Hi Experts, I am 35 years old and having SIPs in below mutual funds
ICICI prudential Long Term equity fund (Tax Saving) Direct Plan Growth - SIP - Rs 3500
Axis Long term Equity Direct plan Growth (tax Saving)- SIP - Rs 3500
SBI Small Cap - SIP - Rs 3000
Mirae Asset Tax Saver Fund Direct growth - SIP - Rs 3500
Parag Parekh Flexi Cap Fund Direct Growth - SIP - Rs 7000
Axis Mid Cap Direct Plan Growth - SIP - Rs 5000
Nippon India multicap fund -SIP- Rs 10000
My total SIP is around Rs 36000 across all. I would like to invest Rs 15000 more on SIP. I know my small cap allocation is low because some one has scared me of small cap because of volatility.
Can you suggest where can I invest extra Rs 15000 per month SIP. I have recently top up my mutual fund SIPs.
I am looking for long time investment.
Ans: It's commendable that you're regularly investing through SIPs and looking to further diversify your portfolio. Here's a suggestion for investing an additional Rs 15,000 per month:
Since you're concerned about volatility in small-cap funds, consider allocating a portion of the additional Rs 15,000 to large-cap or multi-cap funds for stability and downside protection.
Look for funds with a proven track record of consistent performance and experienced fund managers. Consider factors like expense ratio, fund size, and portfolio composition when evaluating options.
Given your long-term investment horizon, you can afford to take some risk for potentially higher returns. Hence, consider allocating a portion of the additional SIP amount to mid-cap or small-cap funds for growth opportunities.
Remember to maintain a balanced portfolio across different market segments and asset classes to manage risk effectively.
Regularly review your SIP investments and make adjustments as needed based on changes in your financial situation or market conditions.
Consult with a Certified Financial Planner to receive personalized advice tailored to your specific needs and goals.
By diversifying your SIP investments across different market segments and staying disciplined with your investment strategy, you can maximize the potential for long-term wealth creation while managing risk effectively.
