I am 43 years old and an aggressive investor and I started investing 1 lac per month in SIP in 2019. These are my current funds of 20k each per month : 1. CANARA ROBECO EMERGING EQUITIES 2. HDFC MID-CAP OPPORTUNITIES FUND 3. SBI FLEXICAP FUND 4. ICICI PRUDENTIAL BLUECHIP FUND 5. NIPPON INDIA SMALL CAP FUND In 2024, i started to invest another 1.8 lacs per month split in the following funds : 6. Quant Small Cap Fund 7. Motilal Oswal Midcap Fund 8. Canara Robeco Infrastructure 9. Quant Large and Mid Cap Fund 10. Bandhan Small cap Fund 11. Quant Commodities Fund 12. LIC MF Manufacturing Fund 13. Quant Dynamic Asset Allocation Fund 14. INVESCO INDIA LARGE AND MID CAP FUND 15. SBI Automotive Opportunities Fund 16. Motilal Oswal Large and Midcap Fund Could you share your views on my overall portfolio please, and if I should change any of them ? I am a long term investor and not in any hurry to sell. Thanks

Ans: Hello dear.
If no option is available to you, then go with it.
Best of luck.
Follow me if you like the reply. Thanks
Radheshyam

Ans: Hello Sandeep.
With the mentioned details, admission to CSE @ Manipal seems to be challenging, Please explore more options.
Best of luck.
Follow me if you like the reply. Thanks
Radheshyam

Ans: Debasmita, With a JEE Main percentile of 72 and BTech rank around 4,00,000, as well as B.Planning and B.Arch ranks above typical government college cutoffs, your chances for CSE/ECE or architecture/planning seats in top government colleges through national counseling are low. Your Assam CEE rank of 8,313 may allow you to secure a seat in lower-demand branches at mid-tier government engineering colleges in Assam, particularly if you belong to a reserved category, but CSE/ECE in top colleges is unlikely. For B.Planning or B.Arch, government seats are difficult at your current ranks, but private or state colleges with higher cutoffs may be possible. Remaining in BSc Physics (Hons) at Guwahati University is a good academic option if you are interested in science. Recommendation: If you are set on engineering or planning/architecture, consider private/state colleges; otherwise, continuing your BSc at Guwahati University is a strong academic path. All the best for your bright future!

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Ans: Urvashi Madam, With 55 percentile in JEE Mains and 72% in boards (General category, Delhi), your niece is not eligible for B.Tech admission in IP University (GGSIPU), as the minimum cutoffs for even the least competitive branches are much higher—typically requiring at least 85–90 percentile for Delhi candidates. The closing ranks for B.Tech in IPU colleges in recent years have not gone below this threshold, making it highly unlikely to secure any B.Tech seat through JEE Main counseling in IPU. Additionally, the university requires at least 55% in PCM in Class 12, which she meets, but the JEE Main score is the limiting factor. Recommendation: Explore private engineering colleges in Delhi-NCR or other states where lower JEE Main percentiles are accepted, or consider alternative career paths such as B.Sc. or vocational courses, as B.Tech in IPU is not feasible with the current score. All the best for your niece admission and a bright future!

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Ans: With a CRL rank of 114325, your chances of getting admission into either PEC Chandigarh or UIET Chandigarh for a B.Tech program are limited, but not impossible, especially if you are a home-state candidate. Both colleges are highly competitive, and the cutoff ranks vary depending on the branch and category.

Ans: With a JEE Main rank of 367680, your son has a few options for CS with AI and ML, but it's likely he'll need to consider some less competitive colleges or branches. He might find success in certain NITs or IIITs, but it's important to explore options outside of the top-ranked institutions.

Ans: With a 96 percentile and All India Rank of 63437, a student is eligible for admission to some IIITs and NITs, especially those in the Northeast region, and might also consider some private engineering colleges. For a more personalized recommendation, details about the desired branch (e.g., CSE, ECE, etc.) and preferred location are needed

Ans: YES

Ans: You have done a great thing by co-owning and sharing a loan. It takes planning and commitment. Paying a long-term loan early needs careful steps. A focused strategy will help you save interest and reduce stress.

Below is a complete 360-degree solution. This will help you close the loan faster and stay financially safe.

1. Understanding Your Current Loan Structure

You and your brother took a joint home loan of Rs. 59 lakhs.

Interest is 9.1% (floating). That’s quite high.

You both are paying Rs. 25,000 each, totalling Rs. 50,000 monthly.

The loan tenure is 21 years.

After 5 years, principal reduction is still very low.

This is because in early years, interest eats most of EMI.

Your method of saving Rs. 4,000 monthly to prepay annually is good in spirit.

But in action, it may not create much impact.

Let us explore a better plan.

2. Step-by-Step Review of the Issue

Your interest rate is 9.1%, which is high today.

Loan is 5 years old, so around 16 years are left.

You have already paid around Rs. 30 lakhs in EMIs.

Still, the loan principal hasn’t reduced much.

This means you are in the heavy-interest zone.

Time is the biggest cost here.

Faster principal reduction will save a lot of interest.

You can’t just depend on small yearly prepayment.

3. First Action – Review and Refinance the Loan

First, check your current loan outstanding.

Check your repayment schedule from bank or netbanking.

See how much of EMI is going to interest.

Now consider transferring the loan to a new bank.

Many banks now offer home loans around 8.3% to 8.6%.

A 0.5% difference may look small.

But it can save lakhs over remaining years.

You and your brother must compare 3–4 lenders.

If new bank is ready, shift to a lower rate.

No harm in reducing tenure while transferring.

Even 2–3 years cut in tenure saves a lot.

4. Revisit EMI and Tenure

You are paying Rs. 25,000 monthly.

This may be within your budget.

If yes, try to increase EMI by Rs. 2,000–Rs. 3,000 per head.

Higher EMI cuts principal faster.

Lower tenure means lesser interest burden.

Use the new EMI wisely by combining refinance and increased payment.

Avoid extending the loan tenure again.

If possible, reduce tenure instead of EMI.

5. Rethink the Annual Rs. 4,000 Saving Approach

Saving Rs. 4,000 monthly in joint account is okay.

But idle money doesn’t grow.

Interest in bank account is very low.

Instead, invest this Rs. 4,000 in a short-term debt mutual fund.

Use regular plan through MFD with CFP credential.

Direct plans may look cheaper but lack support and rebalancing.

With regular plan, you get better advice and ongoing help.

At year-end, redeem and prepay lump sum against principal.

Debt funds offer better growth than savings account.

Tax efficiency is also better if used wisely.

6. Create an Emergency Buffer Separately

Prepaying is good, but emergency safety is more important.

Before aggressive prepayment, build a safety fund.

Keep at least 3–6 months of EMI and expenses as emergency fund.

Use liquid mutual funds for this.

This protects your EMI even if job or cashflow is hit.

Avoid using your loan prepayment savings for emergencies.

Keep the two goals separate.

7. Avoid Prepayment from Retirement Corpus

Never touch EPF, PPF or long-term savings for loan prepayment.

That may create future income problems.

Let those assets grow for your retirement years.

Housing loan can be managed with better cashflow planning.

Prioritise steady investments over aggressive prepayment from retirement corpus.

8. Align Investments and Loan Closure Together

If you want to clear the loan faster, balance it with investment goals.

You can run SIPs and prepayment both side by side.

Divide monthly surplus into three:

Some for SIPs in active mutual funds.

Some for yearly lump sum prepayment.

Some for emergencies.

This keeps wealth creation, risk cover, and debt reduction in sync.

Don't stop SIPs completely just to prepay faster.

Mutual funds give long-term growth and liquidity.

9. Tax Benefit Assessment

Home loan offers tax deductions on interest and principal.

You both are eligible for 80C (principal) and 24(b) (interest) benefits.

Check if you are using full benefit.

But don’t keep loan just for tax saving.

Interest outgo is more than tax saved in most cases.

It is better to close loan early and then invest that EMI.

You get better peace of mind and cashflow freedom.

10. Use Bonuses and Extra Income Smartly

You may receive bonus, incentives, or yearly hikes.

Use a fixed portion of that money to prepay loan.

For example, 40% of bonus goes to loan, 40% to investments.

Remaining 20% for personal spending.

This method helps in faster loan closure.

But keeps your future goals also on track.

11. Communicate and Review as a Team

You and your brother are managing the loan together.

That’s a great responsibility and effort.

Keep monthly reviews and open communication.

Review the bank statement, interest paid, and outstanding.

Every prepayment reduces total interest burden.

Celebrate milestones like Rs. 5 lakh principal paid off.

It will keep both of you motivated and united.

12. Don’t Buy More Real Estate Now

Your existing home is already a big commitment.

Avoid investing in second property.

Real estate has poor liquidity and low regular returns.

Maintenance cost, property tax, and legal risk are high.

Don’t stretch finances with multiple loans.

Build wealth through financial assets instead.

13. Take a Certified Financial Planner’s Help Once a Year

Every year review your plan with a Certified Financial Planner.

Check how much principal is left.

Plan SIPs, investments, and prepayment in right proportion.

Review life and health insurance too.

A CFP helps you align your goals with numbers and strategies.

14. Insurance Protection Check

Ensure you and your brother both have term insurance.

This secures the loan liability.

If something happens to one person, the other isn’t burdened.

Term plan is low-cost and covers only risk.

Avoid policies that combine insurance and investments.

15. Track Your Progress Annually

Make a simple tracker in Excel or diary.

Note EMI paid, principal reduced, balance left.

Mark each prepayment.

It motivates and helps fine-tune future decisions.

Share the sheet with your brother too.

Finally

You both have made a good effort so far.

The first five years of a loan are toughest.

Now is the best time to take control.

Don’t let the high interest eat your future savings.

Use a mix of refinance, EMI increase, short-term fund, and lump sum payments.

Don’t compromise on long-term investments and insurance.

Keep your goals clear and emotions away from decisions.

Your loan can be closed 5–7 years early with these changes.

That will free up cash for future dreams and peace of mind.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

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