Not many investors know whether they have invested in the right funds and if their fund portfolio is on track. The Portfolio Doctor assesses the health of the fund portfolio, examines the schemes and their suitability with regard to the goals and, if required, recommends corrective measures. The advice given is based on the performance of the funds, the risk profile of the investor as well as his financial goals.
CASE I: Deepak Kumar is saving for his kid’s goals and retirement. Here’s what the doctor has advised him
Investor’s existing portfolio
PORTFOLIO CHECK-UP
Investing in a mix of equity and hybrid funds for the past 5-6 years.
All SIPs must be hiked by 10% every year to reach goals.
Consider downsizing some goals if not possible to increase SIPs.
Opt for maximum equity exposure in NPS.
Note from the doctor
Avoid investing in too many funds. Just 5-6 funds are enough.
Replace tax-inefficient FDs with debt funds.
Review investments and rebalance at least once in a year.
Reduce risk when goal is near so target is not missed.
CASE II: Kavinder Singh is saving for his child’s education and retirement. Here’s what the doctor has advised
PORTFOLIO CHECK-UP
Started investing in equity funds to save tax 3-4 years ago.
Retiring early will need a bigger corpus and higher investments.
Push back retirement by five years to reach target comfortably.
Review investments and rebalance at least once in a year.
Reduce risk when goal is near so that you don’t miss the target.
Assumptions used in the calculations
Inflation
Education expenses: 10%
For all other goals: 7%
Returns
Equity funds: 12%
Debt options: 8%
Portfolios Analysed by Raj Khosla, Managing Director and Founder, MyMoneyMantra
Write to us for help
If you want your portfolio examined, write to etwealth@timesgroup.com with “Portfolio Doctor” as the subject. Mention the following information:
