Investment advice

Hi, May I ask few details,

• Your Sister's age
• Does she has any other Source of income?
• Is she totally dependent on the income generated by investing this Corpus (Rs 35Lakh)?
• Let me know if your sister/nephew have health insurance cover?
• Whether both of them dependent on you? (fully/partially)

Hey Sreekanth...she is 43 has term and health insurance. She is dependent on this for monthly expenditure. She will receive about 15 lakhs after a year or two which she can use for retirement. But this is her requirement right now. Warm regards AJ

I thought of fd and postal mis but please suggest more avenues.

Hi, Considering her profile, she can't afford to take UNDUE risks and at the same time we can not ignore the INFLATION factor (raise in prices).  Son's higher education: She can consider investing in an aggressive MIP fund (Growth) option for next 3 to 4 years. Kindly note that MIPs are treated as Debt funds for taxation purposes. So, the gains if any would be subject to taxes. She can invest around Rs 7.35 Lakh in MIPs, assuming return of around 8% (very conservative figure), can accumulate Rs 10 Lakh. Kindly note that MIP funds invest around 5 to 15% of their corpus in Equities/shares. Read: http://www.relakhs.com/best-monthly-income-plans-india-mutual-funds/ Monthly Expenses : If we assume inflation @ 6%, expected returns @9%, corpus of Rs 27.65 Lakh can give around Rs 1.26 Lakh p.a. for next 22 years (till 65 years of age). (I have not included Rs 15 lakhs amount) She can consider combination of SWP (Systematic withdrawal Plan) option & growth plan of MIP fund, Post office MIS Scheme, Monthly dividend option of a balanced fund (For ex- TATA balanced fund - Regular plan - Monthly Dividend (MD)). Also, advisable to have atleast 3 months of expenses as an Emergency fund (as cash in hand + FD/Liquid debt Fund). Read: http://www.relakhs.com/best-debt-mutual-funds-india-top-debt-funds/ http://www.relakhs.com/list-of-best-investment-options-schemes-in-india/    

Thanks for your suggestions. Could you suggest a couple of more balanced funds? I did read the article but could not decide independently.

May be - HDFC Balanced fund / SBI Balanced fund. Kindly read: http://www.relakhs.com/best-mutual-fund-scheme-risk-ratios/ http://www.relakhs.com/mutual-fund-portfolio-overlap-comparison-tools/

sir, iam 57 old female, house wife. i am having one lakh. please suggest me one better debt fund who can gives more than 9% . may invest in birlasunlife mip 25 plan or bsl -swhort term oppurtunities fund. please suggest regards nagarani, vijayawada

Dear Paturi.. Request you to start a new thread and kindly post your question. Thank you!. (Click on 'Ask question' menu option on top navigation menu bar and then post your query)