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Vivek Lala  |251 Answers  |Ask -

Tax, MF Expert - Answered on Jun 16, 2024

Vivek Lala has been working as a tax planner since 2018. His expertise lies in making personalised tax budgets and tax forecasts for individuals. As a tax advisor, he takes pride in simplifying tax complications for his clients using simple, easy-to-understand language.
Lala cleared his chartered accountancy exam in 2018 and completed his articleship with Chaturvedi and Shah. ... more
Karth!K Question by Karth!K on Jun 15, 2024Hindi

Hi, i have mutual fund of 14 Lakh with annualized return of 20%, and this is combination of multiple funds like small, mid, large and flexi. Every month i am investing 5k in each fund total monthly mf investment is 30k. Recently i noted that i have many fund in regular instead of direct. I started this mf sip without any base knowledge so that time i was not aware that what is direct and regular. Now, i have some exposure on this, i want to switch this regular fund to direct, is that possible, if yes, what needs to be done. Few of them are Elss fund so if I switch, then do i need to serve the waiting period and if I switch exit load and other charges applicable which will reduce my over all portfolio growth. Kindly help me handle this. Thank you

Ans: Yes you can switch from regular to direct after talking to your advisor , he can help you with the same
Yes ELSS funds have a lock in period of 3 years from the date of investment
Exit load should not apply after 1 year, so no exit load on your ELSS funds
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 have a 10lakh mutual fund portfolio with monthly SIP of 50k since 5 yrs and some lump sum investments. Now I want to change my Regular MF to direct. Since my SIP is active until today, can i stop Regular MF SIP and transfer it to Direct plan or I will have to wait one year after stopping the SIP so that I dont attract STCG.
Ans: You have built a substantial mutual fund portfolio worth ?10 lakhs, with a consistent SIP of ?50,000 for the past five years. Transitioning from Regular to Direct mutual funds can seem appealing due to lower expense ratios. However, it’s important to weigh the benefits of staying with Regular plans.

Key Advantages of Regular Mutual Funds
While Direct plans have lower expense ratios, Regular plans offer several significant benefits, especially when you work with a competent Mutual Fund Distributor (MFD):

1. Professional Guidance
Expertise and Advice:

A good MFD provides expert advice tailored to your financial goals and risk appetite. This guidance can help optimize your investment strategy.
Regular Reviews and Rebalancing:

MFDs regularly review and rebalance your portfolio. This ensures your investments stay aligned with your financial objectives and market conditions.
2. Convenience and Support
Administrative Assistance:

MFDs handle the paperwork and administrative tasks associated with your investments. This convenience can save you time and effort.
Ongoing Support:

They offer ongoing support and answer queries, making the investment process smoother for you.
3. Access to Research and Insights
Market Research:

MFDs provide access to detailed market research and insights. This information can help you make informed investment decisions.
Fund Selection:

They assist in selecting the right mutual funds from a plethora of options, ensuring a well-diversified portfolio.
Evaluating Your Current MFD
If you feel your current MFD is not adding value, it’s crucial to reassess their services. Here are steps to consider:

1. Assess Their Performance
Review Your Portfolio:

Evaluate the performance of your portfolio. Compare it with benchmark indices and peer funds to gauge effectiveness.
Check Their Services:

Assess the range and quality of services provided by your MFD. Are they proactive in managing your investments?
2. Seek a Competent MFD
Research and Recommendations:

Look for MFDs with a strong track record and positive client testimonials. Seek recommendations from friends or family.
Professional Credentials:

Ensure the MFD has relevant qualifications and certifications. This can indicate a higher level of expertise and professionalism.
3. Transitioning to a Better MFD
Transfer Your Investments:

If you decide to switch, the new MFD can help transfer your existing investments seamlessly. They will handle the paperwork and formalities.
Set New Goals:

Work with your new MFD to set clear financial goals and strategies. Regular reviews and adjustments will keep your portfolio on track.
While Direct plans offer lower expense ratios, the benefits of staying with Regular mutual funds, especially with a proficient MFD, can outweigh the cost savings. Expert advice, convenience, and access to market insights are valuable advantages. If your current MFD isn’t meeting your expectations, consider transitioning to a more competent professional to ensure your investments are well-managed and aligned with your financial goals.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,


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Maxim Emmanuel  |288 Answers  |Ask -

Soft Skills Trainer - Answered on Jul 12, 2024

Asked by Anonymous - Apr 23, 2024Hindi
Hello sir my name is Santu Chakraborty.I am 34 year old now unmarried. My qualification is Bsc botany honours with 2nd class +diploma in mechanical engineering with distinction +btech in mechanical engineering from government engineering college west Bengal with 7.5 dgpa.I have 6 years of teaching experience in private diploma engineering college and now I working as a vocational teacher in automobile engineering department in gov high school.In my early phase of life I am going through lots of Misguide,seveare Anxiety issue. Nobody can help me on that phase.I recover mostly by my own after various dillema.I want to work in mechanical r and d company, Mechanical design basis company and also upgrade my teaching carrier. How can I start my journey at this age ?what is the risk factor also? Please tell me. I am very enthusiastic dedicated person. I have no guide in my home. My father is vegetable seller.
Ans: Hi Santu Chakraborty,

This is a really exhaustive query.

The journey thru' your acquisition of qualifications has been vast!

In the course of your life you are now suffering from SNIOP (SUSCEPTIBLE NEGATIVE INFLUENCE OTHER PEOPLE) this happens when you let others control your life.

I have this poem.. Especially for one's like you!

The Guy in the Glass

When you get what you want in your struggle for pelf,
And the world makes you King for a day,
Then go to the mirror and look at yourself,
And see what that guy has to say.
For it isn't your Father, or Mother, or Wife,
Who judgement upon you must pass.
The feller whose verdict counts most in your life
Is the guy staring back from the glass.
He's the feller to please, never mind all the rest,
For he's with you clear up to the end,
And you've passed your most dangerous, difficult test
If the guy in the glass is your friend.
You may be like Jack Horner and "chisel" a plum,
And think you're a wonderful guy,
But the man in the glass says you're only a bum
If you can't look him straight in the eye.
You can fool the whole world down the pathway of years,
And get pats on the back as you pass,
But your final reward will be heartaches and tears
If you've cheated the guy in the glass.

Dale Wimbrow (c) 1934

Get the enthusiasm going, don't get embroiled in what life has been before!

Take a stranglehold of your life and make it BIG!

The opportunities are.. Miracles waiting to happen, what are you waiting for.. You are the catalyst!?
Maxim Emmanuel.

Pick up yourself don't be a victim of self pity.

If you do need further professional advice happy to assist

...Read more

Nayagam P

Nayagam P P  |1830 Answers  |Ask -

Career Counsellor - Answered on Jul 12, 2024

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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