Thanks a lot for educating us in mutual fund.
I’ve few questions. I need to start investing in mutual funds. I don’t have any major savings and i own a house for which i pay an emi of Rs25000 per month for next 8 years. And now I would like you to invest in mutual funds. So can you please suggest in which mutual funds I should invest and I am planning to invest for next 15-20 years. So, please kindly let me know where I should invest and I can invest Rs20000 per month in different mutual funds.
I’m currently 34 yrs old and have a 3.5yrs daughter and just opened a Sukhanya Samridi account on her name.
Please suggest in which mutual funds I should invest for 15-20years. Thanks for your time. Thank you.
Use Sukanya Samriddhi Account as debt fund. Start investing in ratio of 30:70 in debt:equity. For equity funds, chose one large cap fund like Franklin India Bluechip and one small and mid cap fund like Franklin India Prima Fund or HDFC Midcap Opp Fund. Buy pure term insurance for around 15-20 times of your yearly income immediately (before starting of ivnestment).
Thank you for your reply.
One more question. When should one invest in Balanced fund and ELSS fund. Are these funds good for my portfolio. Or should i stick to large and mid cap funds suggested by you. Thanks
Use balanced fund when your goal requires around 35% debt and 65% equity. Again the advantage of 35% debt is that it is totally tax free (unlike the other debt products which are taxed). ELSS funds required when you need tax benefits. But keep in mind that lock in is 3 years, but entering equity. Hence, long term is must.