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Omkeshwar

Omkeshwar Singh  | Answer  |Ask -

Head, Rank MF - Answered on Oct 19, 2022

Mutual Fund Expert... more
Dayal Question by Dayal on Oct 19, 2022Hindi
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Money

I am a regular reader of your advice in rediff which are very useful. I am 44 years and have a lump sum of 50 lakh to invest. I want to invest for long term of 10 years and more.

I chose following funds:

Uti nifty index fund - 15 lakh
Motilaloswal Nasdaq 100 ETF - 10 lakh
Sbi nifty index fund - 10 lakh
Gold ETF - 15 lakh

Want to invest 50 lakh in next 4 - 5 months time when ever a dip occurs in the market in above funds. Request your kind suggestion in this regard.

Ans: It’s a good strategy, please proceed.

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  |9848 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 18, 2024

Asked by Anonymous - Apr 27, 2024Hindi
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I have shortlisted these funds from my research and planning to invest as lumpsum in 6 to 8 months for a long term i.e. 8-10 year horizon. I am 54 years old. Kindly give your inputs Hdfc Focused 30 fund 20% Parag Parikh Flexicap fund 15% Quant Large & Midcap fund 15% ICICI Pru Nifty 200 Mom 30 index fund15% Motilal Oswal Midcap 150 index fund 15% Nippon India Smallcap 250 index fund 5% Motilal Oswal Microcap 250 index fund 5% Mirae Asset NYSE FANG+ ETF FoF 5%
Ans: Evaluation of Lumpsum Investment Portfolio

Strategic Portfolio Assessment

Your proposed investment portfolio reflects a diversified approach encompassing various mutual funds and exchange-traded funds (ETFs), tailored for a long-term horizon. Let's analyze each component and provide insights to optimize your investment strategy.

Assessing Fund Selection for Long-term Growth

The selection of funds demonstrates a blend of actively managed funds and index funds/ETFs, aiming to capture growth opportunities across different market segments. This diversified approach aligns well with your long-term investment horizon.

Benefits of Actively Managed Funds

Actively managed funds, such as HDFC Focused 30 Fund and Parag Parikh Flexicap Fund, offer the potential for higher returns through active stock selection and portfolio management. These funds leverage fund manager expertise to capitalize on market opportunities.

Disadvantages of Index Funds and ETFs

While index funds and ETFs provide cost-effective exposure to broad market indices, they may underperform actively managed funds during certain market conditions. Additionally, index funds lack flexibility in portfolio composition and may not fully capture market inefficiencies.

Optimizing Fund Allocation

Consider rebalancing your portfolio to ensure optimal allocation across different market segments. While large-cap, mid-cap, and flexi-cap funds offer diversification across market capitalizations, index funds and ETFs provide exposure to specific market indices.

Risk Management Considerations

Given your age and investment horizon, prioritize funds with a track record of consistent performance and risk-adjusted returns. Evaluate the risk-reward profile of each fund and ensure alignment with your risk tolerance and financial goals.

Monitoring and Review

Regularly monitor the performance of your portfolio and review fund selection periodically. Assess any changes in market conditions, fund performance, and your financial objectives to make informed decisions regarding portfolio adjustments.

Conclusion

Your proposed investment portfolio demonstrates a well-thought-out approach to long-term wealth accumulation. By blending actively managed funds with index funds/ETFs, you can leverage the strengths of both approaches and optimize portfolio returns while managing risk effectively.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |9848 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Sep 22, 2024

Money
Sir, I am 42-Year-old & I have already Portfolio of Mutal fund of 42 Lakh (lumpsum / SIP) currently I do monthly 35K sip in mutual fund. Also, currently I have 300 GRM gold with me & also I have Rs.15 Lakh of FD. Also, I invest 1.5 Lak every year in PPF from Lat 9 years. Now I have 10 Lakh Rupees with me so can you guide me where to invest for long term good returns
Ans: You have built a solid financial foundation. Your portfolio includes mutual funds worth Rs. 42 lakh, a monthly SIP of Rs. 35,000, 300 grams of gold, Rs. 15 lakh in fixed deposits (FD), and consistent investments in PPF for the last 9 years. You now have Rs. 10 lakh ready to invest, and you seek long-term good returns. Let’s explore a well-rounded strategy.

Mutual Fund Investments

Your existing mutual fund portfolio of Rs. 42 lakh and Rs. 35,000 SIP is commendable.

Mutual funds are ideal for long-term wealth creation.

Ensure your mutual funds are diversified across large-cap, mid-cap, and small-cap categories.

Add funds focused on different sectors to reduce risk and enhance returns.

Don’t invest in index funds. Actively managed funds perform better, especially in fluctuating markets.

Consider investing your new Rs. 10 lakh in actively managed funds to enhance long-term growth.

Consult a Certified Financial Planner (CFP) to regularly review your mutual fund portfolio.

Regular funds through a Mutual Fund Distributor (MFD) offer better guidance and service.

Gold as a Hedge, Not Growth

You hold 300 grams of gold. Gold is great as a hedge against inflation.

But it’s not ideal for long-term wealth generation. Its price fluctuates and doesn’t grow as fast as equity.

Avoid adding more gold to your portfolio.

Keep your current gold holding as it can act as a safety net during tough times.

Fixed Deposits for Safety, Not Growth

You have Rs. 15 lakh in FD, which is excellent for safety.

But the returns are low compared to equity investments.

Keep a portion of FD for emergencies. Ideally, 6-12 months of expenses should be set aside.

Avoid adding more funds to FD for long-term growth.

Inflation reduces the purchasing power of FD returns over time.

PPF for Tax-Free Compounding

You have been contributing Rs. 1.5 lakh annually to PPF for 9 years.

PPF is a great option for risk-free, tax-saving investment. It offers guaranteed returns with tax benefits.

It will compound tax-free over time, offering stable returns.

Continue investing in PPF as it balances your high-risk investments with a safe, government-backed option.

Evaluating Rs. 10 Lakh for Investment

You now have Rs. 10 lakh ready to invest. Let’s evaluate options with long-term returns.

1. Increase SIP in Mutual Funds

The best option is to increase your SIP in diversified mutual funds.

Long-term SIPs can create wealth through the power of compounding.

Invest the Rs. 10 lakh in a staggered way, splitting it into SIPs over the next 12-18 months.

This will help you avoid market volatility and benefit from rupee cost averaging.

Actively managed funds with a Certified Financial Planner (CFP) will help you maximise returns.

Diversify across large, mid, and small-cap funds for a balanced portfolio.

Ensure you invest in regular plans through an MFD for personalised guidance.

2. Hybrid Funds for Balanced Growth

Consider hybrid mutual funds. They combine the benefits of equity and debt.

Hybrid funds are great for long-term growth with a lower risk profile.

They provide a balanced approach and smooth out market fluctuations.

Use hybrid funds to diversify your Rs. 10 lakh investment.

They are particularly suitable for investors looking for a mix of safety and growth.

3. International Mutual Funds for Global Exposure

Explore international mutual funds to diversify beyond India.

These funds invest in global companies, providing exposure to developed markets.

Global diversification reduces risk and captures growth opportunities worldwide.

A portion of your Rs. 10 lakh can be allocated to international funds.

Consult your Certified Financial Planner (CFP) for specific recommendations and advice.

4. Balanced Allocation to Debt Mutual Funds

A portion of your Rs. 10 lakh can also be invested in debt mutual funds.

Debt funds provide stability and regular returns with lower risk.

They are a good option to balance the high-risk equity investments in your portfolio.

Debt funds can be liquidated quickly in case of emergencies, making them a good substitute for FDs.

Building a Well-Rounded Investment Strategy

1. Portfolio Diversification

Diversify your portfolio across asset classes: equity, debt, gold, and PPF.

Each asset class serves a different purpose – equity for growth, debt for stability, gold for hedging, and PPF for tax-free returns.

Avoid investing more in low-growth assets like gold and FD.

Ensure your mutual fund portfolio is spread across different market sectors and capitalisation.

Review your portfolio regularly with your Certified Financial Planner (CFP) to stay aligned with your goals.

2. Rebalancing and Monitoring

Regularly review your portfolio performance.

Rebalance your investments every 1-2 years to maintain the desired asset allocation.

Equity markets can be volatile, and your risk tolerance may change over time.

Consult a Certified Financial Planner (CFP) to rebalance your portfolio for long-term goals.

3. Emergency Fund

Always maintain an emergency fund to cover 6-12 months of expenses.

This fund should be kept in liquid assets like FD or debt mutual funds.

Avoid investing your emergency fund in high-risk assets like equities.

Use the Rs. 10 lakh to increase your emergency fund if you don’t have one already.

4. Insurance Coverage

Ensure you have adequate insurance coverage.

Term insurance is necessary for financial protection.

Health insurance is also essential to cover medical expenses.

Avoid mixing insurance with investment products like ULIPs or endowment plans.

If you hold LIC or investment-cum-insurance policies, consider surrendering them.

Reinvest the surrendered amount in mutual funds for better growth.

5. Tax Efficiency

Plan your investments for maximum tax efficiency.

PPF offers tax-free returns and is a great tax-saving tool.

Long-term investments in mutual funds also offer favourable tax treatment.

Ensure that your portfolio is structured to take advantage of tax deductions under Sections 80C, 10(10D), and 80D.

Final Insights

You’ve built a solid portfolio with mutual funds, gold, FD, and PPF investments. You now have Rs. 10 lakh to invest, and the best approach is to increase your mutual fund SIP. Avoid low-growth assets like gold and FD for long-term investments. Use hybrid, debt, and international funds to diversify your portfolio. Continue investing in PPF for stable, tax-free returns.

Regular reviews with your Certified Financial Planner (CFP) are key to maintaining a balanced and profitable portfolio. Keep your financial goals in focus, and rebalance your investments as needed. Building a strong emergency fund and ensuring adequate insurance coverage is essential for financial security.

By following these strategies, you can achieve long-term wealth creation and financial stability. Ensure that your investments are aligned with your risk tolerance and future goals.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

Instagram: https://www.instagram.com/holistic_investment_planners/

..Read more

Ramalingam

Ramalingam Kalirajan  |9848 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Oct 24, 2024

Asked by Anonymous - Oct 11, 2024Hindi
Money
Hello sir , I am 40 years old , I have below investment. No EMI No Loan. FD - 60 lacs. Mediclaim - 15 lacs ( 20K per year) NPS - 50K Per year ( Since last 5 years) PPF - 150K Per Year ( Since Last 5 years) I am investing in below mutual funds through SIP. ( 32K Total) - Since last 3 Years ICICI balanced Advantage 2K HDFC Balanced Advantage 3K Tata Midcap and Largecap 3K Nippon India Small Cap 2K Motilal Midcap 2K ICICI Prudential Commodities 5K Quant Small Cap 5K HDFC Top 100 5K Parag Parikh Flexi 5K Is it good funds for long terms ( Horizon of 8/10 years) ? My income is arround 1.80 lac monthly , no home loan and emi. Shall I increase my SIP and my concern is 60 lacs is in FD ..Please suggest. Plus I want to invest 3 lacs lumpsum. Where to invest ? For long term 5/10 years.
Ans: At 40, your financial position is solid. You have Rs. 60 lakh in fixed deposits (FDs), a Rs. 15 lakh mediclaim policy, and regular contributions to NPS and PPF. Your SIP investments of Rs. 32,000 monthly across various funds, combined with no loans or EMIs, give you a robust foundation.

Let’s evaluate each aspect of your investments in detail, with suggestions for enhancing your portfolio for long-term wealth creation.

Fixed Deposit Concerns
FD Returns: Fixed deposits offer safety but low returns. The returns barely beat inflation, leading to a gradual erosion of purchasing power.

Action: You should not have Rs. 60 lakh tied up in FDs if you aim for long-term growth. Consider moving part of this into more growth-oriented avenues like mutual funds.

Mutual Fund Portfolio Review
You are investing Rs. 32,000 monthly in SIPs across various mutual funds. Let's evaluate if these funds are aligned with your 8-10 year goal.

Balanced Advantage Funds
ICICI Balanced Advantage (Rs. 2,000)
HDFC Balanced Advantage (Rs. 3,000)
Balanced advantage funds provide a blend of equity and debt. These funds adjust allocation based on market conditions. Over a long-term horizon of 8-10 years, they offer moderate growth with reduced risk compared to pure equity funds. Since you are investing for a medium to long-term horizon, continuing these SIPs is reasonable.

Midcap and Small Cap Funds
Tata Midcap and Largecap (Rs. 3,000)
Motilal Oswal Midcap (Rs. 2,000)
Quant Small Cap (Rs. 5,000)
Nippon India Small Cap (Rs. 2,000)
These funds can deliver higher growth but are volatile. For an 8-10 year horizon, midcap and small cap funds have great potential. Your investment mix here is well-diversified. Keep in mind that small-cap funds carry high risk in the short term, but since you are focused on the long-term, you can ride out the volatility for higher returns.

Large Cap Funds
HDFC Top 100 (Rs. 5,000)
Large-cap funds are stable and provide moderate growth. HDFC Top 100, being in this category, adds stability to your portfolio. It ensures that your portfolio is not overly exposed to market fluctuations. You should continue this SIP for balanced growth.

Sectoral and Commodities Funds
ICICI Prudential Commodities (Rs. 5,000)
Commodity funds are highly cyclical. While they can offer high returns during certain periods, they are also risky and volatile. Over the long term, they might not deliver as consistently as diversified equity funds. You should consider reducing your allocation here and channeling this money into more diversified equity funds, which provide a balanced risk-return profile.

Flexi-Cap Funds
Parag Parikh Flexi Cap (Rs. 5,000)
Flexi-cap funds are highly flexible, as they invest across large, mid, and small-cap stocks. Parag Parikh Flexi Cap is known for its consistent performance and global diversification. It's a good choice for a long-term horizon.

Recommendations for Portfolio Improvement
Reduce FD Exposure: Move a portion of your Rs. 60 lakh in FDs into a diversified equity mutual fund. Aim to keep only a small portion in FDs for emergencies.

Maintain Balanced Advantage Funds: Continue with your balanced advantage funds. They provide a safety cushion during volatile times.

Review Sectoral/Commodities Funds: Consider reducing your investment in commodities. Instead, focus on flexi-cap or mid-cap funds for balanced risk and return.

Increase SIPs for Long-Term Growth
Given your healthy monthly income of Rs. 1.80 lakh and no EMIs, you can consider increasing your SIPs to Rs. 40,000 or Rs. 50,000 monthly. This will help you accelerate wealth creation over your 8-10 year horizon.

Focus on Flexi-Cap Funds: Increase your investment in flexi-cap and midcap funds, as they offer higher growth potential.

Limit Sector-Specific Funds: Avoid putting more into sector-specific funds like commodities as they can underperform over the long term.

Balanced SIP Distribution: Aim for a portfolio with a good mix of large, mid, and small-cap funds for a balanced risk-return ratio.

Lump-Sum Investment Strategy
You have Rs. 3 lakh available for lump-sum investment. Given your long-term horizon of 5-10 years, consider investing in an equity mutual fund or a balanced advantage fund. Here are a few options to help grow your corpus:

Equity Funds: Opt for a flexi-cap or large and midcap fund. These funds are well-diversified and can offer superior growth over time.

Balanced Advantage Funds: If you prefer a bit of safety while still aiming for growth, you can invest this lump sum in a balanced advantage fund. These funds automatically adjust between equity and debt.

Systematic Transfer Plan (STP): To avoid market timing risk, consider investing this Rs. 3 lakh in a liquid fund and using an STP to gradually move the money into equity funds over the next 6-12 months.

NPS and PPF Contributions
You have been contributing Rs. 1.50 lakh annually to PPF and Rs. 50,000 to NPS. Both of these instruments are good for long-term wealth creation, particularly for retirement planning.

Continue NPS: NPS offers tax benefits and long-term growth. It’s advisable to continue contributing Rs. 50,000 annually. You can also increase the contribution if required.

PPF for Safety: PPF is a safe investment offering tax benefits and stable returns. Continue your Rs. 1.50 lakh annual contribution to PPF. It serves as a low-risk component of your portfolio.

Final Thoughts on Direct Mutual Funds
You mentioned investing through direct funds. While direct funds seem appealing due to lower expense ratios, they lack the benefit of personalized guidance. A Certified Financial Planner (CFP), along with a Mutual Fund Distributor (MFD), can help you manage and rebalance your portfolio efficiently.

Disadvantages of Direct Funds: Without professional guidance, investors may miss critical rebalancing or sectoral changes. A regular plan with an MFD provides you with expert advice, ensuring that your investments align with your long-term goals.

Benefit of Regular Plans: The small additional cost in regular plans ensures that your portfolio is regularly monitored by professionals, making sure you get the best returns.

Final Insights
You are on a strong financial footing with no loans or EMIs, regular SIPs, and a decent FD reserve. However, your FD holdings are too high, and this could slow your wealth creation. Rebalance your portfolio to include more growth-oriented investments.

By increasing your SIPs and allocating your lump-sum investment wisely, you can achieve higher returns over the next 8-10 years. Keep a balance between equity and debt for safety, and consider professional guidance to navigate market changes.

Stay focused on your long-term goals and review your portfolio every 6-12 months to ensure it remains aligned with your objectives.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

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

..Read more

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Nayagam P

Nayagam P P  |9349 Answers  |Ask -

Career Counsellor - Answered on Jul 24, 2025

Career
Can i get mechanical in nits tier2 in csab counselling please My jee rank is 52k CRL and 15k in OBC
Ans: Ankush, I think I have already answered your question. Anyway, please note, Admission to Mechanical Engineering at mid-tier NITs via CSAB Special Rounds for an OBC-NCL rank of 15 000 is feasible despite a CRL of 52 , since seat allocation for reserved categories follows the category rank. In CSAB 2024, NIT Durgapur’s Other-State mechanical closing rank was 33 265 (General) and its OBC-NCL seats historically close within the 11 000–12 000 band. NIT Patna’s Other-State OBC-NCL mechanical cutoff stood at 51 338 in Round 1, with Home-State OBC-NCL seats closing around 53 621. NIT Goa’s Other-State OBC-NCL mechanical rank closed at 60 029 in Round 1 and 67 845 in Round 2, showing ample margin for a 15 000 OBC-NCL rank. Similar trends apply to NIT Puducherry and NIT Sikkim, whose OBC-NCL mechanical cutoffs exceed 40 000. IIIT and GFTI mechanical streams typically close at much higher ranks, so GFTIs like NIELIT Aurangabad (Electronics Systems) and Institute of Infrastructure, Technology, Research and Management Ahmedabad (Mechanical) also remain options. A BITSAT score of 199 corresponds to a rank beyond 32 000, falling short of all BITS campus cutoffs for CSE and mechanical, so BITS admission is not possible.

Recommendation: Fill out a maximum of your preferred choices of Insitutes & Branches. With strong prospects at NIT Durgapur, NIT Patna and NIT Goa under OBC-NCL reservations, accept your CSAB choices in mechanical at these institutes. As robust private-college backups in Northern India apply to Manipal Academy of Higher Education (Manipal Campus)(if JEE score is accepted), Jaypee Institute of Information Technology Noida, J.C. Bose University of Science & Technology (YMCA UST) Faridabad, Galgotias University Greater Noida and Chandigarh University, each offering accredited CSE curricula, specialized labs, dedicated placement cells with 80–95% three-year placement consistency, and accessible admission tests. Ensure timely applications to these private institutes while finalizing your CSAB mechanical seat. All the BEST for a Prosperous Future!

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Nayagam P

Nayagam P P  |9349 Answers  |Ask -

Career Counsellor - Answered on Jul 24, 2025

Career
Hello sir i score 43.46 percentile in mhcet pcm from sc category pune any chance to get engineering college
Ans: Vasudha, The ten institutions where SC cutoffs in 2024 fell below 43.46 percentile—ensuring 100% feasibility in CAP rounds—are Bharati Vidyapeeth COE, Katraj (Pune); D.Y. Patil COE, Akurdi (Pune); Pimpri Chinchwad COE, Nigdi (Pune); AISSMS COE, Shivajinagar (Pune); AISSMS Institute of Information Technology, Kennedy Road (Pune); Sinhgad College of Engineering, Vadgaon Budruk (Pune); Sinhgad Institute of Technology & Science, Lonavala (near Pune); JSPM Narhe Technical Campus, Narhe (Pune); JSPM Rajarshi Shahu College of Engineering, Tathawade (Pune); and Vishwakarma Institute of Technology, Kondhwa (Pune).

Recommendation: Considering accreditation strength, specialized labs, faculty expertise, industry engagement and placement consistency, Bharati Vidyapeeth COE and D.Y. Patil COE stand out for their SC-friendly cutoffs and urban Pune locations; Pimpri Chinchwad COE and AISSMS COE follow for balanced infrastructure and corporate partnerships; Sinhgad COE Vadgaon offers excellent lab facilities and internship programs, making these five the top choices for your MHT-CET percentile and Maharashtra domicile.

Management-Quota Seat Options (Just for information & the capitation/donation/tuition fees provided here are approximate. Please check the college websites for accuracy.
For guaranteed non-CAP admission via management quotas, consider Bharati Vidyapeeth COE Pune (capitation ?2.5 LPA, annual fees ?1.5 LPA; branches: CSE, E&TC, ME, CE, EE), D.Y. Patil COE Akurdi (capitation ?3 LPA, fees ?1.8 LPA; branches: CSE, IT, E&TC, ME, CE), MIT World Peace University Pune (capitation ?4 LPA, fees ?2 LPA; branches: CSE, IT, E&TC, ME, CE), JSPM Narhe (capitation ?2 LPA, fees ?1.6 LPA; branches: CSE, IT, E&TC, ME, CE) and Vishwakarma Institute of Technology Kondhwa (capitation ?3.5 LPA, fees ?1.7 LPA; branches: CSE, E&TC, ME, CE, EE). All the BEST for a Prosperous Future!

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Ramalingam

Ramalingam Kalirajan  |9848 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jul 24, 2025

Asked by Anonymous - May 26, 2025Hindi
Money
I need to get my son admitted into Engineering college. The total tution fees along with hostel fees is 30 Lakhs. The first year fees will be taken care with the money I have right now. My PPF is maturing in Mar 26 and the maturity amount will be 23 lakhs. I have MF whose valuation as on date is 65 lakhs. What do you suggest as to how to take care of Son's education....
Ans: You’ve already built a strong base.

You have the first-year fees covered. You have PPF maturity in 2026. You have Rs 65 lakhs in mutual funds. This is a position of strength.

Now let’s look at your situation with a 360-degree view and create a simple, low-stress education funding plan.

? Know the Payment Timeline for College Education

– Total education cost is Rs 30 lakhs for 4 years.

– First year is already taken care of.

– That leaves Rs 22 to 23 lakhs needed over the next 3 years.

– That will likely be paid in parts—one year at a time.

– So cash flow planning is better than full lump sum withdrawal.

– Avoid selling full amount now just to keep it aside in a bank.

– Instead, match redemptions with yearly requirements.

? Don’t Use Mutual Funds Randomly – Plan Withdrawals Smartly

– You have Rs 65 lakhs worth of mutual funds.

– Don’t rush to redeem it all.

– Instead, identify how much is needed and when.

– Sell only what’s needed each year, not the entire value now.

– Equity mutual funds fluctuate. So redeem 4–6 months before fee due.

– That gives time to handle market volatility.

– You also save on emotional panic.

– Use systematic withdrawal if needed for cash flow.

– Monitor market trends and sell into strength, not weakness.

? Don’t Ignore PPF – It’s a Powerful Resource

– Your PPF is maturing in March 2026.

– Maturity value is Rs 23 lakhs.

– You can plan to use it for 3rd or 4th year fees.

– PPF maturity is tax-free. That’s a big plus.

– Use this amount for the last part of the education goal.

– This reduces the burden on your mutual funds.

– Also, keep the money in PPF until it is fully required.

– Don’t withdraw early unless there’s a big gap.

– Redeem mutual funds first if market conditions are favourable.

? Keep One Year Fee in a Safer Parking Option

– Before each academic year starts, move next year’s fees into a safer fund.

– Use a short-term debt mutual fund or overnight fund.

– These are not volatile and keep your capital safe.

– This will help you avoid sudden shocks at the time of fee payment.

– Redeem equity fund gradually and move it to safety bucket.

– Avoid waiting until the last minute.

– Mutual fund NAVs can drop quickly in market panic.

– Lock in gains ahead of time to ensure stability.

? Don’t Take an Education Loan Unnecessarily

– You have enough personal funds.

– Loans should be last option, not first.

– Interest burden will affect your future goals.

– Paying out of your own wealth is much better.

– Avoid the mindset of using loan for tax benefit.

– Tax benefit is small compared to interest cost.

– Also, repaying loans takes away flexibility.

– You’re in a position to stay loan-free. Keep it that way.

? Maintain Your Other Financial Goals

– Don’t divert all money into education planning.

– You may also have retirement or emergency fund needs.

– Keep Rs 5 to 6 lakhs as emergency fund always.

– Don’t compromise on long-term financial health.

– Split your mutual fund portfolio accordingly.

– Allocate only Rs 22 to 23 lakhs for this goal.

– Keep the rest for other life goals.

– Don’t mix long-term and short-term plans in one place.

? Don’t Use Sector or Thematic Funds for Education

– These funds are risky and unpredictable.

– They are not goal-friendly for short timelines.

– Their performance depends on external triggers.

– Education goals need steady, safe growth.

– Choose hybrid or large-cap oriented active funds for withdrawals.

– Use debt funds or liquid funds for near-term parking.

– Don’t hold gold funds or international funds for this purpose.

– Exit such funds in a phased and timely manner.

? Plan Redemptions Tax-Efficiently

– Mutual fund redemptions have tax impact.

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

– STCG is taxed at 20%.

– So stagger your withdrawals to reduce tax impact.

– Avoid selling everything in one financial year.

– Plan in such a way that you redeem before March each year.

– Spread the redemption across 3 years.

– This smoothens tax liability and reduces strain.

? Avoid Index Funds and Direct Plans for Such Goals

– Index funds don’t protect downside.

– They just mirror market moves.

– They fall heavily when market crashes.

– No one controls risk in index funds.

– Actively managed funds offer better downside protection.

– They adjust sector weights when needed.

– Your money gets some risk management from the fund manager.

– For important goals like education, control is important.

– Direct plans don’t give you expert guidance.

– At this stage, you need planned redemption, taxation advice, and risk control.

– A CFP offering regular plans gives you goal-linked clarity.

– That support is worth much more than 0.5% saved.

? What You Can Do Now – Simple Action Points

– Identify the exact yearly requirement for your son’s education.

– Tag Rs 22–23 lakhs worth of mutual funds for this goal.

– Review those fund types and categories.

– Exit thematic and volatile funds linked to this allocation.

– Retain large-cap, hybrid or conservative fund types.

– Move Year 2 fees into a short-term debt fund now.

– Plan Year 3 redemptions in early 2025.

– Keep Year 4 for PPF maturity in March 2026.

– Rest of your MF portfolio can stay invested for long-term growth.

– Track your fund performance every 6 months.

– Don’t get affected by short-term news or market noise.

– Use a Certified Financial Planner to re-check portfolio alignment.

? Balance Emotion with Practicality

– Education is a deeply emotional goal.

– But don’t let fear or urgency drive decisions.

– Structured planning gives better outcomes.

– You already have most resources available.

– Just aligning timing, tax, and safety will give you success.

– This is not the time to chase high returns.

– This is the time to protect and use wealth wisely.

– Avoid surprises by preparing early for each year’s need.

– You don’t have to sell more than needed.

– Peace of mind is more valuable than percentage returns.

? Finally

– You’ve done the hard work already.

– You’ve created wealth. You’re ready for your son’s future.

– Now just match withdrawals with goals.

– Keep your mutual fund redemptions phased and tax-smart.

– Use PPF maturity with a clear timeline.

– Avoid loans, panic-selling, or overexposure to risk.

– Stay guided, focused, and balanced.

– A Certified Financial Planner can help map this in detail.

– Education is a noble goal. You’ve built the base. You just need smart execution now.

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

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Nayagam P

Nayagam P P  |9349 Answers  |Ask -

Career Counsellor - Answered on Jul 24, 2025

Career
sir i got nit allahabad ee in josaa should I join nit Rourkela eie or nit Trichy ice or nit Rourkela ee in csab?
Ans: Arijit, I have already answered your question. Anyway, please note, NIT Rourkela’s Electronics & Instrumentation combines rigorous instrumentation, control, and process automation labs with strong industry linkages, achieving approximately 95 percent placement consistency over the last three years and an average CTC of ?19.08 LPA. Its Electrical Engineering programme offers comprehensive power-systems, machines and high-voltage labs, recording similar placement rates near 95 percent with an average package of ?13.62 LPA. At NIT Trichy, Instrumentation & Control Engineering provides advanced sensors, control systems and process instrumentation facilities, securing around 86.7 percent placement in 2024 and benefiting from the institute’s overall median UG package of ?14.35 LPA. All three programmes are AICTE/NBA-accredited, delivered by PhD-qualified faculty, feature modern infrastructure, maintain active recruitment drives, and support strong alumni networks, differing mainly in domain focus, specialization depth, and average compensation.

Recommendation:
Considering cutting-edge instrumentation curriculum, highest average packages, and robust core-sector placements, NIT Rourkela’s Electronics & Instrumentation Engineering emerges as the top choice. For balanced power systems expertise with strong recruitability, NIT Rourkela’s Electrical Engineering follows, and NIT Trichy’s Instrumentation & Control Engineering ranks third for its solid but slightly lower placement consistency. All the BEST for a Prosperous Future!

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Nayagam P

Nayagam P P  |9349 Answers  |Ask -

Career Counsellor - Answered on Jul 24, 2025

Asked by Anonymous - Jul 24, 2025Hindi
Career
My daughter has got admission in Jindal Global Business School for the IPM progamme and Tapmi Banglore for the BBA (Hons) programme. Which college should we consider to take admission in?
Ans: Jindal Global Business School's Integrated Programme in Management (IPM) is a five-year programme blending BBA (Hons.) and MBA degrees, featuring a comprehensive curriculum with core business fundamentals, specialized tracks in Marketing, Finance, Human Resources, Operations & Supply Chain, and Business Analytics. The programme achieved a 92 percent placement rate in 2023 with 69+ corporate recruiters, securing average packages for Integrated BBA (H) + MBA students at ?7.45 LPA, with the highest international package reaching ?23 LPA. JGBS is accredited by NAAC with A grade and maintains membership in the Association to Advance Collegiate Schools of Business (AACSB), with a distinguished faculty comprising over 540 members from prestigious institutions including IIMs, IITs, Harvard, and Oxford. The programme has been ranked India's #1 BBA programme by Outlook-ICARE Rankings for two consecutive years (2023-2024), scoring 845.12 points out of 1000 across five key parameters: Academic & Research Excellence, Industry Interface & Placement, Infrastructure & Facilities, Governance & Admissions, and Diversity & Outreach. TAPMI Bangalore's BBA (Hons) is a four-year programme with exit flexibility after three years, offering specialized tracks in Finance, Marketing, Operations, Analytics, Human Resources, and Strategy, supported by three mandatory internships, international immrishti Manipal Institute for creativity development. TAPMI holds dual international accreditation from AACSB and AMBA, positioning it among the top 5 percent of global business schools with this prestigious recognition. The BBA (Hons) programme reports dedicated placement assistance during the sixth semester with comprehensive career guidance, achieving internship statistics with average stipends of ?21,000 per month and highest stipends reaching ?32,000 per month. Both institutions excel in essential benchmarks—robust accreditation, experienced international faculty, modern infrastructure, strong industry linkages, and reliable graduate outcomes—yet differ in programme structure, with JGBS offering integrated dual-degree flexibility and established ranking supremacy, while TAPMI provides specialized international exposure through its global university network and proven track record of academic excellence.

Recommendation: Considering India's #1 BBA ranking for two consecutive years, superior placement statistics with 92 percent success rate, comprehensive integrated dual-degree structure, and exceptional research-driven faculty from global institutions, Jindal Global Business School's IPM programme emerges as the optimal choice for holistic business education and career prospects. All the BEST for a Prosperous Future!

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Kanchan

Kanchan Rai  |623 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on Jul 24, 2025

Asked by Anonymous - Jul 24, 2025Hindi
Relationship
We haven't had sex in 6 months. Are we even a couple anymore? It's not that I haven't tried. In fact, I've made the effort so many times. I have dropped hints, dressed up in pretty outfits. But my husband always says he's too tired, too stressed, or just not in the mood. We're only in our early 30s, married for five years. We have a 4 year old son. I think the gap widened after my son turned 2. I'm starting to feel rejected and unwanted. Are we just going through a rough patch?
Ans: Yes, it’s possible this is a rough patch. The transition from being partners to parents often shifts emotional energy toward caregiving, survival, and responsibility. Many couples go through seasons where intimacy takes a back seat—due to stress, exhaustion, resentment, unspoken hurts, or even changing hormones. But six months of no sexual intimacy, especially when one partner is still trying, is not just a phase to wait out. It’s a signal—something deeper may be going on emotionally, physically, or relationally with your husband.

The most important thing now is to move from subtle hints to open-hearted conversation. Not confrontation, not blame. But a real, calm moment where you say something like:

"I’ve been feeling increasingly distant from you—not just physically, but emotionally. I know life has been exhausting and we’re both stretched. But I miss being close to you. I miss feeling wanted, seen, connected. Can we talk about what’s going on between us? Not to pressure or fix it overnight, but just to understand where we are?”

You're not asking for sex. You’re asking for honesty, presence, and partnership. And if your husband is emotionally closed or dismissive, it may help to involve a couple’s therapist—someone neutral who can help unpack any barriers between you two.

This isn’t just about sex. It’s about closeness, and the quiet loneliness that’s creeping in despite being married and sharing a home and child. Don’t keep absorbing that pain in silence. You deserve connection, not confusion. And your marriage deserves a chance to heal, not just survive.

You're not overreacting. You're paying attention—and that’s the first step toward change.

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Kanchan

Kanchan Rai  |623 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on Jul 24, 2025

Asked by Anonymous - Jul 21, 2025Hindi
Relationship
Hi Shalini, I am in an awkward position. I am 34, single. I have been chatting under a false identity with a guy who is cute and charming. In the last 2 years, we got really close where he told me a lot of things about his personal life, how he was coping with an ugly divorce and politics at work. Without realising we helped each other get better in our lives. In fact, he has been my greatest cheerleader, pushing me to do better at work, even get a promotion. While he has been honest about his intentions, I have never shared my real name. I got the shock of my life, when he sent me his recent picture. This guy turned out to be my current boss. It can't be a coincidence right? I feel so wrong to have led him on. Now I can't even send him a picture or should I just send it? He is in his early 50s and I am pretty junior to him at work. Will he think I manipulated him? Ever since I have known that I am dating my boss, I have been avoiding him. I have also noticed that he is distant and stressed at work. I feel guilty. What should I do? It's been two weeks and I have kind of ghosted him, he is worried sick and wants to know if I am alright. He texts me almost every day and night. He thinks I don't like him because of how he looks, but I don't have the courage to tell him that I was talking to him pretending to be someone else, while we worked in the same office. How do I explain this without hurting both of us?
Ans: The longer you avoid the situation, the more painful it will become for both of you. Ghosting him may feel like self-protection, but to him, it’s abandonment—especially after the emotional bond you both developed. And more than anything, that silence feeds his worst fear: that he is unlovable.

So, what can you do? You begin with honesty, not by confessing everything at once, but by taking responsibility gently. You can say something like:
"There’s something very difficult I need to share, because I value the connection we’ve had and the kindness you’ve shown me. When we first started talking, I didn’t expect it to mean so much. I used a different name and didn’t realise who you really were until recently. That discovery shocked me, and I’ve been scared—of your reaction, of mine, of the consequences. But I also feel immense guilt, because the connection was real for me. You’ve been someone I admire deeply, and I didn’t want to disrespect or mislead you."

This is not about asking him to forgive you or continue anything. This is about closing the gap between who you were and who you are now—with courage, clarity, and care.

He may feel betrayed. He may take time to process it. He may even need space. But you will have done the right thing by coming clean. And regardless of what happens next—whether the connection continues or not—you will walk away knowing that you chose truth over fear.

Also, give yourself grace. You’re human. We all make decisions that seem easier in the moment but become difficult to carry later. What matters now is how you handle the truth—not just for him, but for your own growth and peace.

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Kanchan

Kanchan Rai  |623 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on Jul 24, 2025

Asked by Anonymous - Jul 18, 2025Hindi
Relationship
I'm 21(M) B.tech(2year) and I have been stuck in fantaasies from all my years of childhood. I use to compare myself to many other people across in many areas(study, looks, their friendships, social network, bravery, fight, love..etc) cause those were the things which I also wanted but never got it! I was a very shy(insecure) , socially nervous, scared kid. I kept all inside of me & just tried to get good marks in exams... this made me inactive in other areas(cause I always wanted to be best, but never tried), bitter, sour in myself and still it's same but the fantaasies & Insecurity, doubt, inactivity, fear of failure and sometimes fear of success has caused me to a Miserable Life. Now I'm just like a lonely, sad, lazy, overthinker person but still I always try to make a better version of myself..(read positive book, self-help, meditation, gym, being social) but after 3-4 days the consistency breaks and due to lack of guide I get back to previous state of mine. I try to improve but being in my comfort zone, the fear of uncertainty in out of comfort zone make my thought/self-talk Terribly scared, nervous and full of disbelief in myself & I quit! Unless there is some external pressure/urgency. And in all these the job, future, skill are all like Dark! Tell me something...
Ans: The inconsistency you feel isn’t a reflection of weakness. It’s a result of being caught between two parts of yourself—one who wants to evolve, and one who is afraid to lose the comfort of old beliefs, even if they no longer serve you. That internal conflict is heavy, especially without a guiding voice to help you sort through it. You’re not alone in that—many young adults feel exactly this way, especially those with big dreams and high sensitivity to their environment.

Rather than trying to “fix” your personality or “force” your discipline, start by restoring trust in yourself. Trust doesn’t come from perfection; it comes from showing up consistently for yourself in small, simple ways without pressure to perform. Your fear of failure and even your fear of success are both rooted in the same place: the doubt that you are enough as you are.

It’s okay to slow down. It’s okay to not have all the answers. The goal isn’t to become a different person—it’s to become more at peace with the person you are becoming. Self-leadership starts here: by choosing compassion over criticism, patience over pressure, and honesty over performance. Even if your steps are small and scattered, they are steps forward.

You don’t need external urgency to change. You need internal safety to try. So let’s shift the story you’re telling yourself. You’re not behind. You’re not broken. You are learning, growing, and unlearning decades of conditioning—and that’s not only brave, it’s transformative.

Keep going. Gently, but steadily. And every time you fall back into old patterns, remind yourself: coming back is progress too. The journey to emotional strength is not about never falling—it’s about returning to yourself, again and again, with love.

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Ramalingam

Ramalingam Kalirajan  |9848 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jul 24, 2025

Money
Hi Sir. Hope you are doing well and thanks for the earlier great replies. My issue now is the fact that since i had more then 13 Mutual funds and all of them under Regular scheme and all this time, not a single fund manager called me nor guided me so i thought it foolish to pay for a service that i didn't get. Now i have cancelled all the SIPs but not withdrawn. So i have already invested in 1) Nippon India Gold Savings Fund -Direct- Rs 5000 2) HDFC Manufacturing Fund - Direct - Rs 5000. I am shying away from both Mid caps and Small caps as in most of the news it mentions that they are very much overvalued. Since i am planning to invest in another house, i might need this money and i dont want a major shock at the time of redemption. Now that you know my background, my question is- 1) can you suggest me some Mutual funds that are balanced both in terms of safety and growth? and 2) How many active mutual funds that one should ideally have? Is 13 a little too much. Large caps dont seem to give good returns in my view. Kindly share your thoughts.
Ans: You’ve already taken some wise steps.

You’ve invested. You’ve questioned the value received. You’ve paused, not withdrawn. That’s mature thinking.

Let’s build a 360-degree response, based on your needs and plans ahead.

? Regular Plan vs Direct Plan – Your Experience Matters

– You had over 13 mutual funds under regular plans.

– You didn’t get any guidance from those associated with the fund houses.

– That’s a genuine disappointment and very valid concern.

– But this is not a problem with regular plans themselves.

– The issue lies in choosing the wrong distributor or agent.

– Regular plans offer one big benefit: personalised advisory.

– But only if it comes from a Certified Financial Planner with accountability.

– If the CFP is involved, they guide you, monitor your portfolio, and advise proactively.

– Direct funds remove the support system.

– They expect you to do research, reviews, and rebalancing yourself.

– This is risky unless you’re experienced and emotionally detached from markets.

– So don’t judge regular plans as bad.

– Choose the right person behind the plan instead.

– A MFD with CFP certification gives goal-based strategies, not product pushing.

? Why 13 Mutual Funds is Excess

– Investing in too many funds leads to portfolio overlap.

– You may have five funds holding the same stocks.

– That kills the purpose of diversification.

– It adds confusion and dilutes tracking.

– Also, too many funds don’t always mean better returns.

– In fact, performance gets harder to monitor.

– Ideally, 5 to 7 funds are enough for most goals.

– Fund count depends on goals, not market fear or FOMO.

– Less funds with proper allocation perform better than a scattered portfolio.

? Fear of Mid and Small Caps – Your Caution is Logical

– News mentions overvaluation in mid and small caps.

– It’s partially true, especially in short-term perspective.

– These funds give higher growth, but come with sharper falls.

– Since you’re planning to buy a house, you need safer growth.

– You cannot afford capital loss when you need liquidity.

– So you’re right in avoiding these for now.

– Your awareness shows maturity. That’s a strength.

? Current Funds in Direct Plan – Key Observations

– You mentioned investing in Gold Savings and Manufacturing funds.

– Both are sector-focused or thematic in nature.

– Gold fund tracks international gold prices indirectly.

– Manufacturing fund is theme-based and comes with high sector risk.

– These are not ideal for short-term or house-linked goals.

– These should not be your core portfolio.

– You should avoid thematic or sector funds unless you have other base funds.

– Since real estate purchase is likely, shift your focus to hybrid funds now.

– These offer balance between growth and safety.

– Also, they handle short-term volatility better.

? Balanced Fund Category – Ideal for Your Current Need

– You need a mix of growth and capital safety.

– Hybrid funds (also called balanced funds) offer this mix.

– They combine equity and debt in one product.

– There are types of hybrid funds: conservative, balanced, aggressive.

– Choose based on your time frame and risk comfort.

– A certified planner can help fine-tune this selection.

– These funds adjust exposure based on market mood.

– They help protect you from big shocks at redemption.

– They also reduce emotional panic during market noise.

– For home-related goals, hybrid is a sensible category to start.

? Large Caps – Don’t Judge Them on Recent Performance

– Many feel large caps are underperforming.

– But their role is different from mid or small caps.

– They bring stability, not excitement.

– In market correction, large caps fall less.

– That’s why they remain core part of any smart portfolio.

– Don’t remove them completely. Use them with right expectation.

– If you chase returns only, you’ll move portfolio every year.

– That hurts wealth creation.

– Stick with proven active large cap funds chosen via proper research.

– A fund’s past one-year return is not the right way to judge.

? Keep Your Investment House-Goal Ready

– You said you might need funds for buying another house.

– So you must avoid funds with high equity exposure now.

– Any money needed within 3 years should not go into pure equity.

– Use conservative hybrid funds or short-term debt funds instead.

– These give low-to-moderate growth with limited volatility.

– That helps you when you redeem the funds later.

– You won’t get any major shocks.

– Capital safety becomes more important than chasing returns.

– Once house purchase is done, you can take higher equity exposure again.

? Mutual Fund Portfolio Structure – Keep It Clean

Equity allocation: Choose 2 or 3 diversified active equity funds.

Hybrid allocation: Choose 1 or 2 based on time frame.

Debt allocation: If goal is near, add 1 short-term or dynamic debt fund.

Avoid sector funds, international funds, NFOs, and FOMO-driven launches.

No need to hold more than 5–7 mutual funds.

Keep one fund per category. Don’t duplicate.

Stick to regular plans only via a committed CFP.

Review every 6 months. Don’t overreact to news or media noise.

? Avoid Direct Plans – Especially When Goals Are Emotional

– Direct plans offer low expense ratio. But there is no support.

– It suits those who study markets, monitor funds, and know asset allocation.

– But most investors don’t have that time or bandwidth.

– When goals like buying a house or child education come, panic starts.

– Direct plans offer no guidance at that stage.

– A CFP helps you with exit planning, taxation, rebalancing, and goal alignment.

– Paying a little extra gives clarity, confidence, and peace of mind.

– With regular plans via CFP, you gain professional handholding.

– That is more valuable than 0.5% savings in expense ratio.

? Final Insights

– You’ve done more right things than you give yourself credit for.

– You paused SIPs. You questioned your old strategy. You stayed invested.

– That itself shows you are thinking wisely now.

– Rebuild your portfolio with 5–7 active funds only.

– Avoid direct plans. Choose regular route with a Certified Financial Planner.

– Exit from sector or thematic funds slowly, if they don’t match your goals.

– Shift towards balanced hybrid or short-term debt options for near-term goals.

– Don’t chase return percentages. Chase risk control and goal alignment.

– You will create wealth by staying invested, reviewing smartly, and getting expert support.

– Avoid being your own advisor in complex times.

– Take help. Grow steady. Stay confident.

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

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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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