I am a 55-year-old man who works for a private organization.My net salary after tax is ₹200,000 a year. My spouse is a housewife.together, we ₹5.93 billion investment portfolio. About 55% of this will be allocated to liability products, 5% will be kept in a savings account and another 5% in the Provident Fund (PF). About 43% is invested in equities and the remaining 2% in gold. I have his 26 year old son who is currently pursuing his M.Com degree after working there for about 3 years. Therefore, I do not expect him to pay a lot of money for his education. However, perhaps he should make plans for his wedding, which will take place in four years. I plan to retire within six months.Here are my annual expenses ₹Hundred thousand.
I am a 55-year-old man who works for a private organization.My net salary after tax is ₹200,000 a year. My spouse is a housewife.together, we ₹5.93 billion investment portfolio. About 55% of this will be allocated to liability products, 5% will be kept in a savings account and another 5% in the Provident Fund (PF). About 43% is invested in equities and the remaining 2% in gold. I have his 26 year old son who is currently pursuing his M.Com degree after working there for about 3 years. Therefore, I do not expect him to pay a lot of money for his education. However, perhaps he should make plans for his wedding, which will take place in four years. I plan to retire within six months.Here are my annual expenses ₹Hundred thousand.
Under these circumstances, will my investment portfolio suffice for my retirement, and how will I generate a regular income after retirement?
Under these circumstances, will my investment portfolio suffice for my retirement, and how will I generate a regular income after retirement?
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Created a strong and diversified portfolio. Given the corpus you’ve built, I think you’re ready to retire. However, we recommend rebalancing the combined portfolio in the following ways:
You can generate regular income by transferring funds from your savings account to bonds such as non-debtable corporate bonds (NCDs) and fixed deposits (FDs). PF investment must be withdrawn after retirement. This can also be invested in fixed income products such as NCDs and FDs.
The shortfall can be made up by having a planned withdrawal plan in a debt mutual fund (MF) and starting a pension in the National Pension Plan. For my son’s wedding, I would recommend selling a mix of Fixed Income MF and Equity MF/Shares to keep your asset allocation at its current level.
When investing in corporate bonds and FDs, please do not take excessive credit risk and try to diversify across various issuers.
I am 26 years old and have the following Systematic Investment Plan (SIP). ₹Since 2018, we have invested 1,000 shares in the SBI Small Cap Fund. However, after July 2022, we have increased the total allocation amount. ₹6,000.my monthly net salary is ₹75,000, there is an education loan ₹300,000 yen must be repaid within three years. In the short term of 3 years, the goal is to repay the loan and build an emergency fund equivalent to 1 to 2 times the annual income. Long term, my goal is to build a portfolio that: ₹Considering a 5% increase in annual salary, it will be 15 billion to 20 billion yen over the next 25 years. We are also willing to increase SIP if necessary. In addition, I would like to know if I should continue investing in a regular plan or switch to a mutual fund direct plan.
I need to save to pay off loans and build an emergency fund ₹Invest $30,000 monthly in liquidity/ultra short term mutual funds.
Addressing the long-term requirement of creating a corpus ₹1.5 to 2 billion dollars, recommended to invest ₹25,000 in monthly SIP. This should be increased by 10% each year. With an expected rate of return of 12% over 30 years, you can achieve the following goals: ₹2000000000.
Currently, your portfolio is skewed toward small- and mid-cap funds. To reduce volatility, we recommend starting some SIPs even in large cap funds. You can keep your large-cap:mid-cap:small-cap exposure at 50:30:20. To get exposure to large-capitalization stocks, you can invest in Nifty Index Funds or Nifty ETFs (Exchange Traded Funds). If your financial advisor provides added value, you can continue to invest in regular funds.
Vijay Kuppa is the CEO of InCred Money (formerly Orowealth).
