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Ramalingam

Ramalingam Kalirajan  |7330 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Apr 05, 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
Asked by Anonymous - Dec 24, 2023Hindi
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I have never invested anywhere ,but want to start sip. F 38 , plz suggest me how to n where to invest 6500 per month for 3 - 5 years

Ans: As a beginner, consider starting SIPs in diversified equity funds or balanced funds for moderate risk exposure. Allocate a portion to large-cap funds for stability and the rest to mid-cap or multi-cap funds for growth potential. Choose direct plans with low expense ratios for better returns. Aim for a diversified portfolio across sectors and fund houses to spread risk. Regularly review your investments and gradually increase SIP amounts as your financial situation improves. Consult a financial advisor to tailor a plan based on your risk tolerance, investment horizon, and financial goals.
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  |7330 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Apr 30, 2024

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Hi Sir . I am 38 years old and want to invest 30k each month in SIP. I am looking for a long term wealth creation . Can you suggest where to invest.
Ans: considering your long-term wealth creation goal, you can consider investing in a diversified portfolio of mutual funds. Here's a broad strategy:

Large Cap Funds: These funds invest in well-established companies with a track record of stable performance. They offer stability and moderate growth potential over the long term.
Mid Cap and Small Cap Funds: These funds invest in mid-sized and small-sized companies with high growth potential. They can offer higher returns but come with higher volatility.
Multi-Cap Funds: Multi-cap funds provide flexibility to invest across companies of different market capitalizations. They offer a diversified approach to wealth creation and can adapt to changing market conditions.
Index Funds: Consider including index funds that track broad market indices like Nifty 50 or Sensex. They offer low expense ratios and provide exposure to the overall market.
Balanced Funds: Balanced funds, also known as hybrid funds, invest in a mix of equities and debt instruments. They offer a balance between growth and stability, making them suitable for long-term investors.
Systematic Investment Plan (SIP): Invest systematically through SIPs to take advantage of rupee-cost averaging and mitigate the impact of market volatility.
Before finalizing your investment strategy, assess your risk tolerance, investment horizon, and financial goals. Consider consulting a Certified Financial Planner to create a personalized investment plan tailored to your needs. Remember, patience and discipline are key to long-term wealth creation.

..Read more

Ramalingam

Ramalingam Kalirajan  |7330 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jul 04, 2024

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Hi sir iam 36 yrs right now.i am planning to start sip of around 10000rs per month.please suggest some funds to invest
Ans: starting a SIP is a great decision. It's good to start early and stay consistent.

At 36, you have ample time to build a strong portfolio.

Importance of SIPs
Systematic Investment Plans (SIPs) are powerful.

They help you invest small amounts regularly and build wealth over time.

SIPs also bring discipline and mitigate market volatility.

Categories of Mutual Funds
Equity Mutual Funds
Equity funds invest in stocks.

They offer high growth potential but come with higher risk.

Ideal for long-term goals due to compounding.

Debt Mutual Funds
Debt funds invest in bonds and fixed-income securities.

They provide stable returns with lower risk.

Suitable for short to medium-term goals.

Hybrid Mutual Funds
Hybrid funds combine equity and debt.

They balance risk and reward.

Good for medium-term goals.

Evaluating Your Risk Appetite
Before choosing funds, assess your risk tolerance.

Higher risk can bring higher rewards but also higher losses.

Choose a mix of funds that match your comfort level.

Recommended Fund Types
Large Cap Funds
Large cap funds invest in large, established companies.

They are less volatile and provide stable returns.

Mid Cap Funds
Mid cap funds invest in medium-sized companies.

They offer higher growth potential with moderate risk.

Small Cap Funds
Small cap funds invest in small, emerging companies.

They are high-risk but can give high returns over the long term.

Multi Cap Funds
Multi cap funds invest across large, mid, and small cap stocks.

They offer diversification and balance risk and reward.

Balanced Advantage Funds
Balanced advantage funds adjust between equity and debt.

They provide stability and growth.

Suitable for moderate risk investors.

Steps to Start Your SIP
Define Your Goals

Identify your financial goals.

Is it retirement, children's education, or a big purchase?

Set Your Budget

You mentioned Rs. 10,000 per month.

Make sure it's affordable and sustainable.

Choose Fund Categories

Based on your risk appetite, select a mix of equity, debt, and hybrid funds.

Start Small and Increase Gradually

Begin with Rs. 10,000 and increase as your income grows.

Monitoring and Rebalancing
Regularly review your investments.

Rebalance your portfolio based on performance and market conditions.

This keeps your investments aligned with your goals.

Tax Implications
Understand the tax implications of your investments.

Equity funds held for over a year have lower tax rates.

Debt funds held for over three years benefit from indexation.

Final Insights
Starting a SIP is a smart move.

Your plan to invest Rs. 10,000 monthly is a great start.

Diversify across large cap, mid cap, small cap, and balanced funds.

Monitor and rebalance regularly to stay on track.

With consistency and smart choices, you’ll achieve your financial goals.

Best Regards,

K. Ramalingam, MBA, CFP

Chief Financial Planner

www.holisticinvestment.in

..Read more

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Milind

Milind Vadjikar  |795 Answers  |Ask -

Insurance, Stocks, MF, PF Expert - Answered on Dec 24, 2024

Asked by Anonymous - Dec 24, 2024Hindi
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Hello i am almost 30 now I have invested around 40 lakhs in Market (mutual funds plus equity) 6 lakhs ppf maybe 2 lakhs pf I have parental property of combining around 2.5cr I have my parents helath insurance from a private insurance company, also covered by cghs health scheme,so no major worries about health expenses, for me i have 10lakhs health insurance Apart from this we have family pension also. As of now overall i have a monthly income of around 2-2.25 lakhs. I have a car a bike a scooty all valid for next 8-10 years What should be my goal amount for the retirement, i want it as early as possible As per the current scenario i am assuming i will live max till 75 years age. As of now i can invest 80-90k per month Yet to be married i assume i need atleast Lakhs per month as of now What should be the ideal amount with which i can retire
Ans: Hello;

Hope you have adequate term life insurance for yourself.

You may start a monthly sip of 90 K in a combination of pure equity mutual funds.

After 10 years your sip and lumpsum investment will grow into sums of 2.09 and 1.24 Cr respectively.

This adds upto 3.33 Cr. If you add your ppf and EPF corpus then this should add upto a sum of around 4 Cr.

If you invest this corpus in a conservative hybrid debt fund and do a SWP at the rate of 3.5%, you may expect a post tax monthly income of
1 L+.

As you get married your expenses will rise as also the need to plan for various other goals.

Therefore the decision to retire from regular 9-6 job should be backed up with alternate business plan or such other plan to monetize your hobbies that may yield income over atleast next 10-15 years.

Best wishes;

...Read more

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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