Hello,
My name is AB from Delhi.
My age is 34.
I have my own house. Having rented income of 20k. In my family my wife she is 33 and Housewife, my daughter 10months and planning for a baby in a year.
I am earning around 50k month. No loan, no debt nothing.
I have 2 lacs in emergency fund.
I am having 15k medical insurance for all 3 of us of 5lac and will increase it to 10lakh or more from next year.
Term insurance of 1crore.
Sukanya opened in April 2024.
I am doing stock market but not more than 50k overall and not planning to invest more.
I am doing 6 SIPs. Below are the details.
All are Direct Plans. PFA
Mirae large and Mid - 2500 (22nd Nov 2023)
Parag Flexi cap - 3500 (22nd Nov 2023)
Quant small cap - 3000 (18th Dec 2023)
HDFC Flexi Cap - 2500 (15th March 2024)
Nippon India small cap - 2500(28th March 2024)
UTI Nifty 50 Index Fund - 2500(26th March)
I have some 25lacs with me because I sold one of my property.
So planning for property is there anything else I can do with 25lacs?
My questions are as follows:-
1. Review my portfolio
I will invest Max 20k a month
Should I add more SIP's or should I change some from above?
2. My goals are my children's education and marriage.
3. Wealthy and Retirement plan
4. Lumsum Amount
5. Need some lacs in every 4-5 years like for admission or for some emergency.
6. Want a luxury life for my family.
7. After 20 years I want 2.5cr. How much and where I have to invest?
Ans: It's evident that you've taken proactive steps to secure your family's financial future, AB. Let's address your questions systematically:
1. Portfolio Review: Your current portfolio reflects a well-diversified approach with exposure to large-cap, mid-cap, flexi-cap, and small-cap funds. However, since your investment horizon is long-term, you might consider adding more mid-cap and small-cap funds to potentially enhance returns. Additionally, periodically review your portfolio to ensure it remains aligned with your goals and risk tolerance.
2. Children's Education and Marriage: Your SIP investments can serve as a solid foundation for funding your children's education and marriage. Consider increasing your SIP contributions gradually over time to meet these goals effectively.
3. Wealth and Retirement Planning: Given your current financial situation and goals, focusing on building a diversified investment portfolio comprising equity, debt, and other asset classes is crucial. Consult a Certified Financial Planner to develop a comprehensive wealth and retirement plan tailored to your specific needs and aspirations.
4. Lump Sum Investments: With the 25 lakhs from selling your property, consider diversifying your investments across various asset classes such as mutual funds, stocks, bonds, and fixed deposits to optimize returns and manage risk.
5. Emergency Fund: Your emergency fund of 2 lakhs is a prudent move. As your financial responsibilities increase, consider gradually increasing this fund to cover at least 6-12 months of living expenses.
6. Luxury Life: Achieving a luxury lifestyle requires careful financial planning and disciplined savings. Allocate a portion of your monthly income towards discretionary expenses while ensuring you prioritize long-term goals.
7. Long-term Wealth Target: To achieve your target of 2.5 crores in 20 years, focus on consistent investing in equity mutual funds, which historically have provided higher returns over the long term. Review your portfolio periodically and make adjustments as needed to stay on track towards your wealth accumulation goal.
Remember, financial planning is an ongoing process, and it's essential to periodically review and adjust your strategy based on changes in your life circumstances, financial goals, and market conditions. By staying disciplined and seeking professional guidance when needed, you can work towards building a secure financial future for you and your family.
