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Mutual Funds: Shifting from Emerging Fund to Equity Saving Fund with Capital Gains

Milind

Milind Vadjikar  | Answer  |Ask -

Insurance, Stocks, MF, PF Expert - Answered on Sep 28, 2024

Milind Vadjikar is an independent MF distributor registered with Association of Mutual Funds in India (AMFI) and a retirement financial planning advisor registered with Pension Fund Regulatory and Development Authority (PFRDA).
He has a mechanical engineering degree from Government Engineering College, Sambhajinagar, and an MBA in international business from the Symbiosis Institute of Business Management, Pune.
With over 16 years of experience in stock investments, and over six year experience in investment guidance and support, he believes that balanced asset allocation and goal-focused disciplined investing is the key to achieving investor goals.... more
Asked by Anonymous - Sep 26, 2024Hindi
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Hi Sir, I have been investing in Mirae Asset Emerging Fund - Dir since 4 years, recently this has changed to Mirae Asset Large & Midcap fund, post this I see the fund is not doing good in its category, now I want to move this fund to Mirae Asset Equity Saving Fund-Dir, so what should be my way to do it, I have earned over 8L interest in this fund, so there will be Capital gain associated with this. please suggest the way do it, should I do STP and withdraw some amount to pay for Capital gain, please suggest.

Ans: If your horizon is 5+ years from here onwards then I feel you should stay invested in the current fund(Mirae Asset Large and Midcap fund).

You may think about migration if your targeted time horizon is close. If this is so then you may consider transfer as proposed.

You may use partial profit to clear the LTCG liability incurred due to this transfer.
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  |9251 Answers  |Ask -

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

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I invested in mf sip of sbi contra fund Reg G,Quant small cap fund Reg G, Sbi small cap fund Dir G, And also lumpsum of ?5000 in Parag parikh flexi cap fund Dir G, Nippon India nifty small cap 250 index fund Dir G, Sbi nifty small cap 250 index fund Dir G. Kindly advice is it required any reallocation required,if yes suggest pl.
Ans: It's excellent that you're investing in mutual funds through SIPs and lump-sum investments, which can help you build wealth over the long term. Let's assess your current portfolio and see if any reallocation is needed.

Your portfolio consists of a mix of actively managed funds and index funds, covering different market segments like contra, small-cap, and flexi-cap. This diversification is good, but it's essential to periodically review and rebalance your portfolio to ensure it remains aligned with your financial goals and risk tolerance.

Firstly, let's evaluate your actively managed funds. SBI Contra Fund, Quantum Small Cap Fund, and SBI Small Cap Fund are actively managed funds with varying investment strategies. It's crucial to monitor their performance and ensure they continue to meet your expectations. If any of these funds consistently underperform or deviate from their investment mandate, you may consider reallocating your investments to better-performing alternatives within the same category.

Regarding your lump-sum investments, Parag Parikh Flexi Cap Fund is known for its diversified approach across market caps and sectors, providing flexibility and potential for growth. However, it's essential to review its performance periodically to ensure it continues to deliver results.

Nippon India Nifty Small Cap 250 Index Fund and SBI Nifty Small Cap 250 Index Fund are passive funds tracking the Nifty Small Cap 250 Index. While index funds offer low-cost exposure to specific market segments, they may not outperform actively managed funds consistently. However, they provide diversification and can be a valuable component of a well-rounded portfolio.

There are some advantages to consider direct funds, and the cost savings can be significant in the long run. However, there are some potential benefits to using a regular MFD:
Advantages of Investing Through a Mutual Fund Distributor (MFD):
• Personalized Advice: MFDs can be helpful for beginners or those who lack investment knowledge. They can assess your risk tolerance, financial goals, and investment horizon to recommend suitable mutual funds. This personalized guidance can be valuable, especially if you're new to investing.
• Convenience: MFDs handle all the paperwork and transactions on your behalf, saving you time and effort. They can help with account setup, SIP registrations, and managing your portfolio across different funds.
• Investor Support: MFDs can be a point of contact for any questions or concerns you may have about your investments. They can provide ongoing support and guidance throughout your investment journey.

Consider your investment goals, risk tolerance, and time horizon when evaluating the need for reallocation. If any fund significantly underperforms or if your financial circumstances change, you may need to rebalance your portfolio accordingly.

It's advisable to consult with a Certified Financial Planner who can provide personalized advice based on your specific financial situation and goals.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |9251 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jun 26, 2024

Money
Hello sir, I have invested 48.49k in mirae asset NYSE FANG + ETF fund and currently it is 72.13k, as this mutual fund is stopped for further investing, should i stay invest or do SWP and utilise this fund somewhere else. I already have parag pariek flexi fund (345k), quant infrastructure fund (66k) , zerodha nifty large mid 250 index (76k) (recently started), kotak equity oppertunities(58k) & axis small cap (53k)
Ans: First of all, congratulations on your investment journey. You've done an excellent job in building a diverse portfolio. It's impressive to see how your investments have grown over time. Now, let's evaluate the current scenario and decide the best way forward.

Current Portfolio Overview
Your investment portfolio includes various funds:

A significant investment in a technology-focused fund, which has shown substantial growth.

Holdings in a flexi-cap fund, infrastructure fund, large-mid cap index, equity opportunities fund, and small cap fund.

This diversification is a positive sign. It shows you are spreading your risk across different sectors and types of funds.

Analyzing the Technology-Focused Fund
The technology-focused fund you mentioned has performed exceptionally well. From Rs 48.49k to Rs 72.13k, that's an impressive increase. This fund’s closure to new investments often indicates that it has reached a substantial size or the fund house wants to manage it efficiently.

Given its closure, let's consider your options.

Pros of Staying Invested:

Potential for Continued Growth: Technology stocks, especially the leading ones, have shown resilience and growth potential.

No Immediate Need for Action: If you believe in the long-term potential of the technology sector, staying invested might be wise.

Cons of Staying Invested:

Market Volatility: Technology stocks can be volatile. Recent trends show fluctuations, which might affect returns.

Concentration Risk: A large portion of your growth is tied to this sector. Diversification might be safer.

Pros of Systematic Withdrawal Plan (SWP):

Regular Income: SWP can provide a steady income stream. Useful if you need liquidity.

Rebalancing Opportunity: You can reinvest in other sectors or funds to balance your portfolio.

Cons of Systematic Withdrawal Plan (SWP):

Missing Out on Growth: If the technology sector continues to grow, you might miss out on future gains.

Tax Implications: SWP might have tax consequences depending on your holding period.

Assessing Your Other Funds
Now, let’s look at your other investments.

Flexi Cap Fund:

Pros: These funds invest across market caps, providing flexibility and diversification. Your substantial investment here shows confidence in this strategy.

Cons: Returns can vary depending on market conditions. It's essential to monitor the fund’s performance regularly.

Infrastructure Fund:

Pros: Infrastructure development in India offers growth potential. This sector is crucial for economic development.

Cons: These funds can be cyclical. They might underperform during economic downturns or policy changes.

Large-Mid Cap Index Fund:

Pros: Index funds offer broad market exposure and lower expense ratios.

Cons: They mimic the index performance, lacking the potential for outperformance that actively managed funds might offer. Your investment here might limit growth potential compared to active funds.

Equity Opportunities Fund:

Pros: These funds can take advantage of market opportunities, offering potential for higher returns.

Cons: Higher risk due to active management. Performance depends on the fund manager's skill.

Small Cap Fund:

Pros: Potential for high returns. Small cap stocks can grow significantly over time.

Cons: Higher risk and volatility. Small cap stocks can be affected by market conditions more than large caps.

Direct vs Regular Funds
You mentioned investing through direct funds. Let’s discuss the disadvantages of direct funds and the benefits of regular funds through a Certified Financial Planner (CFP).

Disadvantages of Direct Funds:

Lack of Guidance: Direct funds require you to research and choose funds on your own. Without expert guidance, this can be risky.

Time-Consuming: Regular monitoring and rebalancing are necessary. It can be time-consuming and challenging without professional help.

Benefits of Regular Funds:

Professional Advice: Investing through a CFP ensures you get expert advice tailored to your financial goals.

Portfolio Management: CFPs can help in regularly monitoring and rebalancing your portfolio, ensuring it remains aligned with your objectives.

Strategic Recommendations
Based on the analysis, here are some strategic recommendations:

Rebalancing Your Portfolio:

Diversification: Consider diversifying away from technology to other sectors with growth potential. It will reduce concentration risk.

Risk Management: Rebalance your portfolio to align with your risk tolerance and investment goals.

Consider SWP for Liquidity:

Partial SWP: You might opt for a partial SWP from your technology-focused fund. It provides liquidity while keeping some exposure to potential growth.

Reinvestment Strategy: Use the SWP proceeds to invest in other funds or sectors, balancing your portfolio.

Monitoring and Regular Review:

Regular Check-Ups: Keep an eye on your investments. Regular reviews ensure your portfolio remains aligned with your goals.

Adjust as Needed: Be ready to adjust your investments based on market conditions and personal circumstances.

Final Insights
Your investment journey has been commendable. The growth in your technology-focused fund is impressive. However, it's essential to consider the risks and potential rewards of staying invested or opting for an SWP. Diversification and regular portfolio review are crucial for long-term success.

Consider the benefits of professional guidance through regular funds. It can provide the expertise and peace of mind necessary for achieving your financial goals. Rebalancing your portfolio and ensuring it aligns with your risk tolerance will help in navigating market fluctuations effectively.

Best Regards,

K. Ramalingam, MBA, CFP

Chief Financial Planner

www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |9251 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Sep 09, 2024

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Sir, I have both Mirae asset Large and Mid cap fund with sip + Mirae asset Large cap fund (sip stopped) Can I make STP or complete SWITCH from Mirae asset large cap fund to Mirae asset large and Mid cap fund. ? is it advisable
Ans: Switching or making a Systematic Transfer Plan (STP) from Mirae Asset Large Cap Fund to Mirae Asset Large and Mid Cap Fund can be considered based on your financial goals, risk tolerance, and investment strategy.

Factors to Consider:
1. Portfolio Diversification:
Large Cap Fund: Primarily invests in the top 100 companies, which are considered stable and less volatile. It is ideal for those seeking steady returns with relatively lower risk.
Large and Mid Cap Fund: Combines both large-cap (safer, stable) and mid-cap (higher growth potential but riskier) stocks. This offers a balanced approach, with more room for growth but with a bit more risk.
If your goal is to increase exposure to mid-cap stocks for potentially higher growth, an STP or switch to the Large and Mid Cap Fund makes sense. This fund offers a more diversified approach while still having a safety net of large-cap investments.

2. Investment Time Horizon:
Large and mid-cap funds tend to perform better in the long term (5+ years), as mid-caps may take time to realize their full growth potential. If your investment horizon is shorter, sticking with a large-cap fund may be preferable.
3. Risk Appetite:
Mid-cap stocks have higher growth potential but come with increased volatility. If you are comfortable with short-term fluctuations for long-term gains, an STP into the large and mid-cap fund could align with your goals.
4. Performance Track Record:
Both funds from Mirae Asset have strong reputations, but large-cap funds offer more consistent returns with lower downside risks during market corrections. You may want to assess the historical performance and volatility of both funds to see which fits your strategy better.
Why Use STP Instead of a Lump Sum Switch?
Tax Efficiency: An STP allows you to move funds gradually, spreading out tax implications and avoiding a large one-time exit load or capital gains tax.
Risk Mitigation: Instead of moving all your funds at once, an STP reduces the risk of entering at a high point in the market.
Consistent Investment: You continue investing in a disciplined manner, benefiting from rupee cost averaging.
Final Insight:
If your risk profile supports it, and your goal is long-term wealth creation, a STP from Mirae Asset Large Cap Fund to Mirae Asset Large and Mid Cap Fund can be a good option. This allows you to diversify your portfolio while retaining some stability through large-cap exposure.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Latest Questions
Ramalingam

Ramalingam Kalirajan  |9251 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jun 27, 2025

Money
Hi sir iam 34 year old invest SIP 5000 in large mid small cap flexcap fund ,i need to one fund for balancing my port polio plz suggest SBI contra or SBI PSU or Invesco contra or sector like icici Prudential technology or icici Prudential infrastructure which one is better kindly give your opinion sir
Ans: You are only 34 years old.
That gives you good time to grow your wealth.
Investing in flexicap, largecap, midcap and smallcap is a smart mix.
This structure supports both stability and long-term compounding.
Rs. 5000 SIP is a steady commitment at this stage.

Now you want to add one more fund for better balance.
That’s a wise move. But selection must be done with care.

Let’s evaluate the options in front of you.

Understanding Contra Funds and Their Role

Contra funds follow a different style of investing.
They invest in unpopular or underperforming sectors or companies.
They believe those areas will turn around in future.

Contra strategy works well in volatile or sideways markets.
It needs patience and long-term holding to see results.
Not suitable for short-term goals or conservative investors.

A contra fund can be used by mature investors with experience.
But for many young investors, it brings complexity and delay in returns.

So, if you select contra fund, invest with patience for 7 years or more.
And make sure the rest of your portfolio is stable.

What About Sector-Based Funds Like Technology or Infrastructure?

Sectoral funds invest in just one theme or sector.
Like technology or infrastructure or pharma.
They carry high risk and high return potential.

If the sector performs, returns are very strong.
But if sector fails, returns may be poor for many years.

These funds need right timing and sector understanding.
They are not suitable for core portfolio.
You should not use these for balancing your main holdings.

Use them only if you have surplus money for experimental investing.
Limit exposure to 5% of your total portfolio only.

So, if you have Rs. 5,000 monthly SIP,
Sector funds should get no more than Rs. 250 per month.

What About PSU-Themed Funds?

PSU-focused funds invest in government-run companies.
These companies usually operate in banking, oil, power, etc.
Their returns depend on government policy and reforms.

They may perform well during economic growth and PSU revival cycles.
But they underperform when reforms are slow or global issues rise.

PSU funds are very cyclical.
They are not meant for steady long-term compounding.
They are also not suitable as a core fund in your structure.

Like sector funds, keep PSU exposure low.
These should not disturb your main diversified portfolio.

How to Choose the Right Balancing Fund

At your age and SIP stage, you need one thing: stability with long-term growth.
So, adding a fund that works across market cycles is better.

The right choice is not theme-based, not sectoral.
Instead, go with a well-managed diversified fund with active strategy.
This gives smoother returns and keeps your portfolio well-balanced.

Diversified funds have exposure across all sectors.
The fund manager shifts allocation as per market needs.
This is safer and more effective than single-theme funds.

Also, make sure your investment is in regular plan through Certified Financial Planner.
Regular plan gives you expert support and monitoring.

If you invest directly, you miss timely rebalancing and expert advice.
Direct funds look cheaper, but harm you with wrong fund choices.
With regular funds, the CFP helps in tracking and review.

That helps you stay on track with your goals.

What to Do If You Still Want Exposure to a Thematic Idea

If you still want to invest in a contra or sector idea,
Limit your exposure to 5% or 10% of total SIP only.
This helps you take benefit if the theme works.
But it does not disturb your main portfolio.

Always consult your Certified Financial Planner before investing in themes.
Don’t go by news, YouTube or peer suggestions.
Proper review is important before adding such funds.

Make sure your core portfolio has at least 80% in diversified funds.
This includes flexicap, largecap, and balanced allocation funds.
Only 20% or less should go into thematic funds if needed.

Final Insights

You are doing very well with your current strategy.
Age 34 is ideal time to focus on building strong investment base.
Your mix of flexi, large, mid and small cap is balanced.

Now you are thinking of adding one more fund.
That is fine, but avoid sector and PSU-based funds for this purpose.

Instead, go with a diversified active fund under regular plan.
That gives you smoother returns and risk-managed growth.

If still curious about contra or sector-based funds,
Use them only for experimentation. Keep exposure very low.
Monitor performance every 6 months. Don’t add more if not performing.

All your SIPs should be tracked by a Certified Financial Planner.
This gives you 360-degree support for risk, tax and goals.
Avoid random suggestions and social media-based fund ideas.

Invest with a purpose, review regularly and act with discipline.
That’s how real wealth is created over time.

For scheme-specific recommendation, please contact an MFD-CFP one-on-one.


Best Regards,
K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment

...Read more

Anu

Anu Krishna  |1633 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on Jun 27, 2025

Asked by Anonymous - Jun 24, 2025Hindi
Relationship
Hi Anu I'm 35, recently widowed. My husband passed away in a road accident. I was in a state of shock when he left me. I took a break from everything and resumed office only six months ago. A young man from my office, whose engagement was cancelled last year, has started showing interest in me. I don't know if he is doing it out of sympathy that I am a widow. But I am beginning to enjoy his company. I am surprised and also worried if it is too soon. I never believed there would be another guy in my life after my husband. Do you think I am feeling lonely? He's 37, gentle and respectful. We haven't kissed or got intimate. No flirting either. We like each other's company and there is an instant spark how we light each others' lives. I don't know if I am open to love, if this relationship will work. I don't know yet but how do I check if I am emotionally vulnerable? My family and in-laws would disapprove if I moved on 'so soon.' Is it wrong to date someone so early? I am feeling guilty too.
Ans: Dear Anonymous,
I am truly sorry for your loss.
And NO, it is not wrong to date someone; early or not is something that is very subjective in nature. It is possible that family and in-law may disapprove of you moving on, but over time when they realize that you are searching for a true companion and if the person is someone that they can trust, there maybe no reason why they will object.

Now, here comes a reality check questions;
- Are you jumping into another relationship after you have healed from your grief and you feel that you are ready for a new journey
OR
- Are you impulsively giving into your feelings of loneliness and this gentleman seems to fit the label of someone who is caring and keeps you distracted from your grief?

If it's the first case, then I am sure you know that it feels right; then it's just a matter of your family understanding it when they can...
But if it's the second case, please exercise caution as it can backfire leaving you feeling more lonely and less fulfilled...

Evaluate it keeping your emotions aside and I am sure you will come to the right decision.

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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Nayagam P

Nayagam P P  |7115 Answers  |Ask -

Career Counsellor - Answered on Jun 27, 2025

Asked by Anonymous - Jun 26, 2025Hindi
Nayagam P

Nayagam P P  |7115 Answers  |Ask -

Career Counsellor - Answered on Jun 27, 2025

Asked by Anonymous - Jun 26, 2025Hindi
Career
I have 72% pcm and 79% in boards where can i get cse or it in delhi ncr on this basis?
Ans: With 72% in PCM and 79% overall board marks, you satisfy the minimum 55% PCM eligibility for IPU B.Tech CSE/IT admissions via JEE Main scores. The 20 Delhi NCR institutes you can apply to through IPU B.Tech counselling are:

Bhagwan Parshuram Institute of Technology,

Bharati Vidyapeeth’s College of Engineering,

BM Institute of Engineering & Technology, Sonepat,

Delhi Institute of Technology & Management, Sonepat,

Delhi Technical Campus, Greater Noida,

Dr. Akhilesh Das Gupta Institute of Technology & Management,

Greater Noida Institute of Technology,

Guru Teg Bahadur Institute of Technology, Rohini,

HMR Institute of Technology & Management,

JIMS Engineering Management Technical Campus, Greater Noida,

Maharaja Agrasen Institute of Technology, Rohini,

Maharaja Surajmal Institute of Technology, Janakpuri,

Mahavir Swami Institute of Technology, Sonepat,

Trinity Institute of Innovations in Professional Studies, Greater Noida,

University School of Chemical Technology (GGSIPU),

University School of Information & Communication Technology (GGSIPU),

University School of Automation & Robotics (GGSIPU),

Vivekananda Institute of Professional Studies, Pitampura,

Amity University Noida,

Galgotias University, Greater Noida.

The recommendation is to prioritise IPU-affiliated colleges such as Dr. Akhilesh Das Gupta Institute of Technology & Management and Greater Noida Institute of Technology for their established placement support, consider Maharaja Agrasen Institute of Technology and Trinity Institute of Innovations in Professional Studies for balanced academics and industry linkages, keep Amity University Noida and Galgotias University as strong private-university alternatives, and work on enhancing your JEE Main score to access higher-ranked CSE/IT branches in subsequent counselling rounds. All the BEST for the Admission & a Prosperous Future!

Follow RediffGURUS to Know More on 'Careers | Money | Health | Relationships'.

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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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