Want to retire rich and fund your child's education? Start early, says portfolio doctor

PORTFOLIO CHECK-UP

• Saritha James has been investing in a mix of equity funds and fixed income instruments.
• Has been investing through monthly SIPs but has concentrated only in two funds.
• Is focussing too much on mid-cap and smallcap funds. Needs to have a large-cap exposure as well.
• Has been contributing to the NPS through employer.
• Funds have generally performed well, but portfolio also has some laggards.
• She needs to close down some funds to streamline portfolio and make it easy to monitor.
• In NPS, she should take a balanced exposure to equity and debt funds.

Saritha James has a long investing horizon and has made an early start to save for the goals of her child’s education and her retirement. Here’s what the doctor has advised her.

Note from the doctor

GOALS

• An early start means ambitious goals are within reach.
• While the goals can be reached, she needs to spread mutual fund investments across categories.

INSURANCE

• Should buy life cover for self and spouse of at least Rs.1 crore each.
• Health insurance cover for self and family should be continued.

WRITE TO US FOR HELP

If you want your portfolio examined, write to etwealth@timesofindia.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