I am investing 20 k per month in the following funds, 1.NIPPON INDIA SMALL CAP FUND-5K.
2.HDFC MIDCAP OPPORTUNITY -2K, 3.PGIM MIDCAP OPPORTUNITY-2K, 4.Kotak Emerging EQUITY-2K,5.CANARA ROBECO SMALL CAP-2k, 6.Paragparik felexi cap-4k 7.icici prudential flexicap -3k , i am 42, pls, review tge fund in the context that i want 1crore plus in next 15yrs , i have 6lac corpus in mutual funds presently
Ans: Review of Mutual Fund Portfolio for Long-term Wealth Accumulation
Your current investment strategy of allocating 20k per month across various mutual funds reflects a proactive approach towards achieving your financial goals. Let's assess each fund's suitability in the context of your objective to accumulate 1 crore plus in the next 15 years with a starting corpus of 6 lakhs:
Nippon India Small Cap Fund (5k)
This fund offers exposure to small-cap companies, which tend to have higher growth potential but also higher volatility. Given your long-term horizon, a small-cap fund can be suitable for wealth accumulation. However, ensure you're comfortable with the associated risk.
HDFC Midcap Opportunity (2k) & PGIM Midcap Opportunity (2k)
Mid-cap funds like these have the potential to deliver superior returns over the long term. Since you have a 15-year investment horizon, allocating to mid-cap funds can be beneficial. However, monitor the fund's performance and market conditions periodically.
Kotak Emerging Equity (2k) & Canara Robeco Small Cap (2k)
These funds focus on emerging and small-cap segments, respectively. Both offer exposure to high-growth potential companies but come with higher risk due to volatility. Considering your long-term goal, maintaining exposure to such segments can enhance overall portfolio returns.
Parag Parikh Flexi Cap (4k) & ICICI Prudential Flexicap (3k)
Flexi-cap funds provide the flexibility to invest across market capitalizations based on prevailing market conditions. These funds offer diversification and adaptability, making them suitable for long-term wealth creation goals like yours.
Portfolio Assessment
Your portfolio comprises a mix of small-cap, mid-cap, and flexi-cap funds, which aligns well with your goal of accumulating 1 crore plus in the next 15 years. However, ensure you periodically review and rebalance your portfolio to maintain the desired asset allocation and mitigate risks.
Considerations
Monitor the performance of individual funds regularly and assess if any adjustments are necessary based on changing market conditions. Additionally, stay informed about economic developments and market trends to make informed investment decisions.
Professional Advice
Consider consulting with a Certified Financial Planner to validate your investment strategy and ensure it's in line with your financial goals, risk tolerance, and time horizon. A CFP can provide personalized recommendations to optimize your portfolio for long-term wealth accumulation.
Conclusion
With a diversified portfolio of small-cap, mid-cap, and flexi-cap funds, you're well-positioned to achieve your goal of accumulating 1 crore plus in the next 15 years. Stay committed to your investment strategy, review your portfolio periodically, and seek professional guidance when needed to maximize wealth creation potential.
Best Regards,
K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in