CASE I: Amol Wagh is investing in equity funds for multiple goals. Here’s what the doctor has advised him.
- Early start, systematic investing have helped build sizeable corpus.
- Goals are ambitious but small increases in SIPs will help achieve them
- Holds too many funds. Prune number to make portfolio manageable.
- Portfolio has small and midcap skew. Be ready for volatile returns.
- Direct stock investing can be risky. Consider shifting to funds.
Note from the doctor
- Cash in bank should be deployed in debt fund to earn better returns.
- Choose aggressive allocation for NPS portfolio.
- Review investments and rebalance at least once in a year.
- Reduce risk when goal is near so that you don’t miss the target.
CASE II: Shilpa S. is 27 and wants to retire at 50 with a corpus of about `7 crore. Here’s what the doctor has advised.
- Started SIPs in equity funds two years ago, but stopped when markets crashed in 2020.
- SIPs done during downmarkets earn the best returns.
- Early retirement means she must target bigger corpus to last 30-35 years.
- Funds are good, but needs to restart SIPs in them to build wealth.
- Review mutual fund portfolio at least once a year. Change if any fund’s performance slips.
Portfolios analysed by Raj Khosla, Managing Director and Founder, MyMoneyMantra
Write to us for help
If you want your portfolio examined, write to [email protected] with “Portfolio Doctor” as the subject. Mention the following information:
- Names of the funds you hold.
- Current value of the investment.
- If you have SIPs running in any of them.
- The financial goals for which you invested.
- How much you need for each financial goal.