Should I invest in these mutual funds for my parents?

I have been investing in these three funds for a year.
Edelweiss Balanced Advantage Fund - Direct- (Growth)
Parag Parikh Flexi Cap Fund
Axis Small Cap Fund
What should be my allocation to these for pension investment for my parents (10+ years investment horizon with moderate risk) ?
Should I replicate this portfolio to both my parents demat for claiming LTCG exemption for both ?

--Varun Bhati

You have not shared your goals and risk profile. So we can’t comment whether you have chosen the right schemes to you.

Your question for your parents is confusing. What do you mean by claiming LTCG or long term capital gains exemption for your parents? LTCG comes into the picture when you sell your equity mutual fund investments. If you hold your equity investments for a year, you will qualify for LTCG tax of 10%.


Do not assume the risk profile of your parents. Take an online quiz to determine the risk profile. It is not clear why you have chosen a balanced advantage scheme and a small cap scheme. A balanced advantage scheme is meant for investors (mostly first-time investors) who are concerned about market levels and want the fund manager to take a call on it. A small cap scheme is very risky and it is meant for aggressive investors with a long investment horizon.

Consult a mutual fund advisor. Since your parents have only a decade to retire, it is extremely important to plan their investments.