Will my mutual funds help me to create Rs 1 crore by 2030?

I am 36 years old. I have been investing in mutual funds via SIP for more than seven years now. My investments are in Reliance Mutual Fund (Growth fund, Equity Opportunities, Gold fund, and Power fund). I have recently started investing in HDFC Equity Fund and Motilal Oswal Multicap 35 Fund. I am investing Rs 13,000 per month in total.

I have two queries:
1. I want to build a corpus of Rs 1 crore by 2030 for my child’s higher education and my retirement. Where should I invest to reach my goal? I can also increase my SIP amount if required.

2. Considering the current market conditions, should I withdraw the amount I have earned in mutual funds till date and invest it in a FD? Should I continue with my SIPs?
-Amit Malhotra

Rishabh Parakh, Founder, Money Plant Consultancy, responds:

You have done the right thing by investing in mutual funds via SIP. However you have a lot of schemes from one fund house (Nippon India Mutual Fund) which might lead to concentration risk. Continue with your investments and do not worry about the temporary market movements. Assuming an annual return of 12%, you need to invest Rs 40,000 per month to achieve your target of Rs 1 crore by the year 2030.

Your current portfolio also has power and gold funds which should be looked in to as these are thematic/sector specific funds and can be highly volatile in the short term.

Without knowing your existing corpus and risk appetite, I would not be able to recommend you specific schemes. You may consider to invest in some of the good mutual fund schemes like Kotak Emerging Equity Fund, Axis Multicap Fund or Mirae Asset Large Cap Fund with a long-term horizon.


If you want to be safe for your short-term goals, you can choose to invest in an FD. Equity markets is generally volatile in the short term. You need to be patient, like you have been in the past seven years. Do not book the profit unless it was a part of your plan to use it for a specific goals at the moment.