I am having a goal to create 30 Lakhs in another 10 years and I am investing 13,500 monthly via SIP in the following Mutual Funds. Please review my Portfolio and let me know do I need to change any of the funds going forward
First of all, you have too many funds in your account. Try to reduce them, keep 3 to 4 funds.
You are investing 13500 every month. This should be enough for you to achieve 30 Lakhs in 10 years. But the question that you should be asking is "whether you require 30 Lakhs as of today's scenario or as of 10 years later scenario considering inflation". If you have already considered inflation and then you want 30 lakhs, then you are going good.
Assuming inflation of 6.5%, the value of 30 lakhs today will be around 56.5 lakhs after 10 years. For achieving 56.5 Lakhs, SIP of 13500 for 10 years may not be sufficient. You might consider increasing it to around 24000 (Herein I'm assuming SIP returns of 12.5%) or invest 17000 every month with an annual increase of 10% in investments.
Large Caps are safe bets. At the same time, the returns might not average alot. From volatility perspective, it makes lot of sense to keep large cap funds. Give it less weight.
Large and Mid Cap Funds (My personal favourite category) might fare better than Large Cap funds, so I suggest giving more weight.
Small Caps give better returns than all the above and the volatility is also high. In a bear market it is very easy to lose large chunk of your invested amount. It will come up again in due course of time, if you stay put and continue the SIP's. Give it less weight.
I would suggest the following break up (without annual increase / with annual increase),
1. Mirae Large Cap - 5000 / 4000
2. Mirae Emerging Bluechip - 7000 / 5000
3. Reliance Small Cap - 5000 / 3000
4. Franklin India Focused Equity - 7000 / 5000
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Sachin Shah is a 30 year old Senior Software Engineer, working at an IT services company in Bengaluru. He and his wife want to plan for their retirement and also want to save for their child's education, wedding and for buying a car.View Case Study