[Latheesh]

I thank members who contributes here who helped me starting SIP in different mutual funds. I need some help here;

This is how % of my monthly savings goes to different investments

38% Mutual Funds (1 large cap, 1 Mid cap, 1 small cap and 1 multi cap)
25% Invest Directly in Equity
22% Fixed Income (FD)
15% VPF in addition to EPF

I need some help in finding an alternate to FDs where I can get better returns with minimum additional risk. What do you suggest? Debt MF? Need some suggestions so that I can dig deep and take decision.

Should I increase/decrease my VPF contribution? What else do you suggest?

Thanks in advance!

[Tapish]

Thanks to you all for your help. I have gone ahead with the following: (All are Direct Growth funds)

1. Axis Long term Equity : Entire 80 c requirement for the year.

Short term debt funds (5-6 month liquid requirement)
2. Birla Sun Life Short term Fund (60%)
3. Franklin Ultra Short Bond Fund Super Institutional (40%)

Long term Equity Funds (Started SIP)
4. Birla SL Frontline Equity (Large Cap- 33% of monthly planned outlay)
5. Franlin India Smaller Companies (42% of planned monthly outlay)

I still have about 25% of my planned monthly outlay that I have to finalise. Will maybe start the SBI Magnum Midcap from January.

I have kept some amount in FDs for now that I plan to gradually move to these funds.

Hope this looks fine.

Tapish

[hserus]

Originally Posted by Tapish

I still have about 25% of my planned monthly outlay that I have to finalise. Will maybe start the SBI Magnum Midcap from January.

I have kept some amount in FDs for now that I plan to gradually move to these funds.

Leave the FDs open till maturity. Watch the performance of these funds for a year or so and then distribute the remaining 25% of your outlay among those funds. Till then open a recurring deposit or something for that 25% of the money so it is there and available for when you decide to invest it.

To be honest you need not have wasted money on 80C funds - your kids fees, PF etc etc will probably cover all of it already without your having to make specific investments to cover 80C. That section is the least of your worries.

[Latheesh]

Originally Posted by Latheesh

I thank members who contributes here who helped me starting SIP in different mutual funds. I need some help here;

This is how % of my monthly savings goes to different investments

38% Mutual Funds (1 large cap, 1 Mid cap, 1 small cap and 1 multi cap)
25% Invest Directly in Equity
22% Fixed Income (FD)
15% VPF in addition to EPF

I need some help in finding an alternate to FDs where I can get better returns with minimum additional risk. What do you suggest? Debt MF? Need some suggestions so that I can dig deep and take decision.

Should I increase/decrease my VPF contribution? What else do you suggest?

Thanks in advance!

Can anyone help? Holding period I am looking for is 3 years (lump sum or SIP route is fine)

[hserus]

Don't break your FDs, wait for them to mature first. What are the maturity timelines for your fixed deposits?

There's no "minimum additional risk" - there is risk, period. So if you absolutely want that amount to be X rupees at X time when they mature, stick to FD especially given the short horizon

[Latheesh]

Originally Posted by hserus

Don't break your FDs, wait for them to mature first. What are the maturity timelines for your fixed deposits?

I am not going to break my current FDs.

I was thinking of alternate investment options for future (planned) FDs.

[hserus]

Originally Posted by Latheesh

I am not going to break my current FDs.

I was thinking of alternate investment options for future (planned) FDs.

Short term debt funds maybe, with a systematic transfer plan into equities from the same fund house. This requires careful management so you're best advised to use a for fee financial planner.

Make sure you have emergency funds available in an easily liquid form and only invest your spare cash.

[Tapish]

Originally Posted by hserus

Leave the FDs open till maturity. Watch the performance of these funds for a year or so and then distribute the remaining 25% of your outlay among those funds. Till then open a recurring deposit or something for that 25% of the money so it is there and available for when you decide to invest it.

To be honest you need not have wasted money on 80C funds - your kids fees, PF etc etc will probably cover all of it already without your having to make specific investments to cover 80C. That section is the least of your worries.

Thanks for your advice. I had to do the 80c for this year since I did not have anything else to cover that limit. Will watch the fund and decide if I want to do the same next year.

[bluevolt]

How do we keep a check on the performance of our mutual funds portfolios? And how often? Monthly/Weekly?

As of now in the first month of investment, all three of my MFs are showing increment.

[SilentEngine]

Originally Posted by bluevolt

How do we keep a check on the performance of our mutual funds portfolios? And how often? Monthly/Weekly?

As of now in the first month of investment, all three of my MFs are showing increment.

If the funds you invested in are managed by CAMS, you can use their myCAMS app to track (and even transact if required).

[autorahul]

Originally Posted by bluevolt

How do we keep a check on the performance of our mutual funds portfolios? And how often? Monthly/Weekly?

As of now in the first month of investment, all three of my MFs are showing increment.

If the current way does not show detailed analysis, you can use MoenyControl.com services

[AbhiJ]

Originally Posted by Latheesh

Can anyone help? Holding period I am looking for is 3 years (lump sum or SIP route is fine)

If you are OK with locking in your Money, and are in the highest tax bracket, look for FMPs. (Fixed Maturity Plans)

HDFC has one out now for 3 Yrs + which will give be taxed against 5 years indexation. You can invest online also (Direct)

Technically you are assured a return of 7.75 to 8 Percent tax free.

[goldsun]

If you are KYC compliant investor, you now have an option to open Common Account Number online with MF Utility. Check out the eCAN FAQ for more details. You will instantly get a provisional CAN and the approval, which is post verification with KRAs may take about couple of days. Once approved, you may request for online access by sending an email to their client services team from your registered email id, quoting your CAN and PAN.

[pradkumar]

After Mirae Asset Emerging Bluechip, it is the turn of DSP BlackRock Micro Cap fund to stop accepting fresh investments in the forms of lumpsum or SIPs. They say they have become the largest in the category and they are limiting further inflows to protect their philosophy and investor interests.

Pradeep

[bullrun87]

Originally Posted by pradkumar

After Mirae Asset Emerging Bluechip, it is the turn of DSP BlackRock Micro Cap fund to stop accepting fresh investments in the forms of lumpsum or SIPs. They say they have become the largest in the category and they are limiting further inflows to protect their philosophy and investor interests.

Pradeep

Small and mid cap funds have given tremendous returns over the past two to three years and with people investing heavily in them some of these funds have become unmanageable hence I appreciate this move to protect investor interests.
should an investor focus more on large cap funds now? An increasing percentage of fund managers believe that mid caps are quite expensive at current levels. Should a long term investor orient his portfolio more towards large cap funds for a few years and if so what should be the percentage of large cap funds and mid/small cap funds for a long term investor? I currently invest equally in large cap funds, multi cap funds and mid/small cap funds on a monthly basis. Should I increase allocation to large and multi cap funds?