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Ramalingam

Ramalingam Kalirajan  |8459 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jul 15, 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
Vignesh Question by Vignesh on Jun 15, 2024Hindi
Money

Hi Sir/Mam Could you please help me out to close my housing loan of 39L in 10 years. Kindly suggest me regarding investment in SIP how/which SIP/ how much should I invest regularly

Ans: To close your housing loan of Rs. 39 lakhs in 10 years and to strategically invest in SIPs, we need a comprehensive plan that aligns with your financial goals, risk appetite, and time horizon. I appreciate your diligence in seeking a well-rounded financial strategy, and I am here to guide you through the process. Let’s break down the approach into clear, manageable steps:

Understanding Your Financial Position
Firstly, it’s essential to evaluate your current financial standing. This involves a detailed review of your income, expenses, existing investments, and liabilities. You earn Rs. 80,000 per month and have monthly expenses of Rs. 30,000. This leaves you with a disposable income of Rs. 50,000.

You have existing investments in mutual funds, stocks, PPF, NPS, and a car loan. Understanding this will help us allocate funds effectively towards your loan repayment and SIP investments.

Prioritizing Loan Repayment
Closing your housing loan in 10 years is a prudent financial decision. To achieve this, we need a disciplined repayment strategy. Here’s a step-by-step approach:

Increase EMI Payments:

The most straightforward way to close your loan faster is to increase your EMI payments. By increasing your EMI amount, you can reduce the principal faster, thus saving on interest costs. Allocate a portion of your disposable income towards higher EMI payments.

Make Lump Sum Payments:

Whenever you receive a bonus, incentive, or any windfall gain, channel it towards your home loan. This will significantly reduce the outstanding principal and the interest burden.

Consider Part Prepayments:

Set a goal to make part prepayments annually. This will also help in reducing the loan tenure and overall interest.

Review Loan Terms Regularly:

Periodically review the interest rates and terms of your loan. If you find a better deal with a lower interest rate, consider refinancing your loan.

Strategic Investment in SIPs
Investing in SIPs (Systematic Investment Plans) is an excellent way to build wealth over time. Here’s how you can approach SIP investments to achieve your financial goals:

Determine Investment Goals:

Clearly define your financial goals. These could be retirement planning, children’s education, or building a corpus for future needs. Having specific goals will help in selecting the right SIPs.

Assess Risk Tolerance:

Your risk tolerance will dictate the type of SIPs you should invest in. Since you have a 10-year horizon for loan repayment and longer for other goals, a balanced approach with a mix of equity and debt funds is advisable.

Choose Actively Managed Funds:

Actively managed funds, unlike index funds, are managed by professional fund managers who aim to outperform the market. They offer the potential for higher returns and flexibility in managing the portfolio based on market conditions.

Avoid Direct Funds:

Investing through regular funds with the help of a Certified Financial Planner (CFP) is beneficial. A CFP can provide professional advice, monitor your investments, and make necessary adjustments, ensuring your portfolio remains aligned with your goals.

Recommended Allocation for SIPs
Given your financial goals and current position, here’s a suggested allocation for your SIP investments:

Equity Funds:

Allocate a significant portion of your SIPs to equity funds. These include large-cap, mid-cap, and small-cap funds. Equity funds offer higher returns over the long term, essential for wealth creation.

Debt Funds:

Invest in debt funds to balance the risk. Debt funds provide stable returns and are less volatile compared to equity funds. This is crucial for preserving capital and providing liquidity.

Hybrid Funds:

Consider hybrid funds, which invest in a mix of equities and debt. They offer a balanced risk-return profile, suitable for moderate risk tolerance.

Detailed SIP Strategy
Large-Cap Equity Funds:

Large-cap funds invest in well-established companies with a strong track record. They offer stability and steady returns. Allocate around 30% of your SIPs to large-cap funds.

Mid-Cap Equity Funds:

Mid-cap funds invest in medium-sized companies with high growth potential. They are slightly riskier than large-cap funds but can provide higher returns. Allocate around 20% to mid-cap funds.

Small-Cap Equity Funds:

Small-cap funds invest in smaller companies with significant growth potential. They are riskier but can yield high returns. Allocate around 10% to small-cap funds.

Hybrid Funds:

Hybrid funds offer a balanced mix of equity and debt, suitable for moderate risk tolerance. Allocate around 20% to hybrid funds.

Debt Funds:

Debt funds provide stability and regular income. They are less risky and suitable for short to medium-term goals. Allocate around 20% to debt funds.

SIP Amount and Frequency
Monthly SIP Investment:

Based on your disposable income and financial goals, a monthly SIP investment of Rs. 25,000 is feasible. This amount can be distributed across the suggested fund categories.

Automatic Investments:

Set up automatic SIP investments to ensure consistency and discipline. This will help in averaging the cost of investments over time.

Monitoring and Review
Regularly monitor your SIP investments and loan repayment progress. Here’s how you can stay on track:

Annual Reviews:

Conduct annual reviews of your investment portfolio. Assess the performance of your SIPs and make necessary adjustments based on market conditions and your financial goals.

Rebalance Portfolio:

Rebalance your portfolio periodically to maintain the desired asset allocation. This ensures that your investments remain aligned with your risk tolerance and goals.

Stay Informed:

Keep yourself informed about market trends and economic developments. This will help you make informed decisions and adjust your investment strategy as needed.

Final Insights
Closing your housing loan in 10 years and building a robust investment portfolio through SIPs requires discipline and strategic planning. By increasing your EMI payments, making part prepayments, and investing in a balanced mix of equity and debt funds, you can achieve your financial goals.

Remember, investing through regular funds with the guidance of a Certified Financial Planner offers significant benefits. A CFP can provide professional advice, monitor your investments, and make necessary adjustments to ensure your portfolio remains aligned with your goals.

Stay disciplined, review your investments regularly, and make informed decisions to secure a financially sound future.

Best Regards,

K. Ramalingam, MBA, CFP

Chief Financial Planner,

www.holisticinvestment.in
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  |8459 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Aug 21, 2024

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Hi Sir I'm planning to invest ?1000 monthly with step up of ?500 on each 6 months. Having a housing loan of 39L . Any suggestions on my investment and how or which SIP should I use for safe and secure investment to close my loan as earlier as possible.....
Ans: You are already planning wisely with your monthly investment and a step-up strategy. Your focus on closing your housing loan early is commendable. Let’s take a closer look at your situation and see how you can optimize your investments to achieve your goal.

Understanding Your Investment Plan
You plan to start with an investment of Rs 1000 per month and increase it by Rs 500 every six months. This step-up strategy is an excellent way to gradually increase your savings without feeling a significant impact on your monthly budget.

Managing Your Housing Loan
1. Impact of Early Loan Repayment
Paying off your housing loan early can save you a significant amount of interest. The faster you reduce your loan principal, the less interest you will pay over time.

However, it's important to balance this with your investment goals. You don’t want to divert all your resources towards loan repayment if it means missing out on potential investment growth.

2. Using SIPs for Loan Prepayment
A Systematic Investment Plan (SIP) can be an effective tool for accumulating funds to prepay your loan.

SIPs in equity mutual funds offer the potential for higher returns compared to traditional savings options. Over time, the compounding effect can help you build a corpus that you can use to make lump-sum payments towards your loan.

This approach allows you to benefit from both market growth and loan repayment.

Choosing the Right SIP for Your Goal
1. Avoiding Index Funds
Index funds might seem attractive due to their low cost, but they usually follow the market’s ups and downs.

In India, actively managed funds often outperform index funds because fund managers can make strategic decisions based on market conditions.

For your goal of building a corpus to prepay your loan, actively managed funds are a better choice.

2. Benefits of Regular Funds
Direct funds might appear to have lower expense ratios, but they come with their own challenges.

Without guidance, you might find it difficult to choose the right fund or time your investments correctly.

Investing through a Certified Financial Planner (CFP) ensures you have professional advice, which can help you stay on track with your financial goals.

3. Balancing Risk and Returns
Since you want a “safe and secure” investment, it’s important to balance risk and returns.

Equity funds generally offer higher returns but come with higher volatility. If you can handle some risk, a balanced or hybrid fund might be suitable for you.

These funds invest in a mix of equities and debt, offering a more stable return profile compared to pure equity funds.

Step-Up SIP Strategy
1. Gradually Increasing Investments
Your step-up strategy, increasing your SIP by Rs 500 every six months, is a smart approach.

This gradual increase will help you build a larger corpus over time without straining your finances. It also allows you to take advantage of rupee cost averaging, where you buy more units when prices are low.

Over time, this strategy can significantly increase your investment’s value, helping you accumulate the funds needed for your loan repayment.

Tax Implications and Withdrawal Strategy
1. Tax Efficiency
Tax efficiency is crucial when planning your investments. Long-term capital gains from equity funds are taxed at 10% for gains exceeding Rs 1 lakh.

To minimise tax liability, you should consider spreading out your withdrawals to stay within the tax-free limit.

If you opt for a balanced fund, remember that the debt component of the fund will have different tax implications. Long-term gains from debt funds are taxed at 20% after indexation.

2. Strategic Withdrawals for Loan Repayment
Once your investment has grown sufficiently, you can start making lump-sum payments towards your housing loan.

Aim to make these payments strategically, focusing on times when your investments have appreciated significantly. This will allow you to maximise your returns while reducing your loan principal.

As your investment corpus grows, you can also consider using part of it to prepay your loan in stages, rather than waiting to accumulate a large sum. This will reduce your loan tenure and save you more in interest.

Final Insights
Your step-up SIP strategy, combined with a focus on early loan repayment, is a sound approach. By carefully selecting the right funds and balancing your risk, you can achieve both investment growth and loan repayment efficiently. Avoid index funds and direct funds, as they may not align with your goal of secure and effective investment growth. Instead, opt for actively managed funds that can offer higher returns with professional guidance.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |8459 Answers  |Ask -

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

Listen
Money
Hi sir, My name is imdad Khan, I am married and father of a 1yr old boy and I am 27 years old and having monthly income 70k and 2 loans are running ie., of 35k, House rent will be 10k. Expenses are 10k per month. One of my colleague has suggested me to do SIP so i have started of SIP 2500. Could you please suggest me where and how many i have to invest so that with in 5 years. At least i have to save 20 lakhs. Thank you
Ans: Imdad,

Thank you for sharing your details. You have a stable income of Rs 70,000 per month. You are also a responsible father and husband.

Let's assess your financial situation:

Income: Rs 70,000 per month
Loans: Rs 35,000 per month
House Rent: Rs 10,000 per month
Expenses: Rs 10,000 per month
SIP Investment: Rs 2,500 per month
This leaves you with Rs 12,500 for savings and investments.

Goals and Investment Strategy
Your goal is to save Rs 20 lakhs in 5 years. To achieve this, a structured investment plan is essential.

Increase SIP Contributions
Step 1: Increase your SIP from Rs 2,500 to Rs 10,000. This will significantly boost your savings.
Step 2: Invest in diversified equity mutual funds. They provide potential for higher returns.
Debt Management
Step 1: Focus on repaying your loans. This will reduce your monthly liabilities.
Step 2: Aim to pay off your higher-interest loan first. This will save you money in the long run.
Emergency Fund
Step 1: Allocate a portion of your savings to build an emergency fund. Aim for at least 3 months of expenses.
Step 2: Keep this fund in a liquid asset. A liquid mutual fund is a good option.
Insurance Planning
Step 1: Ensure you have adequate life insurance. Term insurance is cost-effective.
Step 2: Health insurance is crucial. Secure a family floater plan for your family's protection.
Diversified Investment Plan
Step 1: Apart from SIPs, consider other investment avenues like PPF and NPS. These provide tax benefits and steady returns.
Step 2: Avoid direct funds. Regular funds through a Certified Financial Planner offer professional management.
Avoid Index Funds
Step 1: Index funds mimic the market. They offer average returns, which might not be sufficient for your goal.
Step 2: Actively managed funds have the potential to outperform the market. Professional fund managers can navigate market fluctuations better.
Regular Review and Adjustment
Step 1: Regularly review your investment portfolio. Ensure it aligns with your goals.
Step 2: Adjust your investments based on market conditions. Consult with a Certified Financial Planner for guidance.
Final Insights
Your goal of saving Rs 20 lakhs in 5 years is achievable. With disciplined savings and smart investments, you can secure a bright financial future for your family. Focus on increasing your SIP contributions, managing debt efficiently, and diversifying your investments.

Best Regards,

K. Ramalingam, MBA, CFP

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Latest Questions
Ashwini

Ashwini Dasgupta  |107 Answers  |Ask -

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Ramalingam

Ramalingam Kalirajan  |8459 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 16, 2025

Money
I have a Home Loan of Rs. 75 lakh outstanding and being a banker I get the Home Loan at concessional rate of 6% on simple interest basis. I have certain disposable income every month. Is it advisable to prepay the loans on monthly basis or utilize the disposable income towards other investment options?
Ans: You have a Rs. 75 lakh home loan.
You pay only 6% simple interest as a banker.
You also have disposable income each month.
Let’s now assess your situation from all angles.

Understanding the Advantage of Low Interest

Your loan is at just 6% simple interest.

This is a rare and low-cost loan benefit.

The interest amount does not compound yearly.

So your interest cost stays predictable and steady.

You already save more compared to normal borrowers.

Regular loans are at 9% to 11% with compound interest.

Let Your Money Work Harder Through Investing

Good mutual fund investments give 11% to 13% average return long term.

This return is higher than your 6% loan cost.

So your surplus funds can grow faster if invested.

This strategy builds your wealth efficiently over time.

Compounding in mutual funds works in your favour.

Reviewing Tax Savings from Loan Interest

Your loan interest gives you tax benefit under Section 24.

You can claim up to Rs. 2 lakh deduction yearly.

This lowers your income tax burden.

Prepaying the loan reduces future tax savings.

Investments like ELSS and PPF also save taxes separately.

Liquidity Is Key for Financial Confidence

Prepaying a loan reduces your cash flexibility.

But investments offer you liquidity when needed.

Financial emergencies need access to cash fast.

Mutual funds can be redeemed when required.

Don’t put all your surplus in loan prepayment.

Peace of Mind vs. Smart Wealth Building

Some people feel peace when loans are closed early.

It reduces psychological burden and improves sleep.

But low-interest loans are better kept and managed.

You can earn more on surplus money through investing.

Debt is not always bad when it’s manageable.

Balanced Strategy Is the Best Choice

Don’t choose only one route—balance is better.

Split your monthly surplus into two parts.

Use one part to invest in long-term growth plans.

Use the other part for partial prepayments once in a while.

This approach reduces debt and builds wealth together.

What You Should Do Now

Make sure you keep emergency savings of at least 6 months’ expenses.

Review your insurance and make sure your family is protected.

If you have LIC, ULIP or insurance-based investments, assess if they are worth holding.

If they underperform, consider surrendering and reinvesting into mutual funds.

Choose actively managed mutual funds via a Certified Financial Planner.

Avoid direct mutual funds if you are not monitoring regularly.

Regular mutual funds via a qualified CFP give you guidance and support.

Avoiding Common Mistakes

Don’t rush to become loan-free if loan is cheap.

Don’t ignore inflation and real return comparisons.

Don’t ignore wealth-building just to avoid loan.

Don’t stop investing for the sake of loan closure.

Don’t go for low-return instruments only for safety.

Other Pointers to Remember

Make sure your investments match your goals.

Consider children’s education and retirement goals.

Equity mutual funds are good for goals beyond 7 years.

Hybrid mutual funds suit medium-term goals like 3 to 5 years.

For short-term use, opt for liquid or ultra short-term funds.

Track your goals and adjust asset allocation regularly.

Taxation of Mutual Fund Gains

Long-term capital gains above Rs. 1.25 lakh are taxed at 12.5%.

Short-term gains are taxed at 20%.

For debt funds, both LTCG and STCG are taxed as per your tax slab.

These taxes are payable only when you sell the units.

So your money grows without yearly tax deductions.

Avoid Index Funds and Direct Plans

Index funds don’t give alpha or outperformance.

They follow the market but don’t beat it.

In tough markets, they fall without support.

Active funds are managed by experienced fund managers.

Direct plans lack professional support and review.

With regular plans through a CFP, you get full handholding.

Finally

Your concessional loan is a blessing. Keep using it.

Use your disposable income to create long-term wealth.

A good plan includes both investment and prepayment.

Invest for your future. Don’t just avoid loans.

Stay liquid, stay insured, and invest smartly with professional help.

Review this plan every 6 to 12 months with a Certified Financial Planner.

Build a clear plan for family goals and retirement readiness.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment

...Read more

Ramalingam

Ramalingam Kalirajan  |8459 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 16, 2025

Asked by Anonymous - May 16, 2025
Money
Hi Sir, I am 47 year old with 3 kids aged 11 yr dayghter and twin sons aged 6 years. I have around. I want to retire in 3 years due to health issues. After retirement me and wife will work part time and around monthly 1 lakh combined. I have monthly expenses if around 2 lakhs now. Please advise what corpus i should have to able to retire in 3 years
Ans: You are 47 years old. You have a daughter aged 11 and twin sons aged 6. You plan to retire in 3 years due to health issues. After retirement, you and your wife will earn around Rs. 1 lakh per month from part-time work. Your current family monthly expense is around Rs. 2 lakhs.

Your situation is serious and needs careful planning. I appreciate that you are thinking well in advance. Let us look at your situation in full detail now.

Assessing Your Retirement Timeline
You want to retire at 50. That’s 3 years from now.

That gives limited time to build a full retirement corpus.

After that, you and your wife plan to earn Rs. 1 lakh per month together.

Your expenses are Rs. 2 lakh per month now. This will rise with inflation.

So, you need to fill the gap of at least Rs. 1 lakh per month post-retirement.

That gap will also grow each year due to inflation.

You also have three children. Their education and future needs must be planned.

With three young kids, your financial responsibility will last for the next 15 to 20 years.

Understanding the Expense Gap
Your expenses are Rs. 2 lakh monthly now. This is Rs. 24 lakh annually.

After retirement, part-time income will cover Rs. 1 lakh monthly.

You need Rs. 1 lakh more every month from your savings.

That’s Rs. 12 lakh per year. But this amount will grow with inflation.

In 10 years, this could easily be around Rs. 20 lakh a year or more.

In 20 years, it can be around Rs. 35 lakh or more annually.

So, your retirement corpus must be big enough to cover this rising gap.

It should also last at least 30 years, as both you and your wife may live till 80 or more.

What Should Be Your Retirement Corpus
To cover Rs. 1 lakh monthly shortfall, you need a strong investment base.

That base should grow and generate income for 30 years.

You also need to plan for children’s schooling, college, and marriage.

So, your total retirement corpus should be built with multiple goals in mind.

You may need at least Rs. 6 crore to Rs. 7 crore total corpus by age 50.

This will help you cover your lifestyle gap and also children’s future needs.

The final amount will depend on inflation, market returns, and disciplined investing.

Breaking Down Your Future Expenses
1. Lifestyle Needs

You need Rs. 2 lakh monthly today. This will rise.

After retirement, inflation will push this to Rs. 3.5 lakh to Rs. 4 lakh in 15 years.

That means higher withdrawals every year.

2. Children’s Education

Your daughter will go to college in 6 years.

Your twin sons will go to college in 11 to 12 years.

Education inflation is very high, around 8% to 10% yearly.

Private college and higher studies can cost Rs. 50 lakh to Rs. 1 crore in future.

3. Health and Medical Needs

Health issues are already a concern. Medical costs rise fast.

A single hospitalisation in the future can cost Rs. 15 lakh or more.

You must keep a separate medical emergency fund.

4. Travel, Leisure, and Emergencies

Retirement is not just about needs. It should also include wants.

You may want to travel or support family in emergencies.

Keep a buffer for these lifestyle goals.

Creating a 3-Bucket Investment Strategy
Bucket 1: Emergency and Medical Fund

Keep 12 to 18 months of expenses in this bucket.

That means Rs. 25 lakh to Rs. 30 lakh in liquid funds.

This bucket should not be touched for regular income.

Use it for medical, health, and sudden family needs.

Bucket 2: Income and Safety Bucket

This gives regular income after retirement.

Invest here in low-risk and balanced funds.

This bucket must cover 8 to 10 years of shortfall.

It must be reviewed every year and rebalanced.

Withdraw monthly through SWP (Systematic Withdrawal Plan).

Bucket 3: Growth Bucket

This is for long-term income.

It must stay invested for the next 10 to 15 years.

Use only actively managed equity mutual funds.

Don’t invest in index funds. They follow the market and offer no safety in a fall.

Actively managed funds are better for retirement. They reduce risk and give better return with guidance.

This bucket will support your income in the later years of retirement.

Additional Planning Tips for a Complete Strategy
1. Insurance Review

Check your health insurance. Buy a super top-up if possible.

If you have any traditional policies like LIC endowments or ULIPs, evaluate surrendering them.

Reinvest that money in mutual funds via Certified Financial Planner.

2. Avoid Index and Direct Funds

Index funds are unmanaged. They don’t protect you in a downturn.

Direct funds have no advisor support. You may exit at the wrong time.

Invest through regular mutual funds with Certified Financial Planner.

You get discipline, emotional support, and regular reviews.

3. Tax Planning

After retirement, plan all withdrawals smartly.

Equity mutual fund LTCG above Rs. 1.25 lakh is taxed at 12.5%.

STCG is taxed at 20%.

Debt mutual fund gains are taxed as per your income tax slab.

Plan withdrawals in phases to manage tax.

Use SWP instead of lump sum withdrawal.

4. Estate Planning

Write a clear Will. Register it if possible.

Add nominations to all financial accounts and investments.

Discuss with your wife about all assets and accounts.

Educate your children slowly about financial basics.

5. Spending Discipline

After retirement, control lifestyle inflation.

Avoid overspending in early years.

Keep budgets for kids' education, personal care, and travel.

Review expenses every quarter.

Talk to your wife and plan joint financial goals.

How to Reach Rs. 6–7 Crore in 3 Years
This is a very short time.

You must save aggressively now.

Cut all unwanted expenses.

Increase monthly investments to the maximum.

Invest only in actively managed equity mutual funds through regular route.

Don’t keep too much in savings or FDs.

Avoid real estate as it is illiquid and low-return.

Rebalance investments every year with the help of Certified Financial Planner.

Finally
You have only 3 years to build your corpus.

You also have a big responsibility of three children.

You will work part time after retirement, which gives some cash flow.

But you must plan very carefully and very thoroughly.

Create three investment buckets to manage needs properly.

Use only actively managed mutual funds, not index or direct funds.

Avoid risky shortcuts and always review plans every year.

With health concerns and young kids, long-term planning is critical.

Your retirement is not the end of income. It is the beginning of financial wisdom.

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

...Read more

Milind

Milind Vadjikar  |1236 Answers  |Ask -

Insurance, Stocks, MF, PF Expert - Answered on May 16, 2025

Asked by Anonymous - May 15, 2025
Money
Sir , i am 29 year old male currently earning 1.4 lakh per month in hand salary and 60 thousands per month (side income which is temporary for few more years may be 2 years). I have 31.5 lakhs home loan with 9.5 % floating interest for 18 years. Personal loan of 1.4 lakh with 11% interest 7 months remaining. Gold loan of 2 lakh with due date in 10 months. Every month i am paying emis of 31000 home loan 21000 personal loan (7 more months) 23000 chit fund(6 more months) I have 4.5 lakh mutual/stocks investments. Gold worth 1 lakh and no Fixed deposits. I have Chit fund ( with friends ) which expires in 6 months with 5 lakhs amount. I have an Term policy of 1 crore for which i pay premium of 35k annually for 5 more years. I had planned a wedding in one year with 10 lakh expenditure. I have zero emergency fund like fd or any other savings Please guide me best option for better investment ,emergency fund and to have a comfortable corpus till i retire by the year 2040. Till now i have no savings in whatever form it is Iam unmarried
Ans: Hello;

You need to put aside amount worth 6-8 months regular expense coverage and keep it aside in a liquid fund or a savings account.

Do invest in NPS for your retirement planning. It is the best tool available from cost, returns, tax point of view.

Only thing to be borne in mind is NPS allows very restricted withdrawals over its entire span, subject to T&C, because it's a product meant for retirement.

Except home loan all your loans are getting settled in less than a year so it's okay but never ever use loan as source of funds for personal needs.

Also avoid investing in chit funds because they have a high risk and hence promise of higher returns.

Also start systematic investments in mutual funds through monthly sip's as per your goals and risk appetite.

The MF/stock holding and chit fund money return(5 L) will take care of your marital expenses.

Happy Investing;

...Read more

Ashwini

Ashwini Dasgupta  |107 Answers  |Ask -

Personality Development Expert, Career Coach - Answered on May 16, 2025

Asked by Anonymous - May 16, 2025
Career
Hi Ashwini, I am a 29 yr old marketing executive, and I tend to take negative feedback very personally, even when it's constructive. For example, last month, my manager said my presentation was all over the place and lacked clarity. Though she meant it to help me improve, I kept replaying it in my mind for days and started doubting my abilities.
Ans: Dear Sir/ Madam,

As humans we bound to overthink and question back and self-doubt. It's important to process the emotions then accumulating.

Try this the next time you feel negative-

Firstly, negativity or any feeling is just an emotion and every emotion is giving you feedback so that you can take can action. So, it works like a feedback mechanism.
Now, in the above situation where your manager said the presentation was all over the place or lacked clarity- it meant you should present the same from his perspective or from the audience’s perspective. As the person who is going to see the presentation should be able to understand and be in the same alignment as you are.

Have a discussion with your manager and ask where all did, he/she feels the presentation lacked clarity, ask what else you should have looked at to make it more valuable etc.

Once you get the feedback go back to the presentation and relook from his/ her perspective now then possibly that would make sense to you.

Idea is to process the information and see how you can make it better. Self-doubt is ok to have as it will help you relook but if you are sulking in that emotion, it will spiral down which is what happens most often. So, the next time when you get negative feedback look at from a perspective of working on yourself to be even better.

If you were not good then you wouldn't be in that job in first place. Remember that.

Thanks
Ashwini
Maverick Minds
www.ashwinidasgupta.com

...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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