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Ramalingam

Ramalingam Kalirajan  |7162 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 04, 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
Dhruvil Question by Dhruvil on Apr 12, 2024Hindi
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Hello Sir, my age is 28yrs and I am investing in Mutual funds for last 6 years now. As of now I have monthly SIP of 2k in PPFAS Flexi cap fund and 2.5k in Mirae Asset Large and Midcap fund. I want to invest more 12k-15k per month. I want to invest these for my retirement corpus and I am open to take risks in Smallcap, Midcap, Thematic funds, etc.. Kindly suggest good funds to invest in. Is it good to invest in schemes of Quant Fund house.

Ans: Since you're open to taking risks and have a long investment horizon for your retirement corpus, investing in small-cap, mid-cap, and thematic funds can potentially offer higher returns over the long term. Here are some suggestions for funds to consider:

Small-cap Funds: These funds invest in stocks of small-sized companies with high growth potential. Consider reputable funds with a consistent track record of performance in this category.
Mid-cap Funds: Mid-cap funds focus on stocks of medium-sized companies, offering a balance of growth potential and risk. Look for funds managed by experienced fund managers with a strong track record.
Thematic Funds: Thematic funds invest in sectors or themes expected to perform well over time. Choose themes aligned with your investment objectives and outlook for future growth.
Regarding Quant Fund House, while they may offer innovative investment strategies, it's essential to conduct thorough research on their fund offerings, track record, and investment approach. Ensure they align with your risk profile and long-term goals before investing.

Lastly, consider diversifying your investments across multiple funds and asset classes to spread risk and maximize potential returns. Regularly review your portfolio and make adjustments as needed to stay aligned with your investment objectives. Consulting with a Certified Financial Planner can provide personalized advice tailored to your specific financial situation and goals.
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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Omkeshwar

Omkeshwar Singh  | Answer  |Ask -

Head, Rank MF - Answered on Nov 29, 2019

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I am 32 and would like to know the following mutual funds are good or not as I am investing in them for more than 5 years around Rs 40,000 each month by SIP mode. Please suggest me if I have to change any.  UTI Transportation and Logistics Fund (dividend and growth both)  UTI Equity Fund (dividend and growth)  UTI Infrastructure Fund (growth)  UTI Midcap Fund (growth)  UTI MNC Fund (dividend) UTI Core Equity Fund (dividend)  UTI Value Opportunity Fund (dividend and growth)  UTI Arbitage Fund UTI Ultra Short-term Fund ICICI Pru India Value Opportunity Fund ICICI Value Discovery Fund ICICI Pru Equity and Debt Fund Please suggest as I am investing almost Rs 40,000 per month in SIP mode. Whether any change is required or not?  Also suggest the best funds for me as I am thinking for 12 to 20 years. Waiting for your valuable comments  
Ans:
Name of the Fund Name of the Fund RankMF Star Rating
UTI Transportation and Logistics Fund(dividend and growth both)     
Growth Equity - Sectoral Fund - Auto 2
Dividend Reinvestment Plan Equity - Sectoral Fund - Auto 1
Dividend Payout Plan Equity - Sectoral Fund - Auto 1
UTI Equity Fund (dividend and growth)     
Growth Equity - Multi Cap Fund 5
Dividend Reinvestment Plan Equity - Multi Cap Fund 5
Dividend Payout Plan Equity - Multi Cap Fund 5
UTI Infrastructure Fund (growth)  Equity - Sectoral Fund - Infrastructure 3
UTI Midcap Fund (growth)  Equity - Mid Cap Fund 2
UTI MNC Fund(dividend)    
Dividend Payout Plan Equity - Thematic Fund - MNC 2
Dividend Reinvestment Plan Equity - Thematic Fund - MNC 2
UTI Core Equity Fund (dividend)     
Dividend Payout Plan Equity - Large & Mid Cap Fund 1
Dividend Reinvestment Plan Equity - Large & Mid Cap Fund 2
UTI Value Opportunity Fund (dividend and growth)    
Growth Equity - Value Fund 4
Dividend Payout Plan Equity - Value Fund 3
Dividend Reinvestment Plan Equity - Value Fund 4
UTI ArbitageFund Hybrid - Arbitrage Fund 4
UTI Ultra Short-term Fund Debt - Ultra Short Duration Fund 5
ICICI Pru India Value Opportunity Fund Equity - Thematic Fund - Other 3
ICICI Value Discovery Fund Equity - Value Fund 2
ICICI PruEquity and Debt Fund Hybrid - Aggressive Hybrid Fund 5

You may continue with funds with 4 and 5 star rated, sector funds to be avoided and good funds in Multicap , Focused and Mid cap should be invested in.

Midcap: Suitable option considering quality and value for money at present levels is DSP Midcap and Axis Midcap

Multicap: Suitable options considering quality and value for money at present levels are UTI Equity Fund, Axis Multicap, Motilal Oswal Multicap 35

Focused: Suitable options considering quality and value for money at present levels are Axis Focused 25 and Motilal Oswal Focused 25

..Read more

Ramalingam

Ramalingam Kalirajan  |7162 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 04, 2024

Asked by Anonymous - Apr 25, 2024Hindi
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Hi. I am ready to invest SIP of 5000 per month for next 20 years and can step up 10% every 2 years. I'm looking for medium risk mutual fund as I'm going for long run. Kindly suggest me some mutual fund that gives some good returns. Quant active fund, mid cap fund, Parag Parikh flexi cap, ICICI prudential retirement fund, Edelweiss large & mid cap are the funds which I have chosen to invest in. Correct me with better plans if I am wrong. Thanks in advance.
Ans: Your investment approach of SIP with step-up every two years for the next 20 years reflects a disciplined and long-term perspective. Here are some insights and suggestions:

Medium-Risk Mutual Funds: Your selection of mutual funds like Parag Parikh Flexi Cap and ICICI Prudential Retirement Fund aligns well with your medium-risk tolerance and long-term investment horizon. These funds offer diversified portfolios across different market caps and sectors, reducing overall risk.
Quant Active Fund and Mid Cap Fund: While these funds may offer higher growth potential, they also come with higher risk due to their focus on mid-cap stocks or active management strategies. Ensure you're comfortable with the associated volatility and risk before investing.
Edelweiss Large & Mid Cap: This fund provides exposure to both large and mid-cap segments of the market, offering a balanced approach. However, review its performance and portfolio composition periodically to ensure it meets your investment objectives.
Review and Adjust: Regularly monitor your portfolio's performance and make adjustments if needed. Consider factors like fund performance, changes in your financial goals, and overall market conditions when reviewing your investment strategy.
Consider Professional Advice: Consulting with a financial advisor or Certified Financial Planner can provide personalized guidance tailored to your financial situation and goals. They can help you fine-tune your investment strategy and select the most suitable mutual funds.
Remember, investing in mutual funds involves risks, and past performance is not indicative of future results. Stay focused on your long-term goals, maintain a diversified portfolio, and invest regularly to maximize your chances of achieving financial success.

..Read more

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Pushpa

Pushpa R  |33 Answers  |Ask -

Yoga, Mindfulness Expert - Answered on Nov 27, 2024

Asked by Anonymous - Nov 22, 2024Hindi
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Hi Pushpa, I start my day with morning meditation which brings calm and peace to my mind. But after first instance that angers me, the calm from the morning is lost and the mood for the entire day is disturbed. Although I don't express the anger outside in words or action, but the mind is definitely angered. What can I do so that words or actions don't anger me ? And if they do, how can I bring myself back to my calm state quickly ?
Ans: To remain calm even when faced with anger, it's essential to train the mind regularly, not just in the mornings. Here’s a simple way to handle it:

Mindful Breathing: When you feel anger rising, pause and take deep breaths. Slowly inhale for 4 counts, hold for 4, and exhale for 6 counts. This simple practice can calm your mind in moments.

Witness Your Anger: Instead of reacting, observe the anger. Tell yourself, "This is just a passing emotion. I don't need to hold on to it."

Practice Gratitude: Shift your focus to something positive—like a good moment from your day. Gratitude quickly softens anger.

Carry Peace Throughout the Day: After morning meditation, visualize yourself remaining calm no matter what happens. This mental preparation helps when challenges arise.

Remember, meditation and mindfulness need consistent guidance to become effective. A yoga or meditation coach can teach you techniques tailored to your personality and lifestyle. Self-practice is good, but expert guidance ensures you build resilience faster and avoid frustration.

When anger disrupts your peace, see it as a signal to return to your breath and inner calm—each time, you grow stronger.

R. Pushpa, M.Sc (Yoga)
Online Yoga & Meditation Coach
Radiant YogaVibes
https://www.instagram.com/pushpa_radiantyogavibes/

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Nayagam P

Nayagam P P  |3930 Answers  |Ask -

Career Counsellor - Answered on Nov 27, 2024

Asked by Anonymous - Jun 09, 2024Hindi
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Milind

Milind Vadjikar  |707 Answers  |Ask -

Insurance, Stocks, MF, PF Expert - Answered on Nov 27, 2024

Asked by Anonymous - Nov 27, 2024Hindi
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Hi Milind, Hope you are doing well. I am an NRI. I am 42-year-old. I am a Software engineer. My son is 11-year-old. Please share your guidance for better investment in MF or Stocks which has better returns with less risk. The plan is for my son’s education for his degree. Please find my plan. 1. I can spend 20K per month towards SIP. 2. Plan is for 8 years investment. 3. In next 8 years, my target is to make 40 to 50 lakhs Please provide your inputs to my following queries 1. Which mutual funds can help to achieve my above goal? 2. Is it better to invest in 2 to 3 mutual funds ? 3. How much I need to SIP to achieve my above goals? 4. How can I apply investments in the mutual fund from United Kingdom? 5. Do I need open DMAT account ? If so, please guide how can I do this from UK? 6. Do I need to do KYC? If so, please guide how can I do this from UK? Appreciate you if you guide me Thank you
Ans: Hello;

To generate a corpus of around 50 L in 8 years you have two options:

1. Start with 20 K monthly SIP and step it up each year by 15% upto 8 years.

2. Start with a monthly sip of 31 K which may yield you a corpus of around 50 L after 8 years.

A modest 12% return from equity mutual funds is considered.

Mutual funds will be certainly better then direct stocks from a risk perspective.

You may invest in a flexicap type mutual fund and a large and midcap type mutual fund in the proportion of 50:50 for your investment.

You may select any fund from the top quartile in these categories.

You don't need a demat account.

You will need to do KYC before investing, some investment apps/AMCs offer it to be done online even for NRIs.

Happy Investing;

...Read more

Anu

Anu Krishna  |1330 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on Nov 27, 2024

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I am a Single mother (divorcee) of 4year old kid. I was separated when the kid was around a year old, because of his habits and abusive nature. I didn't want my to go through the same The father or his family never asked to see the kid. Now my kid asks questions "where is my dad", "everyone has father, where is mine". It breaks my heart and i am not sure how to handle it. How can I tell my kid that the father doesn't want to be involved in a polite way so that it doesn't break my kid.
Ans: Dear Sushma,
I am sure this is really tough for you.
What I can suggest is actually reading out books to him that explain separation/divorce through stories. This will enable him to understand that there are families and not all families are the same. But do ensure that you give him a good image about his father. Bitterness as a seed can grow and that is not healthy for a child at all. As the story progresses, you may want to insert the truth that in some families, the father/mother are not involved and choose to be away. This maybe difficult for him to fathom right now but slowly comparing his life with his friends, he will have more questions as he grows up. Take it one day at a time...break the truth gently and very age appropriately and right now, stories seem to be the better way.

Later in life as he grows even older, he can choose to seek and understand the truth in his own way. It may seem like a big contrast then but he will know that you had in his childhood come from a space of concern for his emotional growth.

You may also check in with other single mothers and they will surely have some things to share on it...at the end of the day, do what you think is right as a mother for your child.

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

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Ramalingam

Ramalingam Kalirajan  |7162 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Nov 27, 2024

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Dear Sir, I am 38 years old and I want to invest 60 lakh in mutual fund as lumpsum or STP over one year. I am planning to break it to 4 parts of 15 lakh each and invest in Nifty 50, Nifty midcap 150, one multi cap and one flexi cap. I have an invest horizon of 20 years. I have invested in real estate so I have already diversified myself so want to stick to mutual funds for 60 lakhs. Please advise if this is wise or am I being dumb?
Ans: Your financial planning shows a clear and thoughtful approach. Allocating Rs 60 lakh with a 20-year horizon is wise. However, let’s evaluate your strategy to ensure optimal diversification, risk management, and returns.

Diversification Achieved:
Your existing real estate investments ensure risk is spread across asset classes.

Long-Term Horizon Advantage:
A 20-year horizon allows you to absorb market volatility and maximise compounding benefits.

Focus on Mutual Funds:
Sticking to mutual funds for this corpus is logical and efficient.

Reassessing Your Allocation Plan
Lumpsum vs Systematic Transfer Plan (STP):
Lumpsum investment can expose you to market timing risks. Use STP over 12–18 months to reduce volatility.

Equity Fund Categories Selection:
Your idea of investing in large-cap, mid-cap, multi-cap, and flexi-cap funds is balanced.

Issues with Index Fund Allocation
Concerns with Nifty 50 and Nifty Midcap 150:
Index funds lack active management, leading to missed opportunities during market fluctuations.

Benefits of Actively Managed Funds:
Active funds aim for better returns through expert fund manager insights and stock selection.

Advantages of Multi-Cap and Flexi-Cap Funds
Multi-Cap Funds:
These funds provide exposure across large-cap, mid-cap, and small-cap segments, ensuring balanced growth.

Flexi-Cap Funds:
Fund managers can freely allocate investments to market segments based on opportunities.

Complementary Approach:
Combining these funds with active large- and mid-cap funds ensures robust diversification.

Strategic Recommendations
Adopt a Blend of Active Funds:
Replace index funds with actively managed large- and mid-cap funds.

Focus on Quality Fund Selection:
Choose funds with consistent long-term performance and experienced fund managers.

Allocate Based on Risk Appetite:
Consider 60–70% allocation to equity funds for growth and 30–40% to hybrid or debt funds for stability.

Start STP Immediately:
Park your lumpsum in liquid funds and systematically transfer to equity funds monthly.

Taxation Awareness
Equity Mutual Funds Tax Rules:

LTCG above Rs 1.25 lakh is taxed at 12.5%.
STCG is taxed at 20%.
Debt Funds Taxation:
LTCG and STCG are taxed as per your income slab.

Plan Exit Strategy:
Use SWP (Systematic Withdrawal Plan) after 20 years to optimise tax benefits.

Risks and Monitoring
Mitigate Market Risks:
Diversified fund selection and STP lower volatility risks.

Review Regularly:
Monitor your portfolio yearly and rebalance if needed.

Avoid Over-Concentration:
Ensure no single fund category dominates your portfolio.

Additional Suggestions
Emergency Fund:
Ensure an emergency fund of at least 6–12 months' expenses.

Insurance Coverage:
If not already covered, secure adequate health and term insurance.

Avoid Unnecessary Additions:
Stick to mutual funds without over-diversifying into unrelated assets.

Final Insights
Your planned allocation reflects thoughtful diversification and long-term focus. Replacing index funds with actively managed funds can enhance returns. Using an STP will balance market volatility effectively. With consistent monitoring and expert fund selection, your Rs 60 lakh investment can achieve your 20-year goals.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

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

...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.

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