MF Query Board
I am 32-year-old and I started all my SIPs in March 2019. My time horizon for investment is 10-15 years for the first two funds. For the third fund, the time horizon is 20-22 years. Request you to review my portfolio- Mirae Asset Emerging Bluechip - Growth – Rs. 2,000 Canara Robeco Emerging Equities - Growth – Rs. 2,000 SBI Small Cap fund – Growth – Rs. 2,000 - Ravi Mehra
As per the data and information provided by you, we are unaware of your risk appetite. The funds that you have invested in are good performing funds for the time horizon that you have considered for investment. However, to answer your question, you have concentration in large-cap and mid-cap category funds, whereas you should have included allocation towards multi-cap as well. Assuming you are a moderate risk taker, you should invest via SIP of Rs 1,500 in the large-cap fund, Rs 1,500 in multi-cap fund, Rs. 2,000 in mid-cap and Rs 1,000 in small-cap. It is highly recommended to assess your risk profile before making any investment decisions. In this case, if your risk profile is aggressive, then reduce investment from large-cap and increase in mid-cap and small-cap funds. However, if you are a conservative risk taker, then reduce investment from mid-cap and small-cap and increase the same in large-cap and multi-cap funds. Having a financial plan in place would prove to be a useful guide when it comes to your investments.
The information provided by you suggests that you are nearing your retirement and you will retire in the next 10 years. You wish to accumulate as much as possible till you reach your retirement. In this scenario, it is recommended to understand how much is the retirement corpus that you need to accumulate, and for that, how much you need to save monthly. As the information provided by you is not sufficient for calculating it, we cannot comment on the same. However, to answer your question, we assume that you are a moderate risk taker. So, you can look to invest Rs. 7,000 in a large-cap fund, Rs. 4,500 in multi-cap fund, Rs. 3,500 in mid-cap fund, Rs 8,000 in corporate bond fund, Rs 7,000 in short duration fund and Rs. 5,000 in ultra-short duration fund. This portfolio is based on certain assumptions and information provided by you. However, the first step towards building your portfolio is to assess your risk profile. Also, if you do not have a financial plan in place as yet, it is highly recommended to have one. Moreover, having a retirement plan and reviewing the same can help you to take appropriate actions as far as your personal finances are concerned.
It completely depends on you. If you think that you can do all things yourself, can give proper time, have adequate knowledge and are willing to put a lot more effort in updating your knowledge then you don’t need a financial advisor. However, if that is not the case then hiring a financial advisor is a wise step to take. Even while hiring go for fee-only financial planners who only charges flat fees and not charge anything based on the size of your assets and neither he receives any commissions for recommending products. There are various advantages of hiring such a professional and paying him fees. Fee-only financial planner can help you in preparing a comprehensive financial plan for you. Which would touch upon all things related to your financial life and also give you a roadmap as to where you are now, where you wish to head and how to head there.
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