Hello Mr. Ullhas Joshi, I write to seek your expert advice, I am expecting an amount of Rs. 40 Lacs in the next 2 months from sale of property. I wish to invest 40 lac lumpsum in mutual fund for the next 40 to 45 years with an aim to start an SWP of Rs. 25k/pm after about 12-15 months with an annual incremental of 5% to offset the inflation. Request your advise whether it is feasible and as to how many funds should i invest, and which of the funds to invest in with how much amount each. Thanking you in advance, regards, K Basu, Kolkata
Ans: Hello Mr.Basu & thanks for writing to me. As you are expecting a corpus of Rs.40 lakh in the next few months, you can consider making an investment in a BAF/DAAF inMulti Asset Allocation Fund.
Assuming your corpus grows to 44 Lakh in 12 to 15 months, & you begin a SWP of 3 Lakh per annum which comes to around 7% annual withdrawal and assuming that the corpus continues to grow at around 11%, it will be feasible for you for a long duration.
I recommend you speak to a financial planner who can understand your own needs so that they can create a customized plan for you.