Investing in Mututal Fund

POSTED BY POMIT WADHAWAN ON June 15, 2012 9:33 am COMMENTS (7)

Hi,
I am new to investment domain. I have never invested in anything except PPF and FDs.
I want to invest in Mutual Funds and my monthly budget is Rs. 5000/-.
After reading few of your posts I have short-listed the \”Quantum Long Term Equity – D\” and \”HDFC Top 200\”.
Please let me know if this is the right time to invest. And for how long should I invest keeping in mind a long term investment.

7 replies on this article “Investing in Mututal Fund”

  1. POMIT WADHAWAN says:

    Hi Ashal,

    Sounds Good, I would calculate the figure considering YOY inflation. But where to start investing immediately. Let’s say we target only the retirement at this time. Please suggest

  2. Dear Pomit, just like your retirement, do an exercise for your kids’ related expenses also. Imagine these expenses are to be done today, how much ‘ll you pay? Now inflate the figure to the actual year of use. Now this fund value is your target amount. Try to save & invest to reach to this target.

    I’m not sure for that 2Crroe Rs. figure ‘ll be enough for your post retirement life?

    Thanks

    Ashal

  3. POMIT WADHAWAN says:

    Hi Ashal,

    how much you are investing in the house purchase from your own sources?
    Answer: 10-15 lacs

    How did you calculate the 50L figure for child education after 20Y? Any proper calculation or just an imaginary number? Same for Marriage?
    Answer: Random imaginary Figure

    So you think 2 Crore Rs. after 35Y in your retired life are enough? On what basis you put this figure of 2 Crore?
    — Calculated monthly expenditure, keeping in mind inflation as 10% yoy

  4. POMIT WADHAWAN says:

    Also I have a short term goal of buying a car(10-12 lac) 5 years from now. But that is not on priority. So…

  5. POMIT WADHAWAN says:

    HI Ashal,

    I am pretty new to investing. You are right, I chose MFs just for the sake of investing. Sorry but I have no idea about financial planning and am seeking guidance for the same.

    As per your advice, I have stopped right here. But yes I have my goals clearly defined and would like to start investing as soon as possible, I would like to call out again, I have no idea about investing and selected these MFs just by reading through blogs on your forum.

    Would request you, if you could help me plan my portfolio.
    My Goals( I am 26 years old married male – current monthly saving is 15k to 20k)
    1. Child’s Education 50 lac – 20years from now
    2. Own a House – Planning to take a loan for 30 Lac within this year
    3. Child’s Marriage — 50 L — 25 years from now
    4, Retirement — 2 crores — 30-35 years from now
    My goals sound aggressive, but yes 🙂 I want to achieve them

    P.s. I have already started investing in HDFC Top 200 with Rs. 1000 pm. (on friend’s advice) 🙂

    1. Dear Pomit, how much you are investing in the house purchase from your own sources? How did you calculate the 50L figure for child education after 20Y? Any proper calculation or just an imaginary number? Same for Marriage?

      So you think 2 Crore Rs. after 35Y in your retired life are enough? On what basis you put this figure of 2 Crore?

      Please reply for all the above questions. Believe me I’m with you & want to help you but for that you w’d have to help yourself first by answering these questions. 🙂

      Thanks

      Ashal

  6. Dear Pomit, Stop right now. Please do not invest just for the sake of investing. First of all be specific for your aim. Why are you investing in MFs at all? Do you have any goal(s) for which you want to save? How many years do you have in your hand for that goal?……………………………..

    Please do not invest blindly.

    For a spoon feeding type answer – Yes the funds selected by you are good performer.

    Just one thing I want to know – why did you opt for Dividend option in Quantum Long Term Eq. fund?

    Thanks

    Ashal

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