Sir, I am 40 yrs male working in a Pvt Organization. I hv active monthly MF a) Mirae Asset Tax Saving- Rs.2000 b) Quant Tax Plan- Rs.2000 c) Canara Robeco Tax Saving- Rs.2000 d) Parag Parikh Tax Saver- Rs.2000 e) NPS contribution by Axis- Rs.3425 I want to step up my investment by another 15K-20K with a horizon of 15-20 yrs. I am ok with moderate to high risk funds for atleast 5 yrs from now. Pls suggest which funds should I invest & how much. Regards, P.S

Ans: You can continue with the SIPs in these funds except Nippon India Focused Equity Fund, which I suggest you to get out of. There is no requirement to introduce any other new fund in your personally managed portfolio as you are doing well with your ongoing SIPs.

You can start additional SIPs in ICICI Prudential Bluechip Fund and Canara Robeco Emerging Equities Fund with the additional amount.

Disclaimer:
• I have just no idea about your age, future financial goals, your risk profile, other investments and whether you would have the nerves to not get unduly perturbed if stock markets go temporarily down.
• Hence, please note that I am answering your question in absolute isolation to other parameters which should definitely be considered when answering a question of this type.
• I recommend you to also consult a good financial advisor who would look at your complete profile in totality before you act on this advice given by me.

Ans: It's never too late to start investing, and it's admirable that you've taken this step towards securing your financial future, especially with family responsibilities and approaching retirement. Let's explore some suggestions for your investment within your budget of Rs 20,000 per month:

Diversify Your Portfolio: Your current portfolio already includes a mix of mid-cap, large-cap, small-cap, and flexi-cap funds, which is a good start. To further diversify, consider adding a balanced fund or a hybrid fund, which invests in a mix of equities and debt instruments. This can provide stability while still offering growth potential.
Consider Debt Investments: As you approach retirement, it's essential to balance your portfolio with debt investments to reduce overall risk. You can allocate a portion of your monthly investment towards debt funds or fixed-income instruments like PPF, RDs, or bonds. These investments offer steady returns and help preserve capital.
Evaluate Risk Tolerance: Given your age and investment horizon of at least 10 years, you can afford to take on some risk to achieve higher returns. However, it's crucial to assess your risk tolerance and ensure that your investment choices align with your comfort level.
Review and Rebalance Regularly: Periodically review your investment portfolio to ensure it remains aligned with your financial goals, risk tolerance, and market conditions. Rebalance your portfolio if necessary, considering changes in your financial situation or investment objectives.
Consult with a Financial Advisor: Consider consulting with a Certified Financial Planner or financial advisor who can provide personalized advice based on your specific needs and goals. They can help you create a customized investment plan and provide guidance on asset allocation, portfolio diversification, and risk management.
Stay Invested for the Long Term: Investing for retirement requires patience and discipline. Continue to invest regularly and stay committed to your long-term financial goals. Avoid making impulsive decisions based on short-term market fluctuations.
Remember, investing is a journey, and it's essential to remain focused on your goals while adapting to changing circumstances. With careful planning and prudent investment choices, you can build a secure financial future for yourself and your family. Keep up the good work, and best of luck on your investment journey!

Ans: Your consistent investment over the past 5 years reflects commendable financial discipline. Let's evaluate your current portfolio and suggest potential adjustments to align with your goals.

Review of Current Investments
1. Canara Rob Emerg Equities Fund:

Focus: Emerging equities.
Assessment: Offers exposure to high-growth potential companies. May be volatile but suitable for long-term growth.
2. ICICI Pru Bluechip Fund:

Focus: Bluechip companies.
Assessment: Provides stability and consistent returns. Suitable for investors seeking steady growth with lower risk.
3. Nippon India Focused Equity Fund:

Focus: Focused approach to equity investment.
Assessment: Concentrated portfolio aiming for higher returns. Requires higher risk tolerance.
4. SBI Small Cap Fund:

Focus: Small cap companies.
Assessment: High growth potential but comes with higher risk due to volatility.
5. Tata Hybrid Equity Fund:

Focus: Mix of equity and debt.
Assessment: Provides diversification and stability. Suitable for conservative investors.
Potential Adjustments
1. Reviewing Existing Funds:

Performance Check: Assess the performance of your current funds against benchmarks and peers.
Risk Assessment: Consider your risk tolerance and investment horizon when evaluating the suitability of each fund.
2. Adding New Funds:

Strategic Allocation: Consider adding funds that complement your existing portfolio and fill any gaps.
Diversification: Aim for a well-diversified portfolio across asset classes and investment styles.
Suggestions for Additional Investments
1. Large Cap Fund:

Stability: Add a large cap fund for stability and consistent returns.
Example: Look for funds with a proven track record in investing in bluechip companies.
2. Balanced Advantage Fund:

Dynamic Allocation: Consider a balanced advantage fund for dynamic asset allocation.
Benefits: These funds adjust their equity-debt mix based on market conditions, providing stability with growth potential.
3. Multi-Cap Fund:

Diversification: Invest in a multi-cap fund for exposure across market capitalizations.
Flexibility: These funds have the flexibility to invest across large, mid, and small cap stocks based on market opportunities.
Importance of Professional Guidance
Engage a Certified Financial Planner (CFP):

Personalized Advice: A CFP can provide personalized advice tailored to your financial goals and risk tolerance.
Optimization: Helps optimize your portfolio and ensure it aligns with your long-term objectives.
Regular Monitoring and Review
Periodic Portfolio Review:

Frequency: Review your investment portfolio periodically, at least annually.
Adjustments: Make adjustments as needed to ensure your investments stay aligned with your goals and market conditions.
Final Thoughts
Your current portfolio includes a mix of funds catering to different investment objectives. Consider reviewing the performance of your existing funds and adding new funds to further diversify and optimize your portfolio. Seeking professional guidance from a Certified Financial Planner can provide valuable insights and ensure your investments are on track to meet your goals.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in