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Omkeshwar

Omkeshwar Singh  | Answer  |Ask -

Head, Rank MF - Answered on Aug 31, 2020

Mutual Fund Expert... more
Reshma Question by Reshma on Aug 31, 2020Hindi
Money

I have invested in following mutual funds since last 3-4 years. I can wait for more than 6-7 years. 

Ans:
Name of the Fund Category Recommendations
1)  Aditya Birla Sun Life Focused Equity Fund: Rs.3,000/- Equity - Focused Fund Switch to Axis Focused 25
2)   DSP Mid Cap Fund: Rs.2,000/- Equity - Mid Cap Fund Continue
3)  DSP Natural Resources and New Energy Fund: Rs.3,000/-  Equity - Sectoral Fund - Energy & Power Switch to Axis ESG Equity
4)  HDFC Mid-cap Opportunities Fund: Rs.2,000/- Equity - Mid Cap Fund Switch to DSP Mid Cap
5)  L&T Infrastructure Fund: Rs.3,000/- Equity - Sectoral Fund - Infrastructure Switch to Axis ESG Equity
6)  Motilal Oswal Multicap 35 Fund: Rs.3,000/- Equity - Multi Cap Fund Switch to UTI Equity Fund
7)  Nippon India Growth Fund: Rs.2,000/- Equity - Mid Cap Fund Switch to DSP Mid Cap
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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i want to invest mutual fund for 5-6 years
Ans: Investing in mutual funds with a 5-6 year horizon is a good strategy. It allows you to balance risk and returns effectively.

Choosing the Right Mutual Funds
1. Hybrid Funds

Combine equity and debt.
Offer growth potential with lower risk.
2. Balanced Advantage Funds

Adjust equity and debt allocation based on market conditions.
Provide a balance between risk and return.
3. Equity Funds

Focus on growth through stocks.
Suitable if you can tolerate higher risk.
4. Debt Funds

Invest in fixed-income securities.
Lower risk compared to equity.
Diversification Strategy
1. Hybrid and Balanced Funds

Ideal for medium-term investments.
They provide stability and growth.
2. Diversify Across Sectors

Spread your investment across different sectors.
Helps in reducing risk.
3. Mix of Equity and Debt

Equity for growth, debt for stability.
Adjust based on market conditions and risk tolerance.
Key Considerations
1. Risk Tolerance

Assess how much risk you are willing to take.
Higher risk can lead to higher returns but also potential losses.
2. Investment Goals

Define what you want to achieve with your investment.
Align your mutual fund choice with these goals.
3. Fund Performance

Review the past performance of mutual funds.
Consider funds with a consistent track record.
4. Regular Monitoring

Keep an eye on your investments periodically.
Rebalance your portfolio if necessary.
Benefits of Actively Managed Funds
1. Professional Management

Fund managers make investment decisions based on research.
Potential for better returns compared to passive funds.
2. Flexibility

Actively managed funds can adjust holdings based on market conditions.
Offers a chance to capitalize on market opportunities.
3. Research and Expertise

Fund managers have access to extensive research and resources.
Can help in achieving better returns.
Avoiding Common Pitfalls
1. Avoid Direct Investments

Direct funds can have higher expenses and lack the benefit of professional management.
Regular funds managed through an MFD with CFP credentials can provide better service.
2. Steer Clear of Index Funds

Index funds track market indices and may not offer significant outperformance.
Actively managed funds have the potential to outperform market indices.
Final Insights
For a 5-6 year investment horizon, hybrid and balanced advantage funds offer a balanced approach. They combine growth with stability, making them suitable for medium-term investments. Diversify your investments and choose funds with a strong track record. Actively managed funds can provide better returns and more flexibility.

Regularly review your investments to ensure they align with your goals. Consulting a Certified Financial Planner can help in making informed decisions and achieving your financial objectives.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

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Step-by-Step Guide to Check Your Admission Chances Using JoSAA Data
Step 1: Collect Your Key Details
Before starting, note down the following details:

Your JEE Main percentile
Your category (General-Open, SC, ST, OBC-NCL, EWS, PwD categories)
Preferred institute types (NIT, IIIT, GFTI)
Preferred locations (or if you're open to any location in India)
List of at least 3 preferred academic programs (branches) as backups (instead of relying on just one option)
Step 2: Access JoSAA’s Official Opening & Closing Ranks
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Click on the first search result (official JoSAA website).
You will land directly on JoSAA’s portal, where you can enter your details to check past-year cutoffs.
Step 3: Select the Round Number
JoSAA conducts five rounds of counseling.
For a safer estimate, choose Round 4, as most admissions are settled by this round.
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Select NIT, IIIT, or GFTI, depending on your preference.
If you are open to all types of institutes, check them one by one instead of selecting all at once.
Step 5: Select the Institute Name (Based on Location)
It is recommended to check institutes one by one, based on your preferred locations.
Avoid selecting ‘ALL’ at once, as it may create confusion.
Step 6: Select Your Preferred Academic Program (Branch)
Enter the branches you are interested in, one at a time, in your preferred order.
Step 7: Submit and Analyze Results
After selecting the relevant details, click the ‘SUBMIT’ button.
The system will display Opening & Closing Ranks of the selected institute and branch for different categories both Home State (HS) i.e. State you belong to & also Other State (OS).
Step 8: Note Down the Opening & Closing Ranks
Maintain a notebook or diary to record the Opening & Closing Ranks for each institute and branch you are interested in, separately for HS & OS Categories for a quick reference.
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Step 9: Adjust Your Expectations on a Safer Side
Since Opening & Closing Ranks fluctuate slightly each year, always adjust the numbers for safety.
Example Calculation:
If the Opening & Closing Ranks for NIT Delhi | Mechanical Engineering | OPEN Category show 8622 & 26186 (for Home State), consider adjusting them to 8300 & 23000 (on a safer side).
If the Female Category rank is 34334 & 36212, adjust it to 31000 & 33000.

Follow this approach for Other State candidates and different categories.
Pro Tip: Adjust your expected rank slightly lower than the previous year's cutoffs for realistic expectations during JoSAA counseling.

Can This Method Be Used for JEE April & JEE Advanced?
Yes! You can repeat the same steps after your April JEE Main results to refine your admission possibilities.
You can also follow a similar process for JEE Advanced cutoffs when applying for IITs.

Want to Learn More About JoSAA Counseling?
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Step-by-Step Guide to Check Your Admission Chances Using JoSAA Data
Step 1: Collect Your Key Details
Before starting, note down the following details:

Your JEE Main percentile
Your category (General-Open, SC, ST, OBC-NCL, EWS, PwD categories)
Preferred institute types (NIT, IIIT, GFTI)
Preferred locations (or if you're open to any location in India)
List of at least 3 preferred academic programs (branches) as backups (instead of relying on just one option)
Step 2: Access JoSAA’s Official Opening & Closing Ranks
Go to Google and type: JoSAA Opening & Closing Ranks 2024
Click on the first search result (official JoSAA website).
You will land directly on JoSAA’s portal, where you can enter your details to check past-year cutoffs.
Step 3: Select the Round Number
JoSAA conducts five rounds of counseling.
For a safer estimate, choose Round 4, as most admissions are settled by this round.
Step 4: Choose the Institute Type
Select NIT, IIIT, or GFTI, depending on your preference.
If you are open to all types of institutes, check them one by one instead of selecting all at once.
Step 5: Select the Institute Name (Based on Location)
It is recommended to check institutes one by one, based on your preferred locations.
Avoid selecting ‘ALL’ at once, as it may create confusion.
Step 6: Select Your Preferred Academic Program (Branch)
Enter the branches you are interested in, one at a time, in your preferred order.
Step 7: Submit and Analyze Results
After selecting the relevant details, click the ‘SUBMIT’ button.
The system will display Opening & Closing Ranks of the selected institute and branch for different categories both Home State (HS) i.e. State you belong to & also Other State (OS).
Step 8: Note Down the Opening & Closing Ranks
Maintain a notebook or diary to record the Opening & Closing Ranks for each institute and branch you are interested in, separately for HS & OS Categories for a quick reference.
This will serve as a quick reference during JoSAA counseling.
Step 9: Adjust Your Expectations on a Safer Side
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Example Calculation:
If the Opening & Closing Ranks for NIT Delhi | Mechanical Engineering | OPEN Category show 8622 & 26186 (for Home State), consider adjusting them to 8300 & 23000 (on a safer side).
If the Female Category rank is 34334 & 36212, adjust it to 31000 & 33000.

Follow this approach for Other State candidates and different categories.
Pro Tip: Adjust your expected rank slightly lower than the previous year's cutoffs for realistic expectations during JoSAA counseling.

Can This Method Be Used for JEE April & JEE Advanced?
Yes! You can repeat the same steps after your April JEE Main results to refine your admission possibilities.
You can also follow a similar process for JEE Advanced cutoffs when applying for IITs.

Want to Learn More About JoSAA Counseling?
If you want detailed insights on JoSAA counseling, engineering entrance exams, preparation strategies, and engineering career options, check out EduJob360’s 180+ YouTube videos on this topic!

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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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