I am Pushpinder Singh I will be 24 years in January 2024 and I have almost 12.5 lacs in financial markets 6.71 lac and 5.8 lac in mutual funds I have sip of 22000 per months divided in multiple mutual funds from mostly nippon mid cap fund and some other funds divided in small caps us equities large cap and government bonds and psu debt fund and I will be increasing my Sip to 25000 or 27000 including nps and my father and parents are giving me money for SIPs and mutual fund currently I am in Canada looking for job and planning to come back to India in march 2025 because my permit will expire then. Could you tell me what to do I am really confused and frustrated could you help me please thank you
Ans: At 24, managing Rs 12.5 lakh in investments is impressive.
Your SIP of Rs 22,000 reflects disciplined investing.
Planning to increase your SIP shows future financial awareness.
You’ve diversified across equity, debt, and international funds.
Relying on family for investments now provides flexibility.
However, it’s vital to plan for financial independence.
Clarity on Long-Term Goals
Define your financial goals clearly for better direction.
Examples include building wealth, home purchase, or retirement corpus.
Returning to India in 2025 changes your financial planning needs.
Review Current Investment Strategy
1. Mutual Funds Portfolio
Your focus on mid-cap and small-cap funds is growth-oriented.
These funds are volatile but perform well long-term.
Balance them with large-cap funds for stability.
PSU debt funds are safe but offer limited growth.
International equity exposure adds diversification but check fund performance.
2. SIP Increment
Increasing your SIP to Rs 25,000-27,000 is wise.
Focus on equity funds for inflation-beating returns.
Monitor underperforming funds and replace them if needed.
NPS Contribution and Benefits
Including NPS in your portfolio provides retirement-specific savings.
NPS allows tax benefits under Section 80CCD.
Opt for higher equity exposure in NPS for better returns.
As you near retirement, rebalance towards safer investments.
Financial Independence in Canada
Job search in Canada should focus on income stability.
Allocate part-time earnings to emergency funds or SIPs.
Build a liquid emergency fund covering at least six months’ expenses.
This fund can support you during job transitions in Canada or India.
Financial Adjustments Upon Returning to India
1. Reassess Your Expenses
Post-2025, review living expenses in India.
Adjust investments based on changes in cost of living.
2. Optimise Tax Efficiency
NRI status changes tax rules for your investments.
Understand mutual fund taxation when switching residency.
Keep debt funds minimal as they have higher tax rates.
3. Health Insurance and Risk Management
Ensure adequate health insurance coverage upon return.
Consider personal health policies in addition to family coverage.
Addressing Emotional Stress
Feeling frustrated at 24 is natural during transitions.
Focus on achievable milestones rather than everything at once.
Talk to family about shared expectations for clarity.
Final Insights
Your disciplined start provides a strong financial foundation.
Balance high-growth funds with stability-oriented investments.
Build financial independence while relying on family support initially.
Maintain focus on long-term goals even during temporary setbacks.
Regularly monitor and realign investments to match your evolving life stages.
Best Regards,
K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment