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Ramalingam

Ramalingam Kalirajan  |10194 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 08, 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
DEVARAJAN Question by DEVARAJAN on Apr 14, 2024Hindi
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Hi I have been investing 10 funds not sip.just 3000sip to 360(94000)now focused. Axis small.1.66lac sofar.parakh flexi 150lac or more nd navi next 50 1lac8000.pgim flexi97000.edelweisss balanced 86000 navy us 100 nasadaq.mira large 59000 now nd grow small 250 index 10000 only( new).all the above funds started in 2021. Pls tell me iam the right track.any funds to drop. My name is dev 54yrs and iam also investing in stocks around 7lacs .nd so far. I have fd also rental income.

Ans: Hi Dev! It's great to see your commitment to investing and diversifying your portfolio. Here are some insights to help you stay on track:
• Diversification: Your portfolio seems well-diversified across various mutual funds, which is essential for managing risk. Keep in mind the importance of diversification to spread risk and optimize returns.
• Review: Regularly reviewing your portfolio is crucial to ensure it aligns with your financial goals and risk tolerance. Consider assessing the performance of each fund and its contribution to your overall portfolio returns.
• Consolidation: With a relatively large number of funds, it might be beneficial to assess whether some funds are overlapping in terms of holdings or objectives. Consider consolidating funds with similar objectives to simplify your portfolio and reduce complexity.
• Monitoring: Keep a close eye on the performance of your investments, including stocks and mutual funds. Stay informed about market trends and any changes in fund management or strategy that may impact your investments.
• Professional Advice: Consider consulting with a Certified Financial Planner to review your portfolio comprehensively. They can offer personalized advice based on your financial goals, risk tolerance, and investment horizon.
• Risk Management: Ensure that your portfolio is balanced in terms of risk exposure. While some allocation to stocks can offer growth potential, make sure it aligns with your risk tolerance, especially considering your age and investment horizon.
Overall, you're on the right track with your investments. By regularly reviewing and adjusting your portfolio as needed, you can work towards achieving your financial goals. Keep up the good work!
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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Ramalingam

Ramalingam Kalirajan  |10194 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 14, 2024

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I am 34 years old. I started investing in a SIP of 250000 per month from Nov 2023. Will be investing for 15 years to create a corpus of 30cr at 21% XIRR I am investing in 11 funds equally Hdfc mid cap Quant mid cap Motilal oswal mid cap Tata nifty midcap 150 momentum 50 index fund Quant small cap Sbi nifty small cap 250 index Hdfc large and mid cap Icici large and mid cap Quant flexi cap Parag parikh flexi cap Sbi energy opportunities fund Please suggest If I should consider any changes.
Ans: That's a very impressive start to your investment journey! A monthly SIP of Rs. 2,50,000 for 15 years shows great commitment. Let's discuss your portfolio and your ambitious target corpus:

1. Large Investment, Great Potential!

Disciplined Approach! Investing such a significant amount consistently shows discipline. This is a key factor for wealth creation.

Diversified Portfolio: Your portfolio has a mix of Mid Cap, Small Cap, Large & Mid Cap, Flexi Cap, and a Sectoral Fund (Energy). Actively managed funds like these have fund managers who try to outperform the market by picking stocks they believe will grow.

Sectoral funds focus on specific industries, amplifying the risk associated with economic fluctuations and sector-specific challenges. Their narrow investment mandate exposes investors to higher volatility and concentration risk.

Additionally, sectoral funds lack diversification, making them vulnerable to adverse market conditions within the targeted sector. Timing the entry and exit points becomes crucial due to the cyclical nature of industries, increasing the complexity of investment decisions.

Overall, while sectoral funds offer potential for higher returns during sector upswings, they entail heightened risk and may not suit investors seeking broad-based diversification and stability in their portfolios.

Direct funds lack personalized advice and ongoing support, requiring investors to navigate the complexities of the market independently. They may lead to suboptimal investment decisions due to the absence of professional guidance.

In contrast, regular funds, accessed through a Mutual Fund Distributor (MFD) with Certified Financial Planner (CFP) support, offer tailored advice aligned with individual financial goals. MFDs provide valuable insights, portfolio rebalancing, and assistance during market fluctuations, enhancing investor confidence and decision-making.

Regular funds also often provide additional services such as goal planning, tax optimization, and periodic reviews, ensuring a holistic approach to wealth management.

2. Reaching Your Target:

Ambitious Goal! Targeting a Rs. 30 crore corpus in 15 years with a 21% XIRR (internal rate of return) is highly ambitious. Historically, Equity has delivered good returns, but there are no guarantees.

Market Performance Matters! Market fluctuations can significantly impact your final corpus. A 21% XIRR might be difficult to achieve consistently over 15 years.

3. Let's Analyze Your Portfolio:

Multiple Mid Cap Funds: Having three Mid Cap Funds might lead to overlapping holdings. Consider merging some for better diversification.

Actively Managed vs. Index Funds: While actively managed funds have the potential for higher returns, they also come with higher fees. A small allocation to an Index Fund could provide broader market exposure.

4. Seek Professional Guidance:

Role of a CFP: A Certified Financial Planner (CFP) can analyze your risk tolerance, investment goals, and assess your portfolio.

Personalized Strategy: A CFP can recommend an optimized portfolio allocation that balances risk and reward to potentially maximize your returns and reach your goals.

Remember, reaching your financial goals requires a well-defined strategy, discipline, and realistic expectations of market returns. Consulting a CFP can help you create a personalized plan and increase your chances of success.

Here's the key takeaway: You've made a fantastic start! Consider consulting a CFP to fine-tune your portfolio and potentially reach your long-term goals.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |10194 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 14, 2024

Asked by Anonymous - Aug 08, 2024Hindi
Money
Hi Gurus, I'm investing 29k Sip in below funds. Can you pls look into these and suggest if any changes needed for better. 1. Uti nifty 50 index - 4k 2. Parag parikh flexicap - 6k 3. Jm flexi cap - 6k 4. Quant midcap - 6k 5. Quant smallcap - 3k 6. Nippon india small cap - 4k
Ans: You have a well-diversified SIP portfolio with an investment of Rs 29,000 per month. This includes exposure to large-cap, flexi-cap, mid-cap, and small-cap funds. The diversity in your portfolio is commendable. It reflects a balanced approach, combining growth and stability. However, there is always room for optimization.

Re-evaluating the Index Fund Allocation
Your current allocation includes an index fund. Index funds track the market and are passively managed. While they are low-cost, they may not outperform actively managed funds over the long term.

Actively managed funds provide the advantage of expert fund management. This can lead to better returns, especially in a dynamic market like India. It might be beneficial to shift this allocation to a well-managed large-cap or multi-cap fund. This could enhance the growth potential of your portfolio.

Flexi-Cap Funds: A Balanced Approach
You have allocated Rs 12,000 in flexi-cap funds. Flexi-cap funds are versatile as they invest across market capitalizations. This flexibility allows fund managers to capitalize on market opportunities.

However, ensure that both flexi-cap funds are distinct in their investment strategy. Overlapping strategies may reduce diversification benefits. Consider reviewing the performance and investment style of these funds. This will help you avoid redundancy and maximize your portfolio's growth.

Mid-Cap and Small-Cap Funds: Growth Potential with Risk
Your portfolio has a significant allocation to mid-cap and small-cap funds. Mid-cap and small-cap funds are known for their high growth potential. However, they also come with increased volatility.

It is important to ensure that your risk appetite aligns with this allocation. Mid-cap and small-cap funds should ideally form a smaller portion of your portfolio if you are risk-averse. On the other hand, if you are comfortable with market fluctuations, these funds can contribute to long-term wealth creation.

Considering the Overlap in Small-Cap Funds
You have two small-cap funds in your portfolio. While small-cap funds offer high growth, having multiple funds in the same category might lead to overlap. This could reduce the effectiveness of diversification.

You may want to consolidate your investment into one well-performing small-cap fund. This will simplify your portfolio and potentially enhance returns. Focus on a fund with a strong track record and consistent performance.

The Importance of Regular Portfolio Review
Your SIP portfolio should be regularly reviewed to align with your financial goals. Markets and fund performances change over time. A Certified Financial Planner can help you make necessary adjustments.

Regular reviews will help in identifying underperforming funds. They will also help in capitalizing on new opportunities. This proactive approach ensures that your portfolio remains on track to achieve your financial objectives.

Benefits of Professional Guidance
Investing through a Certified Financial Planner provides several advantages. These professionals offer personalized advice tailored to your financial situation. They also have the expertise to navigate market complexities and optimize your portfolio.

Direct funds, while low-cost, may not offer the same level of guidance. Investing through regular funds with a CFP’s advice can lead to better financial outcomes. The value of professional expertise often outweighs the cost.

Tax Efficiency and Investment Planning
Your investment strategy should also consider tax efficiency. Equity mutual funds offer tax benefits, especially for long-term investors. However, tax laws can change, and it’s important to stay updated.

A Certified Financial Planner can help you optimize your tax liabilities. They can guide you on how to structure your investments to maximize post-tax returns. This is a crucial aspect of building and preserving wealth.

Aligning Investments with Financial Goals
Every investment should be aligned with your financial goals. Whether you are saving for retirement, buying a house, or funding your children's education, each goal requires a different strategy.

It’s important to map your SIPs to specific goals. This will help you track progress and make adjustments as needed. A goal-based approach ensures that your investments are purposeful and effective.

Balancing Growth and Stability
While your portfolio is growth-oriented, it’s essential to maintain a balance with stability. Growth funds can provide high returns, but they also carry higher risk.

Consider allocating a portion of your portfolio to debt funds or balanced funds. These funds offer stability and protect against market downturns. This balanced approach can safeguard your portfolio during volatile times.

Final Insights
Your current SIP portfolio is well-structured with a strong focus on growth through equity funds. You’ve done a commendable job in diversifying across different market capitalizations. However, to further optimize your portfolio, a few adjustments and considerations can enhance your investment strategy.

Here’s a recap of the key recommendations:

Reevaluate the Index Fund Allocation: Consider shifting your investment from the index fund to an actively managed large-cap or multi-cap fund. Actively managed funds offer the potential for higher returns due to expert management.

Review Flexi-Cap Funds: Ensure there’s no overlap between the two flexi-cap funds. They should have distinct investment strategies to maximize diversification benefits.

Manage Mid-Cap and Small-Cap Exposure: Given the inherent volatility of mid-cap and small-cap funds, assess your risk tolerance. If necessary, consolidate your small-cap funds to avoid redundancy and simplify your portfolio.

Regular Portfolio Review: Regularly reviewing your portfolio is crucial. It helps in making timely adjustments and ensuring your investments align with your financial goals. A Certified Financial Planner can provide valuable insights and guidance.

Tax Efficiency: Optimize your portfolio for tax efficiency. A CFP can help you navigate tax laws and structure your investments to maximize post-tax returns.

Align Investments with Financial Goals: Map your SIPs to specific financial goals. This goal-based approach ensures that each investment serves a clear purpose, helping you track progress and make informed adjustments.

Balance Growth with Stability: While your portfolio is geared towards growth, consider adding some stability through debt or balanced funds. This will help protect your investments during market downturns.

By implementing these recommendations, you can enhance the effectiveness of your SIP investments. It’s important to stay proactive and adaptable as market conditions and personal circumstances evolve. Your commitment to investing is commendable, and with the right strategy, you can achieve your financial goals more effectively.

Best Regards,

K. Ramalingam, MBA, CFP

Chief Financial Planner

www.holisticinvestment.in

..Read more

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For AI ML cource MSRIT best than BMSC?
Ans: Both MSRIT (Ramaiah Institute of Technology) and BMSCE (BMS College of Engineering) deliver leading B.E. programs in Artificial Intelligence & Machine Learning, underpinned by NAAC A++ accreditation, reputed faculties, and strong placement cells in the heart of Bengaluru. MSRIT’s AI & ML department emphasizes deep AI/ML curriculum, experienced research-focused faculty, and active industry-academia collaboration. The course structure aligns closely with global AI trends and the department is led by senior professors with over two decades of research and practical experience. Placement outcomes in AI/ML at MSRIT consistently reach 85–90%, with student access to exclusive training, innovation labs, and upskilling events, producing well-rounded graduates. BMSCE’s AI & ML department similarly features a robust curriculum, highly qualified professors, and strong lab infrastructure—students praise the frequent curriculum updates, teaching quality, and placement support. Placement rates for AI/ML in BMSCE range around 80%, with leading recruiters such as Amazon, Bosch, TCS, and Deloitte. Both institutions offer comprehensive sports, hostel, and student life amenities, but student reviews indicate MSRIT has an edge in co-curricular exposure and research orientation, while BMSCE is lauded for broader core-CS foundations and slightly higher median compensation for some recent placements. Both ensure a rigorous academic environment and maintain excellent ties with top technology recruiters.

Recommendation: For those seeking focused expertise, cutting-edge research opportunities, and robust co-curricular engagement in AI & ML, MSRIT holds a marginal advantage, especially for passionate AI aspirants. BMSCE remains an excellent alternative, offering strong placements, industry links, and a broader foundational core, catering well to students seeking flexibility across computing domains. All the BEST for a Prosperous Future!

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Sir i have confusion nit surathkal cse(IS) vs mnnit cse for mtech. I completed btech cse from nit surat. Pl. advice
Ans: NIT Surathkal’s MTech in Computer Science and Engineering (Information Security) and MNNIT Allahabad’s MTech in Computer Science and Engineering are both highly reputable postgraduate programs, each offering distinct academic and career advantages. NIT Surathkal, consistently ranked within the top 20 engineering institutes in India, boasts a CSE department known for strong faculty research output, MoUs with industry leaders, and specialized infrastructure for computing and information security. The Information Security specialization comprehensively covers advanced topics like cryptography, network defenses, secure coding, and intrusion prevention, aligning with increasing demand for cybersecurity professionals. Surathkal’s recent placement records reflect an average package around ?12.45LPA, with leading national and global companies recruiting, and a vibrant campus life supported by state-of-the-art labs and strong alumni links.

MNNIT Allahabad is similarly renowned, with its CSE MTech placements averaging over ?28LPA for 2024 and near 100% placement in CSE branches, drawing top IT and product-based recruiters. Faculty are highly qualified, and the curriculum covers core and emerging CS areas including AI, data science, and information security, though some reviews note that infrastructure is slightly older compared to NIT Surathkal, and hostel amenities are more modest. MNNIT’s advantage lies in its strong placement ecosystem, higher recent CSE median package, and robust industry and alumni engagement, though both institutes have rigorous academics and proactive student communities.

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Nayagam P P  |9973 Answers  |Ask -

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Sir my son allotted with Civil from YMCA Faridabad in defence category spot 1 round and Gurugram University he was allotted CS with AI. Kindly provide your valuable feedback at this juncture for further action can be taken.
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I got 3.5 lakh rank in jee mains and with ews i got 50000 I am currently in uptac Councling I got cse in Khwaja Moinuddin Chishti Language University, Lucknow Should i lock it or find different choice My budget is 6 lpa only What choices should be best for me uptac
Ans: Tiwari, With a JEE Main CRL of 3.5 lakh and EWS rank of 50,000, your access to top-tier government colleges is limited, but you are eligible for a range of private institutes through UPTAC. Khwaja Moinuddin Chishti Language University’s CSE program comes at an affordable fee of ?3.5–3.96 lakh, well within your ?6 lakh budget, and reports placement rates of about 65–70% with average offers around ?6LPA from companies such as Microsoft, HCL, and L&T. The university provides sound infrastructure, supportive faculty, and modern labs, but is relatively new to the technical scene, so industry connections are still developing. Comparable options like ABES, KIET, Galgotias, and AKGEC Ghaziabad offer similar or slightly higher placement statistics and are within your budget, with comprehensive campus facilities and strong placement cells; however, cut-offs for CSE in these colleges for EWS typically close below 45–50K, making it difficult but not impossible to secure a seat. Lower fee colleges like DEI Agra or LIT Lucknow feature even more affordable tuition but may have less robust placement records for CSE.

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Nayagam P

Nayagam P P  |9973 Answers  |Ask -

Career Counsellor - Answered on Aug 06, 2025

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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