POSTED BY February 20, 2013 1:18 pm COMMENTS (8)ON
First of all, I would like to appreciate for all your efforts in helping others in educating about financial products and help them build a strong financial base. Truly commendable!
I would like to create Rs. 3 lakhs of emergency fund systematically over a period of 2-3 years. I can allocate a max of 7K per month. Can you please help me with pointers to achieve this goal. There are 3 options that I was thinking of:
1. Start a Debt: liquid fund (Escorts Liquid and Birla Sun Life Floating Rate ST)
2. Start Debt: Short Term (Templeton India Short-term Income Inst) and Debt: Ultra Short Term (HDFC Floating Rate Income LT)
3. Start a Recurring Deposit of 7K every month
Please let me know if my approach is good and also which option should I ideally go with. Also if there are other way of building an emergency fund, appreciate if you could share that as well please.
Thanks again and looking forward to your reply.