Do you have mutual fund queries?
Please mail your questions to getahead@rediff.co.in with the subject line, Ask Nikunj, along with your name, and Nikunj Saraf, Vice President Choice Wealth, (external link), will answer your queries.
Mayank Goel: I am 23 years old and currently investing 30k per month in different types of mutual funds which are large, midcap, Flexi cap, and small-cap, please provide me with some suggestions to improve my portfolio.
My portfolio basket contains these MFs:
canara robeco blue chip
axis bluechip
pgim india midcap
axis midcap
axis small cap
Kotak small cap
Parag Parikh Flexi cap pgim
India Flexi cap direct growth
Nikunj Saraf: Hi Mayank Goel. Although the selected schemes seem well chosen, there is an apparent overlap with the Axis AMC. Consequently, I recommend that you reshuffle your portfolio and diversify your AMCs.
Ashish Bhargava: I am 48 year old. I want corpus of 3 crore in next 10 years how much I need to invest monthly /yearly. Please also suggest SIPs I can start with.
Nikunj Saraf: Hello Ashish. You may start investing 1.14 lakh monthly SIP. Try adding on to current sips semiannually or annually if 1.14 lakh aren't possible. You may consider the below schemes for your portfolio.
- Nippon India Large Cap Fund
- Canara Robeco Emerging Equities Fund
- Quant Active Fund
- Mirae Asset Midcap Fund
Hemanth Kumar: I want to build a corpus of 1Cr INR in 4-5 years by investing in mutual funds. How much money I need to invest, what funds and also I am looking to save tax?
Nikunj Saraf: Hi Hemanth Kumar. To build a corpus of Rs. 1 crore, you may start investing 1.10 Lakh monthly with 14% expected CAGR. Design your portfolio with different categories and AMCs. The following schemes might be suitable for your portfolio.
- ICICI Prudential Bluechip Fund
- Kotak Equity Opportunity Fund
- PGIM India Flexi cap Fund
- Elss – Quant Tax Plan, Canara Robeco Equity Taxsaver Fund
Manish Jha: I would like to get my portfolio analysed for any deletion, addition or updation. I know as a naive I started with too many funds. Please tell me which funds to keep and which are to be stopped. I am currently having a SIP of 42K pm in 19 funds. These funds by today is giving me XIRR of 19% (It is because I invested additional lump sum amount during covid period where market was down).
Though I started investing in SIPs from Dec 2019, I would like to continue with this for atleast 10 years. I am also adding lump sum of 10k,5k etc in different funds during fall in market. This is the list of funds I am currently running SIPs in:
# LARGE CAP - 10K (23.80%)
1. Axis Bluechip Fund Direct Plan-Growth -4K
2. Mirae Asset Large Cap Fund Direct -3.5K
3. SBI Bluechip Direct Plan-Growth -1.5K
4. HDFC Index Sensex Direct Plan-Growth -1K
# SMALLCAP - 8K (19.0%)
1. SBI Small Cap Fund Direct-Growth - 3K (2+1)
2. Axis Small Cap Fund Direct-Growth - 3K(2+1)
3. Axis Nifty Smallcap 50 index Fund - 2k
# MIDCAP - 4K (9.5%)
1. Axis Midcap Direct Plan-Growth - 2K
2. Kotak Emerging Equity Fund Direct - 2K (1+1)
# FLEXICAP - 5K (11.90%)
1. Parag Parikh Flexi Cap - 5k
# HYBRID FUNDS - 3K (7.14%)
1. Mirae Asset Hybrid Equity Fund Direct - 1.5K
2. SBI Equity Hybrid Fund Direct Plan - 1.5K
# INTERNATIONAL -1K (2.38%)
1. Franklin India Feeder Franklin US Opportunities Direct Fund-Growth -1K
# MULTICAP - 4K (9.5%)
1. Axis Focused 25 Direct Plan-Growth - 2K
2. Mirae Asset Emerging Bluechip Fund - 2K
# THEMED - 7K (16.6%)
1. SBI Banking & Financial Services Fund- 2K
2. Tata India Consumer Fund Direct-Growth - 1K
3. Nippon India Pharma fund - 1K
4. Tata Digital India fund - 3K
I have a target of 3-4 crores in 10 years. Please advice. I am also thinking of increasing my investments by ~10% year by year.
Nikunj Saraf: Hi Manish. You have over diversified your portfolio, which may negatively impact your long-term returns. It would be better to re-concise and reshuffle your portfolio. A maximum of two schemes are suggested for each category if there are few categories.
Despite the well-chosen funds, I recommend continuing one scheme from each category while holding the rest schemes.
Ensure that you diversify in accordance with your AMC as well. To reach the target amount of 3 crore, a monthly sip investment of 1 lakh is required.
Pushpender Sharma: I have invested in following schemes:
1. PGIM India Mid Cap - 17500
2. Parag Parikh Flexi Cap - 17500
3. Quant Absolute Fund - 17500
4. Canara Robeco blue chip Equity - 7500
Want to build around 2-3cr corpus in next 2-3 yrs? Is this selection is correct do I need to rebalance it.
Nikunj Saraf: Greetings Pushpender Sharma. With currently monthly sip of 60k in the portfolio. Your portfolio is in good shape. You can reconsider Parag Parikh AMC. Also, to achieve the goal of 2-3 cr, in next 2-3 years, I would suggest increasing the sip to 4.38 lakh on monthly basis. Your portfolio does not require rebalancing.
Santosh Sahoo: Sir I Am Small Investor Having Monthly SIP In Canara Robeco Small Cap Fund Direct Growth(1000), PGIM India Midcap Opportunity Fund Direct Growth(1000) And Quant Tax Plan Direct Growth(1000).
I Have Set A Time Period Of 30 Years Of Regular Investing. PLEASE SHARE YOUR VALUABLE OPINION REGARDING MY INVESTMENT STRATEGY AND ALSO ADD MORE VALUE TO MY INVESTMENT PLANNING.
Nikunj Saraf: Hello Santosh. It appears that you have conducted thorough research into the current MF industry. Your selected sips are finely chosen. In order to provide a 30-year future vision, I suggest an annual add-on to the current sip amount. Additionally, try to curate a diversified portfolio with no more than 4-5 schemes in future.
Vinay Rao: I am 42 years old. I have an aggressive outlook and have SIP as below. Pls recommend if I need to change any funds and also recommend some good funds in place of existing funds.
Axis Bluechip Fund - Regular Growth -- 10000
Axis Focused 25Fund – REGULARGROWTH -- 10000
Invesco India Growth Opportunities Fund Growth -- 10000
Kotak EmergingEquity Fund-Growth(Regular Plan) -- 20000
Kotak Equity Opportunities Fund - Growth (Regular Plan) (Erstwhile Kotak Opportunities) -- 10000
Kotak Flexicap Fund - Growth (Regular Plan) (Erstwhile Kotak Standard Multicap Fund – Gr -- 10000
Mirae Asset Large Cap Fund - Regular Growth Plan -- 10000
SBI Focused Equity Fund Regular Growth – 20000
Nikunj Saraf: Hi Vinay Rao. Looking at your current sip allocation, I would suggest reshuffle and rebalance your portfolio. Introduce some new schemes like Quant, PGIM AMC in place of Kotak Flexi cap fund. Try to reduce your AMC allocation which may have overlapping effect in holdings. Axis Bluechip fund can be reconsidered.
Kiran Garde: Age 45. Currently I am investing 25k in SIP.I can take my SIP upto 50k per month. My goal is 2cr in next 13 years.
PFB my current SIPs:
Tata Digital India Fund Direct Growth -- 3000
Parag Parekh Conservative Hybrid Fund Direct Growth -- 2000
Aditya Birla Sun Life Tax Relief 96 Direct Growth -- 3000
Mirae Asset Emerging Bluechip Fund Direct Growth -- 2000
DSP Tax Saver Direct Plan Growth -- 5000
IIFL Focussed Equity Fund Direct Growth -- 5000
Parag Parekh Flexi Cap Fund Direct Growth -- 5000
Nikunj Saraf: Hello Kiran. With your current portfolio allocation, I would suggest shuffling and rebalancing your portfolio. For future sips, you may consider considering few schemes like ABSL Tax and Parag Parikh Flexi Cap Fund. To add more sips, try adding to the modified portfolio. It is not suggested to increase the current number of schemes. To achieve the corpus of 2Cr in next 13 years, the required sip amount is 50 k approx which you are already willing to start.
You can read more of Mr Saraf's answers here
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