Mutual Fund Queries

Which mutual fund to invest for meeting my goals

My friend aged 55 years, has opted for VRS and would be retiring by this month. He would receive around 1.25 crores as retirement corpus. He would be receiving regular pension only from April 2022. He receives monthly rental income of Rs 21000. He has got a monthly home loan EMI of Rs. 35000. The EMI would last for 15 more years. Post retirement, his monthly expense would be around Rs. 35000. He needs 20,00,000 for his sons marriage by 2020. He has got adequate medical and term insurance coverage for himself and for his wife. Kindly advice him as to how he should invest his retirement proceeds to meet the above commitments?

Sep 2, 2017 by V Chandrasekaran, Coimbatore | Mutual Fund

Your friends post retirement monthly expense will be Rs 35,000 out which Rs 21,000 will be taken care of through rent. That leaves Rs 14,000 of monthly expense and Rs 35,000 of home loan EMI, total Rs 49,000... Read More

Which equity mutual fund is best for long term investment

I have been investing in MF since past two years into various funds. However, selection of this funds were based on the inputs suggested to me by my Advisor. Based on his inputs, I ended up in having a portfolio of 14 MF, 1. Large Cap: 5 Funds (BSL Top 100 (G), Mirea Asset India Opp (G), Reliance Top 200 (G) (Stopped), SBI Blue Chip (G) - 30% of funds allocated; 2. Multi Cap: 5 Funds (BSL Frontline Equity (G) (Stopped), ICIC Pru Value Discovery (G) (Stopped), Kotak Select Focus (G), Motilal Oswal MOSt Focused Multicap 35 (G), Principal Emerging Bluechip (G) - 22% of funds allocated; 3. Mid Cap: 3 Funds (Canara Robeco Emerging Equitie (G), IDBI Mid Cap, Mirea Asset Emerging Bluechip (G) - 17% of funds allocated; 4. Small Cap: 3 Funds (DSP Micro Cap (G), Franklin Smaller Cos (G), HDFC Small Cap (G) - 25% of fund allocated; 5. Sector Fund: 1 Fund (UTI MNC) - 6% of fund allocated. Post reading various articles on Net, I now feel that my Portfolio has too many funds and also many of these MF overlap each other. I am planning to reconcile my Portfolio. I need your advice in this case. I have a High Risk Appetite and looking to stay invested for next 10 - 12 years. My monthly Investment is INR 60,000.00. I request if you could please help in selecting a good Equity Based Funds. Request if you could share your email ID so that I can give you the exact mix of my Portfolio with Fund Names?

Sep 2, 2017 by Rahul Mehta, Hyderabad | Mutual Fund

Yes, you have invested in too many funds. Since, you monthly investment is Rs 60,000 you should try to limit your investments invest in maximum 6 to 7 funds. Just as an example, you can select 2 funds from... Read More

Which mutual fund is best to invest for SWP

Thanks for such detailed explanation on SWP for retirement planning. Typically retirement needs to be planned for long period such as 15 years or 20 years. Should we not be investing in high quality equity funds 100% rather than balanced funds. I believe investing in equity for a 15 year horizon is a better idea with SWP than investing in balanced fund. Can you please comment to clarify my thinking on this?

Sep 2, 2017 by Bijay Mishra, Basking Ridge | Mutual Fund

We are glad that you found our content useful. Your comment on retirement planning is very valid because equity funds are likely to give superior returns compared to balanced funds over a long period. However... Read More

In which mutual fund should I invest for long term returns

In a declining interest regime and with the Sensex scaling new highs, could you please assist me in picking the right Debt Funds which may yield a consistent return on a monthly basis, and also for the longer term, over 3 years, as a Growth Option, which can then be switched to a SWP? I am 60 years old and retired?

Sep 1, 2017 by Amit Sarkar, Kolkata | Mutual Fund

If we have understood your question correctly you have two requirements. (1) You need monthly income from your investment for the next three years and (2) tax efficient income over a 3+ year investment horizon... Read More

Which are highest return mutual funds in India for regular return

I am 50 years old. I have 50 lacs to invest and want to earn tax free return on a monthly basis to take care of my running monthly expenses. I don't have other source of income. I already have term insurance plan of 50 lacs. Please suggest the best investment options available?

Sep 1, 2017 by Samir, Ahmedabad | Mutual Fund

If you want to get tax free then you can invest in monthly dividend options of balanced funds or opt for SWP from balanced funds. If you need fixed cash-flows every month to take care of your running expenses... Read More

Which are highest return mutual funds in India for long term

I just like to know about lump sum investment in mutual fund. I can invest 50000 per year as lump sum in mutual fund for 20 years. Which funds will be good with low cost and high return. Please mention the name of profitable and high return mutual funds for lump sum investment?

Sep 1, 2017 by Sandip, Kolkata | Mutual Fund

Even though you have not mentioned your risk capacity, since you have long investment horizon, equity funds are more suitable for you. You can invest in diversified equity funds or midcap funds. Midcap funds are... Read More

Which are best mutual fund schemes for SIP for long term

Also Sir need to know whether Equity Diversified Funds are better or Small and Mid Cap or Large Cap for future investments. My ongoing SIPs are SBI Bluechip 1500, BSL Frontline 2000, BSL Top 100 - 2000, Mirae Asset Emerging Equity 2000, ICICI Discovery 3500, ICICI Focussed Bluechip 2000, Axis Long Term ELSS 2000, Sundaram Select Mid Cap 2000, Franklin Bluechip 2500, Franklin Tax Shield ELSS 2000, HDFC Equity 2000, HDFC Top 200 - 2000, Kotak Select Focus 2000. I will get some lump sum amount @ 10 lakh in FD. Where its best to invest Also since last few years I have invested of @ 15 lakhs in different MFs such as SBI Balanced Fund, SBI Tax Gain, SBI Emerging Business, ICICI Discovery, Franklin Bluechip, IDFC Sterling Equity, HDFC Prudence, HDFC Top 200, HDFC Equity, HDFC Balanced, HDFC Small and Mid Cap, Sundaram Smile, Sundaram Small and Midcap, Sundaram Banking, Reliance Banking, Reliance Equity Opportunities, Reliance Tax Saver, Birla Frontline Equity, Birla Tax Saver 96, Franklin Prima Plus and few more. Whether its needed to churn my portfolio although the returns as of now is ok. Please advice?

Sep 1, 2017 by Rekha Thakur, Varanasi | Mutual Fund

In investments, there is a direct relationship between risk and return. So it is difficult to say, if one investment type is better than another, because if the returns are higher the risk will also be higher. Diversified... Read More

Which are best equity mutual fund schemes in India for long term SIP

I am 30 and a first time investor in mutual funds. I have selected certain funds to invest 15000 per month through sip. I want to stay invested for atleast 10 years period as my priority is to buy my own house. Following is the detail of the funds selected by me 1) SBI Blue Chip Fund, 2) Birla Sun Life Front Line Equity Fund, 3) HDFC Mid Cap Opportunities Fund, 4) SBI Small & Mid Cap Fund, 5) SBI Magnum Multicap Fund, 6) Birla Sun Life Advantage Fund. Each fund with the investment of 2500 each per month. Please suggest me if my portfolio is according to my priority n the funds invested in them. If certain changes are needed do suggest that also. I shall be highly grateful for this kind act of yours?

Sep 1, 2017 by Karan Singh Kanwar, Shimla | Mutual Fund

All the funds selected by you are good, but in our view they are too many. Selecting so many funds will not improve your risk diversification and may be difficult to monitor their performance on an ongoing basis... Read More

Which mutual fund is best to invest in lieu of fixed deposits

If can you please guide me. I shall be highly obliged. I wish to replace FDRs with tax efficient instrument. My current yield on such FDRs pre tax is 6.86% and post tax is 4.73%. Goal: Corpus amount Rs 3.00 lacs (to be used as margin for house purchase 3 years down in 2020). Alternative 1: Should I opt for ultra short term funds/ Dynamic Bond Funds. Concern: Significant reduction in indexation benefit due to lower cost inflation index! Alternative 2: Or go with arbitrage funds/ My return expectation is at least 7% post tax. Concern: My consideration is falling arbitrage chances in arbitrage funds due to excess liquidity chasing limited opportunities. Alternative 3: equity saving funds considering next 3 years horizon. Down side For equity saving funds, 30% of amount is always at risk of capital loss. Sir what should be best alternative among above three options? or your take apart from above?

Aug 31, 2017 by Aman Ramani, Gujrat | Mutual Fund

The most optimal solution will depend upon the flexibility of your goal time line. If cannot be flexible about your goal time-line then, you should go with the lowest risk option with reasonable yields. Short term debt... Read More

Which mutual fund is best in the current market scenario

I have right now 4 lacs on my hand. Now situation is market is already on high or low that no one can predict. My query is, should I invest lump sum? Or should I go through STP? Please suggest also funds to get good return. I can invest for 4 years?

Aug 31, 2017 by Parth Patel, Gandhinagar | Mutual Fund

You are right about the market. The market has been range-bound for the past two or three months. There are concerns about slowdown in economic growth in India. Internationally, there are geo-political... Read More