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Vivek

Vivek Lala  |251 Answers  |Ask -

Tax, MF Expert - Answered on Mar 12, 2024

Vivek Lala has been working as a tax planner since 2018. His expertise lies in making personalised tax budgets and tax forecasts for individuals. As a tax advisor, he takes pride in simplifying tax complications for his clients using simple, easy-to-understand language.
Lala cleared his chartered accountancy exam in 2018 and completed his articleship with Chaturvedi and Shah. ... more
Shailly Question by Shailly on Sep 14, 2023Hindi
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Hi I am 35 years old single mother , want to create good wealth in next 10 years I invested 7lakh lump sum in SIP and current my 4 SIP’s are running 1- axis flexi cap -5000 2-Axis focused 25 fund -5000 3-Mirae asset large cap fund -2500 4-Kotak flexi cap fund-2500 So could you please suggest me where I can invest to create wealth for my kids future?

Ans: Hello, as per the information provided you have invested in MF via Lumpsum method and SIP method
Your SIP list is skewed towards large cap funds
You can replace the funds and add about 40% in mid and small caps as your time horizon is 10 years

Please note that these suggestions are based on your stated goals and the information you provided. It is always a good idea to consult with a financial advisor in person to better understand your risk tolerance, time horizon, and specific financial goals.
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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Omkeshwar

Omkeshwar Singh  | Answer  |Ask -

Head, Rank MF - Answered on Aug 04, 2020

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I am 37 year old with 2 kids (10yrs and 6 years) for wealth generation please guide me. Following SIPs per month: 1. Parag parikh long term DG 3k 2. Icici bank. Adv. DG 3k 3. Mirae emerging DG 2k 4. Axis bluechip DG 2k 5. DSP midcap DG 2.5k 6. Lnt focus DG 1k 7. Kotak std multicap DG 1k Lumpsump investments: 1. Lnt triple ace bond DG (50k profit switched from lnt hybrid equity fund before lockdown) 2. Lnt Hybrid equity 1.1 lakh (invested through sip now stopped) 3. Hdfc children gift fund RG 1.75 lakh (invested through sip now stopped) 4. Mirae large cap RG 1 lakh 5. Iifl focus DG 50k 6. Axis small cap DG 50k
Ans:
Name of the Fund Category RankMF Star Rating Recommendations
Varun      
1. Parag parikh long term DG 3k Equity - Multi Cap Fund 5 continue
2. Icici bank. Adv. DG 3k Hybrid - Balance Advantage 5 continue
3. Mirae emerging DG 2k Equity - Large & Mid Cap Fund 3 Switch to Canara Robeco Emerging Equities Regular -growth
4. Axis bluechip DG 2k Equity - Large Cap Fund 3 Switch to UTI MasterShare - Growth
5. DSP midcap DG 2.5k Equity - Mid cap Fund 4 continue
6. Lnt focus DG 1k (L&t Focused Equity Fund Regular Plan - Growth Equity - Focused Fund 3 switch to Axis Focused 25 Fund  - Growth
7. Kotak std multicap DG 1k Equity - Multi Cap Fund 2 Switch to UTI Equity fund  - Growth
1. Lnt triple ace bond DG (50k profit switched from lnt hybrid equity fund before lockdown) Debt - Corporate Bond Fund 3 Switch to ICICI PRUDENTIAL CORPORATE BOND FUND - GROWTH
2. Lnt Hybrid equity 1.1 lakh (invested through sip now stopped) Hybrid - Aggressive Hybrid Fund 5 continue
3. Hdfc children gift fund RG 1.75 lakh (invested through sip now stopped) (Not in RankMF)    
4. Mirae large cap RG 1 lakh Equity - Large Cap Fund 4 Continue
5. Iifl focus DG 50k (IIFL Focused Equity Fund -Regular Plan - Growth) Equity - Focused Fund 2 switch to Axis Focused 25 Fund  - Growth
6. Axis small cap DG 50k Equity - Small cap Fund 2 switch to Axis ESG Fund  - Growth

..Read more

Ramalingam

Ramalingam Kalirajan  |4605 Answers  |Ask -

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

Money
I am 40 years old and looking to create wealth of 60lakhs for my daughters education in next 10years. Can you suggest, any investment plan, to acheive this target. As of now, i am investing in following funds: 1. "SBI Magnum Tax Gain Scheme - Regular Plan - Growth ELSS" - 2000 2. "SBI Blue Chip Fund - Direct Plan - Growth" - 500 3. "UTI Long Term Equity Fund (Tax-Saving)- Direct Growth- ELSS" 3000 4. "UTI Hybrid Equity Fund - Direct Growth Plan" - 1000 5. "UTI Banking PSU Debt Fund" - 2000 6. "ICICI Prudential Value Discovery Fund DIVERSIFIED EQUITY" - 500 7. "DSP blackrock" - 2500 8. "Mirae Asset Emerging BlueChip Fund- Direct Plan - GrowthSmall & MID Cap" - 1000 9. HDFC Top 100 Funds - 3500 Total : 16000 per month. My Investment horizon are for 15 to 20 years. Let me know is this a good fund to continue and should I hold this fund or release it? Also let me know some good fund for 10 to 15 years where I can invest?
Ans: Creating wealth for your daughter's education is a commendable goal. At 40, you have a 10-year investment horizon to achieve this target. Let’s review your current investments and suggest an optimized plan to reach Rs 60 lakhs.

Assessing Your Current Mutual Fund Portfolio
Your portfolio includes a variety of funds: equity, hybrid, and debt. This diversification is a good strategy. However, fine-tuning can help you achieve your specific goal more effectively.

Equity Funds
Equity funds are crucial for long-term growth. They offer higher returns compared to other asset classes. Your portfolio has a mix of large-cap, mid-cap, and diversified equity funds. This mix is suitable for capturing market growth.

Tax-Saving (ELSS) Funds
ELSS funds provide tax benefits under Section 80C. They also offer equity exposure, which is beneficial for long-term goals. Your investments in ELSS funds are a good strategy for tax-efficient growth.

Hybrid Funds
Hybrid funds offer a balance of equity and debt. They provide stability and moderate returns. This is beneficial for risk management.

Debt Funds
Debt funds add stability to your portfolio. They are less volatile and provide steady returns. Including debt funds is wise for balancing overall risk.

Evaluating Direct and Regular Funds
Disadvantages of Direct Funds
Direct funds have lower expense ratios but lack professional guidance. Certified Financial Planners (CFPs) provide valuable insights and strategies tailored to your needs. Investing through a CFP ensures you make informed decisions.

Benefits of Regular Funds Through MFD
Regular funds, managed by Mutual Fund Distributors (MFD) with CFP credentials, offer expert advice. They help you navigate market fluctuations and optimize your portfolio for better returns.

Optimizing Your Portfolio for Rs 60 Lakhs in 10 Years
To achieve Rs 60 lakhs in 10 years, consider these adjustments and additions:

Increase Equity Exposure
Allocate more to equity funds for higher growth potential. Equity funds outperform other asset classes over the long term. Increase your investment in diversified and large-cap equity funds.

Focus on Actively Managed Funds
Actively managed funds adapt to market changes. They aim to outperform benchmarks and provide higher returns. Choose funds with strong track records and experienced fund managers.

Systematic Investment Plans (SIPs)
Continue with SIPs to maintain discipline and average out costs. SIPs are effective for long-term wealth creation and mitigating market volatility.

Lump Sum Investments
If you have a lump sum to invest, use Systematic Transfer Plans (STPs). STPs gradually transfer funds into equity, reducing timing risk and averaging out purchase costs.

Diversify Across Asset Classes
While equity should dominate, maintain some exposure to hybrid and debt funds. This ensures a balanced risk-return profile and provides stability.

Regular Monitoring and Rebalancing
Review your portfolio regularly. Rebalance it to maintain alignment with your goals and risk tolerance. This ensures your investments stay on track.

Suggested Investment Plan
Based on your current investments and the goal of Rs 60 lakhs, consider the following approach:

Equity Funds
Increase your SIPs in diversified and large-cap equity funds. These funds offer higher growth potential and are less volatile than small-cap funds.

Hybrid Funds
Maintain or slightly increase your investment in hybrid funds. They offer stability and moderate returns, balancing your overall portfolio risk.

Debt Funds
Keep a portion in debt funds for safety and steady returns. This can act as a buffer against market downturns.

ELSS Funds
Continue investing in ELSS funds for tax benefits and equity exposure. Ensure these investments align with your overall asset allocation strategy.

Professional Guidance
Seek regular advice from a Certified Financial Planner (CFP). They can provide tailored strategies and help optimize your portfolio based on market conditions and your goals.

Conclusion
Your current portfolio is diversified and suitable for long-term growth. By increasing your equity exposure and focusing on actively managed funds, you can achieve your goal of Rs 60 lakhs in 10 years. Regular monitoring and professional guidance will keep your investments on track.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Latest Questions
Maxim

Maxim Emmanuel  |288 Answers  |Ask -

Soft Skills Trainer - Answered on Jul 12, 2024

Asked by Anonymous - Apr 23, 2024Hindi
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Career
Hello sir my name is Santu Chakraborty.I am 34 year old now unmarried. My qualification is Bsc botany honours with 2nd class +diploma in mechanical engineering with distinction +btech in mechanical engineering from government engineering college west Bengal with 7.5 dgpa.I have 6 years of teaching experience in private diploma engineering college and now I working as a vocational teacher in automobile engineering department in gov high school.In my early phase of life I am going through lots of Misguide,seveare Anxiety issue. Nobody can help me on that phase.I recover mostly by my own after various dillema.I want to work in mechanical r and d company, Mechanical design basis company and also upgrade my teaching carrier. How can I start my journey at this age ?what is the risk factor also? Please tell me. I am very enthusiastic dedicated person. I have no guide in my home. My father is vegetable seller.
Ans: Hi Santu Chakraborty,

This is a really exhaustive query.

The journey thru' your acquisition of qualifications has been vast!

In the course of your life you are now suffering from SNIOP (SUSCEPTIBLE NEGATIVE INFLUENCE OTHER PEOPLE) this happens when you let others control your life.

I have this poem.. Especially for one's like you!

The Guy in the Glass

When you get what you want in your struggle for pelf,
And the world makes you King for a day,
Then go to the mirror and look at yourself,
And see what that guy has to say.
For it isn't your Father, or Mother, or Wife,
Who judgement upon you must pass.
The feller whose verdict counts most in your life
Is the guy staring back from the glass.
He's the feller to please, never mind all the rest,
For he's with you clear up to the end,
And you've passed your most dangerous, difficult test
If the guy in the glass is your friend.
You may be like Jack Horner and "chisel" a plum,
And think you're a wonderful guy,
But the man in the glass says you're only a bum
If you can't look him straight in the eye.
You can fool the whole world down the pathway of years,
And get pats on the back as you pass,
But your final reward will be heartaches and tears
If you've cheated the guy in the glass.

Dale Wimbrow (c) 1934

Get the enthusiasm going, don't get embroiled in what life has been before!

Take a stranglehold of your life and make it BIG!

The opportunities are.. Miracles waiting to happen, what are you waiting for.. You are the catalyst!?
Maxim Emmanuel.

Pick up yourself don't be a victim of self pity.

If you do need further professional advice happy to assist
https://m.me/maxim.emmanuel.2024

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Nayagam P

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Career Counsellor - Answered on Jul 12, 2024

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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