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Vivek Lala  |251 Answers  |Ask -

Tax, MF Expert - Answered on Mar 12, 2024

Vivek Lala has been working as a tax planner since 2018. His expertise lies in making personalised tax budgets and tax forecasts for individuals. As a tax advisor, he takes pride in simplifying tax complications for his clients using simple, easy-to-understand language.
Lala cleared his chartered accountancy exam in 2018 and completed his articleship with Chaturvedi and Shah. ... more
Sangeetha Question by Sangeetha on Aug 06, 2023Hindi
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Sir right now every month I am investing in Canara Rebecca blue chip equity fund-10,000, Parag Parikh flexi cap fund - 2000 and Mirae asset large cap fund-1000, will I get 20 lakhs after 10 years. Please advice do I need to add more funds

Ans: Hello, all your funds are skewed towards large cap funds. You can add up to 40-50% in mid and small caps provided your time horizon in 7 years plus which in your case is 10 years.
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  |4605 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 11, 2024

Asked by Anonymous - May 07, 2024Hindi
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I m 41 yrs old i invest 3000,3000 and 4000 per month in mutual fund nippon india large cap, quant mid cap and tata small cap so after 10yrs will b able to get 1cr? Or approximately how much i will get ater 10yrs?
Ans: Investing is a wise move for securing your financial future. With your disciplined approach, you're already on the right track. By putting aside 3000, 3000, and 4000 rupees monthly into diversified mutual funds, you're laying a solid foundation for wealth creation.

Mutual funds offer the potential for growth over the long term. Your mix of large-cap, mid-cap, and small-cap funds indicates a balanced strategy, tapping into different segments of the market for optimal returns.

However, predicting an exact amount after 10 years is tricky due to market fluctuations. Mutual fund returns are subject to market risks. While aiming for 1 crore is ambitious, it's essential to temper expectations with realism.

Your investment journey is akin to a marathon, not a sprint. Consistency and patience are key. Regular monitoring of your investments and adjusting your strategy as needed will be crucial to stay on course.

As a Certified Financial Planner, I'd advise you to focus not just on the final number but also on the journey itself. Celebrate milestones along the way and stay committed to your financial goals. Remember, financial planning is not just about numbers; it's about securing your dreams and aspirations for the future.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |4605 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 10, 2024

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My age 31 and I have invested on 1- quant small cap fund direct growth plan -4000,2- ICICI prudential commodities fund-4000,3- SBI psu direct growth plan -4000, 4- quant infrastructure -2000, 5- Aditya Birla psu-1000,5-NIPPON INDIA SMALL CAP-2000 , TOTAL AMOUNT INVESTED IN SIP -15000 PER MONTH , THIS INVESTMENT ARE GOOD AND HOW MUCH I WILL GET AFTER 10 YEARS
Ans: Investing in mutual funds is a wise choice for building wealth over time. Your portfolio shows diversification across different sectors, which is commendable. However, let's assess it further.

Your investments in small-cap funds and sector-specific funds indicate an appetite for growth. These funds have potential but come with higher risk due to market volatility.

There are some advantages to consider direct funds, and the cost savings can be significant in the long run. However, there are some potential benefits to using a regular MFD:
Advantages of Investing Through a Mutual Fund Distributor (MFD):
• Personalized Advice: MFDs can be helpful for beginners or those who lack investment knowledge. They can assess your risk tolerance, financial goals, and investment horizon to recommend suitable mutual funds. This personalized guidance can be valuable, especially if you're new to investing.
• Convenience: MFDs handle all the paperwork and transactions on your behalf, saving you time and effort. They can help with account setup, SIP registrations, and managing your portfolio across different funds.
• Investor Support: MFDs can be a point of contact for any questions or concerns you may have about your investments. They can provide ongoing support and guidance throughout your investment journey.


SIPs (Systematic Investment Plans) are a disciplined approach, smoothing out market fluctuations. With a monthly investment of ?15,000, you're on the right track towards your financial goals.

In ten years, your investment can grow significantly, but it's crucial to manage expectations. Market performance is unpredictable. Hence, it's wise to periodically review and adjust your portfolio.

Regular monitoring with a Certified Financial Planner ensures alignment with your objectives. They offer personalized advice, optimizing your investments for better returns while mitigating risks.

Avoiding real estate is a prudent decision considering its illiquidity and high upfront costs. Additionally, annuities may not suit your investment strategy due to their limitations and potential fees.

Remember, patience and consistency are key in investment growth. Keep contributing and stay informed about market trends. Your dedication will likely yield fruitful results in the long run.

Best Regards,
K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |4605 Answers  |Ask -

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

Asked by Anonymous - May 23, 2024Hindi
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I am 20 yrs old and I started investing 10k each month in three funds totally. 1. Quant small cap 2. Parag Parikh flexi cap 3. Canara bluechip fund I would like to know if I am going in a right track with these funds and also how can I create 50 crores when I am 50 yrs old?
Ans: It's impressive to see you investing at the age of 20. Starting early is a key advantage in building wealth over time.

Assessing Your Fund Choices
Diversification
You are investing Rs. 10,000 each month in three funds: a small-cap fund, a flexi-cap fund, and a bluechip fund. This shows good diversification across different market segments.

Quant Small Cap Fund
Small-cap funds can offer high returns but come with higher risk. Investing in small caps at a young age can be beneficial due to your long investment horizon.

Parag Parikh Flexi Cap Fund
Flexi-cap funds provide a balanced approach by investing in companies of various sizes. This flexibility helps in adjusting to market conditions.

Canara Bluechip Fund
Bluechip funds invest in large, established companies. These funds are generally more stable and less volatile, providing a solid foundation to your portfolio.

Creating a Rs. 50 Crore Corpus by Age 50
Setting Realistic Expectations
Creating a corpus of Rs. 50 crores in 30 years is an ambitious goal. It requires a disciplined approach and strategic planning.

Power of Compounding
Starting early allows your investments to benefit from compounding. This means your returns generate more returns over time.

Regular Investments
Continue investing regularly through SIPs (Systematic Investment Plans). This helps in rupee cost averaging and reduces the impact of market volatility.

Increasing Your Investment Amount
Gradual Increase
As your income grows, consider increasing your monthly investment amount. Even small increases can significantly impact your final corpus due to compounding.

Bonus and Windfalls
Invest any bonuses or windfalls you receive. These additional amounts can accelerate your wealth-building process.

Asset Allocation and Risk Management
Periodic Review
Regularly review your portfolio to ensure it aligns with your goals. Rebalance if necessary to maintain your desired asset allocation.

Risk Tolerance
Adjust your portfolio based on your changing risk tolerance over time. As you age, you might want to reduce exposure to high-risk investments.

Professional Guidance
Certified Financial Planner (CFP)
Consider consulting a Certified Financial Planner. They can provide personalized advice and help you stay on track to achieve your financial goals.

Tax Planning
Efficient Tax Strategies
Utilize tax-saving investment options to maximize your returns. Tax-efficient investing can significantly enhance your overall portfolio performance.

Avoiding Common Pitfalls
Emotional Decisions
Avoid making investment decisions based on market emotions. Stick to your investment plan and stay disciplined.

Over-diversification
While diversification is important, over-diversification can dilute your returns. Balance is key.

Conclusion
You are on the right track with your current investments. Continue to invest regularly, review your portfolio periodically, and seek professional advice. With discipline and strategic planning, achieving a Rs. 50 crore corpus by age 50 is possible.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |4605 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jun 17, 2024

Asked by Anonymous - Jun 17, 2024Hindi
Money
I 40 years now and Just now i have invested lumpsum amount in following mutual funds- all are direct growth 1. Quant smalcap fund - Rs 300000 2. Quant midcap fund - Rs 300000 3. Nippon India muticap - Rs 200000 4. ICICI Pru bluechip fund - Rs 200000 5. Canara rabeco emerging eqt -Rs 50000 Just now started SIP in following funds. 1. Quant smalcap fund - Rs 4000 2. Quant midcap fund - Rs 4000 3. Quant Active fund - Rs 4000 4. ICICI Pru Debt & equity -Rs 4000 5. Parag perigkh flexicap - Rs4000 Is this funds are good for long run for a period of 10 years?. How much amount I can expect after 10 years. My goal is to Construct a own house after 10 years.
Ans: Congratulations on taking a significant step toward building your financial future by investing in mutual funds. At 40, you are making a smart move by planning for your long-term goal of constructing your own house. Your current investments and SIP (Systematic Investment Plan) choices reflect a well-thought-out strategy for wealth accumulation over the next 10 years. Let's evaluate and understand the potential of your investment portfolio in detail.

Understanding Your Lump Sum Investments
Diversification Across Market Capitalization
Your lump sum investments include a mix of small-cap, mid-cap, multicap, blue-chip, and emerging equity funds. This diversification helps in spreading risk and capturing growth across different market segments.

Small-Cap and Mid-Cap Funds: These funds have high growth potential but come with higher risk. Over a 10-year period, these funds can provide significant returns if the market conditions are favorable.
Multicap and Blue-Chip Funds: These funds invest across various market capitalizations, providing a balanced approach. Blue-chip funds, specifically, offer stability as they invest in well-established companies.
Emerging Equity Fund: Investing in emerging sectors can be beneficial as these sectors have the potential for substantial growth in the future.
Potential Growth and Risks
Investing Rs 3,00,000 each in small-cap and mid-cap funds shows a high-risk appetite, which can be rewarding over the long term. The Rs 2,00,000 investments in multicap and blue-chip funds provide a cushion against volatility, balancing the portfolio. The Rs 50,000 in the emerging equity fund is a strategic move to tap into new growth areas.

Systematic Investment Plan (SIP) Contributions
Regular Investment Discipline
Starting SIPs in multiple funds ensures a disciplined approach to investing, taking advantage of rupee cost averaging and compounding benefits.

Small-Cap and Mid-Cap Funds: Continuing SIPs of Rs 4,000 each in these funds reinforces your growth strategy. Consistent investments will help mitigate market volatility over time.
Active Fund: SIP of Rs 4,000 in an active fund shows your trust in fund managers' expertise to outperform the market.
Debt & Equity Fund: This balanced approach with a Rs 4,000 SIP ensures you have a mix of stability and growth.
Flexicap Fund: A Rs 4,000 SIP here provides flexibility to invest across various market caps, enhancing diversification.
Balancing Risk and Return
Your SIPs indicate a balanced approach towards growth and stability. By investing Rs 20,000 monthly across these funds, you are steadily building your corpus, reducing the impact of market fluctuations, and benefiting from potential long-term growth.

Evaluating Your Investment Choices
Long-Term Growth Potential
Your chosen funds have the potential to grow significantly over the next 10 years. Historical data suggests that well-managed mutual funds, particularly in small-cap and mid-cap categories, can offer impressive returns. However, they are also subject to market risks.

Importance of Active Management
Actively managed funds have the advantage of fund managers making strategic decisions to maximize returns. While passive funds like index funds simply track the market, actively managed funds aim to outperform. Your choice of actively managed funds reflects a desire for potentially higher returns through expert management.

Assessing the Disadvantages of Direct Funds
Direct mutual funds have lower expense ratios since they do not involve intermediary commissions. However, without the guidance of a Certified Financial Planner (CFP), you might miss out on professional advice, which can be crucial for optimizing your investment strategy. A CFP provides valuable insights and helps in tailoring your portfolio to meet specific goals.

Expected Returns and Goal Achievement
Potential Corpus After 10 Years
Predicting exact returns is challenging due to market volatility. However, based on historical performance, equity mutual funds have the potential to yield substantial returns over a decade. Assuming a conservative average annual return, your lump sum and SIP investments can grow significantly, helping you reach your goal of constructing a house.

Importance of Regular Review
It is essential to regularly review your portfolio with your CFP. This ensures your investments remain aligned with your goals and market conditions. Adjustments may be needed to optimize performance and mitigate risks.

Benefits of Working with a Certified Financial Planner
Professional Guidance
A CFP can provide personalized advice, ensuring your investment strategy aligns with your long-term goals. Their expertise helps in navigating market complexities and making informed decisions.

Tailored Investment Strategies
CFPs consider your risk tolerance, financial goals, and market conditions to design a tailored investment plan. They help in balancing your portfolio and ensuring it adapts to changing circumstances.

Investing is a journey that requires patience and persistence. It's commendable that you are planning for a significant goal like constructing your own house. Your disciplined approach through lump sum investments and SIPs shows a strong commitment to your future. Understanding the risks and rewards associated with your chosen funds is crucial, and it's great to see you taking proactive steps.

Final Insights
Your current investment strategy, with a mix of lump sum and SIP investments in diversified mutual funds, is well-suited for long-term growth. By maintaining this approach and regularly consulting with your CFP, you are on a promising path toward achieving your goal of constructing your own house in 10 years. Stay focused, keep reviewing your portfolio, and adapt as necessary to stay on track.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

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Maxim

Maxim Emmanuel  |288 Answers  |Ask -

Soft Skills Trainer - Answered on Jul 12, 2024

Asked by Anonymous - Apr 23, 2024Hindi
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Hello sir my name is Santu Chakraborty.I am 34 year old now unmarried. My qualification is Bsc botany honours with 2nd class +diploma in mechanical engineering with distinction +btech in mechanical engineering from government engineering college west Bengal with 7.5 dgpa.I have 6 years of teaching experience in private diploma engineering college and now I working as a vocational teacher in automobile engineering department in gov high school.In my early phase of life I am going through lots of Misguide,seveare Anxiety issue. Nobody can help me on that phase.I recover mostly by my own after various dillema.I want to work in mechanical r and d company, Mechanical design basis company and also upgrade my teaching carrier. How can I start my journey at this age ?what is the risk factor also? Please tell me. I am very enthusiastic dedicated person. I have no guide in my home. My father is vegetable seller.
Ans: Hi Santu Chakraborty,

This is a really exhaustive query.

The journey thru' your acquisition of qualifications has been vast!

In the course of your life you are now suffering from SNIOP (SUSCEPTIBLE NEGATIVE INFLUENCE OTHER PEOPLE) this happens when you let others control your life.

I have this poem.. Especially for one's like you!

The Guy in the Glass

When you get what you want in your struggle for pelf,
And the world makes you King for a day,
Then go to the mirror and look at yourself,
And see what that guy has to say.
For it isn't your Father, or Mother, or Wife,
Who judgement upon you must pass.
The feller whose verdict counts most in your life
Is the guy staring back from the glass.
He's the feller to please, never mind all the rest,
For he's with you clear up to the end,
And you've passed your most dangerous, difficult test
If the guy in the glass is your friend.
You may be like Jack Horner and "chisel" a plum,
And think you're a wonderful guy,
But the man in the glass says you're only a bum
If you can't look him straight in the eye.
You can fool the whole world down the pathway of years,
And get pats on the back as you pass,
But your final reward will be heartaches and tears
If you've cheated the guy in the glass.

Dale Wimbrow (c) 1934

Get the enthusiasm going, don't get embroiled in what life has been before!

Take a stranglehold of your life and make it BIG!

The opportunities are.. Miracles waiting to happen, what are you waiting for.. You are the catalyst!?
Maxim Emmanuel.

Pick up yourself don't be a victim of self pity.

If you do need further professional advice happy to assist
https://m.me/maxim.emmanuel.2024

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Nayagam P

Nayagam P P  |1830 Answers  |Ask -

Career Counsellor - Answered on Jul 12, 2024

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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