Advice: MF: Need advice on the investment portfolio

naveen1975 · Post by **naveen1975** » Mon Sep 06, 2010 3:57 pm

Hi Experts,
Need some advice on investments in the mutual funds with the monthly investment of Rs. 15000 for the purpose of my children education (1 Child) and retirement.

I have selected the following funds for the investment:

BSL Frontline Eqt AG Mutual Fund
HDFC Top 200G Mutual Fund
Magnum Contra-G
Sundaram BNP Paribas Select Midcap Reg-G
UTI Mahila Unit Scheme-G.

Please let me know whether the choice of above fund houses are good and my investment target is realistic.

whitecloud · Post by **whitecloud** » Tue Sep 14, 2010 2:02 am

Hi Naveen,

I am not an expert but this is what I think.

BSL Frontline Eqt AG Mutual Fund
Equity Diversified - Benchmark: BSE 200
Large Cap

HDFC Top 200G Mutual Fund
Equity Diversified - Benchmark: BSE 200
Large Cap

Magnum Contra-G
Equity Diversified - Benchmark: BSE 100
Large cap

Sundaram BNP Paribas Select Midcap Reg-G
Equity Diversified - Benchmark: BSE Mid Cap
Mid Cap

UTI Mahila Unit Scheme-G.
balanced - Benchmark: Crisil H 75:25

Assuming you are investing equally in all these funds then exposure to large cap is around 60%-70%. May be appropriate depening upon your risk aversion, if you have a long term investment horizon(which it looks from your post) then I have few suggestions:

- BSL Frontline Eqt AG Mutual Fund & HDFC Top 200G Mutual Fund are similar funds. You may replace HDFC Top 200G with HDFC Equity growth or any other equity diversified fund.

- Assuming your planning horizon is long term, you may think of investing in a small cap or infrastructure fund (10%-15%) of your investable funds.

- Select different dates of the month for investing in SIP. Don?t invest all 15000 on a single date in all the selected funds. Time diversification is also important.

Hope this helps. Good Luck.

diptijoshi · Post by **diptijoshi** » Mon Nov 01, 2010 5:24 pm

Soft marketing deleted by admin - not permitted in this forum.

Old-Spice2 · Post by **Old-Spice2** » Sun Apr 17, 2011 11:33 pm

I am managing investment for an Indian citizen. For equity thinking of investing in Birla Sun Life Index Fund (Growth). It is based on Nifty-50 Index .While going through their holdings I found 18% allocated to Nifty futures. Is it a good idea to have this MF as part of the core portfolio?

Fund Holdings:
CNX Nifty Fut April 11 18.31
Reliance Industries Ltd. 8.22
Infosys Technologies Ltd. 7.22
ICICI Bank Ltd. 5.94
ITC Ltd. 4.47
Housing Development Finance Corporation Ltd. 4.21
Larsen & Toubro Ltd. 4.08
HDFC Bank Ltd. 3.86
State Bank of India 3.30
Tata Consultancy Services Ltd. 2.78

Which is the recommended Nifty Index fund?

vn2009 · Post by **vn2009** » Tue Apr 26, 2011 9:30 pm

Here is the list of NIFTY index funds and their performance, expense details. As a disclosure, I am one of the co-founders of this web site.

Nifty Index Funds

suny · Post by **suny** » Wed Apr 27, 2011 6:54 am

ICICI indiex beat ETF. I wonder how it is possible with fund expenses, tracking error, etc.
Also UTI Sunder has better retunrs than Nifty BEES.

Do anybody have futher analysis/thoughts on this ?

thanks
Suny

paragpatel1962 · Post by **paragpatel1962** » Sat Jul 02, 2011 2:36 pm

Firstly move out your money from saving account and invests in ultra short term fund (7% currently taxable and after dividend you are earning 6.2% tax free) which will provide better tax free return to you rather than saving bank account which gives you 4% taxable return.

Now comes to your asset allocation, since you are at the beginning of your investments hence it is better to take long investment call.

Mutual Fund ( 50%) i.e. Rs. 1,00,000 at present through Lump sum as well as SIP way.
Commodity – Gold, Silver – (30%) i.e.. 60,000 at present and have ability to add on as and when prices comes down.
Fixed Deposits – (20%) i.e. 40,000 also go for longer duration Bank. Fixed deposits since they will provide you higher interest and have compounded every quarter also, e.g. Canara Bank, IDBI bank, etc.

For MF Investment, since you are new you should proceed for less riskier fund like Balanced fund and Large cap fund.

HDFC Top 200 Fund – Large Cap Equity Fund – One of the best fund at present and even in last 14 years of the scheme. Investor continues to do SIP in this fund.
HDFC Prudence Fund – Balanced Fund - Safest balanced fund with optimum return.

vampire · Post by **vampire** » Sat Jul 02, 2011 8:20 pm

if the short term fund returns are 7%, wouldn't it be better to deposit in FD which is currently around 9% return ?

Imissindia · Post by **Imissindia** » Thu Jul 07, 2011 6:54 am

Whether your target and plan are realistic depends upon several factors. First of all, how long do you plan on investing before you retire? What sort of corpus do you envision needing for retirement? What do you anticipate would be the cost of your child's education? Providing these figures would help us access your plan.

AltonDelmote · Post by **AltonDelmote** » Fri Jul 08, 2011 2:40 pm

I read this post & thanks for good advice of investment.