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Ramalingam Kalirajan |8086 Answers |Ask -Follow

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

Asked by Anonymous - May 06, 2024Hindi

I am 47 yrs and was a NRI since kast 3 yeats i am in India and currently iam not working. I have a corpus of around 50 l. Kindly advice where do i invest this amount so that i can have some monthly income out of it. Currently i am investing 10k PP flexi cap and 2k in SBI small cap. Kindly assist. .

Ans: It's great that you're proactively seeking advice on how to invest your corpus for regular monthly income. Let's dive into some recommendations:

• Firstly, congratulations on your corpus of 50 lakhs! That's a significant amount that can pave the way for financial stability.

• Since you're not currently working and seeking monthly income, it's essential to prioritize investments that offer steady returns.

• Given your age of 47 years, it's crucial to strike a balance between growth and stability in your investment portfolio.

• One option to consider is investing a portion of your corpus in fixed-income instruments like bonds, fixed deposits, or debt mutual funds.

• These instruments typically offer relatively stable returns and can provide you with a regular income stream to meet your monthly expenses.

• Additionally, you may want to diversify your portfolio by allocating some portion towards equity investments for potential capital appreciation over the long term.

• Equity mutual funds, particularly large-cap and balanced funds, can be suitable options for this purpose, as they offer a blend of growth potential and lower volatility compared to small and mid-cap funds.

• It's essential to assess your risk tolerance and investment horizon before making any decisions. Since you're seeking monthly income, opt for investment avenues with lower volatility and consistent returns.

• Don't forget to factor in inflation while planning your investments. It's essential to ensure that your returns outpace inflation to maintain your purchasing power over time.

• Consider consulting with a Certified Financial Planner (CFP) to develop a customized investment strategy tailored to your financial goals, risk profile, and income needs.

• A CFP can provide personalized guidance and help you navigate the complexities of investment planning, ensuring that your financial goals are met efficiently.

Remember, investing is a journey, and it's essential to stay committed to your financial goals while adapting to changing market conditions. With careful planning and prudent decision-making, you can build a robust investment portfolio that provides you with the desired monthly income and long-term financial security.

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