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Ramalingam

Ramalingam Kalirajan  |9709 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 09, 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
Akshata Question by Akshata on May 09, 2024Hindi
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Hi sir can you suggest the which mutual funds give high return

Ans: Choosing mutual funds solely based on past returns can be risky as past performance may not necessarily indicate future performance. Instead, it's essential to consider various factors such as investment objectives, risk tolerance, and investment horizon. Here are some tips to help you select mutual funds that may potentially offer higher returns:

Investment Goals: Determine your investment goals, whether it's wealth creation, retirement planning, or saving for a specific goal. Different goals may require different investment strategies and risk profiles.
Risk Tolerance: Assess your risk tolerance to determine how much volatility you can tolerate in your investment portfolio. Higher returns often come with higher risk, so it's crucial to align your investments with your risk tolerance.
Diversification: Invest in a diversified portfolio of mutual funds across various asset classes such as equity, debt, and international funds. Diversification can help reduce overall portfolio risk and enhance long-term returns.
Fund Manager's Track Record: Evaluate the track record and experience of the fund manager managing the mutual fund. A skilled and experienced fund manager can make a significant difference in fund performance over the long term.
Expense Ratio: Consider the expense ratio of the mutual fund, which represents the annual fees charged by the fund house for managing the fund. Lower expense ratios can translate to higher returns for investors over time.
Consistency of Performance: Look for mutual funds that have demonstrated consistent performance over different market cycles rather than just focusing on short-term returns. Consistency indicates the fund's ability to deliver returns across various market conditions.
Fund House Reputation: Choose mutual funds offered by reputable fund houses with a strong track record of managing investor funds responsibly and ethically.
Regular Monitoring: Regularly monitor the performance of your mutual fund investments and review your investment strategy periodically to ensure it remains aligned with your financial goals and risk tolerance.
Remember, there's no guarantee of high returns in mutual fund investments, and it's crucial to invest with a long-term perspective while diversifying your portfolio appropriately.

Best Regards,

K. Ramalingam, MBA, CFP,
Chief Financial Planner,
www.holisticinvestment.in
DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Users are advised to pursue the information provided by the rediffGURU only as a source of information to be as a point of reference and to rely on their own judgement when making a decision.
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Ramalingam

Ramalingam Kalirajan  |9709 Answers  |Ask -

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

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suggest mutual fund for long term for good returns
Ans: Selecting Mutual Funds for Long-Term Growth

Investing in mutual funds for long-term growth requires careful consideration of various factors to ensure the suitability of the funds for your financial goals and risk tolerance. Here's a comprehensive guide to help you navigate the selection process:

Understanding Long-Term Investment Objectives:

Before choosing mutual funds, it's essential to define your long-term investment objectives, such as wealth accumulation, retirement planning, or funding a specific financial goal. Understanding your investment horizon, risk tolerance, and return expectations will guide you in selecting suitable funds aligned with your objectives.

Analyzing Fund Performance and Track Record:

Evaluate the historical performance and track record of mutual funds over long-term periods, preferably five to ten years or more. Look for funds that have consistently outperformed their benchmarks and peers, demonstrating strong fund management capabilities and investment strategies conducive to long-term growth.

Assessing Fund Management Team:

Examine the expertise and experience of the fund management team responsible for making investment decisions. A skilled and seasoned fund manager with a proven track record of delivering consistent returns can significantly impact the long-term performance of the fund.

Examining Fund Portfolio and Strategy:

Review the composition of the fund's portfolio, including asset allocation, sectoral exposure, and diversification across stocks or securities. A well-diversified portfolio with exposure to different sectors and market caps can mitigate risks and enhance long-term growth potential.

Considering Risk Factors and Volatility:

Evaluate the risk profile of mutual funds, considering factors such as volatility, downside protection, and susceptibility to market fluctuations. While higher-risk funds may offer the potential for greater returns over the long term, they also entail increased volatility and downside risk, which may not be suitable for all investors.

Assessing Expense Ratios and Fees:

Compare the expense ratios and fees associated with mutual funds, including management fees, administrative costs, and other expenses. Lower expense ratios translate to higher returns for investors over the long term, as less of the fund's assets are consumed by fees and charges.

Choosing Fund Categories and Investment Styles:

Select mutual funds from different categories and investment styles to build a diversified portfolio that balances growth potential with risk mitigation. Consider allocating investments across equity funds, debt funds, hybrid funds, and thematic funds based on your risk appetite and investment objectives.

Seeking Professional Advice and Guidance:

Consult with a Certified Financial Planner (CFP) who can provide personalized advice and guidance tailored to your financial goals, risk tolerance, and investment preferences. A CFP can help you navigate the mutual fund landscape, select suitable funds, and construct a diversified portfolio optimized for long-term growth.

Conclusion:

Investing in mutual funds for long-term growth requires thorough research, careful analysis, and a disciplined approach to portfolio construction. By focusing on fund performance, management expertise, risk factors, and investment objectives, you can identify suitable mutual funds that align with your long-term financial goals and aspirations.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

..Read more

Ramalingam

Ramalingam Kalirajan  |9709 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 06, 2024

Asked by Anonymous - May 06, 2024Hindi
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Hi could you please tell me in which mutual funds should i invest in and would give me good returns
Ans: Mutual fund selection depends on various factors such as your financial goals, risk tolerance, investment horizon, and asset allocation preferences. Here are some popular mutual fund categories you may consider for potentially good returns:

Large Cap Funds:
Large-cap funds invest in well-established companies with stable earnings and strong market presence.
These funds offer relatively lower risk compared to mid and small-cap funds and are suitable for investors with a conservative risk appetite.
Mid Cap and Small Cap Funds:
Mid and small-cap funds invest in companies with high growth potential but higher volatility.
These funds can generate higher returns over the long term but come with increased risk. They are suitable for investors with a higher risk tolerance and longer investment horizon.
Multi Cap or Flexi Cap Funds:
Multi-cap or flexi cap funds have the flexibility to invest across large, mid, and small-cap stocks based on market conditions.
These funds offer diversification benefits and can adapt to changing market dynamics, making them suitable for investors seeking balanced growth opportunities.
Sector Funds:
Sector funds focus on specific sectors or industries such as technology, healthcare, or banking.
These funds can provide opportunities for higher returns if the selected sector outperforms the broader market. However, they also carry higher sector-specific risks.
Index Funds and Exchange-Traded Funds (ETFs):
Index funds and ETFs replicate the performance of a specific market index such as the Nifty or Sensex.
These funds offer low expense ratios and are ideal for investors seeking passive investment options with diversified exposure to the equity market.
Debt Funds:
Debt funds invest in fixed-income securities such as government bonds, corporate bonds, and money market instruments.
These funds provide stability and regular income, making them suitable for conservative investors or those with short-term investment goals.
Before investing, assess your financial goals, risk tolerance, and investment horizon. Consider consulting with a Certified Financial Planner or mutual fund advisor to create a personalized investment plan tailored to your needs and objectives. Regularly review your portfolio and make adjustments as needed to stay on track towards achieving your financial goals.

..Read more

Latest Questions
Ramalingam

Ramalingam Kalirajan  |9709 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Jul 12, 2025

Money
In my earlier question reg taxability and tax treatment of SBI life Smart Wealth Builder Policy maturity gain income please read the annual premium as Rs 40,000/- in place of ' Rs.4000/-'. Please see the question and reply urgently as it will help me and many others.
Ans: Let’s now re-assess the taxability of the maturity amount from your SBI Life Smart Wealth Builder Policy, assuming the annual premium is Rs 40,000, not Rs 4,000.

? Taxability Depends on Section 10(10D) Conditions

– Life insurance policy maturity proceeds are exempt under Section 10(10D) if conditions are met.

– One main condition: Annual premium must be less than 10% of sum assured (if policy issued after 1-Apr-2012).

– You mentioned annual premium is Rs 40,000. Now check the sum assured in your policy.

– If the sum assured is at least Rs 4,00,000 or more, then 10(10D) exemption applies.

– In that case, entire maturity amount will be tax-free, no tax to be paid.

? When Tax Becomes Applicable

– If the premium exceeds 10% of the sum assured, then 10(10D) exemption is lost.

– The entire maturity amount becomes taxable under "Income from Other Sources".

– However, death benefit is always tax-free.

– Also note: From FY 2023-24, high premium policies (total annual premium above Rs 5 lakh) have additional tax rules.

– But your premium is only Rs 40,000, so these new rules will not apply.

? If 10(10D) Exemption Is Lost, Then

– You have to pay tax on maturity proceeds as per your income slab.

– Only the amount received above the total premiums paid will be treated as taxable.

– For example, if you receive Rs 3 lakh maturity and you paid total Rs 2.4 lakh premiums (over 6 years), then Rs 60,000 is taxable.

– Tax rate will be as per your applicable income tax slab.

? TDS Rules to Remember

– If the maturity amount is taxable, TDS at 5% will be deducted on income portion only.

– If you submit Form 15G/15H (and eligible), you may avoid TDS.

– But still, you will have to show the income in your ITR and pay tax as needed.

? What You Can Do Now

– Check your policy document or online account for exact sum assured.

– If sum assured is 10 times or more of annual premium (Rs 40,000), then you’re safe.

– The maturity amount will be tax-free under Section 10(10D).

– If not, calculate the taxable portion and plan to declare it in your ITR.

– Consider consulting a Certified Financial Planner for accurate reporting and reinvestment advice.

? Final Insights

– With Rs 40,000 premium, you’re likely within the tax-free zone if sum assured is Rs 4 lakh or more.

– New taxation rules on insurance do not affect you unless total annual premiums exceed Rs 5 lakh, which they don’t.

– Always keep maturity documents, premium payment proofs and policy details handy at tax filing time.

– For better long-term growth and tax efficiency, consider future investments in mutual funds through MFDs with CFP credential instead of insurance-linked investments.

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

...Read more

Nayagam P

Nayagam P P  |8642 Answers  |Ask -

Career Counsellor - Answered on Jul 12, 2025

Asked by Anonymous - Jul 12, 2025Hindi
Career
My son is getting IIIT Vadodara IT, RVCE - CSE (specialization w/AI ML) and BITS - HYD Electronics and Instrumentation or MSc Nanoscience and Semiconductors at BITS Pilani. Which option would be the best? Consdering placements, college life, future scope etc. He has somwhat interest in IT related branches, Will ENI @ BITS Hyd be good? Can he get into somewhat IT related stuff through that branch? Same for Msc Semiconductor and Nanoscience @ BITS Pilani, is MSc degeee worth it? Is Dual degree (after first year a good option @ BITS?)
Ans: IIIT Vadodara’s IT programme, NBA-accredited since 2013, reports a 2024 B.Tech placement rate of 61.4%, with an average package of ?11.34 LPA and median ?9 LPA across 53 recruiters, supported by project-based learning and industry tie-ups. RVCE’s CSE (AI & ML) specialization leverages its 100% CSE placement tradition, achieving a 75% placement rate in 2024 (93% in 2023) and an average CSE package of ?19 LPA through top firms like Microsoft and Cisco, within a vibrant campus culture and active student clubs. BITS Hyderabad’s Electronics & Instrumentation offers 60 seats, practice-school internships, and around 95% placement consistency with an average ?14–15 LPA, backed by NAAC A++ accreditation and cutting-edge digital-manufacturing labs. BITS Pilani’s newly introduced M.Sc. in Semiconductor and Nanoscience, aligned with the India Semiconductor Mission and National Quantum Mission, provides interdisciplinary training in nanofabrication and device physics, strong ISRO/DRDO collaborations, but lacks placement data due to its 2025 launch; prospective dual-degree switches to B.E. are limited to top performers after the first year and are highly competitive.

Recommendation: For immediate IT alignment and strong core outcomes, opt for RVCE CSE (AI & ML); choose IIIT Vadodara IT for balanced placement and academic rigor; pursue BITS Hyderabad E&I if instrumentation and IoT appeal; join BITS Pilani M.Sc. only if committed to research and willing to navigate the competitive dual-degree pathway. All the BEST for Admission & a Prosperous Future!

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Nayagam P

Nayagam P P  |8642 Answers  |Ask -

Career Counsellor - Answered on Jul 12, 2025

Career
Sir, for my daughter, Which is better? IIITDM Kancheepuram Smart Manufacturing or VNIT Nagpur Meatallurgical and Materials Engineering or IIIT Trichy ECE or drop an year to target IITs next year? No inclination to any specific branch, but having interest to do Masters abroad after Engineering, thanks
Ans: Sadhana Madam, Among the four pathways, IIITDM Kancheepuram’s Smart Manufacturing programme stands out for its interdisciplinary curriculum that merges advanced manufacturing processes, Industry 4.0 technologies, IoT, big data analytics, and robotics within a government-funded Institute of National Importance framework, supported by five-month industry internships and modern digital-manufacturing and CPS labs. VNIT Nagpur’s Metallurgical & Materials Engineering, a four-decade-old NIT ranked 39th by NIRF, offers a rigorous core materials-science syllabus, well-equipped failure-analysis and pilot-plant facilities, strong research projects with R&D organisations, and extensive testing and consultancy collaborations. IIIT Trichy’s ECE, under the PPP model and NAAC A+ accreditation, delivers a focused VLSI, embedded-systems, and sensor-networks curriculum with small cohorts and dedicated laboratories, along with fellowship support for overseas research aspirations and integrated national scholarships. Opting to take a drop year to aim for IIT entrance may enhance access to premier institutions but carries considerable opportunity cost and uncertain success without exceptional discipline and coaching.

recommendation Prioritize IIITDM Kancheepuram Smart Manufacturing for its cutting-edge, interdisciplinary design-and-manufacturing focus and robust experiential learning that align with overseas master’s ambitions; consider IIIT Trichy ECE next for its specialized labs and fellowship pathways; choose VNIT Nagpur MME for its deep materials-research ecosystem; avoid dropping a year unless fully prepared for the competitive rigor required to secure an IIT seat. All the BEST for Admission & a Prosperous Future!

Follow RediffGURUS to Know More on 'Careers | Money | Health | Relationships'

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Nayagam P

Nayagam P P  |8642 Answers  |Ask -

Career Counsellor - Answered on Jul 12, 2025

Asked by Anonymous - Jul 12, 2025Hindi
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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