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My Opinion is 3 or 4 funds are enough. How about investing in quantum fund of equity funds? Investing in such a fund saves the investor the trouble of monitoring and reviewing the his portfolio as and when required.
But why very less interest on this fund ,just because tax treatment like debt fund, but in longer run, Indexation benefit will be plus. Taxation — How about indexation adjusted for long term. Now Equity funds also not tax free. Apart from Taxation perspective, do you feel its good to consider for long term goals. Priyajit-Hard to check and suggest anything without knowing your financial goal details and the reasons for this investment.
Do we still consider this fund as Mid cap for allocation. Or Shall we look for pure mid cap fund based on Portfolio. Vandhi-I am just waiting for complete recategorization of all funds. Then only we can take the call. Hi basu if time horizon is 10 years is it compulsary to split investment in large, mid and small cap , can we go only on large cap , like you advise can we invest only on two large cap as per your suggestion abave.
Amit- Never get lured by high returns from small or mid cap funds. Large Cap Funds will give you stability. Hence the concentration should be more towards large Cap. Please advise is the amcs selection good. It is good to spilt 4k into two mid caps instead of single mid cap. But they definitely change based on your goal. However, it is hard for me to guide anything blindly with mere two lines of sharing.
Sorry if i am question was not clear. I wanted to invest in SIP in performing Funds and to get dividends atleast annually. The reason i am asking is i invested since 2. They have not declared any dividends till now. So, please suggest me. Small cap is the most volatile and exuberant of the fund category.
Always go for growth category in that and hold it for 10 years. Below are my funds selection in SIP, please check and let me know if any modification required. Investment Period is 10 years. Asset Allocation Equity Is it achievable or not?
If any one invested as SIP mode in Mutual Fund and he has completed the SIP for Years but after that he has some financial issues and not able to deposit the money in SIP , but he dont want to break it and dont need the money , I mean he can let the money keep invested. What will happned to invested amount Did the MF company making any penalty Did he will receive the appreciation on invested amount if the fund perform well, if he let the corpus invested for another years.
Yes there is no penalty. You are free to stop , reduce, increase your SIP. And yes whatever money is left will appreciate over time. The main use of SIP is reducing risk by cost averaging , and encourage disciplined and methodical investing. Shahnawaz-It will grow as usual.
You can cancel the SIP at any point of time in the middle. AMCs will not penalize you for that. Hence, I skipped that. For Equity, one large cap, one mid cap and one small cap in the ratio of I just want to ask you below, if the time horizon is 10 years can we follow below allocation, please share your expert opinion.
Shahnawaz-1 If you are investing in debt as a lump sum, then you can go with one time. If you are investing in equity then spread that lump sum investment to months. You have to manage it with proper asset allocation. Shahnawaz-If your investable surplus is identified and time horizon is also known, then first you have to do asset allocation and then within those assets, select the funds.
I am planning to invest a lump sum amount of 1. What I have understood is i should invest in a mixed fund having debt: But most of my funds are not performing well now and some are sectoral funds. After reviewing my portfolio, I made a decision to restructure my portfolio by switching over to direct funds for long term yrs for my retirement and my son age 4 yrs education. My age is currently 35 yrs and my risk appetite is moderate.
I have selected few funds where few are from existing portfolio and few included new. I have sufficient amount of 4 lacs as emergency fund in bank FDs. Below are my funds selection, please check and let me know if any modification required or if not well diversified in term of amount diversification, extra MF, suggestion of new mf or drop any.
I trying to match ratio of equity: SIP transfer date on 7th of every month. I want to ask you two questions. Suppose in future I also need to invest for my child marriage. I just want to know in future. I am using invezta and I have to set my investment profile. In that there are 3 question as follows: I am just curious to know your opinion on Q2. Thanks for reading the above and replying, regards, Raj. Raj-1 You can use the same funds. So no need to worry. That means I should increase the money in each MFs maintaining the same ratio.
Or same MF with another portfolio? Even i too having the same doubt and requested Basu to write an post on how to manage all goals with single portfolio. You are recommending of Large cap , Mid and Small cap with My query is why not Multi cap funds not recommended in the above ratio.
Why not we choose Multi cap funds instead of Large cap funds. Multi-cap has the mandate to move any market cap as and when they find the opportunity. This is my understanding, No data available to know the fact. Vandhi-Instead let us wait for fund re-categorisation to get the clarity. As they have the mandate to move any market cap, it is hard for an individual to track frequently.
Is there fund performance is only criteria or Size of AMC also matters in selection of funds for long term goals. Vandhi-I trusts the funds which are in the market since long.
I am not biased towards AMCs and size. But I need historical data of how the fund performed. I have short listed following funds for Large cap category: Can you please clarify. Vandhi-As of now, it is diversified fund.
But wait for their application of latest SEBI categorization rule, then you will get the clarity. Scheme should follow a value investment strategy. Hence, you have to check the fund fact sheet for better understanding.
My understanding is, Its like an multi cap fund and looking for an Value investment strategy in all market caps. Parag parikh long term also stating that , following Value investment , but they have mentioned clearly that it will be Multi cap fund in SEBI CAT implementation addendum. Because values can be found from all market cap stocks right? If we avoid Multi cap fund completely and construct portfolio with large cap, Mid and small cap fund , Should we manage the investment ratio to small and mid cap based on Market conditions like Fund manager.
Hope this kind of tracking and managing not possible to retail investor. This is the one point, most of them suggest outsource this work to Fund manager and buy Multi cap funds. Vandhi-I will never try to time the market nor I trust such activity who claim to be do on behalf of me by investing in Multi Cap in equity or Dynamic Bond Funds in debt. Shall we keep the same allocation Vandhi-You have to stay away from equity when your goal is about to the near of reach well before years.
But till that period Say 15 years goal, till 12th year of the goal Can I manage the same S equity cap ratio. Would like to clarify ,whether how long to keep the same ratio of Mid and small cap funds in overall portfolio till reach the goal tenure. As the goal about to reach, then you have to allocate more towards debt and move away from equity.
My query is , till that time of moving from Equity to Debt, Can we manage the same market cap allocation of You have to slowly reduce that equity exposure. Slowly come out from mid and small cap. Thatswhy i was asking whether to keep till end of the goals. Vandhi-Touch small cap only if your goal is 10 years away.
If it reaches less than 10 years, then better to avoid. Is this reason you avoid Multi cap funds, where there is always Small and Mid cap fund exposure irrespective of our goal tenure either begin or end of goal.
I am planning to de clutter my existing portfolio and finalize following funds for Equity Porttion:. I have checked Morningstar for the Portfolio overlap , its very minimal is this portfolio.
I think, no need to add small cap funds, already small portion of small cap stocks are getting invested in this portfolio funds. Hi Basu, I m bit of confused about asset allocation.
I can invest 5k pm. Time frame 5 to 10 years also want to allocate some money for quick liquidity as emergency. Can you please guide on this? Hi Basu, thanks for your advice.
Can you please help for asset allocation?? What are the funds will be suitable also the liquid or ultra short term debt funds. Hi Basu as you said maximum funds are enough so based on your article one should choose a fund from each category and invest like one from Large, one from multy, one from mid and so on. Thank you so much for your all articles. I want to start sum new sip for 10 years and more.
I have selected sum fund for my future investment. I can take moderate risk. One with per month for next 20 years And another is for 5 years with per month.
Please suggest Best way to invest. I just want to know, if I am electing funds from categories like: Hello sir, I want to invest in reliance small cap fund for long term and reliance tax saver fund for tax saving. Mirae,I feel, has key person risk but returns are good. In your opinion which would be better for longer horizon, with above average risk taking capacity.
So, Iam not investing in any amount in MF. For emergency fund Iam saving in I Pru Arbitrage pm for 2 years; I pru liquid fund pm for five years. I have 2 lakh rupees FD. Suru-For 10 years time horizon, the asset allocation should be Use one large cap and one mid cap in equity. I am inclined towards SBI. I have read this article from start to end then after I have decide to invest in following way.
I want to invest per month from this month, then I have chosen the following option. My goal is for 10 to 15 years Fund Scheme: I have 3 options but I want to go with 2 options 1. Amit-For debt use PPF itself. No harm in that.
For your equity, use one large cap and one mid cap. I have question regarding Emergency fund, currently I have parked some funds in FD as a emergency amount but interest rates are very low. Do you think any other better alternative like Liquid fund? The priority should be how fastly you can have the access rather than the income from such fund.
As I mentioned, I already build a emergency fund in FDs, now I want to increase it bit more but thinking instead of adding in FDs again, I should select some other better option where I can park it and get better return also. Kumar-I am again saying that your main intention from emergency fund is to how fastly you can liquidate it rather how much return I get it from it. If you are looking for alternatives, then use Liquid Funds. I am new in mutual funds, I am trying to invest through online different kinds of mutual funds in ration of amount ,, But there is no scope to invest less than through their portal.
Any other online platform where I can start investment in mutual funds in my ratio amount with out brokers. Amit-In case of manual investment, your such each investment is considered a lump sum and that the reason the minimum limit is showing as Rs. I suggest you to set up a SIP. If you are uncomfortable with SIP setting, then once you accumulate Rs.
I have selected the below products, Please suggest me this is right for me on initial level with good amount value or value of amount increase or decrease little bit.
MidCap fund for short term — 2 years is not advisable. In fact it should be used only for the longest goals. My self Amit, I am soft eng. From past few days, I am planing to invest in mutual funds. But i have no idea about this. How to start investment in mutual fund. I want to inverst for years. Which website are you using for these plans? Why not go for the direct plans which will have 0 comission.
I am going with direct plans on their site. I have created account on all the above product site. Please make note and construct your portfolio. The only downside I see is overlapping of companies? What do you think in that case?
Ryan-For simplicity sake, I always prefer fewer funds in my portfolio. Review the funds once in a year, if the fund is not performing well, then just come out of it. I am new to MF and need some guidance to pick and invest. Can you please suggest 4 funds to invest. Vinay-Forget about funds at first.
Before that read of what I explained above, then think about funds. If you still have confusion, then we discuss on this. I have one more query.. My Wife having 2L and she would like to go for Bank Bonds.. But i am looking MF for better than that with Low risk.. Sir , I would like to have emergency fund at least 1L.. So i want to park that 2L into any Debt or Ultra short term and transfer to Balanced funds to get some decent interest on my investmenets using STP.
Is this looks good? Dear Basav, So we have to keep it in Bank only? I was thinking to park in Liquid funds and get some interest. Please guide me sir.. Is there any changes required for my Fund selection? I have started SIP from Jan I am 35 years old and my time horizon is for 15 years.
Below is my portfolio. Please suggest If I required to do any changes here. Also I would like to put 5K more from next month. Please suggest should I go for any new fund or choose among these. Madhu-I just noticed that you raised the same issue few days back.
Please refer our earlier discussion and act accordingly. I have been investing in below funds for the past 1 year and my aim is to make good returns in long term more than 7 yrs. Please kindly suggest your valuable input on this…And also please suggest that should i start in Balanced fund to reduce my risk?
I like to invest another in equity fund, which category fund to chose either large cap or multi cap or yet another mid cap? Sujin-Considering your time horizon, I suggest you to stick to large and mid cap only in equity category. In case of debt, choose Ultra Short Term. I read many of ur blogs which educated me very well. I did lot of home work and below is the data and need few suggestions from you please.
My age currently 32 2. Based on my current other debt holdings and considering your suggestions i have short listed the below for my SIP. To start with SIP does the above plan look good? Do you suggest any other fund over the above? You blog on wbesites which allow direct investments was really helpfull to me. I have selected Kuvera and they have everything except FTT. Sat-Regarding your short term goal, stick to ultra short term debt fund.
Regarding your long term goal, where is your debt category? For Debts i have PPF usually its not long term but no plan of removing it , bank FDs, and still shortlisting few short term and long term debt funds. Kindly suggest me on my above points. Then what is the use of such debt product? Hi Basu, My apologies i missed giving few points For short term debts i have planned few ultra short term bonds, PPF for one of the goal.
Bank FDs as remaining Debts. Need your suggestion on the with respect to my equity selection which i am about to start as detailed in my initial post. Basu sir thanks for the reply really appreciated i did not think about this. Good that i contacted u during my planning stage of SIP. I got Kuvera suggestion from you blog which helped me lot and i have suggested to many friends also.
So as per u r suggestion 1. Mid cap — Land T emerging — hope this is fine.? Thanks a lot for quick response, this really helped me not to do wrong planning. Thanks a lot for good blogs. Keep writing such blogs which helps us a lot.
Thanks for letting me know. MF utility is best and it has everything under it, but they are taking lot of time to complete my ekyc and not responding to me from more than a week. Hence, I have registered all from Kuvera and for Franklin i have directly invested from Franklin website it was online and easy also.
So everything is set now. Sat-It is your personal comfort that matters the most. So if you are comfortable with the current set up then no need to worry. Hence as per that my SIP start date is 25th not before than that so does this mean we have no other option to buy invest before that or is this dates only from Kuvera.
Sat-All compnies specify few specific SIP dates nowadays few companies offers any date of your choice. Hence, better to first check with mutual fund companies portal. I think it is not related to Kuvera. I want to invest around rs per month I am 25 years old and i have just started earning so can you recommend me where should I invest.
Ajay-First read above post about from where to start and then think of where to invest. Please read above post and if you still have doubts, then we discuss the same again. Alfin-Equity to Debt Please suggest a small cap fund apart from franklin indian smaller company. I started in franklin india smaller companies. This is for my wife as part of diversification.
Is it a good idea. Husband snd wife using different funds. Please suggest your opinion. That was not i am asking. They have suspended investing temporarily. So kindly suggest a small cap fund other than franklin smaller companies.
Hello Basu, I am 39 yrs old nri. I just started my SIP robo advisory from a website from this month as follows: I would be very happy to receive your suggestion.
Any changes, adding one more mutual fund,??? Since I am nri, do I need to also consider for tax decuction? You no need to add any new fund. What should i do with my existing funds. Can i stop investing in the existing funds and continue with Robo recommended funds.
Devan-If the new platform offers that, then you no need to do anything. Simply unsubscribe from existing platform and create login into there. Based on your PAN, your existing investments will show in that new platform.
I am trying to declutter my portfolio. I am interested to continue only with Robo recommended funds for all the goals. Hello Basu, Thanks for looking in to my case. I am very new to MF. Just getting help from all. Since I just started SIP yesterday! Raj-As of now you request for SIP cancellation. Once that is stopped, then start fresh SIP in new fund.
Let the one more SIP amount be there. After considering exit load and taxation, you can later switch to new fund. I understand what your are saying. I think I have to check the exit load, I will either switch to the new fund you recommended ultra shortr debt fund. I am currently invest via invezta and there is a option for switching funds within the goal, which I set.
I appreciate your service. Especially reading other replies are also helpful. Pappu-Index Funds also treated like equity funds for taxation. There is no special treatment for Index Funds when it comes to taxation. After the annual budget , the government is going to bring back the LTCG on equities. How this is going to affect the existing investors and the new investors.
Is it advisable to invest money in equities? I had general doubt in ULIP. It is basically market based, If market goes up it will grow and vice versa. It will give non granted return. Can you tell me avg return value of ULIP product with an period of 15 yrs. Praveen-Definitely ULIPs may have higher edge than traditional plans irrespective of insurance company.
In my view, better to stay away from products which combine insurance with investment. First of all, not all your money is invested. Some part goes into charges. The rest of the money is invested in a blend of products. So return could be very varied.
I want to have SIP for Rs per month. Today its Monday and example Sensex below points. If yes, Lump Sum amount exact time also matters? If you purchase within that time on that day funds must be realized to AMC , then the same day NAV will be applicable. Which category should I treat multi cap? Does it come under Large or Mid or Small cap?
And is it safer to go for balanced fund as it does not have LTCG tax? Multicap means it has allocation in large, mid and small. Sayeeganesh-Multi Cap funds have mandate to move any type of market cap as per the opportunity the fund manager find. Balanced Funds also bears the same risk like any other equity funds.
Hence, you must understand where your equity portfolio and debt portfolio is. Blind following of Balanced Funds as lesser risky may be dangerous to you. Yes, Balanced Funds also considered as equity funds and hence they are tax-free if you held for more than a year. I am a newbie to investing, Planning to invest long, mid and short term in the ratio Does the cap refers to investment term period? Cap refers to market capitalisation.
Large cap companies are typically large companies with many decades of existence. They are stable and are less affected by the turmoils compared to mid and small caps. But on the flip side, large caps grow in a sedate manner compared to mid and small caps. So in the very long run, large caps grow slower than mid and small but are more stable. Rathesh-Identify the goals first. Based on time horizon you must treat each goal separately and do asset allocation.
Hi Basu, Thanks for nice article, which give a lot of insight on MF. Am a working professional earning 40k. My asset allocation as you mentioned its around In equity am investing in the below funds 1. Reliance ELSS 5k 2. Debt portfolio, am not investing on any mutual funds 1.
Above mentioned mutual funds for 10 years time line, for children. Please suggest whether mentioned portfolio is good to go or any suggestion?? Only RD is considerable for this. Instead of RD, why not use debt funds?
Hi Basu, I would like to make investment of 10 years and 5 years period each separately for my 2 kids education and marriage. Please can you advise the portfolio I should stick to. My gross salary is 1. Take home is about 80, My goals are — Retirement corpus- 8 crore child education- 1.
I have contingency fund of about 2 lacs kept in liquid fund. Though wife , son and myself are covered in health insurance by employer, for my parents, i have none. I have term insurance plan for 1 crore. Recently i have opened national pension scheme account.
I plan to invest 50, annually. My mutual fund exposure is as follows. All are direct-Growth 1. Franklin templeton smaller companies fund SIP. Please refer the above post. If you can do then go ahead. Otherwise, consult a fee-only planner. Your Sincere advice please.
Ashok-Whether your PPF maturity is 7 years away? What asset allocation you are performing between debt and equity? Why two large cap funds? How to find the Market cap of the fund. Portals are giving different definition. For instance what is the market cap of Quantum long term equity fund. I want to construct portfolio with a pure large cap fund. As an investor how do i find the correct market cap of the fund. Devan-All other funds as of now used to follow simple index excluding dividend income.
Whereas Quantum is the only fund house which considered TRI Total Return Index , which also considered as dividend declared by stocks are considered as re-invested. I know SEBI new rule will clear this confusion. As of now, you can follow the funds based on their major chunk of the portfolio. Benchmark can be found in factsheet of the fund. Kindly review my MF portfolio: I have following fund in which SIP is going on. All investments are using MFU platform Direct growth: I do not follow any adviser.
SIPs are going on form Oct Investments are for long term 18 years. Mukul-Why two mid caps? Also, why you are holding HDFC fund for short term? Invest in HDFC fund also if your holding period is more than 5 years and again with proper asset allocation. Keeping two mid caps will be an issue. Please clarify this sir. Since my time horizon is 18 years, I have splitted my investments in two mid caps instead of one.
Just thinking that it will maximize the return. Otherwise Principal emerging blue-chip has higher risk as compared to Mirae asset emerging bluechip. I am fine with that. HDFC balanced my time horizon is 9 years. Mukul-Should be fine but do think it is right strategy to have higher exposure to any particular market cap?
Hence, it is now you can take a call. If we maintain a common single portfolio equity and debt funds for all the goals, How to track each goal progress. Should we track each goals or we will treat it as single basket of money and withdraw whenever the particular goal comes to end of tenure. Bit confused ,when reading about re-balancing of portfolio. How to implement re-balancing it in Single portfolio.
I m looking for a long term wealth plan close to 10 years. Is this funds fine? Also i m planning to add 1 more fund for Rs SIP do u have any suggestion on any fund? You means i have to allocate as mentioned below? If the goal is 5 years to 10 years-Allocate debt: My investment horizon is years; maximum of 10, per month SIP. Ganesh-Stay away from equity if your time horizon is less than 5 years.
Thanks for the reply. So can you pls suggest some other fund categories debt, hybrid, arbitrage, etc?? The below is my SIP portfolio. Hope this is fine? This comprises of my 10 year interim goals as well as my 25 year retirement goal. Hi Basu , Sorry I might have missed it.
Ragesh-Funds are new and hence are performing good due to market conditions. But keep an eye when market start to fall. I am not sure what prompted you to select Tata Retirement Fund, which has exit load if you retire before 60 years of age. Sure I will watch them. Sir, I am investing in these three funds. I want to know your opinion on them. Can you please help me with your review. Thank you for writing the blogs.
Birla SL Equity 2. DSP blackrockt Top 3. Reliance regular savings — growth equity. Subramaniam-It is hard for me to guide without knowing time horizon and what asset allocation you are following. Sir, I am putting rupees in the three funds.
I can tolerate medium risk Sir. I am expecting to gain return within next 3 years. Hence please suggest me good mutual fund today. My calculation shows I need to invest 75K permonth to achieve my all 3 terms goals[further study, house, car]. I am afraid if I should put all 75K in mutual funds. Chandra-You did the calculation and if you did the asset allocation also but fearing of equity, then you have no option but to stay away from equity and invest more in debt products to achieve your financial goals.
I am looking to invest gradually a sum of 10 lakhs in next 6 months to this portfolio, please could you suggest me the right frequency and the right time to start given the current uptrend in the market. Deepak-Do the asset allocation at first. For debt, invest lump sum in one shot. For equity, you can spread the investment for over months if you are feeling apprehension about the current market trend.
I have a listed out long term goals totally 6 goals and decided asset allocation as My doubt is if the same funds selected for all the goals, then the fate of all the goals lies on the fund performance. Suppose if i have selected different funds for goals, there may be chances that some of the goals may good perform and other may lag. So bit confused , how to finalize , whether different funds or same funds for all 6 goals. Devan-Even if you chosen different 3 funds for all 6 goals separately, then the underlying assets are same or different?
My understanding is, If i select only 3 funds for all the goals same of different folios then if the fund is not performing well, then all the goals will be affected. Suppose if i have different funds for all the goals 3 Funds per Goal. Not all the goals will depend on the same fund performance.
What could be the problem, if we have more funds,rather than strict to funds. Because each goal with 3 funds will be treated separately as each portfolio. Hope there will no overlap also. Devan-There are no problems in holding 3 funds or funds as long as you are capable of managing those funds and also understanding the overlapping conditions. If i am comfortable in managing each portfolio with the selected funds 1 Large, 1 Mid, 1 small, 1 UST debt , then this will be treated as individual unit of investments.
There is no need to worry on overlap, my point is when you select each fund from Market cap category , then easily overlap will be avoided.
Each portfolio with the selected funds 1 Large, 1 Mid, 1 small, 1 UST debt , Do you think still overlap comes in picture. Devan-If we consider separately then NO. However, what I am trying to say is have an EYE.
Because many miss this to test. Still if i feel there is overlap between mid and small cap funds, Because most of the mid cap funds are having some considerable exposure in Small caps.
Till that period, you have to wait. I am a beginner in the MF investments. I have a financial goal tenure of 10 years for my retirement from IT. I am 30 and currently a software architect based out of Delhi looking for an early retirement to pursue my other interests in about 10 years.
I can allocate a total of Rs per month from my salary for overall investments. Can you please provide your valuable inputs on the above? Is the SIP folio good to go with? Do you recommend any specific MF in multi cap category? Nida-Why RD for long term goal debt? Also, regarding equity, You can stick to the funds you have opted, but with proper asset allocation based on your time horizon.
So, are you suggesting to go for debt funds instead of RD? Based on your inputs , I have updated my asset allocation for a total of 30k per month allocation. I will keep emergency fund of 20k per month as liquid. Then you will be overweighted towards large cap also Mira is currently large cap.
Hence, select one pure large cap and one mid cap. Thanks a lot for pointing this out. I will just pick one large cap. Which large cap ones of the below do you recommend for moderately -high risk profile? Let me tell you my demography, Age , Investment plan — 10 yrs at least, appetite — lets says Here is my portfolio mentioned below:.
Kindly suggest, if any modification required in sector allocation keeping yrs in mind. Amit-Kindly stay away from sector funds and long term gilt funds. Also, in balanced fund allocation, there is again equity exposure.
If we consider that, then your overall equity exposure go at higher end. Thanks for prompt reply. You mean to say that my ideal exposure should be Can you please suggest correct allocation and right funds for yrs investment. Now my question is 1 Is this service fully free service to the direct investor? Babu-No such difference if you purchase with MFU. The NAV will be same as that of applicable to regular and direct.
Thanks for sharing this detailed information on SIP. As this MF would give a very high returns on long term investment. Even let me know what factors needs to be considered for investing in such new schemes. Based on history users who had invested years ago are well settled now because they took risks and invested in Start ups scheme. All such schemes are still outperforming but return yield is not that high for new investors against the one who invested in the same schemes when they were launched.
Even do we have any references for Schemes for lump sum investment. Please share you view and comments on such schemes which looks promising for If the fund is performing consistently, then why not invest in the same OLD fund? So I think it I did not communicate my message correctly.
I have invested in 5 Years in SIP in Debt ratio which includes all the top funds which you have listed. Advantage for me would be that I would have good no. Again this is just my view on Investing. I know that my view might be wrong. Thus wanted to take small risks which can be helpful in long run. I am looking for 5 Years of investment. If my goal is More Than 10 plus years. Some people suggest ultra short term funds for debt portion of portfolio.
Intested to know why not Gilt. Kalai-Understand the basics of debt funds, modified duration, average maturity and credit rating. Reason for choosing Gilt funds — Credit quality. But not diversified like Ultra short , its an concentrated portfolio of govt loan,bonds. How about return perspective compare to UST. Any other reasons for choosing UST, please list out for my learning purpose. If you have any post, kindly paste the link here.
Kalai-Longer the maturity period of bond higher will be the volatility. You look for debt funds just to mitigate the volatility which is already there in equity. Not sure about RIAs. Ok , then which type of the goal ,the investors can choose to Gilt funds. Kalai-I already listed in my another blog link provided in above post.
But they are also part and parcel of volatility. Can you plz suggest me. Hence i want to optimized it. However, I agree that same category fund not required and you have to shortlist. I want to invest a lumped sum of 2 lac as an investment for another 7years. What best fund would you suggest to have a good and safe return of the same. Am 26 years old and this is for future like children education. Rajesh-I am not sure what asset allocation you are following refer above post. However, for your goal time horizon, in equity one large cap and one mid cap is sufficient.
I can invest around 2k monthly. Please provide me some short term and long term plans. I need some right guidance from experts.