CAN I OPEN TWO/MULTIPLE DEMAT ACCOUNTS, ONE IN MY INDIVIDUAL NAME AND ONE IN JOINT NAME WITH MY SON/DAUGHTER, EITHER WITH SAME SERVICE PROVIDER, OR DIFFERENT SERVICE PROVIDER.

Ans: Hi Kashinath,

As the shares were unlisted on 31st Jan, 2018, you have to calculate cost of acquisition considering the following formula:
Cost of acquisition = Actual purchase price * (CII of FY 2017-2018) / CII of your purchase year)

The outcome will be deducted from current value to get the actual gain you have.

Let me know if you need more help.

Best Regards,
Reetika Sharma, Certified Financial Planner
https://www.instagram.com/cfpreetika/

Ans: Hi Ram,

As you are NRI and looking for an income stream in near future, you have limited options.
- go for NRE fixed deposits which has low risk and provides 6-7% return
- or go for debt mutual funds with less risk and better returns than FD

For long term, continue investing in NPS.

Let me know if you need more help.

Best Regards,
Reetika Sharma, Certified Financial Planner
https://www.instagram.com/cfpreetika/

Ans: Hi,

I am sorry but plans like this doesn't give much benefit and one should never opt for such plans.
It is better for you to surrender this policy now rather than dragging this loss for another 20 years.

You can easily get more returns in simple FD and more than double if you choose mutual funds investment.
Your exact maturity value will be told by LIC office but you will definitely lose more than 15% on what you have paid.

But on a brighter side, surrendering and reinvesting the same in mutual funds with minimum 12% return will vanish your losses in just 2-3 years.

Hence, practical approach is to close this policy.

Let me know if you need more help.

Best Regards,
Reetika Sharma, Certified Financial Planner
https://www.instagram.com/cfpreetika/

Ans: Hi,

If the portfolio generates 12% annual return, you can withdraw 60,000 per month (inflation adjusted) and it will fund you forever and leave a huge legacy for your family.

However, you can tell me your withdrawal requirements for me to guide you in a better way.

Let me know if you need more help.

Best Regards,
Reetika Sharma, Certified Financial Planner
https://www.instagram.com/cfpreetika/

Ans: Hello, and thank you for writing to me. I discuss only mutual funds in this column. For other aspects of your financial planning, I recommend consulting a financial planner who can help plan according to your requirements.

Ans: Hi,

Investing in mutual funds and doing SWP to fund expenses is a great idea. If done right, 1 crore can fund you forever (inflation adjusted).

However there is no single fund to put your entire money. Take a professional's help to invest into a mix of debt and equity funds to get a minimum return of 12% per annum. This way, you will be able to beat inflation and increase your annual withdrawal.

Hence do consult a professional Certified Financial Planner - a CFP who can guide you with exact funds to invest in keeping in mind your age, requirements, financial goals and risk profile. A CFP periodically reviews your portfolio and suggest any amendments to be made, if required.

Let me know if you need more help.

Best Regards,
Reetika Sharma, Certified Financial Planner
https://www.instagram.com/cfpreetika/

Ans: Hi,

Investing in gold is a good idea. But investing only in gold is not.
One should not have more than 15% gold in his portfolio.

There are many good funds out there to invest in gold, ICICI Gold Fund of Fund, or HDFC Gold fund. Choose either.
Or if you have a demat, can consider investing in Gold ETFs for long term.

However avoid investing large amount at once in gold. Always consider a professional advisor before making such investment.

Let me know if you need more help.

Best Regards,
Reetika Sharma, Certified Financial Planner
https://www.instagram.com/cfpreetika/

Ans: I appreciate your honesty and courage in sharing this situation.
Recognising the problem early is a big strength.
You can recover with discipline and patience.
Your situation is manageable.

» Your current situation clearly
– Age is 41 years.
– Married with two children.
– One child is two years old.
– One child is thirteen years old.
– Monthly salary is around Rs 52,000.

» Loan position understanding
– Total loan is around Rs 6 lakh.
– EMI is around Rs 30,000.
– Loan tenure is three years.
– EMI consumes a big income portion.

» First important reassurance
– This is not a permanent problem.
– This is a cash flow mismatch.
– With structure, it can be corrected.
– Panic will only worsen things.

» Immediate risk areas to control
– EMI takes more than half salary.
– Household expenses may be stressed.
– Emergency savings may be low.
– Any income break can hurt badly.

» Priority order must change now
– Survival comes first.
– Debt reduction comes next.
– Savings come later.
– Investments can wait temporarily.

» First step is expense control
– Track every rupee spent monthly.
– Cut non-essential expenses immediately.
– Pause discretionary spending fully.
– Lifestyle adjustment is temporary.

» Suggested expense discipline approach
– Fix a strict monthly budget.
– Separate needs from wants clearly.
– Avoid credit card usage.
– Pay only cash wherever possible.

» EMI burden needs urgent attention
– EMI at this level is heavy.
– Cash flow stress will continue.
– Relief must be created.
– Options exist here.

» Option one: Loan restructuring
– Speak to your lender immediately.
– Ask for tenure extension.
– EMI may reduce significantly.
– Total interest may increase, but relief matters.

» Option two: Balance transfer
– Check lower interest options.
– Longer tenure reduces EMI pressure.
– Do not take top-up loans.
– Only restructure existing loan.

» Option three: Partial prepayment
– Any bonus or extra income helps.
– Even small prepayments reduce stress.
– Focus on principal reduction.
– Avoid new liabilities completely.

» Emergency fund is critical
– Even Rs 20,000 buffer helps.
– Build slowly after EMI relief.
– Keep money liquid.
– This avoids fresh borrowing.

» Children responsibilities reality check
– Education costs will rise.
– Avoid borrowing for lifestyle.
– Future loans must be planned.
– Debt freedom is foundation for children’s security.

» Should you invest now
– Pause investments temporarily.
– Clearing debt is best return now.
– Mental peace improves drastically.
– Restart investing after stability.

» Role of spouse and family support
– Discuss situation openly with spouse.
– Align expectations together.
– Emotional support matters.
– Joint discipline gives faster recovery.

» Income improvement efforts
– Explore additional income skills.
– Weekend or part-time work helps.
– Skill upgrade improves long-term prospects.
– Even small increments matter.

» What to strictly avoid now
– No new loans.
– No credit card revolving balance.
– No informal borrowing.
– No risky investment ideas.

» Psychological discipline advice
– Debt recovery is slow, not instant.
– Do not compare with others.
– Focus on monthly progress.
– Celebrate small wins.

» Three-year outlook if disciplined
– Loan can be fully cleared.
– Cash flow becomes positive.
– Stress reduces significantly.
– Savings can restart confidently.

» After debt is cleared
– Build emergency fund first.
– Then start child education planning.
– Then resume retirement savings.
– Step-by-step growth is safe.

» Final Insights
Your debt is recoverable with structure.
Reduce EMI stress first.
Control expenses strictly for three years.
Avoid new borrowing completely.
With discipline, you will come out stronger.

Best Regards,

K. Ramalingam, MBA, CFP,

Chief Financial Planner,

www.holisticinvestment.in

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

Ans: the company had some issues with Accounting Discrepancies which is not a good sign for long term. Exit is a good option.