Where should I invest for five years?

I am 36 years old. I want to invest Rs 7,000 in mutual funds for five years. Please guide which mutual funds should I invest.
--Amit Jain

Vivekh Pathak, a Certified Financial Planner, responds:

Since you have a horizon of five years, I would not advise you different asset allocation stages. It is a simple portfolio that should invest in the large cap category.

Invest in the funds mentioned below. Review your investments bi-annually. Since we expect a volatile market ahead, I advise you to invest in large cap funds, which are fairly valued than mid and smallcap funds.


Large cap funds:
Mirae Asset India Opportunities Fund: Rs 3,500
Motilal Oswal MOSt Focussed 25 Fund – Growth option: Rs 3,500
These funds are pretty stable funds with high-risk adjusted returns, lower volatility, greater downside protection, and high alpha generating funds.

If you want to take less risk and a mix of asset allocation, you can go for balanced funds via SIPs:
L&T India Prudence Fund
ICICI Prudential Balanced Fund
HDFC Balanced Fund