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Ramalingam

Ramalingam Kalirajan  |9447 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jun 18, 2025

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
Deep Question by Deep on Jun 18, 2025
Money

Sir to proceed with regular plan, I need to select a MFD channel or advisor, I have shortlisted few of the options 1. Scripbox 2. Et money 3. fundsindia for External Fin advisor 1. FinCart 2. FinAtoZ can you please help me decide which one to go with and usually how the advisory service they provide like guidance, redemption, tax planning, and adjusting in different market conditions, do they send me the information & alerts as per their convenience or is it I can choose to personally interact and listen to their advice? want to understand about both the online platform & options like fincart and open to hear any suggestions apart from the ones I shortlisted before I decide one.

Ans: Choose a Certified Financial Planner (CFP) who is also an MFD with 20+ years’ experience. Avoid asset-thin models like platforms focused only on transactions. Choose someone who offers goal-based guidance, market-time adjustments, tax help, and most importantly, long-term relationship, not just automation. Between platforms and advisors, prefer one who personally interacts, not just sends automated alerts.

Suggestion: Go with a trusted CFP-led firm that prioritises your interest—not AUM volume.

Best Regards,
K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in
https://www.youtube.com/@HolisticInvestment
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  |9447 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jun 08, 2024

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Sir, I have been investing in MFs through SIP and Lumpsum for last 6 yrs. But now a days, I am realising a discipline is also a must here. In this regard, I need your kind financial guidance through investment advice in mutual funds. How can I contact with you for details. Thanks.
Ans: I appreciate your trust and willingness to connect. It’s wonderful to see your awareness of the importance of discipline in investment. Mutual funds, with the right strategy and consistent discipline, can significantly contribute to your financial goals. Let's delve into the importance of discipline in mutual fund investments and how you can optimise your strategy.

The Importance of Discipline in Mutual Fund Investments
Investing in mutual funds requires more than just regular contributions; it demands a disciplined approach to achieve your financial goals. Here are some key aspects of maintaining discipline in your investments:

Regular Monitoring and Review
Regularly reviewing your portfolio ensures that your investments are aligned with your financial goals. This helps in making necessary adjustments based on market conditions and changes in your financial situation.

Consistent Contributions
Maintaining consistency in your SIPs is crucial. Skipping SIPs can disrupt the compounding effect, which is vital for long-term wealth creation. Treat your SIPs like a mandatory financial commitment.

Staying Invested for the Long Term
Mutual fund investments are most beneficial when held for the long term. Market fluctuations are inevitable, but staying invested helps in averaging out the market volatility and maximizing returns.

Strategic Investment in Mutual Funds
To optimise your mutual fund investments, consider the following strategies:

Diversification
Diversifying your investments across different types of mutual funds (equity, debt, hybrid) and sectors helps in spreading risk and improving potential returns. Avoid concentrating your investments in one sector or asset class.

Asset Allocation
Asset allocation is the process of dividing your investment portfolio among different asset categories. It plays a crucial role in balancing risk and reward. Adjust your asset allocation based on your risk tolerance, financial goals, and time horizon.

Rebalancing Your Portfolio
Periodic rebalancing ensures that your portfolio maintains its desired asset allocation. This involves selling assets that have performed well and reinvesting in underperforming assets, thereby maintaining the balance.

Benefits of Investing Through a Certified Financial Planner
A Certified Financial Planner (CFP) can provide tailored advice based on your financial situation, goals, and risk tolerance. Here’s how a CFP can help:

Personalised Financial Planning
A CFP can develop a comprehensive financial plan that includes investment strategies, retirement planning, tax planning, and more. This ensures all aspects of your financial life are considered.

Expert Investment Advice
With extensive knowledge and expertise, a CFP can recommend the best mutual funds based on your risk profile and financial goals. They can also provide insights into market trends and economic factors affecting your investments.

Ongoing Support and Guidance
A CFP offers ongoing support, regularly reviewing and adjusting your financial plan to keep you on track towards your goals. This includes monitoring your portfolio’s performance and making necessary adjustments.

Detailed Financial Guidance
I am glad you want to embark on this financial journey with professional guidance. For detailed investment advice and personalised financial planning, you can reach out to me through my website. This platform has restrictions on sharing personal contact details directly, but you can visit my website for further contact information and to schedule a consultation.

Final Thoughts
Your commitment to maintaining discipline in your mutual fund investments is commendable. By consistently monitoring your investments, staying disciplined, and seeking professional guidance, you are on the right path to achieving your financial goals. Let’s work together to ensure your financial success and secure your future.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |9447 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Dec 23, 2024

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Need to invest in mf thru SIP of rs 10000 monthly with time horizon of 3 years and one lumpsum investment of rs 25 lacs in mf. Which are best options? Regards GK Raju
Ans: Your plan to invest Rs. 10,000 monthly through SIP for 3 years and Rs. 25 lakhs as a lumpsum is an excellent step. Let us evaluate and design an optimal strategy for both investments to suit your goals and time horizon.

SIP Investment for a 3-Year Horizon
A 3-year horizon is relatively short for equity mutual funds. Hence, capital preservation and moderate growth should be the primary goals.

Recommended Fund Categories
Hybrid Funds: These balance equity and debt, offering lower risk than pure equity funds. They are suitable for a 3-year horizon.

Arbitrage Funds: These invest in arbitrage opportunities and have minimal risk. They are a safer choice for short-term SIPs.

Short-Term Debt Funds: These focus on fixed-income instruments with shorter maturities, ensuring stability and predictable returns.

Key Considerations
Risk Mitigation: For a short horizon, avoid high-risk funds like small-cap or thematic funds.

Liquidity: Choose funds with no exit load beyond one year for better flexibility.

Lumpsum Investment of Rs. 25 Lakhs
Lumpsum investments require careful allocation to balance risk and return, especially over 3-5 years.

Recommended Fund Categories
Dynamic Asset Allocation Funds: These adjust equity and debt allocation based on market conditions, offering balanced returns.

Equity Savings Funds: These combine equity, arbitrage, and debt for steady growth with controlled risk.

Corporate Bond Funds: These focus on high-quality debt instruments and are ideal for preserving capital while earning stable returns.

Short-Term Debt Funds: These ensure low risk and predictable returns, making them suitable for conservative investors.

Avoid High-Risk Investments
Avoid pure equity funds for lumpsum investment over 3 years. The short horizon increases market timing risk.
Thematic and sectoral funds should also be avoided due to volatility and concentration risk.
Tax Implications for Both Investments
Understanding taxation is crucial for maximising post-tax returns.

Equity Funds: Short-term capital gains (STCG) are taxed at 20% for holdings under one year. Long-term capital gains (LTCG) above Rs. 1.25 lakh are taxed at 12.5%.

Debt Funds: Both STCG and LTCG are taxed as per your income tax slab.

Hybrid Funds: Taxation depends on the equity-debt ratio. If equity exposure is over 65%, equity taxation rules apply.

Arbitrage Funds: Treated as equity funds for taxation purposes.

Active Funds vs Index Funds
Active funds aim to outperform the market and are managed by expert fund managers.
Index funds only mirror the market and may underperform during volatile periods.
For a 3-year horizon, actively managed funds provide better growth potential and risk management.
Importance of Regular Plans Over Direct Plans
Regular plans offer professional monitoring by a Certified Financial Planner (CFP).
CFPs optimise asset allocation and ensure timely portfolio rebalancing.
Direct plans lack advisory support, leading to missed opportunities or inefficient decisions.
Final Insights
For your Rs. 10,000 SIP, hybrid or short-term debt funds are ideal for balancing growth and stability. Arbitrage funds can also be considered for their low-risk profile.

For the Rs. 25 lakh lumpsum, dynamic asset allocation funds and corporate bond funds offer a balanced and low-risk investment approach.

By combining these fund types, you can achieve steady returns and protect your capital over the next 3 years. Consult a Certified Financial Planner to tailor the investments further to your needs.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

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

..Read more

Janak

Janak Patel  |56 Answers  |Ask -

MF, PF Expert - Answered on Apr 09, 2025

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One fincart advisor contacted me for giving me advise regarding mutual funds and investment of sector is fincart a good company or not to invest
Ans: Hi Sammer,

An adviser/company to be categories as good or not is a bit subjective. I say this because you may find people who have had a good experience with them and those who did not have a good one.

But let me try to help you with some pointers that can help you decide
1. Before asking what they can offer you, ask them - "What do you gain by becoming my advisor?" Their response will give you insight into their objectives. If its not clearly stated, then consider it a RED flag.
2. Are they going to advise based on your preferences or they have a selected list that you need to choose from. I have heard of adviser pushing different products without considering your preferences e.g. You prefer MF and they push ULIP, Regular MF vs Direct MF etc. This can include cross selling other products that they are servicing like insurance and pension products.
3. Inquire about their process of engagement before advising you. Will they consider your requirements and evaluate them and present options to choose or start by putting the options on table and recommending MFs without understanding your goals/requirements. Simple ask, so which is the best MF scheme to invest today. If they start listing them - RED flag.
4. How will they construct a portfolio for you, structure and number of schemes in it, will it have a strategy and objective to it. Or will they keep building it over time by adding new schemes as and when. A person once came to me with a portfolio of approx. 30 lakhs with over 30 MF schemes in it - RED flag. Going beyond 5-6 schemes needs to be reviewed thoroughly.
5. What are their processes for reviewing the performance of the portfolio/schemes and how do they provide recommendation for changes in the portfolio. Will they take into account tax impacts when recommending exits.
6. Will they aim to educate you in this whole process about various aspects so as to establish and enhance their engagement, trust and your own confidence in them.
7. Most important - Will it be a fee based engagement or a commission based. Typically fee based engagements should encourage customer's preferences e.g Direct MF, using client's Demat account etc and provide recommendations for customers requirement with alternatives and options. Even when you change a recommendation, they should educate you on its impact and recommend alternative to mitigate the impact. Commission based engagements are based on their earnings from your investment. Some times their approach is to add schemes based on commissions. But there are good advisors who will stay the course of a well constructed portfolio even in this model, having the customers interest at heart.

So do your own assessment of any advisor you engage with based on the above. You can add more points of evaluation based on your own experience and knowledge.
Remember Simple strategies are more often successful.

Thanks & Regards
Janak Patel
Certified Financial Planner.

..Read more

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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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