate risk and returns.

Regular Funds vs. Direct Funds
Expert Advice: Regular funds through MFDs with CFP credentials offer expert advice.

Support and Guidance: Continuous support for your investment journey.

Holistic Approach: Regular funds ensure a comprehensive financial plan.

Conclusion
Starting a SIP is a wise decision.

It aligns with your goal of creating a substantial corpus of ?4 crores.

Remember to review your investments regularly and adjust as needed.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Latest Questions
Ramalingam

Ramalingam Kalirajan  |8332 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 12, 2025

Asked by Anonymous - May 11, 2025
Money
Sir, i have an outstanding home loan of 4.27 lakhs. But, my job prospects are unsure. I have a job offer of prob 25000/- month and another which pays 20000/-. I lost my job this month. I had it for the past two years. I have a short fall of 10000/- this month to pay this month's EMI. Pls advise what i can do for this month and close my home loan, as soon as possible.
Ans: I understand how stressful this can feel. You're being responsible by asking for advice early. That’s very good.

Let me help you with a clear, step-by-step action plan — both for this month’s EMI issue and to close your home loan early, without burden.

Immediate Steps for This Month's EMI Shortfall
You have a Rs.10,000 shortfall for this month's EMI.

 

First, don’t ignore the EMI due date.

 

Late EMI can impact your credit score.

 

It may lead to penalty or default mark.

 

Call or visit your bank and explain the situation openly.

 

Request a 1-month moratorium or rescheduling of EMI.

 

Some banks allow EMI holiday for 1–2 months.

 

You need to request it before missing payment.

 

If you have any fixed deposits, RD, or gold, you can use or pledge them.

 

Gold loan is fast, safe, and cheaper than personal loan.

 

Avoid credit card debt or personal loan at high interest.

 

Borrow from close family if possible, with clear repayment promise.

 

Keep receipts of any delayed EMI or late charge.

 

Job Offers: Pick with Long-Term Lens
You have two offers: Rs.25,000 and Rs.20,000.

 

Choose the one with more job security and stability.

 

If Rs.25,000 job is risky, then Rs.20,000 with more stability is better.

 

You can’t afford another break in income.

 

Ask the employer clearly about probation, confirmation, etc.

 

Monthly Budget Rework: Cut and Save
For now, cut all non-essential expenses.

 

Rent, groceries, loan EMI, and utility bills are priority.

 

Pause shopping, travel, and eating out.

 

This will help you save Rs.3000–Rs.5000 per month.

 

That money can go towards EMI or home loan closure.

 

Closing the Home Loan Early: Action Plan
Your loan balance: Rs.4.27 lakhs
You want to close it fast. That is a wise goal.

 

Let’s build a loan closure plan in 4 simple steps.

 

1. Emergency Buffer First
Keep at least Rs.20,000–Rs.30,000 cash or liquid fund as emergency.

 

This is for any gap in salary, medical need, or job delay.

 

Don’t use this money for loan closure now.

 

2. Choose EMI + Extra Payment Strategy
Continue regular EMI without delay.

 

On top of EMI, start small part-payments monthly or quarterly.

 

Even Rs.3,000 extra per month brings down interest fast.

 

No need for full pre-closure immediately.

 

Small consistent part-payments give same benefit over 1–2 years.

 

3. Any Bonuses or One-Time Inflows
If you get bonus, gift, or freelancing income, direct it fully to loan.

 

Don’t spend on purchases till loan is cleared.

 

Each Rs.10,000 prepayment will reduce interest and shorten loan term.

 

4. Track Loan Balance Every 3 Months
Visit bank or use online account.

 

Get latest principal balance.

 

After every extra payment, ensure it reflects as principal reduction.

 

Ask for revised amortisation schedule if needed.

 

Should You Use Investment or Insurance Money?
Let me clarify with care.

 

If you have any LIC endowment or ULIP policy, check surrender value.

 

These give very low return and poor insurance.

 

If they are investment-linked, not pure protection, consider surrendering.

 

Reinvest that amount wisely to grow or reduce home loan.

 

But don’t touch term insurance or health insurance.

 

They are protection tools, not savings.

 

Building Your Income Stability
You just lost your job, but you are actively taking offers. Well done.

 

Also explore freelancing, tuition, weekend work.

 

This can help close your Rs.10,000 monthly gap faster.

 

Talk to old colleagues or clients for referral work.

 

Mental Peace and Confidence
Financial stress can feel heavy. But your approach is strong.

 

You’re solving things early, without panic. That’s admirable.

 

Once you stabilise income for 3–4 months, increase loan prepayment.

 

Closing home loan early gives mental peace and better credit score.

 

That opens better financial doors in future.

 

Final Insights
Inform bank early about this month’s EMI issue.

 

Don’t delay communication or EMI. That’s very important.

 

Use gold loan or family support for this month, if needed.

 

Select stable job over higher salary.

 

Keep Rs.20,000–Rs.30,000 for emergency fund.

 

Start part-prepayments monthly or quarterly.

 

Track loan balance and shorten term over next 12–18 months.

 

Surrender poor-performing ULIP or LIC plans and redirect to loan.

 

Avoid high-cost personal loans or credit card EMI.

 

Stay emotionally strong and focused.

 

This difficult time will pass. Your discipline will help you come out stronger.

 

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

...Read more

Ramalingam

Ramalingam Kalirajan  |8332 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 12, 2025

Asked by Anonymous - May 12, 2025
Money
I want to invest 15 lakhs for a period of approx ten years
Ans: Investing Rs.15 lakhs for 10 years is a wise move. You’re planning for long-term growth, and that shows financial maturity.

Understanding Your Investment Objective
You are investing for a 10-year time horizon.

 

Your goal could be wealth creation, retirement, child’s education or any long-term need.

 

This long-term window gives you good room for growth-based investing.

 

You are not chasing short-term profits. That is very good.

 

It shows patience and clarity. Both are key for long-term success.

 

Deciding Your Investment Style
Rs.15 lakhs is a significant amount.

 

Let’s divide it smartly into different categories.

 

We won’t go with one single product.

 

Instead, we will diversify for safety and growth.

 

We will use mutual funds, small savings schemes, and emergency allocation.

 

This approach reduces risk and balances return.

 

Why Mutual Funds Are a Core Part
Mutual funds offer professional management.

 

They spread your money across many companies.

 

That helps reduce single-company risk.

 

With mutual funds, your money gets expert handling.

 

Over ten years, this becomes very valuable.

 

You get compounding growth and liquidity also.

 

Active Funds vs Index Funds: Which is Better?
Index funds copy market indices.

 

They don’t try to beat the market.

 

That means average returns only.

 

In volatile markets, index funds give no protection.

 

They blindly follow market up and down.

 

Actively managed funds adjust the portfolio wisely.

 

The fund manager can reduce risk in falling markets.

 

They also select stronger companies for better results.

 

So, active funds offer better decision-making.

 

For long-term wealth, they are more dependable.

 

Why Regular Funds Are Better Than Direct Funds
Direct funds may look cheaper, but come with hidden risks.

 

No advisor is available for support in direct funds.

 

You will manage it fully on your own.

 

That can lead to wrong fund choices.

 

Most investors don’t track funds regularly.

 

You may miss changes in performance or rating.

 

Regular funds come through MFDs with CFP expertise.

 

You get regular monitoring and rebalancing.

 

That improves fund performance and suits your goals.

 

Hand-holding by a Certified Financial Planner avoids costly errors.

 

Long-term success needs guidance, not guesswork.

 

Taxation Rules You Must Know
For equity mutual funds, LTCG above Rs.1.25 lakh taxed at 12.5%.

 

STCG is taxed at 20%.

 

For debt mutual funds, gains are taxed as per your tax slab.

 

This means tax planning becomes very important.

 

Your Certified Financial Planner will structure funds to reduce tax burden.

 

Also, investing via Systematic Transfer Plan (STP) helps lower STCG tax impact.

 

Emergency Fund: Your Safety Net
Before investing the full Rs.15 lakhs, keep some for emergency.

 

At least Rs.1.5 to 2 lakhs should stay in liquid fund or savings.

 

This helps during job loss or urgent medical need.

 

It avoids breaking your 10-year investments midway.

 

Asset Allocation Strategy: Balanced and Wise
Let’s allocate Rs.15 lakhs in smart buckets.

 

Around 70% to equity mutual funds.

 

20% to debt mutual funds or small savings.

 

10% for emergency and ultra short-term needs.

 

This keeps your returns high and your risks low.

 

Type of Funds to Consider
For equity, you may go for large-cap and flexi-cap mutual funds.

 

Multi-cap funds and focused equity funds are also good.

 

These categories offer growth with managed risk.

 

For debt part, go for dynamic bond or short-duration funds.

 

They offer better returns than fixed deposits.

 

They also provide some stability during equity volatility.

 

SIP and STP: Smart Ways to Enter Market
Don't invest full Rs.15 lakhs in one go.

 

Use Systematic Transfer Plan (STP) from a liquid fund.

 

Shift monthly into equity funds over 6–12 months.

 

This reduces risk of market timing.

 

You will enter at different levels and average cost.

 

SIPs are also good if investing from monthly income.

 

Monitoring and Review: Important for 10-Year Goals
Investments are not one-time work.

 

Review every 6 months with your Certified Financial Planner.

 

Rebalance if fund underperforms or if your goals change.

 

Stay updated on fund rating, portfolio and expense ratio.

 

Insurance Check: Protect Before You Grow
Before investing, make sure you have term insurance.

 

Health insurance is also very important.

 

Don't mix insurance with investment.

 

If you hold ULIPs or endowment policies, review them now.

 

Most likely they give poor returns.

 

If they are not 100% protection based, consider surrendering them.

 

Reinvest that amount in mutual funds for better wealth creation.

 

Goal-Based Planning: Brings Clarity
Assign every portion of your Rs.15 lakh to a goal.

 

Maybe Rs.5 lakh for child education.

 

Rs.7 lakh for your retirement fund.

 

Rs.3 lakh for house renovation or car after 10 years.

 

This helps track progress clearly.

 

You feel more committed to staying invested.

 

Emotional Discipline Is Key
Don’t panic when markets fall.

 

Stay focused on your 10-year goal.

 

Avoid frequent switching between funds.

 

Ups and downs are part of market behaviour.

 

Long-term investors are always rewarded.

 

Role of a Certified Financial Planner
Helps create custom portfolio for your risk level.

 

Gives unbiased fund recommendations.

 

Tracks tax laws and market changes for you.

 

Keeps you on track with timely reviews.

 

Acts like a health doctor for your money life.

 

You avoid costly mistakes and missed opportunities.

 

Final Insights
Rs.15 lakhs invested wisely can create serious wealth in 10 years.

 

Your focus on long-term is very appreciable.

 

Use mutual funds as the main wealth-building tool.

 

Stay away from direct and index funds.

 

Let a CFP guide your journey with logic and planning.

 

Reinvesting surrender value of poor insurance plans also helps.

 

Ensure your family is protected with term and health insurance.

 

Review your progress often but don’t panic during market dips.

 

Stick to your plan, trust the process, and allow time to work for you.

 

Wealth creation is a marathon, not a sprint.

 

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.

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