Have I selected the right funds for achieving my goal after 10 years

I recently came to know about this site through one of my friends (who told me that one can have excellent guidances in terms of mutual fund investments). Six months back I have started SIPs in the funds mentioned below. These funds have been picked by me. Now I have got some apprehensions about my portfolio. Hence I need your kind advise. Requesting your kind help to review my mutual fund portfolio and advise whether any changes are required to my portfolio (in terms of combination of large, mid and small cap funds. And also on the selection of funds). My intention is to create a corpus of 1 crore over period of 10 years. I have SIPs in the following funds: 1. Canara Robeco Emerging Equities Growth - Rs 3000, 2. Kotak Select Focus - Rs 5000, 3. DSP BlackRock Micro Cap Fund - Rs 3000, 4. Tata Equity P/E Fund - Rs 3000, 5. HDFC Balanced Fund - Rs 3000, 6. ICICI Pru Focussed Blue Chip Equity - Rs 3000, 7. Franklin India Smaller Cos Fund - Rs 3000, 8. HDFC Midcap Opportunities Fund - Rs 1500, 9. ICICI Pru Banking and Financial Fund - Rs 1000, 10. Mirae Assets Emerging Blue Chip Fund - Rs 1500, 11. DSP BlackRock Natural resources & new energy - Rs 2000, 12. DSP BlackRock Opportunities Fund - Rs 1000. Kindly advise whether any changes are required in my portfolio?

Jun 30, 2017 by Ramamoorthy N, Riyadh | Mutual Fund

Apologies for replying to you late.

Thanks to your friend who referred our website to you and thanks to you too for writing to us.

With regards to your query, kindly note that in order to create a corpus of Rs 1 Crore in 10 years, you need to invest Rs 42,400 through monthly SIPs over the next 10 years (this is based on 12% annual returns). You are currently investing Rs 30,000 and therefore, you will have to increase your monthly SIPs immediately so that you can reach your goal after 10 years.

Some of the funds selected by you are really performing well in their respective categories and therefore we are not commenting on them. Instead we are giving suggestion on changing couple of funds which we think are not suitable for you / or you can have better choices in lieu of them.

Tata Equity P/E Fund – Classified as a midcap fund, the fund is lagging compared to its peers and therefore you can close the SIP in this fund and increase the SIP amount in Mirae Asset Emerging Bluechip Fund.

DSP BlackRock Natural Resources & New Energy – This fund has given excellent returns in the last one year and that maybe the reason why you have chosen this fund. But, note that being a thematic fund it is most risky as well. Since your investment objective is to save for long term it is better to stick with large cap, diversified and midcap funds. You may consider switching to DSP BlackRock Opportunities Fund for more stable returns in the long term.

Hope the above helps you.

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