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Ramalingam

Ramalingam Kalirajan  |7621 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 06, 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
Shiva Question by Shiva on Apr 16, 2024Hindi
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Hi I am 39 years old, I would like to invest in mutual funds. Below is my portfolio Have one Flat worth 1cr and i am staying in that. Have 3 plots each worth 50Lacs. And have loan of 42 Lac Emi is 43000 and expense is 30K. And 2Lac school fee every year for kid one Monthly take home is 1.3Lac Mutual funds have 1Lac investment. PPF 5Lac, PF 21Lac, NPS 10Lac. Sukanya 5Lac. Current Savins EPF 20000pm, NPS - 10000pm, Mutual funds- 8K. Term insurance 1cr, health insurance 10lac i have I would like to create corpus for retirement, kids education and marriage, have two kids 7 and 1 year. Please suggest how to allocate . Following is my Mutual fund portfolio, 1000sip in all categories, large cap, mid cap, small cap, multi and flexi cap, balanced advantage fund.

Ans: It's wonderful to see your proactive approach to financial planning, especially considering your family's future needs and goals. Let's discuss how to allocate your investments to create a solid corpus for retirement, kids' education, and marriage:

• First, let's address your existing assets – your flat and plots. These are valuable assets that can contribute to your overall net worth.
• However, it's crucial not to rely solely on real estate for your investment portfolio diversification.

• With regards to your loans, it's advisable to prioritize paying off high-interest debts, like your loan with a 42 lakh balance.
• By reducing debt, you can free up more funds for investments and increase your financial flexibility.

• Now, let's focus on your monthly expenses, including your child's school fees and other living expenses.
• It's essential to budget wisely and ensure that your investment contributions don't compromise your day-to-day financial stability.

• Your existing investments in PPF, PF, NPS, and Sukanya are commendable. These provide a solid foundation for your financial future.
• You can continue contributing to these instruments while also exploring additional investment avenues to diversify your portfolio.

• Considering your investment horizon and risk tolerance, mutual funds offer an excellent opportunity for long-term growth.
• Your current SIP portfolio across different categories – large cap, mid cap, small cap, multi, and flexi cap – is well-diversified.

• As a Certified Financial Planner, I would suggest reviewing your asset allocation and ensuring it aligns with your financial goals.
• Allocate a portion of your monthly savings towards increasing your SIP contributions to mutual funds, aiming for a balanced mix across categories.

• Additionally, consider increasing your contributions to retirement-focused instruments like NPS, which offer tax benefits and long-term wealth accumulation.
• For your children's education and marriage goals, consider setting up separate SIPs or investment accounts dedicated to these objectives.

• Lastly, ensure you have adequate insurance coverage, including term insurance and health insurance, to protect your family's financial well-being.
• Regularly review your financial plan, adjust as needed, and stay committed to your long-term goals.

By following these steps and staying disciplined with your investments, you'll be well-prepared to achieve your financial aspirations and provide for your family's future needs. Keep up the good work, and remember that consistency and patience are key to success!
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  |7621 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Apr 25, 2024

Asked by Anonymous - Apr 25, 2024Hindi
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Hi Sir . I am a 34-year-old man with a monthly income of 1.4 Lakh. I have a 1-year-old son. I haven't invested in mutual fund investments before and seek your guidance on how much to invest and in which mutual funds. My financial goals are as follows: Accumulate atleast 6 crores before retirement (in the next 20 years). Save atleast 1-2 crore for my son's higher education in the next 20 years. Set aside atleast 50 lakhs for my son's marriage in the next 25 years. My current investments include: PPF - 1.5 Lakhs per annum for the last 5 years. NPS - 50000 per annum for the last 3 year. ULIP - 1.2 Lakh per annum for last 1 year One SBI scheme - 1.2 Lakhs per annum for last 3 years My wife is also working with monthly income of 1.4 Lakhs. I would greatly appreciate your advice on how to structure my mutual fund investments to achieve these goals. Thank You.
Ans: It's commendable that you're planning ahead for your family's future. With clear financial goals and a steady income, you're already on the right path. Given your aspirations, mutual funds can play a pivotal role in achieving these milestones.

For your retirement goal of accumulating 6 crores in 20 years, systematic and disciplined investing will be key. Similarly, for your son's education and marriage funds, a structured approach can make a significant difference.

Considering your current investments in PPF, NPS, ULIP, and other schemes, mutual funds can complement these by offering diversification and potential growth opportunities. A Certified Financial Planner can help you tailor an investment strategy aligned with your goals, risk tolerance, and time horizon.

Remember, investing is a journey, not a race. It requires patience, diligence, and periodic review. By investing wisely and staying committed to your goals, you can pave the way for a secure and prosperous future for your family. Best wishes on your financial journey!

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Prof Suvasish

Prof Suvasish Mukhopadhyay  |309 Answers  |Ask -

Career Counsellor - Answered on Jan 24, 2025

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Dear Sir/Madam, My daughter is currently doing her last year BA in psychology. Post graduation, she wants to work in india and gain some experience in counselling post which, she intends to persue her MA in psychology. I understand that in most of the countries, 3 years BA is not valid for a MA course. In that case, will the one year experience in counselling help her to get a MA admission in Ireland. If no, which course should she do in order to be in par with 4 year graduation in psychology. I want to know which countries will be affordable for a MA course and also there would be good scope in that country. we had earlier thought of Germany which can match our pre requisites but, since German language is compulsary, even if she completes 4 levels, she may not be able to match up with the local language and her field being counselling, we had to drop the idea. Kindly adivce. Regards, Mrs. AV.
Ans: You need to check the university rules of the university which are based on Ireland. One year counselling can't be a substitute of one year experience of Graduation. The best possible way to go for two years of post graduation. Germany is the best country, because for girls the education is totally free. In Germany, education is considered "totally free" for women at the majority of public universities, meaning there are no tuition fees for undergraduate studies; however, students may still need to pay small administrative fees per semester, known as "semester contributions." In Germany, education is considered "totally free" for women pursuing an MS degree, meaning there is no tuition fee at public universities for both domestic and international students, including women, making it a very attractive option for female students seeking a Master's degree. But she must learn German Language. Except Germany I am not seeing any option. Because US is very costly, even other countries are costly. Level 4 is not important, she must find a friend who is also learning German language and regularly she should practice speaking at least for one hour. In simple language she must chat in Germany for one hour everyday for three months, then everything will be soooooo........... easy. Best of luck to your daughter. Just follow me. MAY GOD BLESS HER. Professor.................................:)

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Nayagam P

Nayagam P P  |4071 Answers  |Ask -

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Friends, My son is currently opting for Commerce with Computer group in Plus One and is considering the following courses: *B.Com.,* in 1. Business Process Services 2. ?Professional Accounting 3. ?Business Analytics 4. ?Business Process Management 5. ?Computer Applications 6. ?Fintech 7. ?International accounting(ACCA UK) 8. ?Self Finance 9. ?Strategic Finance (US CMA) 10. ?Cost & Accounting Mgmnt 11. ?E-Commerce 12. ?Financial System 13. ?Foreign Trade I seek your advice on the best course combination and future prospects. Could you please share your valuable suggestions and insights on the following: - Best course combinations for Commerce with Computer group - Career opportunities and growth prospects - Any additional courses or certifications that would enhance his career prospects
Ans: The Commerce with Computer group offers a wide range of courses for your son, based on his interests, strengths, and career goals. Some of the most promising options include a B.Com. in Business Analytics, which combines commerce and data analysis, and a B.Com. in Fintech, which focuses on technology-driven financial services. These courses offer career opportunities in sectors like e-commerce, IT, and financial services.

Additional certifications can enhance career prospects, such as ACCA UK certification, US CMA certification, and B.Com. in Computer Applications. These certifications will equip your Son with globally recognized accounting skills, allowing them to work in multinational corporations or abroad.

For a more tailored approach, your son can pursue certifications in accounting and finance, technology and business analytics, and management and strategy. Soft skills and global recognition can be achieved through IELTS or TOEFL courses.

To make an informed decision, you should discuss your son's interests, career goals, and job market, and focus on courses aligned with high-growth industries like analytics, fintech, or international finance.

All The BEST for Your Son's Prosperous Future.

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Nitin

Nitin Narkhede  |59 Answers  |Ask -

MF, PF Expert - Answered on Jan 23, 2025

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Hi Sir, I am retired and 63 years old. Having 50 lacs in equity.1.5 cr MF, 25 lacs in SCSS.expected landproperty sale of 4.5 cr also having own house and no education or marriage expenses of children. Medical insurance of 10 lack for me and wife. However intended to buy a residential property of 3 cr to get relax from capital gain post selling the land. And same will be given to daughter later. Need monthly expenses of 1.25 lack. Since market is too volatile. Kindly suggest way forward.
Ans: Dear Pralhad,
To manage your finances post-retirement and handle market volatility, allocate the ?4.5 crore from your land sale strategically. Use ?3 crore to purchase a residential property to save on capital gains tax and gift it to your daughter later. Allocate the remaining ?1.5 crore into ?50 lakh in SCSS for secure returns (~?16,000/month), ?50 lakh in RBI Floating Rate Bonds or POMIS (~?30,000/month), and ?50 lakh in balanced mutual funds for moderate growth. For your existing assets, keep ?25 lakh in SCSS and divide the ?1.5 crore mutual funds portfolio into 60% balanced advantage or hybrid funds for stability and 40% debt funds for steady income. Maintain 20-25% equity exposure (?50 lakh) in large-cap or dividend-yield funds for growth. Combined with a ?20-30 lakh emergency fund, this ensures a stable monthly income of ?1.25 lakh while safeguarding against market risks and providing for your family's future. Consult a certified financial advisor for personalized tax-efficient strategy
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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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