Seeking help for Financial goal setting and respective invstments

Hi, 1 - Suggest you to take adequate life cover through a Term insurance plan. Also, do take a health insurance plan for the family. Do not depend entirely on Employer provided insurance cover. Kindly read : https://www.relakhs.com/insurance-importance-life-health-accident-covers/ https://www.relakhs.com/best-online-term-insurance-plans-india/ https://www.relakhs.com/best-family-floater-health-insurance-plans-details-checklist-comparison/   2 - Kindly go through below articles regarding 'how to calculate corpus amount' and you may revert to me with yoru analysis. https://www.relakhs.com/retirement-planning-calculator-3-easy-steps/ https://www.relakhs.com/calculate-kids-education-goal-amount/  

Hi, (Based on your Private reply, below is my response..) Appreciate your analysis :) 1 - As you are now aware of Present Value of all your future goals, you now have a fair idea about the quantum of Life insurance cover that is required. Suggest you to take Term plan at the earliest when you are in India. Do have a look at Stand-alone Personal Accident policies too. Kindly read: https://www.relakhs.com/best-personal-accident-insurance-policies-in-india-details-comparison/ 2 - As you are contributing to EPF, do analyze if it is required to invest Rs 1.5 Lakh in one more debt saving option ie PPF (Kindly note that PPF is one the best long term savings option, but I am referring to allocation, considering you have long term goals). In case you do not contribute to EPF, you may invest more in PFF later on. 3 - Have you chosen Dividend option for HDFC Mid cap fund?    

Hi, You can set up STP (systematic transfer plan) from Debt funds to Equity funds and can invest lump sum amount.

I pasted an excel but it looks screwed up now. Apologies. @Team - Please let me know how to upload a screenshot or insert a table. 

You may take screenshot of the excel and insert it as IMAGE (option available in above tool bar). You may kindly go through this fantastic article on 'Goal setting & planning' - click here... 1 - For long term goals, you may make sure you have one Diversified equity fund, one mid-cap / small capfund and one balanced fund (if required, this may take care of you equity : debt portion, but depends on quantum of contribution). Kindly read : https://www.relakhs.com/best-mutual-fund-scheme-risk-ratios/ https://www.relakhs.com/mutual-fund-portfolio-overlap-comparison-tools/ https://www.relakhs.com/my-mutual-fund-portfolio-mf-picks/ https://www.relakhs.com/best-mutual-fund-schemes-2017/ https://www.relakhs.com/list-of-best-investment-options-schemes-in-india/    

Hi Sreekanth, Sorry, I could not write back earlier. Got busy with lot of personal stuff. Here is what I have figured out /done for now -

1. Goal: Emergency fund - I have put total sum for goal aside in a FD in ICICI.
2. Medium Term Goal: Start over again fund - 33% of total goal@Birla Sun life short term debt fund. Remaining 67% which I have to add, I plan to add in a MIP gradually.
3. Long term goals: Overall for each goal, I will try to keep debt around 20-25% and remaining equity.
   • For Equity investments I am sure about following funds. These funds have overlap of max 16% in 1 case, otherwise it is even less than 10%.
     • Birla Sun Life Frontline Equity Fund-G (allocation ~ 40% of Equity portion)
     • HDFC Mid-Cap Opportunities Fund-G (allocation ~ 20% of Equity portion)
     • Franklin India Smaller Cos Fund-G (allocation ~ 20% of Equity portion)
     • I want to add a multicap fund to it (allocation ~20% of Equity portion). I selected ICICI Prudential Value Discovery Fund-G but it has overlap of 28-31% with above funds. What should I do for this?
   • Retirement: Debt portion - PF, PPF + Above Equity allocation
   • Children Marriage: Debt portion: Gold accumulation + Above Equity allocation
   • Children Education: Debt portion: Not identified yet + Above Equity allocation

As my current investments are primarily debt, so first I want to focus on setting up Equity allocations later I will add research and add debt/balanced fund for long term goals. Questions: Does my above asset allocation and  look in right direction to you? And how should I start entering now?    Thank you very much for your help so far :-).

Hi, Sometimes it is tough to maintain or re-balance the allocation, hence advisable to have one Equity oriented balanced fund for your long-term goals.  Your portfolio looks fine. You can create SIPs for different amounts (can be same set of abv funds) for different goals, this can enable you to track the value of your portfolio(s) Vs targeted goal amount(s). You may go through below Forum Q&A; https://www.relakhs.com/forum/question/mutual-fund-investment-sips-long-term-financial-goals-2/

Hi Sreekanth, Thank you for your prompt response. Your advices have been really helpful to me.
I went through the Q&A you suggested. Btw, fyi, I opened MFUtility already through online route and started investing from their itself instead of Individual AMCs. Now back to our discussion.
Yes I will open different SIPs but my plan is more oriented towards lumpsum depending upon where I work - India/Abroad. Or if I am taking some time off to try out stuff. So in that case how it should be handled? Plus I want to topup some money when markets are down to give a good boost. Another thing is - should I increase my allocation to small/mid-cap MFs or 40% looks alright? Given the track record of these funds, they are able to deliver better performance compared to BlueChip and Multicap funds; and I can invest for very long term. So, with these 2 things in mind should I allocated more to these funds for goals more than 15 years away and later slowly move to debt funds when Goal deadline is approaching? Thank you, Ashok

Dear Ashok, You may set up SIPs for minimum amounts and also do lump sum (or additional) investments in the same folios, whenever the funds are available with you. Kindly read : https://www.relakhs.com/sip-systematic-investment-plan/ https://www.relakhs.com/200-day-moving-average-dma-mutual-funds/ Kindly note that past performance may or may not be repeated. We need to invest, keep a track of the funds' performances and hope for the best!  If you would like to take aggressive call, you may increase allocation to mid/small cap funds for next few years.