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Kanchan

Kanchan Rai  |192 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on Apr 30, 2024

Kanchan Rai has 10 years of experience in therapy, nurturing soft skills and leadership coaching. She is the founder of the Let Us Talk Foundation, which offers mindfulness workshops to help people stay emotionally and mentally healthy.
Rai has a degree in leadership development and customer centricity from Harvard Business School, Boston. She is an internationally certified coach from the International Coaching Federation, a global organisation in professional coaching.... more
Asked by Anonymous - Apr 30, 2024Hindi
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Dear Madam, Iam a 45 year old woman. Ever since I was a kid I had went through lot of bullying by my rekatives for the way I look but my parents never supported me in any way instead found fault in ne for complaining but would always support my younger brother. Somewhere down the line I thought this was all I deserved and let oeople walk all over me without standing up for myself. Now that Iam a mother myself of a 15 year old kid with dyskexia, i have sacrificed my career fir his sake and still get bullied by my relatives dir being a useless house wife. I have started drawing boundaries around me to protect my mental sanity and allow only few people in it which invludes a small group of friends and my son and husband. I avoid making new friends. I have also stopped attending any social events that involves my relatives. Meanwhile I have started deeply resenting my parents who want ne to take care of them but openly favour my brother who lives abroad. I have taken care of them everytime they require neducal treatments yet my father openly says that he plans to give all his property to my brother who is never coming back. Its not about the money here but the apathy they have towards me that kills me from inside. I have tried to talk to them multiple times but each time my mother creates a scene and puts the enture blame on me. For once in my life i want my parents to love me unconditionally the way I do with my son. Am i wrong to expect that? This is causung lot of health issues in me. Please advise.

Ans: First and foremost, it's crucial to recognize that your feelings are valid. It's natural to want love and support from your parents, especially after all you've done for them. It's not wrong to expect unconditional love from your family; however, sometimes, unfortunately, families can be complex and dysfunctional, and our expectations may not always be met.

Drawing boundaries and prioritizing your mental health and well-being is a positive step. It's essential to protect yourself from toxic relationships and environments, even if it means distancing yourself from certain family members. Surrounding yourself with supportive friends and loved ones, like your son and husband, is vital for your emotional health.

Regarding your parents, it's clear that their behavior is hurtful and unjust. It's understandable that you would feel hurt and resentful toward them, given their favoritism towards your brother and lack of appreciation
for your sacrifices and care. However, it's also essential to recognize that you cannot control their actions or attitudes. You can only control how you respond to them.

While it's challenging, try to approach conversations with your parents from a place of empathy and understanding. Express your feelings calmly and assertively, focusing on how their actions make you feel rather than blaming them. It's possible that they may not even realize the extent of the hurt they're causing you. However, it's also essential to set realistic expectations. If your parents continue to be unsupportive or dismissive, it may be necessary to limit your interactions with them for the sake of your own well-being.

Remember to prioritize self-care and seek support from a therapist or counselor if you're struggling with your mental health. It's okay to seek professional help to navigate through these difficult emotions and experiences. You deserve love, respect, and validation, and it's essential to surround yourself with people who uplift and support you.

Lastly, continue to cherish the love and bond you have with your son and husband. They are your pillars of support, and together, you can navigate through these challenges. You're stronger than you realize, and you have the power to create a fulfilling and loving life for yourself, regardless of the negativity from others.

You may like to see similar questions and answers below

Anu

Anu Krishna  |882 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on Nov 30, 2022

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Hi Ma'am,I'm a 23-year-old woman. For as long as I remember, I have been called out, insulted and shamed by my family. They have always threatened to stop all kinds of financial support if I ever disobeyed or questioned them. I have always tried my best at my studies and for my career. Even though, after seeing my achievements, their opinion of me has improved. But they're never truly happy. There's always something wrong with me. While I understand, my family only wants the best for me and probably this their way of caring for me. But the constant criticism has always impacted my self-confidence and self-image. I have missed out on several opportunities during my college years and failed to be proactive solely because of low self-esteem. I was bullied by my college mates during this period and I fell into depression and anxiety. I also developed bulimia and starved myself, hoping that losing weight could grant me more acceptance from my family and peers. In 2021, after completing my undergraduate degree, I was diagnosed with Meniere's disease and suffered hearing loss in my left ear. Furthermore, I was getting rejected from the universities I had applied to. But this turn of life changed me for better. I learnt to value myself more and ignored other people's opinion. I invested in mindfulness and spirituality and appreciated all the blessings that I had. I had improved my self-image and self-confidence greatly. Unfortunately, I had to shift to my family home and live with my extended family members. Now the nitpicking and taunts have increased even more and have kind of ruined all the improvements I made over the year. I have become more irritable and I am losing my patience with them. They have triggered all my sensitive issues again and this has greatly impacted my self-esteem all over again. With God's grace, I have received an opportunity to shift abroad and pursue a postgraduate education. I don't want to keep any kind of hard feelings against my family before leaving. I know that their opinions don't define me but yet I end up crying after every insult and argument. I want to heal and I want to forgive and forget. I have tried talking to them and have even apologised to peacefully end arguments. Yet, they repeat those words every day and each day ends in failure. I know and understand that I cannot change them. But, how do I learn to accept them when they keep on hurting me? Furthermore, the fact that they are financially supporting makes me feel guilty for questioning their behaviour. I am struggling with depression and anxiety again and I'm finding it hard to consider their emotional standpoint when my own mental well-being is messed up. How do I cope up with my mental health when I being disparaged every day?I would like to hear your opinion from a third person point-of-view and any advice would be appreciated.
Ans:

Dear Anonymous,

I can only imagine the challenges that you have been through and to turn within yourself for answers and deep inner work is nothing but the best gift that you have given yourself.

You cannot change them nor their thinking and possibly you are right that it might be the way that they care for you.

For now, till the time you leave home to pursue your life’s goals, keep things warm and simple even if the environment feels hostile or punitive.

Practise the following suggestions:

  • Journal your thoughts and feelings everyday
  • Surround yourself with friends who make you feel good about yourself
  • Play a sport or indulge in some physical activity to keep your anxiety levels down
  • Do some breathing exercises to calm your nerves
  • Lastly, forgive them for your own peace of mind; very hard but very blissful.

All the best for a wonderful future!

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Anu

Anu Krishna  |882 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on Mar 04, 2023

Asked by Anonymous - Mar 03, 2023Hindi
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Hello Anu, I am from Lucknow, with a pregnant wife and a son. I moved out of Lucknow after 2006 and since then I have never lived with them. But since Covid, I suffered a few setbacks in career and had to move back to Lucknow to live with my parents. It was a move out of force. Now, I am kind of doing ok in my career but feel like stuck at home. I don't get respect from my parents, there's absolutely no communication. My father is borderline narcissist and alpha male - everything has to happen the way he wants. His behavior changes drastically if we do anything without asking him or his consent. My mother and wife are not in best terms though I cannot say they are enemies. My mother has a super soft spot for my sister who lives in another city, she seems the pain even for my lady cook but not for my pregnant wife. Some times I have seen things in front of my eyes and I didn't like how my wife was treated. I feel no one deserves this - I would not have tolerated it myself so I cannot expect her. Now the thing is I want to move out of my parents place but without hurting their feelings. They are attached to their grandson and I feel I will be called out as the bad guy here if I try to move out. I feel that some distance will actually mend things as things were not this bad when I was living in another city. I don't know how to put up this conversation since it will mostly be striked out in the first place, I am scared of their reaction as they don't really support me or my concerns most of the time. I feel stuck every day and want to live life on my own, want to do things on my own. Make mistakes, but my mistakes. Also if I start this conversation, there's a chance that my parents might feel that this is because of my wife! Though that's not the case, it's me. If you can provide me any inputs or help, that would be great.
Ans: Dear Anonymous,
Move out and be unapologetic about it.
Initially expect a lot of tantrums that will make you feel guilty as though you have abandoned your parents. But remember as you have said that some distance will mend the relationship even if it means people feel hurt in the short term. Long term you will succeed in putting a system in place where healthy boundaries are put.
Your growing family will have a good physical and emotional space to thrive.
Now will your parents blame this decision on your wife? Highly possible, but when you know the intent behind this decision is noble, ignore the taunts and kindly ask your wife to become resilient to all this.
Think of WHY you had to take this decision which will not just help your family but also your parents and the relationship between the two sides.
A bit of inconvenience for a better larger term picture.

All the best to you!

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Anu

Anu Krishna  |882 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on Aug 18, 2023

Asked by Anonymous - Aug 13, 2023Hindi
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My age is 42 years now. I am an elder son in my family, then my sister and two younger brothers. My father was a clerk in state govt. office. Being an elder son I did all my duties at par with my father. I spent my entire 9 years’ salary on my family, it includes sister marriage, brothers education (Engineering/Polytechnic), their coaching for competitive exams, books other monthly expenses. Under my guidance they both got job. I also performed co-applicant to Education loan to one of my brother. But now my father, mother and brothers betrayed (Beyimaan). Because my younger brother’s wife was selected in state govt. job and my wife is not employed. They kicked off us from their house. All it happens like TV serial. Now my wife also get job in central government under my guidance. My family member also did same with my younger brother and kicked - off them also. Now they ask me to live with them. I am very much in stress. I want to totally detach with my family. I want to close my all relationships with them. I also don’t want my father’s property. But every now and then they call me. They never help me. We live in same city. Please help me out. I don’t want to be part of B. P. and Sugar patient. I want to be a Vinod Khanna dialogue Parva Nahi from film Dayavan.
Ans: Dear Anonymous,
Time for you to do things for yourself! It may seem selfish at the beginning but taking care of yourself and your needs is self-care above everything else...
For once put your needs before everyone else's and resist any sort of manipulation from family. Serving themselves was their agenda at your expense; why still allow it?
Firmly refuse moving in with them as it won't take them long before they kick you out when things are not in their favour. You have the ability to be by yourself and support yourself...maintaining a healthy distance in fact helps relationships grow stronger. So, time for you to be kind to yourself...

All the best!

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Anu

Anu Krishna  |882 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on May 15, 2024

Asked by Anonymous - May 13, 2024Hindi
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I am 33 yrs old, recently lost my loving husband of 35yrs old to a sudden massive heart attack. Since we had a loving bond in my in laws family, and they didnt want to go back to their village, i offered them to shift the rented apartment, to a place closer to my maternal housez wo that i can live with my own parents and be close to them as well and keep visiting on and off. I have a brother in law, same age as me, who left his job son after his brothers death, in pretext of studying for exam. I supported him saying its ok . Ill find a job and pay the rent till you get a job for urself after your exams and offered to pay 50-50 rent, for the house i wont even live in. My maternal family was not fond of this, but still supported me, knowing my good intentions.With time their thoughts changed or what i dont know, his brother doesnt study at all, and emotionally harasses mw saying you told you will take full responsibility and now you are backing off. His parents on the other hand insulted and accused my parents for trying to take the money of life i surance which is in wife's name. They feel they have right on all the claim amount that I (his wife) is nominee off and that me and my family wither changed the nominee name after my husband's death or when he was alive, tactfully forced him to put my name as nominee. I lost respect for all the three. I would have even given all the money to them, but now, i cant take their insults and false accusations any more. Even tried explaining them in a family meeting. But in vain. If anything, they start crying and showing that how their loss is bigger than mine and how we are being such vultures ...although i understand their loss, but they ought to know my loss is same ,if not less. Should i not stand up for my parents and myself? His brother does not want to take any responsibility and shamelessly tried to emotionally torture me into apting their rent and giving all that my husband has left in my name (ps. Its not a big amount ) but still, its not about the money for me...its about the trust and how little they think of me. What do you think should i be doing? I gave his brother a mouthful the other day and blocked his number, as he was continuously sending me msgs and torturing me . He is the kind of guy whonwould have fed on his brother his whole life, had he been alive.
Ans: Dear Anonymous,
I am so sorry for your loss!
But you have not understood why drawing of boundaries is important to keep any relationship healthy. By opening up yoour space, you have allowed people to take advantage of your niceness and now they have turned the tables on you making you look like a villain.
If you had to advice a dear female friend, what would you tell her? To keep giving into her in-laws drama or to draw the line, protect what is rightfully hers and move on with dignity ignoring such people?
What would you say to her? Follow your own advice; you don't owe anyone anything and you were just trying to be nice and they could not see that in all their immaturity. Maybe it's their grief speaking BUT if they are still going to rain hell on you; draw that boundary now and save your peace of mind...Please!

All the best!
Anu Krishna
Mind Coach|NLP Trainer|Author
Drop in: www.unfear.io
Reach me: Facebook: anukrish07/ AND LinkedIn: anukrishna-joyofserving/

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Kanchan

Kanchan Rai  |192 Answers  |Ask -

Relationships Expert, Mind Coach - Answered on May 20, 2024

Asked by Anonymous - May 19, 2024Hindi
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Hello madam, I have a very toxic environment at my house, my mother is depressed because my father is 55 years old and looks around other woman in the village, my mother warned him many times but he don't listen to my mother, actually my father is an army retired so during his job they had very little time together, and after retirement there are lots of fights between them, I think my father is such an animal that one day he asked my mother to let him sleep with her friend, so my mother's friend stopped coming in our house, and my mother is short tempered, controlling personality, she wanted to control each and every person in the house, even after my marriage my mother want to control me and my wife, she pulls out our strings , Can I change them ? Or should I leave the house and start living away from them, as I said she is very controlling personality so she will not allow us to live at some other place because she puts a society pressure on us that what people will think, actually I don't care about other people saying but she emotionally blackmail us that she has done a lot of things for me , don't leave me alone in this house like this, I don't know what could be the right step. Should I leave the house and start living on my own or there is some way by which I can change them . Please help me take decision
Ans: Navigating such a complex and toxic family environment is incredibly challenging. It's important to recognize that while you may deeply care for your parents and want to help them, changing deeply ingrained behaviors and dynamics within a family, especially those involving control and emotional manipulation, is extremely difficult. Your mother's controlling nature and your father's inappropriate behavior are significant issues that likely require professional intervention, such as therapy, which they may or may not be willing to pursue.

Given the emotional toll this environment is taking on you, it is crucial to prioritize your mental and emotional well-being. Establishing boundaries is key. If you and your wife are constantly subjected to a controlling and toxic atmosphere, it can severely impact your relationship and personal happiness. Moving out and living independently could provide the necessary space to foster a healthier and more peaceful life. While this decision might be met with resistance and emotional blackmail from your mother, it's important to remember that your responsibility is first to yourself and your immediate family—your wife and, if applicable, your children.

Living separately doesn't mean abandoning your parents. You can still support them from a distance, visiting regularly and offering help when needed. This arrangement can also give your mother the opportunity to address her issues with your father without involving or impacting you and your wife directly. It's about finding a balance between being there for your parents and protecting your own well-being.

Ultimately, moving out could lead to healthier relationships all around, as distance might lessen the daily tension and allow everyone to develop more respectful and less intrusive ways of interacting. This decision requires courage and clear communication. Discuss your plans with your wife, ensure you are both on the same page, and approach your parents with empathy but firmness about your need for independence. While you can't change your parents, you can change how you interact with them and set boundaries to create a healthier environment for yourself and your future family.

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Ramalingam

Ramalingam Kalirajan  |2774 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 21, 2024

Asked by Anonymous - May 17, 2024Hindi
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Hi I am 48 years old. Planning to retire early. Here is my financial status PF 60 Lakhs, MF 50 Lakhs, FD 15 lakhs, LIC 10 Lakhs maturity at 2025, NPS 7 Lakhs, Rental Income 20k per month, My Net take is 2.7 per month planning quit in July 2024, I have land worth 1.25 cr, House Chennai worth 45 lakhs, Home town 75 lakhs, Bangalore 1.4 cr. Pls advice me a plan.
Ans: Evaluating Your Current Financial Status
Your financial status reflects diligent planning and investment. With provident fund, mutual funds, fixed deposits, LIC, NPS, and rental income, you have diversified assets. Planning to retire early at 48 is a commendable decision.

Surrendering LIC Policy
Your LIC policy, maturing in 2025, is an insurance-cum-investment scheme. Surrendering this policy and redirecting the funds into mutual funds can yield better returns. Mutual funds have lower costs and professional management, providing potential for higher growth.

Enhancing Mutual Fund Investments
You have ?50 lakhs in mutual funds. Increasing this amount by reinvesting the LIC maturity value can significantly boost your retirement corpus. Actively managed funds, with professional oversight, adapt to market changes, offering better returns compared to index funds.

Maximizing Rental Income
Your rental income of ?20,000 per month is a steady cash flow. Consider reviewing rental agreements periodically to ensure they reflect market rates. This can help maximize your rental income, providing a reliable source of funds during retirement.

Utilizing Provident Fund and Fixed Deposits
Your provident fund and fixed deposits total ?75 lakhs. These provide financial stability and security. However, the returns from fixed deposits are lower compared to other investment options. Gradually reallocating a portion of these funds into mutual funds can enhance returns.

Leveraging National Pension System (NPS)
Your NPS corpus is ?7 lakhs. NPS offers tax benefits and steady returns, contributing to your retirement income. Continue contributing to NPS until retirement to maximize benefits.

Property Valuation and Liquidation
You own properties in various locations: Chennai, your hometown, and Bangalore, with substantial worth. Consider the purpose and future value of these properties. Liquidating non-essential properties and investing the proceeds in diversified portfolios can enhance liquidity and returns.

Strategic Investment in Mutual Funds
Increasing your mutual fund investments with proceeds from surrendered LIC policy and potential property sales can provide better returns. Actively managed funds, with professional management, can adapt to market changes, offering higher growth potential.

Building a Retirement Corpus
To ensure a comfortable retirement, focus on building a diversified investment portfolio. A mix of equity, debt, and balanced funds can provide growth and stability. Regularly review and rebalance your portfolio to align with changing market conditions and personal goals.

Importance of an Emergency Fund
Maintaining an emergency fund covering 6-12 months of expenses is crucial. This fund provides financial security and prevents the need to withdraw investments during emergencies.

Regular Portfolio Review
Regularly reviewing your investment portfolio ensures it aligns with your retirement goals. Consulting with a Certified Financial Planner (CFP) can provide professional insights and help optimize your investment strategy.

Avoiding Common Pitfalls
Avoid making emotional investment decisions or chasing high returns without understanding the risks. Stay focused on long-term goals and maintain a disciplined approach to investing. Regular consultation with a CFP can help you stay on track.

Conclusion: A Balanced Approach
You are on a strong financial footing to achieve early retirement. Surrendering your LIC policy and reinvesting in mutual funds can enhance returns. Increasing mutual fund investments, leveraging rental income, and maintaining an emergency fund are crucial steps. Regular portfolio reviews with professional guidance ensure your investments remain aligned with your retirement goals. Your proactive approach and disciplined strategy will help you achieve financial independence.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

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Ramalingam

Ramalingam Kalirajan  |2774 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 21, 2024

Asked by Anonymous - May 17, 2024Hindi
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Iam investing 28000 into sip and 50000 per year for Bajaj wealth scheme, I have term insurance of 50 lakhs and 10.5 lakh corpus into my funds I want to retire in my 50 ( my age is 35 )
Ans: Evaluating Your Current Financial Strategy
It's impressive that you are actively investing towards your retirement goals. You have taken significant steps with your SIPs and insurance. However, to optimize your financial strategy, some adjustments can be made to better align with your goals of retiring by 50.

Assessing the Bajaj Wealth Scheme
The Bajaj wealth scheme combines insurance and investment. However, these plans often have high fees and lower returns compared to mutual funds. Surrendering this policy and redirecting the funds into mutual funds can be more beneficial. Mutual funds typically offer higher returns due to lower costs and professional fund management.

Benefits of Surrendering Insurance-Cum-Investment Policies
Insurance-cum-investment policies often underperform compared to dedicated investment products. They have high charges and lower flexibility. By surrendering the Bajaj wealth scheme, you can avoid these high fees. This move will allow you to invest in more efficient financial instruments.

Redirecting Funds to Mutual Funds
Redirecting your funds from the Bajaj wealth scheme to mutual funds can significantly boost your retirement corpus. Mutual funds offer diversified investment options, managed by financial experts. They provide the potential for higher returns, which is crucial for reaching your retirement goals.

Increasing Your SIP Contributions
Currently, you are investing ?28,000 per month in SIPs. To retire comfortably by 50, consider increasing this amount annually. Incremental increases, aligned with your income growth, can leverage the power of compounding. This strategy can greatly enhance your retirement savings over time.

Advantages of Actively Managed Mutual Funds
Actively managed funds have a professional fund manager making strategic investment decisions. They can adapt to market changes, aiming to maximize returns. This flexibility and professional management can lead to better performance compared to index funds.

Importance of Regular Portfolio Review
Regularly reviewing your portfolio is crucial. Market conditions change, and your investment strategy should adapt accordingly. Consulting with a Certified Financial Planner (CFP) ensures your investments remain aligned with your retirement goals. A CFP can provide tailored advice based on market trends and your personal financial situation.

Enhancing Term Insurance Coverage
Your term insurance coverage of ?50 lakhs is a good start. However, as your financial responsibilities grow, consider increasing your coverage. Adequate term insurance ensures financial security for your family in case of unforeseen events.

Building an Emergency Fund
Ensure you have an emergency fund covering 6-12 months of expenses. This fund provides financial security and prevents you from withdrawing your investments during emergencies. Maintaining this fund is crucial for financial stability.

Diversification and Risk Management
Diversification reduces investment risk. Spread your investments across various sectors and types of funds. This strategy ensures that potential losses in one sector do not significantly impact your overall portfolio. Actively managed funds offer this diversification and professional management.

Avoiding Common Investment Pitfalls
Avoid emotional investment decisions and chasing high returns without understanding the risks. Stay focused on your long-term goals and maintain a disciplined investment approach. Regular consultation with a CFP can help you stay on track.

Conclusion: A Balanced Approach
You are on the right path to achieving your retirement goals by 50. Surrendering the Bajaj wealth scheme and redirecting those funds into mutual funds can enhance your portfolio’s performance. Increasing your SIP contributions, maintaining adequate insurance, and building an emergency fund are crucial steps. Regularly review and rebalance your portfolio with professional guidance. Your proactive approach and disciplined strategy will help you achieve financial independence.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

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Ramalingam

Ramalingam Kalirajan  |2774 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 21, 2024

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Hello sir I am adarsh ,I am 21 years old and started sip at the age of to now I have around 80k in my mutual fund,sir now I am on 3 rd year of engineering and in next 20 years I want to be a rich person .How much money is sufficient monthly for that
Ans: Starting Early: A Commendable Step
Adarsh, starting SIPs at 21 is a commendable decision. You are already ahead of many peers. Your early start provides a longer investment horizon, crucial for wealth creation.

Setting Clear Financial Goals
To become rich in 20 years, you need clear goals. Define what "rich" means to you. Is it owning a house, traveling, or having a retirement corpus? Specific goals help in planning effectively.

The Power of Compounding
Compounding is your best friend. Your money grows not just on your principal but also on the returns it generates. The longer you stay invested, the greater the compounding effect. This means your investments will grow exponentially over time.

Monthly Investment Amount
Determining the exact amount to invest monthly depends on your goals and expected returns. However, starting with a substantial amount and increasing it yearly can significantly impact your wealth. A disciplined approach to SIPs is essential.

Advantages of Actively Managed Funds
Actively managed funds have a professional manager making investment decisions. This can lead to better returns compared to index funds, which merely track a market index. Active funds can adjust strategies based on market conditions, offering potentially higher returns.

Disadvantages of Index Funds and Direct Funds
Index funds, while cost-effective, often underperform compared to actively managed funds. They lack flexibility in market fluctuations. Direct funds, requiring constant monitoring, can be challenging without professional guidance. Investing through a Certified Financial Planner (CFP) ensures professional management and better decision-making.

Importance of Increasing SIPs
As your income grows, increase your SIP amounts. This not only boosts your investment corpus but also leverages the power of compounding. Even small incremental increases can have a substantial impact over 20 years.

Diversification and Risk Management
Diversification is crucial in managing investment risks. Spreading your investments across various sectors and types of funds reduces risk. Actively managed funds offer this diversification, mitigating potential losses in any single sector.

Regular Review and Rebalancing
Regularly review and rebalance your portfolio. Market conditions change, and so should your investment strategy. A CFP can help in this process, ensuring your investments stay aligned with your goals.

Avoiding Common Pitfalls
Avoid common investment pitfalls such as emotional decisions or chasing high returns without understanding the risks. Stay focused on your long-term goals and maintain a disciplined approach.

Building Financial Knowledge
Increasing your financial knowledge will empower you to make better investment decisions. Read books, attend seminars, and consult with a CFP. An informed investor is a successful investor.

Emergency Fund
Ensure you have an emergency fund. This fund should cover 6-12 months of expenses. It provides financial security and prevents you from withdrawing investments in times of need.

Conclusion: A Balanced Approach
Adarsh, your journey to becoming rich in 20 years is achievable. Stay disciplined with your SIPs, increase investments as your income grows, and seek professional guidance. Avoid real estate and focus on diversified, actively managed funds. Your commitment and early start are the foundation of a prosperous financial future.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

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Ramalingam

Ramalingam Kalirajan  |2774 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on May 21, 2024

Asked by Anonymous - May 21, 2024Hindi
Money
Hi myself 36 yrs old Started mf plan very late Luckily due to organisation switch got company stocks vested to me around 85 lacs and still around 60 lacs not yet vested . With that confidence I have taken home loan of 1.2cr for 25 yrs Emi amt 1 lac per month rate of interest 8.5 Not much invested earlier in mf started late around 1.5 yrs back Was able to accumulate 5 lacs total Invested in stocks around 2 lacs Now am trying to do sip every month of 42k I earn around 2.2lacs I have 2 more loans apart from home loan Personal loan of 26k emi 4 yrs pending Gold loan yearly emi payment of 6 lacs amount. Deduction of 1 lac + 26k+ 42k = 1.68 lacs goes to emis Yearly gold I have to pay around 60k without principal I consider 1.75 lacs to fixed amt goes as cuttings. I have remaining around 40k I think Home necessities cost around 15k monthly I still have around 20 to 25k remaining As I have started very late in mf I want to increase my sip for my kids education and future retirement plans I have something in mind which am bit afraid I want to sell stocks and invest in real estate and do the rotation of money for 10 years. But i have limited knowledge after doing some research . Should I go ahead with that ? Or Should I close my home loan using my stocks and reduce to 40 lacs home loan something Invest same amount in sips ? My stocks are in US market ..should I sell or not ? Company stocks are till now going well.. How high it would jump and how much it will take for that to happen I don't know Please suggest me to some investment ideas Q1. Should I close home loan Q2. Should I invest in real estate Q3. Should I invest stocks amt in mutual funds Any better ideas and suggestions please advise ..
Ans: Evaluating Your Financial Position
Your current financial situation reflects both opportunities and challenges. You have accumulated a significant amount of company stocks and started investing in mutual funds. Your home loan and other liabilities add to your monthly financial commitments. It's essential to strategically manage your investments to ensure long-term financial stability.

Assessing the Home Loan
Paying off your home loan can provide a sense of financial relief. However, consider the opportunity cost of using your stocks for this purpose. With an interest rate of 8.5%, the cost of maintaining the home loan is relatively high. Reducing your home loan can decrease your monthly EMI, providing more cash flow for investments and other expenses. However, before deciding, consider the potential growth of your stocks. If the stocks have significant growth potential, retaining them might be more beneficial in the long run.

Evaluating Real Estate as an Investment
Investing in real estate can be tempting, but it comes with several challenges. Real estate investments require substantial capital and involve high transaction costs. They also lack liquidity compared to stocks and mutual funds. The real estate market can be unpredictable, and managing properties requires time and effort. Given these factors, real estate might not be the best option for someone seeking to simplify and strengthen their financial portfolio.

Investing in Mutual Funds
Mutual funds offer a diversified investment option that can align with your financial goals. Given your late start in mutual funds, it’s wise to increase your SIPs to build a substantial corpus over time. Actively managed funds can offer better returns due to professional management. These funds allow you to benefit from the expertise of fund managers, providing a balanced risk-return ratio.

Disadvantages of Index Funds and Direct Funds
Index funds, while low-cost, do not always outperform actively managed funds. They mirror market performance, lacking the flexibility to adapt to market changes. On the other hand, direct mutual funds require active monitoring and decision-making. Investing through a Certified Financial Planner (CFP) can provide valuable insights and professional management, helping you navigate complex market conditions effectively.

Strategic Use of Stocks
Your company stocks are a significant asset. Diversifying this investment can reduce risk and enhance returns. Selling a portion of your stocks and investing in mutual funds can provide a balanced approach. This strategy diversifies your portfolio and reduces the risk associated with holding a single type of asset.

Recommendations
Reduce Home Loan: Consider partially reducing your home loan with your stocks. This will lower your EMI and interest burden, providing more cash flow for investments.

Avoid Real Estate: Given the high costs and management efforts involved, real estate might not be the best option. Focus on more liquid and manageable investments.

Increase SIPs in Mutual Funds: Boost your SIPs to build a robust financial corpus for your children’s education and retirement. Actively managed funds through a CFP can optimize your returns.

Diversify Stock Investments: Gradually sell a portion of your company stocks and diversify into mutual funds. This reduces risk and provides a balanced growth potential.

Conclusion
Your proactive approach to managing your finances is commendable. Balancing debt reduction with strategic investments can provide financial stability and growth. A diversified portfolio, professional management, and a focus on long-term goals will help secure your financial future.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

...Read more

DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Investment in securities market are subject to market risks. Read all the related document carefully before investing. The securities quoted are for illustration only and are not recommendatory. Users are advised to pursue the information provided by the rediffGURU only as a source of information and as a point of reference and to rely on their own judgement when making a decision. RediffGURUS is an intermediary as per India's Information Technology Act.

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