Home > Money > Question
Need Expert Advice?Our Gurus Can Help
Omkeshwar

Omkeshwar Singh  | Answer  |Ask -

Head, Rank MF - Answered on May 26, 2021

Mutual Fund Expert... more
Shailesh Question by Shailesh on May 26, 2021Hindi
Money

I have below investment in MFs and I want to accumulate 3 crore by 2030, I want to invest 50K monthly (currently 27500 SIP and rest lump sum invest in other funds based on condition).

Please suggest if to continue or shift to other options. Also any new funds to add to have aggressively diversified portfolio.

MF Name Avg. NAV Amount Invested No. of Units Current Value Invest mode

Nippon India Gilt Securities Fund (Growth)

29,81 25000,00 838,711 25018,08 Lump sum

Nippon India Income Fund (Growth)

67,54 95000,00 1406,554 98488,46 5000 SIP (monthly)

Axis Bluechip Fund - Growth

31,18 160000,00 5130,554 198603,74 10000 SIP (monthly)

Axis Multicap Fund - GROWTH

12,44 95000,00 7633,650 118550,58 Lump Sum

Kotak Gold fund growth

20,58 17500,00 850,325 15735,18 Lump sum

Kotak NASDAQ 100 Fund of Fund- Growth

9,88 25000,00 2529,782 23889,74 Lump sum

Mirae Asset Emerging Bluechip Fund - Growth Plan

56,91 107500,00 1888,862 147234,90 2500 SIP (monthly)
it was 10K SIP, but reduced later by MF house

Mirae Asset Large Cap Fund- Growth Plan

52,24 75000,00 1435,544 93987,94 5000 SIP (monthly)

NIPPON INDIA MULTI ASSET FUND-GROWTH PLAN

10,51 50000,00 4758,436 53394,41 Lump Sum
    650000,00   774903,03  

Ans: Rs 1,20,000 investment in equity oriented funds per month is required to create a corpus of Rs 3 cr in 10 years.

Both schemes of Axis and Mirae along with Kotak Nasdaq are good schemes to be continued

Debt funds will not be able to generate the kind of returns required to achieve the corpus

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.
Money

You may like to see similar questions and answers below

Hardik

Hardik Parikh  | Answer  |Ask -

Tax, Mutual Fund Expert - Answered on Apr 07, 2023

Listen
Money
Hello Sir , My Self Manoj ,I am 40 years old a salaried person , and investing in MFs Since 5.5 years I have below current ongoing investments Aditya Birla FlexiCap Fund -- 7000 p.m.(SIP) HDFC Midcap Opportunities fund ---4000 p.m.(SIP) HDFC Hybrid Equity Fund ----2000 p.m.(SIP) DSP mid cap fund ---2000 p.m.(SIP) DSP Select Focus Fund ---2000 p.m.(SIP) DSP Small Cap Fund 3000 p.m.(SIP) Kotak Equity Opportunities Fund ---2000 p.m.(SIP) SBI Blue Chip Fund -----64000 (lumpsome) SBI Small cap fund ----2000 p.m.(SIP) Nippon India small cap fund ----2000 p.m.(SIP) Invesco Small cap fund ---1000 p.m.(SIP) Tata Small cap fund ----1000 p.m.(SIP) Mahindra Unnati Emerginf Business yojana ----2000 p.m.(SIP) Tata Balanced Advantage Fund -----50000 Mirae Asset Mid cap Fund ---2000 p.m.(SIP) ICICI Flexicap fund -----70000 (lumpsome) DSP Equity and Bond Fund---- 32000 (lumpsome) DSP Dynamic Asset Allocation Fund ----23000 (lumpsome) Sundaram Emerging small cap series1---17000 (lumpsome) Sundaram Services Fund---500 p.m.(SIP) Tata Flexicap Fund ----17400 (lumpsome) Baroda BNP Paribas Flexicap Fund ----50000 (lumpsome) Icici Blue chip Fund ---400 p.m.(SIP) Edelweiss small cap fund ----2000 p.m.(SIP) Axis Flexicap Fund ----19000 (lumpsome) Sundaram Small cap fund ----98000 (lumpsome) ICICI mnc fund---- 6000 (lumpsome) Axis mid cap fund ---500 p.m.(SIP) Canara Robeco small cap fund -----1000 p.m.(SIP) BOI small cap fund ----1000 p.m.(SIP) Aditya birla multicap fund----50000 (lumpsome) Kotak Multicap fund -----25000 (lumpsome) HDFC world indexes fund of fund---10000 (lumpsome) SBI Multicap fund ---1000 p.m.(SIP) PGIM India mid cap oppportunities fund ---1000 p.m.(SIP) Axis small cap fund ----500 p.m.(SIP) Edelweiss focused equity fund ---21000 (lumpsome) UTI flexicap fund ---3000 p.m.(SIP) Quant Large cap fund ---25000 (lumpsome) IDFC mid cap fund ---25000 (lumpsome) White Oak mid cap fund ---20000 (lumpsome) Sundaram Flexicap fund ---700 (lumpsome) Canara Robeco mid cap fund ---2000 p.m.(SIP) Mahindra small cap fund---2000 p.m.(SIP) Total amount of SIP is roughly around 45k per month, Since December 2016 till the date now my investment corpus in Mutual Fund has been now 30.5 lakhs , also i have 30k invested in direct stocks in Indian equity Market. I have 3 LIC policies and 1 term insurance policy of 1 crore cover,I have Bank FDs in nationalised bank for about 27 lakhs , and 3 lakhs in PPF My Goals are 1) 2 crores for my children's marriage and education 2) 2 crores for buying home 3) 4 crores for retirement life (after 10 years) In total i want to generate 8 crores in next 10 years. Kindly suggest if i would be able to achieve the goals in next 10 years,and changes if required any Regards Manoj
Ans: Hello Manoj,

It's great to see that you've been disciplined with your investments and have built a sizable corpus already. To assess if your current investments will help you achieve your goals of 8 crores in the next 10 years, let's take a closer look at your financial situation and goals.

Current Investments:
Mutual Funds: ~30.5 lakhs
Direct stocks: 30k
LIC policies and term insurance: Not considered for investment purposes
Bank FDs: 27 lakhs
PPF: 3 lakhs
Total: ~60.5 lakhs
Monthly SIP investments: ~45k
Now let's analyze your goals:

Children's marriage and education: 2 crores
Buying a home: 2 crores
Retirement life (in 10 years): 4 crores
Total: 8 crores
Assuming an average annual return of 12% on your equity investments, here's a rough projection of your portfolio's growth:

Current investments (60.5 lakhs) in 10 years: ~1.87 crores
Monthly SIPs (45k) in 10 years: ~1.05 crores
Total: ~2.92 crores
Based on this calculation, you would not reach your goal of 8 crores in the next 10 years. However, you can consider making some changes to improve your chances:

Reassess your goals: Consider if your goals are realistic and if there's any flexibility in the amounts or timelines.
Increase your SIP investments: As your salary increases, try to increase your SIP investments to accelerate your portfolio's growth.
Rebalance your portfolio: Regularly review your portfolio to ensure it's aligned with your risk appetite and financial goals. This may involve reducing the number of funds or shifting the allocation between equity and debt.
Monitor fund performance: Keep an eye on the performance of your funds and consider replacing underperforming ones.
Remember that financial planning is an ongoing process, and it's essential to periodically review and adjust your strategy. It's also a good idea to consult with a professional financial advisor to get personalized advice for your specific situation. While it might be challenging to achieve 8 crores within 10 years, these suggestions may help you get closer to your goals.

Best regards,

..Read more

Ramalingam

Ramalingam Kalirajan  |7332 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 29, 2024

Asked by Anonymous - Jul 10, 2023Hindi
Listen
Money
I am 43 years old..I have mf investment as following. SIP: quant mid cap, SBI Magnum mid cap, canara robeco bluechip equity fund...5000 each pm, started from June 2023. LUmp sump: 500000 quant multi asset fund, 250000 quant elss, 250000 kotak small cap, alll investment made in June 2023. The target is to achieve, 1.5 crores (most pessimistic outlook) to 3 crores( optimistic) outlook by 2040-41. Pls advise.
Ans: Strategizing Your Mutual Fund Investments for Long-Term Growth

Your proactive approach to investing in mutual funds demonstrates a commitment to achieving your financial goals. Let's assess your current portfolio and strategize to meet your target of Rs. 1.5 crores to Rs. 3 crores by 2040-41.

Analyzing Your Investment Portfolio

Your SIPs in mid-cap and blue-chip equity funds, along with lump sum investments across multi-asset, ELSS, and small-cap funds, reflect a diversified approach. Diversification is key to managing risk and maximizing returns over the long term.

Understanding Risk and Return Expectations

Given your investment horizon of approximately 16-17 years, you have the advantage of time to ride out market fluctuations and benefit from compounding returns. However, it's essential to acknowledge the inherent risks associated with mid-cap and small-cap investments, which tend to be more volatile than large-cap funds.

Assessing Growth Potential

Mid-cap and small-cap funds offer the potential for higher returns compared to large-cap funds over the long term. However, they also come with increased volatility and liquidity risks. Blue-chip equity funds provide stability and consistent returns, making them suitable for investors with a moderate risk tolerance.

Aligning Investments with Financial Goals

To achieve your target corpus, it's crucial to periodically review and realign your investment strategy. As you approach your target timeline, consider gradually shifting your portfolio towards more conservative options to protect your capital from market downturns.

Monitoring and Rebalancing

Regular monitoring of your investments is essential to ensure they remain aligned with your financial goals and risk tolerance. Rebalancing your portfolio periodically can help maintain the desired asset allocation and minimize the impact of market volatility.

Considering Tax Efficiency

ELSS funds offer the dual benefit of tax savings under Section 80C of the Income Tax Act and the potential for long-term capital appreciation. By maximizing your investments in tax-efficient avenues, you can optimize your returns while minimizing tax liabilities.

Seeking Professional Advice

As a Certified Financial Planner, I recommend consulting with a qualified professional to tailor your investment strategy to your specific needs and circumstances. A personalized financial plan can provide clarity and direction, helping you navigate market uncertainties and achieve your long-term financial goals.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |7332 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Apr 12, 2024

Asked by Anonymous - Apr 03, 2024Hindi
Listen
Money
I am 50 working professional. Below is my MF portfolio . 1. Parag Parikh Flexi Cap Fund 2.6 lakhs + 10K SIP 2. PGIM India Midcap Opportunities Fund 1.85 L Value + 5K SIP 3. Quant ELSS Tax Saver Fund 80K 4. Axis Small Cap Fund 1.85 Lakhs Value + 5K SIP 5. Axis Gold Fund 75K Value + 5K SIP 6. Canara Robeco Bluechip Equity Fund 70K 7. Quant Multi Asset Fund 50K 8. SBI Magnum Income Fund 50K 9. ICICI Prudential Equity & Debt Fund 50K 10. Quant Active Fund 50K 11. ICICI Prudential Bluechip Fund 25K I want to build a retirement corpus of 2 crore in 10 years. I am planning to invest around 50K every month. Plus i have. surplus of 4Lakks which i want to invest in few of the MFs above. Planning to exit Canara Robeco bluechip and Axis Small cap soon. Please suggest if any changes you want me to do.
Ans: Given your goal of building a retirement corpus of 2 crores in 10 years and your current portfolio, here are some suggestions:

Increase SIP Contributions: Consider increasing your SIP amounts in high-performing funds like Parag Parikh Flexi Cap and PGIM India Midcap Opportunities Fund, which have shown good potential for long-term growth.

Review and Consolidate: Evaluate the performance of all your funds and consider consolidating your portfolio to fewer, well-performing funds to simplify management and potentially enhance returns.

Focus on Quality: Prioritize funds with strong track records, consistent performance, and experienced fund management teams. Consider adding large-cap and diversified equity funds for stability and balanced growth.

Asset Allocation: Ensure a balanced asset allocation across equity, debt, and gold funds based on your risk tolerance and investment horizon. Reallocate surplus funds strategically to maintain a diversified portfolio.

Regular Review: Monitor your portfolio regularly and make adjustments as needed based on changes in market conditions, fund performance, and your financial goals.

Consider consulting with a financial advisor for personalized advice tailored to your specific circumstances and goals.

..Read more

Latest Questions
Anu

Anu Krishna  |1410 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on Dec 25, 2024

Asked by Anonymous - Dec 17, 2024Hindi
Listen
Relationship
Hi Anu, I need some advice that’s a bit out of the ordinary. I’ve been married for 8 years, and my wife and I have recently been discussing investing in property together. The twist is, we have very different ideas on what to do with it. I’ve always been more of a numbers person—thinking about it as a solid financial investment. I want to buy something that will increase in value over time and add to our financial security. On the other hand, my wife sees it more as a home. She’s emotionally attached to the idea of a cozy, dream house, somewhere we can raise our family and enjoy life together. So, we’ve been butting heads a bit, as I’m leaning more towards an investment property in a growing area, while she’s looking for something more in line with what we want to live in now. It’s getting a little tense between us because I feel like she’s not seeing the financial side of things, and she thinks I’m too focused on money and not on our happiness. Is there a middle ground where we can both be happy?
Ans: Dear Anonymous,
Well, it's dream v/s practicality, yeah?
When you get to a stalemate situation like the one you and your wife are in, the best way is to go back to the Square A.
Start where you began when you married...list down what's important to each of you and somewhere in your case, it will lead not just to her wants and yours, but it will go back to money and financial prudence. When you hit this, come to an understanding as to how you will overcome this; it has to be mutually agreed upon. Then bring your current home buying issue and solve it just like the way you sorted your differences over finances. Try it...it will work...

All the best!
Anu Krishna
Mind Coach|NLP Trainer|Author
Drop in: www.unfear.io
Reach me: Facebook: anukrish07/ AND LinkedIn: anukrishna-joyofserving/

...Read more

Ramalingam

Ramalingam Kalirajan  |7332 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Dec 25, 2024

Asked by Anonymous - Dec 24, 2024Hindi
Money
I am 47 yr old IT Professional. I have diversified my porfolio across MF - 60L , Direct Equity - 15 L, Gold (SGB - 20L, Physical - 50L) , Real Estate - 2 CR(Flat), Independent home (2.5CR) which fetching 30K Monthly Rental. EPF - 90L, NPS - 20 L, FD - 90L, Sukanya Samridhi for 2 Daughters - 14L Each till date. I am contributing upto 1.5 L monthly into NPS, Equity MF. My MF is diversified into Flexi, mid and small cap fund (Total 8 Funds in portfolio). I am looking to build retirement corpus of 8 Cr based on my current monthly expenses.
Ans: You have a well-diversified portfolio. It includes real estate, mutual funds, equity, gold, EPF, NPS, and FDs. This balance reflects thoughtful planning.

Your rental income of Rs. 30,000 adds stability. Contributions to Sukanya Samriddhi Yojana secure your daughters’ futures.

Your focus on NPS and diversified mutual funds is commendable. These build long-term wealth efficiently.

You aim for Rs. 8 crore as a retirement corpus. With careful adjustments, this is achievable.

Key Areas to Strengthen
1. Portfolio Consolidation

Your portfolio has eight mutual funds. This may lead to overlap and inefficiency.

Review these funds with a Certified Financial Planner. Ensure no duplication across asset categories.

Consider consolidating into 3–5 actively managed funds. This maintains diversification while improving focus.

2. Asset Allocation

Your portfolio is heavy in real estate and gold. These are illiquid investments.

Aim to rebalance toward financial assets like equity mutual funds. These provide liquidity and growth potential.

A Certified Financial Planner can assist in optimal asset reallocation.

3. Emergency Fund

Ensure liquid funds for 6–12 months of expenses.

This fund should not overlap with FDs or long-term investments.

Maintain this emergency fund in a liquid fund or savings account.

4. Mutual Fund Taxation

When selling mutual funds, consider capital gains tax:

Long-term capital gains (LTCG) above Rs. 1.25 lakh are taxed at 12.5%.

Short-term gains are taxed at 20%.

Debt mutual funds are taxed as per your income slab.

Plan withdrawals with this tax implication in mind.

Actionable Strategies
1. Increase Equity Exposure

Your diversified mutual funds are strong.

Consider increasing equity mutual fund SIPs for long-term wealth.

Focus on flexi-cap, large-cap, and mid-cap funds for balanced growth.

Small-cap funds are volatile; limit exposure to 10–15%.

2. Optimise NPS Contributions

NPS is excellent for retirement. Its tax benefits under Sections 80C and 80CCD are helpful.

Invest up to Rs. 50,000 annually for additional tax savings.

However, review NPS as it locks in funds till retirement. Maintain flexibility elsewhere.

3. Rationalise FD Holdings

FDs are safe but offer low post-tax returns.

Shift a portion to debt funds for better returns and tax efficiency.

Debt funds balance portfolio risk without sacrificing liquidity.

4. Review Sukanya Samriddhi Yojana

Your contributions here are thoughtful. They offer assured returns for your daughters’ education.

Continue until the full maturity period. This ensures maximum benefit.

Retirement Planning
1. Expense Mapping

List all post-retirement expenses. Account for inflation at 6–7% annually.

Break these into essentials (medical, household) and discretionary (travel, hobbies).

Use this as a guide to calculate your future income requirement.

2. Corpus Building

Your current investments, including EPF and NPS, are solid.

Increase your mutual fund SIPs marginally to stay on track for Rs. 8 crore.

Continue Rs. 1.5 lakh monthly contributions strategically across financial instruments.

3. Health Coverage

Health insurance is critical post-retirement.

Review coverage for yourself and family. Ensure at least Rs. 50 lakh in coverage.

Consider adding a top-up plan for unforeseen medical costs.

Gold Portfolio Insights
Your gold portfolio is significant at Rs. 70 lakh.

SGBs are excellent for regular interest income and long-term growth.

However, physical gold is less efficient. Selling may involve lower liquidity and higher costs.

Convert a portion of physical gold into SGBs or financial assets.

Final Insights
You have made strong financial decisions so far.

Focus on reducing portfolio complexity and enhancing liquidity.

Rebalance your portfolio with a Certified Financial Planner. This ensures alignment with goals.

Stick to disciplined contributions toward NPS and mutual funds. This will help you reach Rs. 8 crore comfortably.

Ensure diversification without overextending into illiquid assets.

With this strategy, your retirement goals are well within reach.

Best Regards,

K. Ramalingam, MBA, CFP

Chief Financial Planner

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

...Read more

Milind

Milind Vadjikar  |795 Answers  |Ask -

Insurance, Stocks, MF, PF Expert - Answered on Dec 24, 2024

Asked by Anonymous - Dec 24, 2024Hindi
Listen
Money
Hello i am almost 30 now I have invested around 40 lakhs in Market (mutual funds plus equity) 6 lakhs ppf maybe 2 lakhs pf I have parental property of combining around 2.5cr I have my parents helath insurance from a private insurance company, also covered by cghs health scheme,so no major worries about health expenses, for me i have 10lakhs health insurance Apart from this we have family pension also. As of now overall i have a monthly income of around 2-2.25 lakhs. I have a car a bike a scooty all valid for next 8-10 years What should be my goal amount for the retirement, i want it as early as possible As per the current scenario i am assuming i will live max till 75 years age. As of now i can invest 80-90k per month Yet to be married i assume i need atleast Lakhs per month as of now What should be the ideal amount with which i can retire
Ans: Hello;

Hope you have adequate term life insurance for yourself.

You may start a monthly sip of 90 K in a combination of pure equity mutual funds.

After 10 years your sip and lumpsum investment will grow into sums of 2.09 and 1.24 Cr respectively.

This adds upto 3.33 Cr. If you add your ppf and EPF corpus then this should add upto a sum of around 4 Cr.

If you invest this corpus in a conservative hybrid debt fund and do a SWP at the rate of 3.5%, you may expect a post tax monthly income of
1 L+.

As you get married your expenses will rise as also the need to plan for various other goals.

Therefore the decision to retire from regular 9-6 job should be backed up with alternate business plan or such other plan to monetize your hobbies that may yield income over atleast next 10-15 years.

Best wishes;

...Read more

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.

Close  

You haven't logged in yet. To ask a question, Please Log in below
Login

A verification OTP will be sent to this
Mobile Number / Email

Enter OTP
A 6 digit code has been sent to

Resend OTP in120seconds

Dear User, You have not registered yet. Please register by filling the fields below to get expert answers from our Gurus
Sign up

By signing up, you agree to our
Terms & Conditions and Privacy Policy

Already have an account?

Enter OTP
A 6 digit code has been sent to Mobile

Resend OTP in120seconds

x