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Kirtan A Shah |77 Answers |Ask -Follow

MF Expert, Financial Planner - Answered on Sep 03, 2023

Kirtan A Shah is a certified financial planner and managing director, private wealth, at Credence Family Office.
He is also a Certified International Wealth Manager and Financial Engineering and Risk Manager.
Shah is the co-author of Financial Service Management and Financial Market Operations, which are used as reference books for Mumbai University.
He is frequently seen on CNBC, Zee Business, ET NOW & BQ Prime as an expert guest.... more

Question by MAHESH on Sep 02, 2023Hindi

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I have 4 sip in mutual fund and 1 sip in gold ETF. but I feel ,gold ETF is not giving that returns as compare to mutual fund ? should I stop that ETF and start in mutual fund SIP ?

Ans: Gold ETF is a Mutual Fund only. Allocation to gold is appreciated when markets fall. Its a hedge. Having upto 10% of your portfolio in Gold is not a bad thing. You can move the investments to SGB's

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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Question by rohan - Jan 04, 2021Hindi

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I have SIP in following funds since last 3 years should i continue or switch: 1.ABSL Pharma fund growth 2.ABSL digital fund growth 3.ABSL low duration fund 4.ICICI asset allocator fund 5.SBI Banking and finance fund 6.ABSL Banking and finance fund

Ans: In Large Cap: Axis Bluechip Fund - Growth is a better option

Too many Sectoral Funds; the risk of concentration is high; instead diversified funds are better option.

UTI Equity Fund – Growth
DSP mid cap Fund – Growth
Tata Large & Mid Cap Fund - Growth
Canara Robeco Emerging Equities – Growth

Above funds have decent exposure to Pharma, Banking and Technology

Rest of the funds are okay.

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Question by sachidananda - Apr 22, 2023Hindi

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Following are the mutual funds I am holding. This is through SIP for last 4 years . Advise me whether I should continue with this or shift.

Ans: No details given by you.

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Asked by Anonymous - Jul 17, 2023Hindi

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sir pls advise on the recently launched mutual funds of Mirae Asset Global X Artificial Intelligence and Technology ETF Fund of Fund and Mirae Asset Global Electric & Autonomous Vehicles ETFs Fund of Fund. Should i go in SIP in these mutual funds or continue SIP in already existing large midcap small funds

Ans: Hello and thanks for writing to me.

The funds you mention are thematic funds. Thematic funds have the potential to give high returns, but as focus area of the fund is narrow and restricted and the fund will only invest only in companies operating in the particular theme.

If you build a concentrated portfolio comprising only in themeatic/sectoral fund and if there is a downturn in that particular theme, then you may see your portfolio growth stagnate for some time.

I recommend that you consult a financial advisor who can help you create a diversified portfolio after understanding your own goals and risk appetite.

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Mutual Funds, Financial Planning Expert - Answered on May 19, 2024

Question by SHIVANGI - May 16, 2024Hindi

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Sir, I have SIPs in following fund: 1) ICICI Pru Bluechip Fund - Rs. 2000; 2) Mirae Asset Large Cap Fund - Rs. 1000; 3) HSBC Mid Cap Fund - Rs. 2000; 4) Nippon Small Cap Fund - Rs. 1000; 5) ICICI Pru Flexicap Fund - Rs. 2000; 6) HDFC Flexicap Fund - Rs. 2000; 7) ICICI Nifty IT Index Fund - Rs. 1000; 8) Motilal S&P 500 Fund - Rs. 1000; 9) Nippon India Silver ETF FOF - Rs. 1000. Should I continue?

Ans: Your disciplined approach to investing through Systematic Investment Plans (SIPs) is commendable. Diversifying across various fund categories shows a thoughtful strategy. Let’s analyse your portfolio in detail.

Large Cap Funds
You have investments in two large cap funds. These funds focus on established companies, providing stability and moderate growth.

Large cap funds are generally less volatile and offer steady returns, making them suitable for long-term goals.

Mid Cap and Small Cap Funds
Your portfolio includes mid cap and small cap funds. Mid cap funds invest in medium-sized companies, which can offer higher growth potential but come with increased risk.

Small cap funds invest in smaller companies, which are riskier but have significant growth potential.

Flexicap Funds
You have SIPs in two flexicap funds. Flexicap funds provide flexibility by investing across large, mid, and small cap stocks. This diversification within a single fund can enhance returns and reduce risk.

Sector and Thematic Funds
The inclusion of a sector-specific fund, like the Nifty IT Index Fund, and a thematic fund, like the Motilal S&P 500 Fund, adds diversity. However, these funds can be volatile as they are concentrated in specific sectors or themes.

Commodity-Based Fund
Your portfolio includes the Nippon India Silver ETF Fund of Funds (FOF). Commodity-based funds can provide diversification, but they can be volatile and are influenced by market demand and global trends.

Portfolio Overlap and Concentration
While your portfolio is diversified, it is essential to assess the overlap. Multiple funds investing in similar sectors or companies can lead to redundancy.

Disadvantages of Index Funds and ETFs
Index funds and ETFs track a specific index and replicate its performance. They cannot outperform the market since they lack active management.

Actively managed funds, on the other hand, aim to beat the market through strategic decisions and dynamic adjustments.

Benefits of Actively Managed Funds
Actively managed funds have experienced managers who strive to outperform the market. They can adjust the portfolio based on market conditions and select high-potential stocks, offering better returns.

Assessing the Need for Rebalancing
Given your portfolio, it may be beneficial to rebalance for optimal performance. Here are some suggestions:

Reduce Overlap: Consider reducing the number of large cap funds to avoid redundancy.

Focus on Quality Funds: Ensure the funds you invest in have a consistent performance record and a good management team.

Reevaluate Sector/Thematic Funds: Assess if the sector and thematic funds align with your risk tolerance and investment goals.

Regular Monitoring and Review
Regularly review your portfolio to ensure it aligns with your financial goals. Market conditions change, and periodic adjustments are necessary.

Consulting a Certified Financial Planner (CFP) can provide professional advice tailored to your needs. A CFP can help you select suitable funds, monitor performance, and make necessary adjustments.

Conclusion
Your diversified SIP portfolio shows a thoughtful approach towards long-term wealth creation. With some adjustments and regular reviews, you can enhance your portfolio's performance.

Focus on reducing overlap, prioritising actively managed funds, and aligning your investments with your financial goals. Keep up the good work and continue your disciplined investing.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

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Question by Ajay - Apr 01, 2025Hindi

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My grandson 5yrs old suffered from kawasaki disease Although he recovered but his arteries considerably suffered/damaged Although all precautions were taken .it has come to light while taken eco by pediatrician cardiologist. For the last2/3months he was on blood thinner medicine. His reading has reached 2.3level.he is undergoing treatment escort heart hospital delhi under supervision of Paedritician cardiologist. I am very much worried. Will,he recover fully and lead a normal life.

Ans: If he has coronary artery aneurysms then he needs regular echocardiograms and follow up with a pediatric cardiologist till the aneurysms regress. Till that happens, he is at a risk for myocardial infarctions hence will require lifestyle changes. Most aneurysms regress after a year. But follow ups will be required for some years as will be advised by the cardiologist

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Stock Market Expert - Answered on Apr 02, 2025

Asked by Anonymous - Apr 02, 2025Hindi

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I have been investing in shares for several years and have seen good returns, but with increasing market volatility, I'm considering diversifying into international stocks or alternative assets. What are the potential benefits and risks of each approach?

Ans: Diversifying into international stocks and alternative assets can be a strategic move, especially given your experience in financial analysis and investment planning. Here’s a breakdown of the benefits and risks of each approach:
International Stocks
Benefits are as follows:
- Diversification – Investing globally reduces dependence on domestic market conditions and spreads risk
- Access to High-Growth Markets – Some international markets, particularly emerging economies, may offer higher growth potential.
- Currency Appreciation – If the foreign currency strengthens against the INR, your returns could increase.
- Exposure to Leading Industries – Developed markets like the U.S. provide access to top tech, healthcare, and finance companies.

Risks involved in international markets are as follows:
- Currency Fluctuations – Exchange rate volatility can impact returns.
- Political & Economic Risks – Foreign regulations, trade policies, and economic instability can affect investments.
- Higher Transaction Costs – International investing often involves additional fees and taxes.
- Limited Information Access – Researching foreign companies may be more challenging compared to domestic firms.

Alternative Assets (Real Estate, Commodities, Private Equity, etc.)
Following are the benefits:
- Low Correlation with Stock Markets – Alternative assets often move independently of traditional markets, helping mitigate volatility.
- Inflation Hedge – Real assets like gold and real estate tend to retain value during inflationary periods.
- Potential for High Returns – Private equity and hedge funds can offer substantial gains if managed well.
- Portfolio Customization – Some alternative investments allow direct control, such as real estate or private businesses.

Risks involved are as follows:
- Illiquidity – Many alternative assets, such as private equity and real estate, are not easily sold.
- Complexity – These investments often require specialized knowledge and due diligence.
- Higher Fees – Alternative investments may have higher management costs and entry barriers.
- Market Uncertainty – Some assets, like cryptocurrencies, can be highly volatile.

Given your methodical approach to financial planning, you might find international ETFs a convenient way to gain global exposure while managing risk. Similarly, REITs or commodity funds could be a structured way to enter alternative assets without direct ownership complexities.

Ramalingam Kalirajan |8175 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on Apr 02, 2025

Question by Srikanta - Apr 01, 2025Hindi

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I'm now 68 years old. Living with my wife. I have 2 daughters. Both are well settled. I don't have any liability. I'm a pension holder. I'm getting Rs 75,000/- pension pm. I have invested Rs1,50,00,000 in FD. 7lakhs in Mutual funds, 6,50,000 in equity. 12 Lakhs in Sovereign Gold Bond, I'm getting Rs 35,000/- House rent pm. I have 25 lakhs Cash in hand. I want to deposit the above amount. How can I diversified the above amount to deposit?

Ans: Your financial position is strong. You have a steady pension and rental income. Your investments are diversified across FDs, mutual funds, equity, and gold bonds. Let’s allocate your Rs. 25L wisely.

Emergency Fund Allocation
Keep Rs. 5L in a high-interest savings account.

Use a liquid mutual fund for another Rs. 3L for easy access.

This ensures quick access to funds in case of unexpected expenses.

Debt Investment for Stability
Invest Rs. 7L in a mix of short-term and medium-term debt mutual funds.

These offer better post-tax returns than FDs.

Choose high-quality funds with stable performance.

Equity Investment for Growth
Allocate Rs. 5L to large-cap mutual funds via SIP.

This ensures gradual market participation and reduces risk.

Avoid direct stocks for this amount, as mutual funds offer better risk management.

Gold Investment for Inflation Hedge
You already have Rs. 12L in Sovereign Gold Bonds.

No additional gold investment is needed.

Regular Income Investment
Invest Rs. 5L in SWP-based mutual funds for periodic withdrawals.

This provides additional income while keeping capital appreciation intact.

Final Insights
Your current portfolio is well-structured. This allocation balances liquidity, stability, and growth. Your pension and rental income provide financial security. Diversifying your Rs. 25L ensures better returns while maintaining risk control.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

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

Ramalingam Kalirajan |8175 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on Apr 02, 2025

Question by Ashutosh - Apr 01, 2025Hindi

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Sir kindly suggest some mf for steady return for 5 yr in SIP in large cap

Ans: Investing in large-cap mutual funds through SIP is a stable choice. These funds focus on established companies with strong financials. They offer consistent growth with lower risk compared to mid-cap and small-cap funds.

Let’s assess how to select the right fund.

Why Large-Cap Funds for Five Years?
Invest in top companies with proven stability.

Less volatile than mid-cap and small-cap funds.

Suitable for a five-year investment horizon.

Provide inflation-beating returns over time.

Ideal for steady compounding with SIP investments.

Actively Managed vs. Index Funds
Actively managed funds outperform index funds in varying market conditions.

Fund managers adjust portfolios based on market trends.

Index funds only replicate the market and cannot outperform it.

Actively managed funds provide better downside protection.

For five-year investments, active management ensures stable performance.

Choosing the Right Fund
Look for funds with a history of stable returns.

Ensure the fund has an experienced fund manager.

Avoid funds with frequent manager changes.

Select funds with lower expense ratios among actively managed ones.

Check the rolling returns of the fund, not just past performance.

Tax Considerations
Long-term capital gains (LTCG) above Rs. 1.25 lakh taxed at 12.5%.

Short-term capital gains (STCG) taxed at 20%.

SIP investments held for over one year qualify for LTCG benefits.

Plan withdrawals strategically to reduce tax burden.

Final Insights
Large-cap mutual funds are suitable for stable returns over five years. They balance risk and reward effectively. Choose an actively managed fund with strong historical performance. Stay invested with SIPs for disciplined wealth creation.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

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

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Question by bhagwan - Mar 31, 2025Hindi

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mere reliance ke share iepf me hai aur reliance ne jio k share diye hai bonus me to iepf ka claim kaise kare aur jio k shares kaise account me lene hai

Ans: To claim shares from the Investor Education and Protection Fund (IEPF), follow these steps:
1) Visit the IEPF Website – Go to the official IEPF portal to begin the process. (https://www.iepf.gov.in/content/iepf/global/master/Home/HelpAndFAQs/faqs-for-claimants.html)
2) Fill Out Form IEPF-5 – Complete the online application form with details of the shares you wish to reclaim.
3) Prepare Required Documents – Gather necessary documents, including identity proof, shareholding details, and a canceled cheque.
4) Submit the Form & Documents – Send the printed Form IEPF-5 along with supporting documents to the company’s Nodal Officer at its registered office.
5) Company Verification – The company will verify your claim and send a report to the IEPF Authority.
6) Track Claim Status – Monitor the progress of your claim on the IEPF portal.
7) Approval & Credit of Shares – Once approved, the shares will be credited to your Demat account.

Ramalingam Kalirajan |8175 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on Apr 02, 2025

Asked by Anonymous - Apr 01, 2025Hindi

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Sir...I am 56 years old. I want to take voluntary resignation. I will get 45000 as monthly pension and Rs.75 lacs as lumpsum. I have own house and only son is working in TCS. Can i take VRS????

Ans: Your situation is strong. You have a stable pension, a lumpsum amount, and no housing worries. Your son is financially independent. Let’s evaluate your decision from all angles.

Monthly Cash Flow Analysis
You will receive Rs. 45,000 per month as a pension.

Your expenses must be assessed. If your monthly spending is less than Rs. 45,000, then pension alone can cover your needs.

If expenses are higher, you will need an income from your Rs. 75L corpus.

Inflation will increase costs over time. Your pension may not grow, so investment returns should outpace inflation.

Emergency Fund Planning
Keep at least 12 months of expenses in a safe place.

Use a combination of a bank savings account and a liquid mutual fund.

Avoid locking all your funds in long-term investments.

Investment Strategy for Rs. 75L
You must structure investments to generate income, ensure growth, and manage risk.

Allocate funds into mutual funds for long-term growth.

Use Systematic Withdrawal Plans (SWP) for steady income.

Diversify across large-cap, flexicap, and hybrid mutual funds.

Consider debt funds for stability.

Avoid high-risk sectoral/thematic funds for income needs.

Tax Efficiency
Pension is taxable as per your income tax slab.

Mutual fund withdrawals are taxed based on duration and type.

Keep SWP withdrawals below the taxable limit to minimize tax burden.

Use tax-saving instruments like PPF and senior citizen savings schemes if applicable.

Health Insurance and Medical Planning
Ensure you have a good health insurance plan.

A cover of Rs. 15-20L is advisable for senior years.

Maintain a separate emergency fund for medical needs.

Consider critical illness insurance for major health risks.

Estate Planning and Will Creation
Create a will to ensure smooth asset transfer.

Appoint a nominee for all investments and bank accounts.

Discuss future financial plans with your son.

Final Insights
Taking VRS is a viable option for you. Your pension provides a steady income. Your Rs. 75L can be invested wisely to support future needs. Focus on structured investments, tax efficiency, and health security. If planned well, this decision can give financial stability and peace of mind.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

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

Mayank Chandel |2159 Answers |Ask -Follow

IIT-JEE, NEET-UG, SAT, CLAT, CA, CS Exam Expert - Answered on Apr 02, 2025

Question by Binod - Mar 23, 2025Hindi

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95.1 %tile obc rank kitna hoga

Ans: Your OBC rank can be somewhere around 1100.

Mayank Chandel |2159 Answers |Ask -Follow

IIT-JEE, NEET-UG, SAT, CLAT, CA, CS Exam Expert - Answered on Apr 02, 2025

Question by Ashish - Mar 16, 2025Hindi

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Please guide how to increase percentile from 93.5 to 97 . I attempted 36 question from which 7 were wrong in the last session

Ans: Hi Ashish
controlling your negatives is the only option.

Mayank Chandel |2159 Answers |Ask -Follow

IIT-JEE, NEET-UG, SAT, CLAT, CA, CS Exam Expert - Answered on Apr 02, 2025

Question by Mahak - Mar 20, 2025Hindi

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I have 'kumari' in my name in Aadhar Card. Whereas, there is no 'kumari' in 10th marksheet. I have applied for Cuet(ug) already with these different details. Will my application get rejected because of this? I have already applied for updation of Aadhar Card tho.

Ans: Hello Mahak
Your CUET-UG application will not be rejected just because of the difference in "Kumari" in your Aadhaar and 10th marksheet. Minor name variations are usually acceptable as long as your other details (like date of birth, parents' names, etc.) match.

Since you have already applied for an Aadhaar update, here’s what you should do next:

Keep a copy of the Aadhaar update request slip as proof.

Check the CUET correction window (if available) and update your details to match your 10th marksheet if possible.

During counseling or document verification, carry supporting documents like:

Your 10th marksheet (as primary proof of name)

The updated Aadhaar (if received by then)

Any affidavit (if required, stating both names refer to the same person)

Since "Kumari" is often considered a middle name/title rather than a major name discrepancy, this should not cause rejection. Just ensure consistency across documents before counseling.

Mayank Chandel |2159 Answers |Ask -Follow

IIT-JEE, NEET-UG, SAT, CLAT, CA, CS Exam Expert - Answered on Apr 02, 2025

Asked by Anonymous - Mar 18, 2025Hindi

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Sir I am army Brat I want to take admission in AIT PUNE Pune but there is a problem that in my father service record my name spelling is a little bit wrong its sudhir in place of Sudheer can I get admission in AIT Pune Please tell me the proper procedure of admission regarding this

Ans: Yes, you can get admission to AIT Pune despite the minor spelling difference in your name, but you will need to rectify or provide supporting documents to avoid complications. Here’s the proper procedure for admission and how to handle the name discrepancy:

Check if Correction is Possible

If feasible, your father can request a name correction in his service record through the concerned Army Records Office.

This process may take time, so apply early.

Submit an Affidavit
Get an affidavit from a notary stating that "Sudhir" and "Sudheer" refer to the same person.
Clearly mention that the discrepancy exists in the service record.

Prepare a Name Correction Certificate
If possible, obtain a gazette notification for the corrected name.
Alternatively, school/board records should match your correct name.

Contact AIT Pune for Clarification
Email or call AIT Pune Admissions Office and explain the situation.
Ask if they accept an affidavit or any other supporting

See more questions »

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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