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.
Atul Bhanot and his wife want to be financially free. Here’s what the doctor has advised them.
PORTFOLIO CHECK-UP
- Has been investing in equity funds and stocks for the past 2-3 years.
- Regular investments and aggressive allocation have helped build a sizeable corpus.
- Funds are good and should be continued.
- Goal of financial freedom at 40 in 10 years will not be possible. Defer the goal by three years to save enough.
- NPS is not suitable for this goal as funds are locked in till retirement.
- Hike amount in the PPF for portfolio stability.
Note from the doctor
- Portfolio has significant exposure to small caps. Be ready for volatility.
- Target of Rs.5 crore will not be enough. Hiked to Rs.7.8 crore.
- Review investments and rebalance at least once a year.
Small hikes in SIPs to help meet goals
Vamsi is saving for his child’s education and retirement. Here’s what the doctor has advised him.
PORTFOLIO CHECK-UP
- Has been investing in equity funds for the past 3-4 years.
- Portfolio has smallcap skew. Shift to large-cap funds.
- Goals can be reached by increasing the SIPs.
- SIPs will also have to be hiked by 10% every year.
- Review investments and rebalance at least once a year.
- Reduce risk when goal is near so that you don’t miss the target.
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:
- Names of the funds you hold.
- Current value of the investment.
- If you have SIPs running in any of them.
- The financial goals for which you invested.
- How much you need for each financial goal.
- How far away is each goal.
