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Tejas Chokshi |126 Answers |Ask -Follow

Tax Expert - Answered on Jun 14, 2023

CA Tejas Chokshi has over 20 years of experience in financial planning, income tax planning, strategic and risk advisory, banking and financial products and accounting and auditing.
He is an information system auditor, a forensic auditor and concurrent bank auditor.
Chokshi, who has a master’s degree in management, audit and accounting from Gujarat University, has completed his CA from the Institute of Chartered Accountants of India.... more

Asked by Anonymous - Jun 12, 2023Hindi

Money

Dear Sir, I am 45 yrs old and started SIP in April 2023 in Nippon india Small cap fund of 22500 monthly for 13yrs. My target is up to 1-1.5 Cr. Is it OK with it to mak a big corpus over the period or should I switch to other.

Ans: Put out the corpus at the end of year 5 years and keep investing. The corpus pull out, may be plough back to fix income funds with confirmed liquidity.
Repeat this process every 5 years. This will safeguard you against any financial turmoil at the single AIF or book runners end.

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 vipul - Jan 06, 2021Hindi

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I am 43 yr. old & have following SIPs going as per the duration below. My horizon is next 5-10 years & want to build a corpus of 1 Cr for retirement. Please suggest if this OK. Risk Acceptance - Medium. Mutual Fund SIP Amount Months Started SBI Blue Chip – Growth 10,000 42 HDFC Mid Cap opportunities Growth 5,000 32 Sundaram Rural & Consumption Regular 5,000 25 TATA Equity P/E Fud Regular Growth 5,000 25 Kotak Blue Chip Fund Growth 5,000 7 Mirae Asset Large Cap Fund Regular 5,000 7 Axis Small Cup Fund 5,000 1

Ans: Monthly SIP of Rs. 40000 is adequate to build a corpus of Rs. 1 crs in 10 years.

Please continue with existing Tata, Mirae, Axis and can consider UTI Equity Fund - Growth, Axis Bluechip Fund – Growth and DSP Mid Cap Fund – Growth

Samraat Jadhav |1746 Answers |Ask -Follow

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Question by Ijaz - Jun 06, 2023Hindi

Money

Hello sir, I am 33 years old & blessed with two daughters of age 6 yrs & 1yr. i am doing SIP of 2000 each in axis midcap direct plan and tata mutual fund , i would like to invest continuously for next fifteen years. my target corpus is 50 lakhs , pls tell me how can i achieve this. how much more i have to invest in sip to reach my target.? any other fund ? I have invested RS 132000 in adani power. and 109000 in adani wilmar. currently i have negative of 50000 in adani wilmar and -3000 in adani power. should i continue to hold ? or any other fund . my target is to convert this to corpus 50lakhs in 15-20 years

Ans: first thing is that if your goal is 20yrs then switch to small cap funds in SIP mode. So you need to do an SIP of around 30000 every year considering the mutual fund gives 18% CAGR for 20yrs to achieve your 50lakhs corpus, but you need to also understand that after 20yrs the value of 50lakhs will also be down due to inflation so if you are doing it for your daughters then would suggest to go for monthly SIP of 5k each in there name for 20yrs.
Adani's is a SELL.

Disclaimer: Investments in securities are subject to market RISKS. Read all the related documents carefully before investing. The securities quoted are for illustration only and are not recommendatory. Registration granted by SEBI, membership of BASL and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.

Ramalingam Kalirajan |2320 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on Apr 05, 2024

Question by Ajit - Dec 16, 2023Hindi

Money

I want to do sip of rs. 10000 for 20 years with a target corpus 1cr.currently I have sip for rs.4000/- in kotak flexi cap & 2000/- in SBI banking and financial fund. Remaining 4000/- I am purchasing additionly as per Market conditions between these two funds. Is it ok for me???I think I should invest this 4000/- in small cap fund in quant small cap or Nippon small cap.. please guide.

Ans: Given your current SIP investments in Kotak Flexi Cap and SBI Banking and Financial Fund, it's important to diversify your portfolio further. Since SBI Banking and Financial Fund carries high risk as a sectoral fund, you may consider stopping investments in it. consider reallocating those funds to a different category, such as a small-cap fund. Small-cap funds offer potential for higher returns over the long term but also come with increased risk. Before deciding, assess your risk tolerance and consult with a financial advisor for personalized guidance tailored to your financial goals and situation.

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Mutual Funds, Financial Planning Expert - Answered on May 15, 2024

Question by Khalid - May 07, 2024Hindi

Money

I am interesting in SIP since 1 year in Parag Parikh flexi cap 15k, Mirae asset and Canara robeco ELSS MF 5k each, Nippon large cap 5k , Nippon small cap 2.5k , Quant small cap 5k , HDFC small cap 3 k , PGIM midcap opportunities 5k and Zerodha Elss MF 2 k almost 50 k per month some mutual fund started 6 month ago only , I am 32 years old and my Target corpus is 10 cr for NXT 15-20 years.I want to near 50 to 55 years

Ans: Your commitment to systematic investment planning (SIP) reflects a commendable effort towards building wealth over the long term. As a Certified Financial Planner, I appreciate your proactive approach and dedication to achieving your financial goals. Let's assess your current SIP portfolio and its alignment with your target corpus of ?10 crores over the next 15-20 years.

Diversification and Asset Allocation
Diversification is key to managing risk and maximizing returns in your investment portfolio. Your SIP allocations across various mutual funds demonstrate a well-diversified approach, spanning across different market segments and fund categories. This diversified allocation enhances your portfolio's resilience against market volatility and specific sectoral risks.

Fund Selection and Performance
Parag Parikh Flexi Cap, Mirae Asset, and Canara Robeco ELSS are renowned funds known for their consistent performance and robust investment strategies. These funds offer exposure to diversified equity portfolios, enabling you to capture the growth potential of both large caps and mid caps. Additionally, Nippon Large Cap provides stability, while Nippon Small Cap and Quant Small Cap offer exposure to high-growth potential small cap stocks.

HDFC Small Cap and PGIM Midcap Opportunities further complement your portfolio by focusing on mid and small cap segments, which tend to outperform over the long term. Zerodha ELSS MF adds a tax-saving component to your portfolio, aligning with your financial planning objectives.

Risk Management and Time Horizon
At 32 years old, you have a significant investment horizon of 15-20 years, which is conducive to a growth-oriented investment strategy. Your portfolio's allocation towards mid and small cap funds reflects your willingness to accept higher volatility in pursuit of superior long-term returns. However, it's essential to periodically review your portfolio's performance and rebalance if necessary to maintain your desired risk-return profile.

Monitoring and Review Process
As your Certified Financial Planner, I recommend conducting regular portfolio reviews to track performance against your financial goals and make any necessary adjustments. Monitoring the funds' performance, evaluating market conditions, and reassessing your risk tolerance are integral aspects of managing your SIP portfolio effectively.

Conclusion
Your SIP portfolio showcases a thoughtful blend of diversified mutual funds, encompassing various market segments and investment styles. With a clear target corpus of ?10 crores over the next 15-20 years, your disciplined approach to systematic investing positions you well for long-term wealth creation.

As you continue on your financial journey, remember to stay focused on your goals, maintain discipline in your investment strategy, and seek professional guidance when needed. Together, we can navigate market fluctuations and work towards achieving your financial aspirations.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

Ramalingam Kalirajan |2320 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on May 15, 2024

Question by Khalid - May 07, 2024Hindi

Money

I am 32 year old investing in SIP since 1 year in Parag Parikh flexi cap 15k with 10% step up, Mirae asset and Canara robeco ELSS MF 5k each, Nippon large cap 5k , Nippon small cap 2.5k , Quant small cap 5k , HDFC small cap 3k , PGIM midcap opportunities 5k and Zerodha Elss MF 2k almost 50k per some mutual fund started 6 month ago my Target corpus is 10cr for NXT 15-20 years.is it possible ?

Ans: Given your age of 32 and your current SIP investments totaling ?50,000 per month across various mutual funds, achieving a target corpus of ?10 crores over the next 15-20 years is indeed feasible, but it depends on several factors.

Factors Affecting Goal Achievement:
1. Investment Horizon:
With a 15-20 year investment horizon, you have ample time to benefit from compounding returns, which can significantly boost your wealth accumulation.
2. SIP Amount and Portfolio Allocation:
Your SIP amount of ?50,000 per month is substantial and demonstrates a commitment to systematic investing.
Your portfolio allocation across different mutual funds, including diversified equity, large cap, small cap, and ELSS funds, provides a well-rounded approach to capturing growth opportunities across various market segments.
3. Historical Performance and Future Expectations:
Historical performance of the selected mutual funds can provide insights into their potential to generate returns over the long term.
While past performance is not indicative of future results, investing in funds with strong track records and sound investment strategies can enhance the likelihood of achieving your target corpus.
4. Market Conditions and Risks:
Market volatility and economic fluctuations can impact the growth of your investments.
Diversification across different asset classes and regular portfolio reviews can help mitigate risks and capitalize on market opportunities.
Strategies for Goal Achievement:
1. Regular Review and Adjustment:
Periodically review your investment portfolio and adjust your SIP amounts or fund allocations based on changing market conditions, financial goals, and risk tolerance.
2. Increase SIP Contributions:
Consider increasing your SIP contributions over time, leveraging features like the 10% step-up option to boost your savings rate and accelerate wealth accumulation.
3. Seek Professional Guidance:
Consult with a Certified Financial Planner to develop a comprehensive financial plan tailored to your goals, risk profile, and investment strategy.
Conclusion:
Achieving a target corpus of ?10 crores over the next 15-20 years is realistic given your age, investment horizon, and disciplined approach to SIP investing. By staying committed to your investment plan, monitoring market developments, and making informed decisions, you can work towards realizing your financial aspirations.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

Latest Questions

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Mutual Funds, Financial Planning Expert - Answered on May 16, 2024

Asked by Anonymous - May 11, 2024Hindi

Money

I am 40 years old banker My husband is 46 year old banker In past 14 years of married life we have made investments in 4 flats approx value overall 4 crores . 1 small residential in chawl worth 30 lakhs. Overall investments worth 4.30 crores We pay Housing loan emis worth 1.90 lakhs and personal loan of 17000. Mutual funds monthly 7000 All this is balanced with salary of both inclusive 1.40 lakhs and some rental income of 93000 . Our 2 kids are studying. Sometimes it's difficult to manage expense Sometimes we sail on. Should we stop further investing? When can we retire ? We have not yet started holidaying. Any investment to dissolve or to reinvest?

Ans: It's commendable that you've been diligently investing in real estate and mutual funds over the past 14 years, leveraging your combined income to build a substantial investment portfolio. Let's delve into your current financial situation and explore potential strategies to optimize your investments, manage expenses, and plan for retirement.

Assessing Your Current Financial Position
With investments in real estate, mutual funds, and rental income, you've built a sizable portfolio worth approximately 4.30 crores. However, managing housing loan EMIs, personal loan, and expenses while supporting your children's education can be challenging at times.

Reviewing Investment Strategy
Given your current financial commitments and the need to manage expenses efficiently, it's prudent to reassess your investment strategy. Evaluate whether further investing aligns with your financial goals and consider reallocating resources to achieve a more balanced portfolio.

Planning for Retirement
Retirement planning is crucial, especially considering your age and financial obligations. Determine your retirement goals, expected expenses, and desired lifestyle to estimate the corpus required for retirement. Seek guidance from a Certified Financial Planner (CFP) to create a comprehensive retirement plan tailored to your needs.

Exploring Expense Management Strategies
To better manage expenses and achieve financial stability, consider budgeting and prioritizing essential expenses. Identify areas where you can cut back or optimize spending without compromising your quality of life. This may involve reviewing discretionary expenses and finding ways to reduce costs.

Reassessing Real Estate Investments
Review your real estate holdings to determine if they align with your current financial objectives and retirement plans. Consider whether selling any properties or reinvesting in more liquid assets would better serve your long-term financial goals.

Reevaluating Mutual Fund Investments
While mutual funds offer potential for growth, reassess whether the current monthly investment of 7000 aligns with your financial priorities and retirement timeline. You may consider adjusting your investment strategy, increasing contributions, or exploring alternative investment options based on your risk tolerance and goals.

Seeking Professional Advice
Given the complexity of financial planning and retirement preparation, consulting with a Certified Financial Planner (CFP) is highly recommended. A CFP can provide personalized guidance, evaluate your current financial situation, and help you make informed decisions to achieve your retirement goals and financial well-being.

Conclusion
By reassessing your investment strategy, managing expenses effectively, and planning for retirement with the guidance of a financial professional, you can achieve greater financial stability and work towards enjoying a well-deserved retirement. Remember to prioritize your financial goals, review your investments regularly, and seek professional advice when needed to navigate your financial journey successfully.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

Ramalingam Kalirajan |2320 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on May 16, 2024

Question by Nanung - May 11, 2024Hindi

Money

Iam 33 years old currently investing 15k per month in sip. I have 10 lakhs of savings in fds and nps. I have a dream of settling abroad in the uk. How much should i save more?

Ans: It's fantastic to have a dream of settling abroad in the UK! Planning ahead financially is a crucial step towards making that dream a reality. Let's discuss how you can save more to achieve your goal while ensuring financial stability and growth.

Assessing Your Financial Goal: Settling Abroad in the UK
Settling abroad requires careful financial planning to cover expenses such as immigration fees, relocation costs, living expenses, and potential investments in education or housing. Estimating the total amount needed will help determine your savings target.

Reviewing Your Current Savings and Investments
With 10 lakhs in savings in fixed deposits (FDs) and National Pension System (NPS), you have already taken a step towards building a financial foundation. Now, let's focus on increasing your savings to support your goal of settling abroad.

Calculating Additional Savings Needed
To determine how much more you should save, consider factors such as the timeline for your move, expected expenses, and desired financial cushion. Aim to save aggressively while balancing your current financial commitments and lifestyle.

Budgeting for Savings
Review your monthly expenses and identify areas where you can cut back to increase your savings rate. Allocate a portion of your income specifically towards your goal of settling abroad, prioritizing this objective in your financial plan.

Increasing SIP Contributions
Since you're already investing 15k per month in SIPs, consider increasing your monthly contributions to accelerate wealth accumulation. Revisit your asset allocation to ensure it aligns with your risk tolerance and investment horizon.

Exploring Additional Investment Opportunities
In addition to SIPs, explore other investment avenues such as equity, debt, or real estate, depending on your risk appetite and investment preferences. Diversifying your portfolio can enhance returns and mitigate risk over the long term.

Seeking Professional Guidance
Consider consulting with a Certified Financial Planner (CFP) who can help you create a comprehensive financial plan tailored to your goal of settling abroad. A CFP can provide personalized advice, address your concerns, and chart a clear path towards achieving your dreams.

Conclusion
By increasing your savings rate, optimizing your investment strategy, and seeking professional guidance, you can accelerate your journey towards settling abroad in the UK. Stay disciplined, monitor your progress regularly, and remain focused on your long-term financial goals.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

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Mutual Funds, Financial Planning Expert - Answered on May 16, 2024

Question by manu - May 11, 2024Hindi

Money

I am 42 and have invested 53 L in ppf and 73L in fd plus I have purchased a commercial plot for starting a shop . I have invested almost 1.5 crore in gold ornaments which I have deposited in bank for OD facility . I have around 16L of dividend stocks which pay me well . I want to know should I change my investment strategy . As a professional I have a constant inflow of around 4L a month

Ans: It's evident you've made diverse investments across various asset classes, demonstrating a well-thought-out approach to wealth management. Let's delve into whether your current investment strategy aligns with your financial goals and explore potential adjustments considering your consistent monthly inflow of 4 lakhs.

Evaluating Your Current Investment Portfolio
You've diversified your investments across PPF, FDs, commercial property, gold, dividend stocks, and OD facility. This diversification mitigates risk and offers stability and growth opportunities across different asset classes.

Assessing Your Financial Goals and Risk Tolerance
Before considering changes to your investment strategy, it's essential to revisit your financial goals, risk tolerance, and investment timeline. Determine whether your current portfolio is aligned with your objectives and if any adjustments are necessary.

Reviewing Asset Allocation and Performance
Evaluate the performance of each asset class within your portfolio and assess whether it meets your expectations. Consider rebalancing your portfolio to maintain the desired asset allocation based on your risk profile and investment horizon.

Exploring Opportunities for Growth and Income
Given your substantial monthly inflow, you may explore additional investment opportunities to further grow your wealth or generate passive income. Consider options such as mutual funds, real estate investment trusts (REITs), or direct equity investments to diversify your portfolio and enhance returns.

Revisiting the Role of Gold and Dividend Stocks
While gold provides a hedge against inflation and market volatility, consider whether maintaining a significant portion of your wealth in gold is still aligned with your investment strategy. Similarly, review the performance and sustainability of dividend stocks to ensure they continue to meet your income requirements.

Seeking Professional Advice
Consulting with a Certified Financial Planner (CFP) can provide valuable insights and personalized recommendations tailored to your financial situation and goals. A CFP can help you assess your current portfolio, identify areas for improvement, and develop a comprehensive investment strategy that aligns with your objectives.

Conclusion
While your current investment strategy demonstrates prudence and diversification, it's essential to periodically review and adjust your portfolio to adapt to changing market conditions and financial goals. By reassessing your asset allocation, exploring new investment opportunities, and seeking professional guidance, you can optimize your investment strategy for long-term success.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

Ramalingam Kalirajan |2320 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on May 16, 2024

Asked by Anonymous - May 10, 2024Hindi

Money

I got a job in Dubai and salary is 3.3 Lacs per month. After EMIs and monthly expenses i have net savings of 1 Lac. As NRI Can you please suggest some SIP and how and how much should i diversify like MF, Bonds, Gold, ETFs, etc. Thank you.

Ans: Congratulations on your new job opportunity in Dubai! It's great to hear that you're planning ahead for your financial future as an NRI. Let's discuss some strategies to make the most of your net savings of 1 lac per month through systematic investment plans (SIPs) and diversification across various asset classes.

Understanding SIPs and Diversification
SIPs offer a disciplined approach to investing in mutual funds, allowing you to invest a fixed amount regularly. Diversification across different asset classes helps spread risk and maximize returns over the long term.

Mutual Funds: A Core Investment Option
Considering your monthly savings capacity, allocating a portion of your savings to mutual funds can be a prudent choice. Opt for a mix of equity and debt funds based on your risk tolerance and investment horizon.

Equity Mutual Funds for Long-Term Growth
Equity mutual funds have the potential to deliver higher returns over the long term but come with higher volatility. Invest in diversified equity funds or thematic funds aligned with your investment goals and risk appetite.

Debt Mutual Funds for Stability
Debt mutual funds provide stability and regular income by investing in fixed-income securities such as bonds and treasury bills. Allocate a portion of your portfolio to debt funds to balance out the risk from equity investments.

Gold as a Hedge Against Market Volatility
Including gold in your investment portfolio can act as a hedge against market volatility and inflation. Consider investing in gold mutual funds or gold exchange-traded funds (ETFs) to gain exposure to this precious metal.

International Funds for Geographic Diversification
As an NRI working in Dubai, you can benefit from geographic diversification by investing in international mutual funds. Look for funds that provide exposure to global markets and sectors outside of India.

Regular Review and Adjustment
Periodically review your investment portfolio to ensure it remains aligned with your financial goals and risk tolerance. Adjust your asset allocation as needed based on changing market conditions and life circumstances.

Seeking Professional Advice
Given the complexity of managing investments across different asset classes, consider consulting with a Certified Financial Planner (CFP) who has experience working with NRIs. A CFP can provide personalized advice tailored to your financial objectives and help you navigate the intricacies of international investing.

Conclusion
By diversifying your investments through SIPs across mutual funds, bonds, gold, and international funds, you can build a robust investment portfolio that aims to generate wealth over the long term while managing risk effectively. Remember to review your investments regularly and seek professional guidance when needed to make informed decisions.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

Ramalingam Kalirajan |2320 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on May 16, 2024

Question by Ankit - May 10, 2024Hindi

Money

HELLO SIR, I AM 37 YEARS OLD AND OWNS A PROPERTY OF WORTH 90 LAKHS RIGHT NOW BOUGHT 8 YEARS BACK FOR 60 LAKHS. MY EMI IS AROUND 43K PER MONTH FOR ANOTHER 20 YEARS. ME AND MY WIFE EARNS AROUND 110000 PER MONTH. MONTHLY EXPENSE IS AROUND 35K. I HAVE 1 KID. HAVE I DONE RIGHT INVESTMENT OR IS THERE ANY OTHER WAY AROUND.

Ans: It sounds like you've been diligently managing your finances and investing in property, which is a significant accomplishment. Let's take a closer look at your situation and explore potential strategies to optimize your financial position.

Assessing Your Current Investment: Property Ownership
Owning a property valued at 90 lakhs, which you purchased eight years ago for 60 lakhs, indicates a healthy appreciation in value over time. Property can be a valuable asset that offers potential long-term growth and stability.

Evaluating Financial Commitments: Mortgage and Monthly Expenses
With an EMI of 43k per month for another 20 years, it's essential to ensure that this obligation fits comfortably within your budget. Considering your combined monthly income of 1,10,000 and expenses of 35k, it seems like you're managing your finances responsibly.

Considering Future Financial Goals
As a family with one child, planning for the future is crucial. It's commendable that you're proactively assessing your investment decisions to ensure financial security and growth.

Exploring Alternative Investment Opportunities
While property investment can be lucrative, diversifying your portfolio with other assets may provide additional benefits. Consider exploring investment options such as mutual funds, stocks, or retirement accounts to supplement your existing holdings.

Consulting with a Certified Financial Planner
Given your financial goals and current assets, consulting with a Certified Financial Planner (CFP) can provide valuable insights and personalized recommendations. A CFP can help you assess your risk tolerance, identify investment opportunities, and create a comprehensive financial plan tailored to your needs.

Conclusion
Overall, your investment in property has proven to be a wise decision, considering the appreciation in value over time. However, exploring alternative investment avenues and seeking professional financial advice can further enhance your financial well-being and help you achieve your long-term goals.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

Ramalingam Kalirajan |2320 Answers |Ask -Follow

Mutual Funds, Financial Planning Expert - Answered on May 16, 2024

Asked by Anonymous - May 16, 2024Hindi

Money

Firstly, thanks for patiently answering everyone's questions ????. Can you please suggest a suggest a MF which i wznt to invest in for next 10 years for my kids higher education. I see lot of children related mutual funds but unable to decide on one. I am ok to take high risk since ny inv would be for more than ten years.

Ans: Investing for your child's education is a thoughtful decision that requires careful consideration. I appreciate your dedication to securing their future. Let's delve into selecting the right mutual fund for this purpose.

Understanding Your Investment Horizon and Risk Appetite
Investing for your child's education over a ten-year period is a commendable strategy. Since you're comfortable with high risk, you have the potential for higher returns over the long term.

Evaluating Mutual Fund Options
When considering mutual funds for your child's education, it's essential to focus on funds with a proven track record of long-term growth. Look for funds managed by experienced professionals with a history of delivering consistent returns.

Active vs. Passive Management: Making the Right Choice
While index funds offer low fees and broad market exposure, they may not outperform actively managed funds, especially during volatile market conditions. Actively managed funds, overseen by skilled fund managers, have the flexibility to adapt to market changes and potentially outperform the market indices.

Emphasizing the Benefits of Active Management
Actively managed funds offer the advantage of professional oversight, where fund managers actively research and select investments to maximize returns and mitigate risks. This approach can be particularly beneficial in volatile markets, helping to navigate uncertainties and capitalize on emerging opportunities.

Disadvantages of Direct Funds and the Benefits of Regular Funds through a Certified Financial Planner
Direct investing requires significant time and expertise to research, select, and monitor investments effectively. By working with a Certified Financial Planner (CFP), you gain access to professional guidance and personalized investment strategies tailored to your financial goals and risk tolerance. Through a Mutual Fund Distributor (MFD) with a CFP credential, you can benefit from ongoing support and portfolio reviews, ensuring your investments remain aligned with your objectives.

Making an Informed Decision
Consider mutual funds with a focus on sectors or themes aligned with your child's educational aspirations. Diversification is key to managing risk, so opt for funds with a well-balanced portfolio across various asset classes.

Conclusion
Investing in mutual funds for your child's higher education requires a thoughtful approach that considers your investment horizon, risk tolerance, and the expertise of fund managers. By leveraging the benefits of active management and seeking guidance from a Certified Financial Planner, you can make informed decisions that lay the foundation for your child's bright future.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

Samraat Jadhav |1746 Answers |Ask -Follow

Stock Market Expert - Answered on May 16, 2024

Question by Jitendra - May 16, 2024Hindi

Money

what should be equity exposure in investment?

Ans: 100 minus your age, so if you are 30 yrs old then 100-30=70, so 70% to equity

Shalini Singh |68 Answers |Ask -Follow

Dating Coach - Answered on May 16, 2024

Asked by Anonymous - May 15, 2024Hindi

Relationship

My girlfriend is ignoring me ...what should I do to get her attention back?

Ans: Few suggestions - Address the reason she is ignoring you for. Apologise if you have upset her and mean the apology. Give it time, allow her to calm down - wait for her to reach out.

Sushil Sukhwani |357 Answers |Ask -Follow

Study Abroad Expert - Answered on May 16, 2024

Asked by Anonymous - May 14, 2024Hindi

Career

I am looking for advice for my son who is now in 12th standard ( Commerce subjects with Applied maths ). I want to send him abroad for his further studies. Could you please advise the courses he can take, countries he can opt for and the approximate costs involved. He is an average student.

Ans: Hello. Thank you for contacting us. It is understandable that you are concerned about your son’s future early on. Since your son is in 12th grade with commerce subjects and applied mathematics, he can choose to pursue business admission or management, economics, accounting, finance, or economics in his bachelor’s. It would be good if you encouraged him to do some extracurricular activities in order to strengthen his university applications.

In terms of countries, the USA, UK, Canada, Australia, and Germany are some of the best countries to pursue an accounting program. Furthermore, the cost of studying in each country would vary. It is preferred that you let us know if there is any specific country in mind so that we may be able to guide you further.

For any further queries, please get in touch with us. We have a team of expert counsellors who can guide you through any concerns or questions you may have.

Patrick Dsouza |259 Answers |Ask -Follow

CAT, XAT, CMAT, CET Expert - Answered on May 16, 2024

Asked by Anonymous - May 03, 2024Hindi

Career

Hello sir , I have just secured 94% in MAT 2024 I am confused which college to choose for MBA in finance with good ROI

Ans: There are not many good colleges that take up MAT as an entrance test. But can try the following
Dalmia - Mumbai
SIES - Mumbai
Birla Institute
Amity Noida

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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