Hi, I am 37 years and having a income of 1 lakh. My household expense is manged by husband.
Having home loan - 40k monthly (13years)
Personal exp - 15k monthly
Equity - invested 3.5 lakhs ( now 5 lakhs)
Started mutual funds last year for 5k SIP in quant small cap (2 lakhs)
2 LIC - sum insured 5 lakhs (one ll mature in 2026 , where should I reinvest or should I use to repay home loan)
1 sip in max ulip of 5k - for kid education (for 5 years , matured after 15 years)
1 sbi ulip - 40k ( annually)
Where should I invest to get corpus of atleast 2 cr in next 10 years
Ans: Your income is Rs. 1 lakh per month.
Your monthly expenses include a home loan EMI of Rs. 40k and personal expenses of Rs. 15k.
Your equity investment has grown from Rs. 3.5 lakhs to Rs. 5 lakhs.
You have a SIP in a small-cap mutual fund and other investments.
Evaluating Current Investments
Your small-cap SIP is a good start. Small-cap funds have high growth potential.
Your LIC policies provide insurance coverage. One matures in 2026.
Your ULIP for your child's education is a long-term investment. It matures in 15 years.
Investment Strategy for 2 Crores in 10 Years
To achieve a corpus of Rs. 2 crores in 10 years, you need a disciplined approach.
Diversification of SIPs
Large-Cap Funds
Invest in stable, large companies.
These funds offer steady growth.
Mid-Cap Funds
Invest in medium-sized companies.
These funds provide balanced growth.
Flexi-Cap Funds
Invest across different market capitalizations.
These funds offer diversification.
Balanced Advantage Funds
Mix of equity and debt.
These funds balance risk and returns.
Increase SIP Contributions
Consider increasing your SIP contributions.
A higher SIP amount will help you reach your goal faster.
Reinvestment of LIC Maturity
When your LIC matures in 2026, reinvest the maturity amount.
Consider allocating it to equity mutual funds for higher growth.
You can also use a part of it to prepay your home loan.
Evaluate and Adjust ULIPs
Your ULIP for your child's education is long-term.
Review its performance regularly.
Consider switching to mutual funds if returns are not satisfactory.
Avoid ULIPs with high charges and low returns.
Emergency Fund
Maintain an emergency fund.
Keep at least 6 months of expenses in a liquid fund.
Insurance Coverage
Ensure adequate insurance coverage.
Review your term insurance and health insurance.
Consider increasing your coverage if needed.
Professional Guidance
Consult a Certified Financial Planner.
They can help you design a personalized investment strategy.
Regular reviews and adjustments are crucial for achieving your goals.
Final Insights
A disciplined investment approach can help you achieve Rs. 2 crores in 10 years.
Diversify your SIPs and increase contributions.
Reinvest your LIC maturity amount wisely.
Regularly review your ULIPs and consider switching to mutual funds.
Maintain an emergency fund and ensure adequate insurance coverage.
Seek professional guidance for a tailored investment strategy.
Best Regards,
K. Ramalingam, MBA, CFP
Chief Financial Planner
www.holisticinvestment.in
