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Ramalingam

Ramalingam Kalirajan  |8271 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jul 11, 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
M Question by M on Jun 20, 2024Hindi
Money

Sir my paternal grand mother registered a new will by cancelling her old will written to my elder brother in 2004 and new will in 2019she expired in 2023june my grandmother has two sons both of them are witness in my will two roperties are mentioned one is rccbuilding second is 3acres of land both are mentioned in my will she registered a gift deed for RCC building in 2021now my brother gave a notice to me on RCC building afterher death and he showed in court that his will is last one but my grandmother gave a first information report in police station that she cancelled his will and registered a new will and on other gold ornaments and changing of his name in municipality and other original documents to be recovered from him the cc case is filed and trail is going on I am with my parents and my uncle father's brother is also with us only now yesterday he gave another notice to me on second property agl landalso I gave answer to first notice by my advocate my doubt is how can a cancelled will come in force when a new registered will is present he says iam in continuos possesion in house my grandmother is 100years when she expired but her mind is very powerful her health is very good until her death she is a iron women she registered me 4years before her death can I win my cases my brother is filling all false statements in court pls can you give your suggestions how to approach in correct manner my father mother and my uncle are alive they will witness the facts in court thanking you waiting for your suggestions

Ans: Understanding the complexities of wills and inheritance can be challenging, especially when there are conflicting claims and legal disputes. I appreciate you sharing the details of your situation. Let's break down the key points and offer some guidance on how to approach your case.

Background and Current Situation
Your grandmother, who was 100 years old at the time of her passing, made significant changes to her will and property registrations in the years leading up to her death. Initially, she had written a will in 2004 in favor of your elder brother. However, in 2019, she canceled this will and registered a new one in your favor, which includes an RCC building and 3 acres of land.

In 2021, she also registered a gift deed for the RCC building to you. Following her death in June 2023, your brother contested this, claiming the 2004 will is still valid. He has taken legal steps to assert his claim on the RCC building and recently served another notice regarding the 3 acres of land.

Your grandmother filed a police report stating she had canceled the old will and registered a new one. You and your family, including your uncle, are united in this matter, and your parents and uncle are willing to testify in court.

Legal Considerations
When dealing with inheritance disputes, several legal principles come into play:

Validity of the New Will: A new will, if registered properly and meeting all legal requirements, typically supersedes any previous wills. Your grandmother's 2019 will should be the primary document of reference.

Gift Deed: The registered gift deed for the RCC building in 2021 further strengthens your claim. Once a gift deed is executed and registered, the property is transferred to the donee (you in this case), and this transfer is usually irrevocable.

Continuous Possession: Your brother's claim of continuous possession may hold some weight, but it does not override the legal documents like the new will and the gift deed, provided they are valid and unchallenged on grounds of legality.

Steps to Strengthen Your Case
Here are some strategic steps to consider in approaching your case:

1. Engage a Competent Lawyer:
Ensure that you have a certified and experienced lawyer who specializes in inheritance disputes. This will be crucial in navigating the complexities of your case.

2. Gather and Preserve Evidence:
Collect all relevant documents, including the new will, gift deed, police report, and any communication that supports your claim. Ensure these documents are safely stored and readily available.

3. Witness Testimonies:
Your parents and uncle can provide crucial witness testimonies. Their accounts of your grandmother’s intentions and the circumstances surrounding the will changes will be valuable in court.

4. Contesting False Claims:
Be prepared to counter any false statements made by your brother. This includes gathering any evidence that disproves his claims and highlighting inconsistencies in his statements.

5. Emphasize the Police Report:
The FIR filed by your grandmother is a significant piece of evidence. It demonstrates her intent to cancel the old will and supports the validity of the new will.

Legal Process and Court Proceedings
1. Filing a Caveat:
A caveat is a notice filed in court to prevent any action on a will without notifying the person who filed the caveat. This ensures you are informed of any proceedings related to your grandmother’s estate.

2. Probate of the Will:
The court process to prove the validity of a will is known as probate. You will need to apply for probate of the 2019 will. This involves submitting the will to the court and demonstrating its validity.

3. Contesting the Previous Will:
Your brother will need to prove the validity of the 2004 will. Since your grandmother canceled this will and registered a new one, he may face significant legal challenges.

Understanding Inheritance Laws
1. Testamentary Succession:
This refers to the distribution of property according to the will. The new will registered in 2019 dictates the distribution of your grandmother’s estate.

2. Intestate Succession:
If a person dies without a valid will, their property is distributed according to intestate succession laws. In your case, since a valid will exists, intestate succession laws do not apply.

Emotional and Practical Considerations
1. Emotional Preparedness:
Inheritance disputes can be emotionally taxing. Stay strong and seek support from your family and close friends. Understand that the legal process may take time and require patience.

2. Open Communication:
Maintain open communication with your lawyer. Regular updates and clear understanding of the case progress will help you stay informed and prepared.

3. Financial Preparedness:
Legal battles can be expensive. Ensure you are financially prepared to cover legal fees and any other associated costs.

Final Insights
Navigating an inheritance dispute requires a clear understanding of legal principles, meticulous preparation, and emotional resilience. The new will and the gift deed registered in your favor are strong evidence supporting your claim. Ensure you have a competent lawyer, gather all necessary documents, and prepare your witnesses.

Stay focused and patient throughout the legal process. Your grandmother’s clear intent to leave her property to you, backed by legal documentation, strengthens your case significantly. With the right approach and legal support, you stand a good chance of securing your rightful inheritance.

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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Sir I'm a legally adopted son , after my father passed away my uncle (my grandfathers brothers son) how came in place to take care of my mother grandmother and myself ,now he is claiming that the property is in his name according to the will written by my grandmother,with two witnesses (these witness are my uncle's friend) as to my mother's knowledge and mine my grandmother never would have done this , infact she told to my mother and myself to safeguard the properties and house before dying , how can we proceed further to get the property
Ans: Obtain a Copy of the Will

Visit the local Sub-Registrar's office to get a certified copy of the will. This will confirm if the will exists and if it's legally valid.
Consult a Legal Expert

Speak to a lawyer who specialises in property and inheritance law. They can guide you on the legality of the will and its validity.
Challenge the Will in Court

If you suspect foul play or believe the will is forged, you can challenge it in court. Your lawyer can help you file a case for probate or contest the will.
Gather Evidence

Collect any evidence that supports your claim, like statements from your grandmother or witnesses who knew her intentions.
Secure Other Documents

Ensure all other property documents are in your possession to prevent any further disputes.
Proceeding legally and with the help of a qualified lawyer will be essential in resolving this matter.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

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Mutual Funds, Financial Planning Expert - Answered on Apr 22, 2025

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Hello sir. I have invested Rs.1.00 lac in SBI Magnum Children's Benefit Fund- Investment Plan- Direct Plan - Growth. Actually I was planning to invest this amount in gold. However, after an intense inquiry and research from the Internet I decided to invest in SbI plan. Please let me know whether I did the best thing not opting for gold investment and investing in SBI Plan.
Ans: First of all, congratulations on taking the time to research and make an informed investment decision. That’s always the first step toward wealth creation. You’ve taken a thoughtful approach, and that is something to truly appreciate.

Let’s now evaluate your decision with a 360-degree view.

Why Choosing Mutual Funds Over Gold Can Be a Wise Decision

Gold is often used for preserving wealth, not creating it.

Over the long term, gold gives moderate returns.

Gold does not produce income or dividends.

It only grows based on price appreciation.

Mutual funds, especially equity-based ones, are better wealth creators.

They compound your money with professional fund management.

Equity funds outperform gold over long durations like 10–15 years.

Mutual funds are more aligned with long-term goals like child’s education or marriage.

Equity funds, though volatile in the short term, deliver better inflation-beating returns.

So yes, not choosing gold and opting for a fund is a better long-term move.

About SBI Magnum Children’s Benefit Fund – Investment Plan

This fund is not a typical diversified equity fund.

It is a hybrid fund meant for child-centric goals.

It has exposure to equity and debt.

Its goal is to provide long-term capital appreciation with some safety.

It’s structured with a lock-in for a few years.

This prevents premature withdrawal and keeps investments stable.

Suitable if your time horizon is long (8 to 10 years or more).

Also ideal if this money is for your child’s future education or marriage.

What This Fund Does Well

Offers equity upside with controlled risk.

Invests in equity (for growth) and debt (for safety).

Encourages long-term goal-based investing.

Limits withdrawal temptation with lock-in.

What You Should Be Aware Of

It may not perform as strongly as aggressive equity funds.

Returns may be moderate compared to pure equity funds.

Fund performance can vary depending on fund manager's strategy.

Lock-in means you can’t redeem early if needed.

Did You Make the Right Choice?

Yes, considering:

You had Rs 1 lakh and considered gold.

You switched to a goal-based mutual fund for children.

You moved from wealth preservation to wealth creation.

That’s a good decision for long-term financial planning.

You are now in a product with better potential and strategy.

Few Suggestions Going Forward

Don’t stop at just one-time investment.

Plan a monthly SIP if the goal is 5 years or more away.

Align it with a long-term goal like education or marriage.

Don’t redeem mid-way due to market dips.

Review this fund every year.

Check if it continues to match your goal and risk appetite.

Better Than Gold – Here’s Why

Gold gives no compounding; mutual funds do.

Gold is volatile during uncertain times.

It has storage issues and taxation headaches in physical form.

Mutual funds are digitally held and easy to manage.

Long-term gains in equity mutual funds are tax efficient.

For child goals, equity funds offer the best mix of returns and growth.

Final Insights

You’ve made a smart choice by avoiding gold and choosing a goal-based mutual fund.

Gold is emotional and traditional. Mutual funds are logical and long-term focused.

For children’s goals, equity-based hybrid funds are more aligned.

Just make sure you review it once every year with a Certified Financial Planner.

If you’re serious about this goal, continue investing more in small steps.

SIP is the best tool for building big wealth slowly and safely.

This one-time investment is a good start. But do plan further contributions.

Your money now has a higher chance of growing meaningfully.

And most importantly, it’s aligned with a real life goal.

Best Regards,

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

...Read more

Ramalingam

Ramalingam Kalirajan  |8271 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Apr 22, 2025

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Sir, I am 45 years old and want to invest in equity mutual funds. I have time horizon of 10 years . Can you suggest me some good funds in large cap category, IT sector theme fund, 1 or 2 small/midcap funds or any other fund you think would be good for long term. I want to start SIP of Rs 40000/- across 4 mutual funds.
Ans: Your intent to invest Rs 40,000 per month in equity mutual funds for 10 years is a strong move.

Your fund choices across large-cap, IT sector, and mid/small-cap categories are sensible.

Let’s look at how to structure this investment efficiently.

Investment Objective Assessment

You have a long-term vision.

Ten years is a healthy horizon for equity.

SIP is the right approach.

Rs 40,000 monthly is a good contribution.

Your Ideal Asset Allocation Strategy

Diversify across categories.

Blend large-cap, sectoral, and mid/small-cap funds.

Avoid putting too much in one theme.

This lowers risk and boosts consistency.

Large-Cap Mutual Fund (Rs 14,000/month)

These funds invest in stable, top companies.

Ideal for long-term wealth growth.

Less volatile than mid/small-cap funds.

Good for capital preservation with growth.

IT Sector Fund (Rs 6,000/month)

IT sector can give high returns.

But it’s highly cyclical and sector-dependent.

Limit allocation to protect from volatility.

Use as a return booster, not a core.

Mid and Small-Cap Funds (Rs 14,000/month)

These funds carry high growth potential.

But they are more volatile and risky.

Suitable for your long-term horizon.

Split the allocation between mid and small caps.

Keep an eye on market trends regularly.

Flexi Cap or Multi Cap Fund (Rs 6,000/month)

This gives you market-wide exposure.

Fund manager picks across market segments.

Offers balance and flexibility in returns.

Helps when market cycles shift.

Avoid Direct Mutual Funds for Long-Term SIPs

Direct funds miss advisor insights.

You might make emotional, untimely exits.

They lack personalisation and professional guidance.

Regular plans via a CFP-MFD give strategy support.

Expert monitoring helps long-term discipline.

Stay Away from Index Funds

Index funds don’t beat the market.

They lack fund manager expertise.

No downside protection in falling markets.

Actively managed funds aim to outperform indices.

They adapt during market changes.

Review Your Plan Regularly

Review performance every year.

Rebalance based on life changes.

Switch underperforming funds if needed.

A Certified Financial Planner will guide you.

Monitoring is as important as starting.

Taxation Aspects You Must Know

Equity mutual funds have two tax rules.

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

Short-term gains: taxed at 20%.

Holding for 10 years is tax efficient.

Stay invested to maximise post-tax returns.

Emergency Fund Planning Before SIPs

Keep at least 6 months of expenses saved.

Don’t invest this in mutual funds.

Use liquid funds or bank deposits.

This protects your SIPs during emergencies.

Systematic Withdrawal Plan Later

After 10 years, use SWP for income.

It gives tax-efficient regular withdrawals.

Avoid lump sum exits.

Plan withdrawal strategy 1-2 years before maturity.

Should You Include Sectoral Funds Beyond IT?

Sectoral funds are risky.

Don’t add too many of them.

You already plan IT sector exposure.

Focus more on diversified equity.

This improves overall stability.

Insurance and Health Coverage Are Essential

Review your term plan now.

Make sure it covers all your liabilities.

Have health cover for your family.

Don’t rely only on employer policy.

Your SIP Distribution Suggestion (Rs 40,000)

Large Cap Fund: Rs 14,000

IT Sector Fund: Rs 6,000

Mid Cap Fund: Rs 7,000

Small Cap Fund: Rs 7,000

Flexi or Multi Cap Fund: Rs 6,000

Strategy to Add More SIPs Yearly

Increase SIP by 10% annually.

This boosts compounding significantly.

You’ll reach bigger goals faster.

Link SIP increase to your salary hike.

Final Insights

Your investment plan is smart and timely.

Your SIP amount and time horizon are ideal.

Diversify smartly across fund types.

Avoid direct plans; take regular funds via CFP.

Stay away from index funds and too many sector bets.

Review your plan yearly with your Certified Financial Planner.

Tax efficiency and goal focus are key to success.

Your long-term wealth is built step by step.

A clear path and steady discipline will help you achieve it.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

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

...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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