Few queries on Mutual funds investment and SIP’s

POSTED BY aum kal ON October 18, 2013 5:54 pm ONE COMMENT


I want to start investing for my long term goals(+20 years). I fall in 30% tax bracket and my wife falls in 10%.

I have following policies
1. Axis Tax Saver plan — SIP, 2 thousand per month
2. MAX ULIP changed to traditional plan with average 8-10% with No TDS for 10 years. The reason i changed it cause my ULIP was giving me awful returns. — 24 thousand per year.
3. One crore term insurance each for me and my wife i.e. 2 crore policy– 25 thousand per year
4. Tax Saver for my wife — SIP, 2 thousand per month
5. PPF for my wife — SIP, 2 thousand per month
6. PPF for me — SIP, 1/2 thousand per month depending on my expenditure.

Now I want to invest around more 14 thousand per month i.e. 1.58 lacs more per year. I read lot of articles on this forum and have come up with following portfolio

1. Gold ETF — SIP, 2 thousand per month
2. Equity diversified MF — SIP, 3 thousand per month
3. Large equity MF — SIP, 3 thousand per month
4. Balanced debt oriented MF — SIP, 2 thousand per month
5. Liquid Fund for emergency fund — SIP, 2 thousand per month
6. Recurring Deposit in Fathers name for Senior Citizen interest — SIP, 2 thousand per month

TOTAL investment per month : 25 thousand.
TOTAL investment per year : 3 lacs.

Following are my question’s

1. Shall I invest in father’s / mother’s name to dodge tax on profit earned as I fall in higher tax bracket. My parents don’t work and hence they do not fall in any tax category. I read that I have to make a gift deed in order to invest which is fine. Is it good idea to do investing in there name? OR invest in wife’s name.

2. Is my profile too risky? I am 28 and my wife 25. Currently I have no risks and so I decided to come up with this profile.

3. My wife’s 80 C section is sh0rt of around 40 thousand. Shall i Invest there first and then invest in MF? I think it will be better to invest in MF as growth potential is more than saving tax. And she is in 10% bracket, there will not be soo much huge difference. Besides, the lump sum amount which she or I will get as variable pay, can be invested in her PPF amount.

Experts, please advice.

One reply on this article “Few queries on Mutual funds investment and SIP’s”

  1. ashalanshu says:

    Dear Aum, why are you not taking help of a paid financial planner to guide you?



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