Guidance in investing in proper manner

POSTED BY chimp 239 ON June 15, 2013 1:39 am COMMENTS (5)


I am a just passed college student . I have taken over my mothers finance as my father passsed over many years back . She had invested initially very carelessly and I am planning to change and invest in a better manner.  So please take little time and give me inital push to boost the change which I have already started . To help you I have put out about the family , then goals and current financial situation .

About family :

me : I have just passed out of college . Will be working for 2 years in a company and then go for higher education . My earnings are going to be 5lkhs . The point behind earning was to attain financial indipendance to go and study in abroad.

my mother: who gets a pension of 30k/month . health insurance present.

my sister : who is doing undergraduation . Her college fees is 1.2lkhs.


1. My higher education . in 2 years ( amount required : 10-20 lkhs)

2. My sisters education and maybe higher education in 3 + 2  (amount required : 14 lkhs)

3. My sisters marriage in 6-7 Years (amount requirred : 20-30lkhs)

4. My Marriage in 6 years (amount required : 20-30lkhs)

Current financial scenario:

1.  She has already around 13 lkhs which is invested all  purely in FDs. But all are almost in my name , for the sole purpose to avoid tax till now as I was student . Is it fine or should I make it more variable by investing in something else ?

(I have avoided ppf for the reason given in PS*. Please guide me to any other instruments which I can study and invest if required)

2. She has a house which we are right now living in . The cost of the house is around 30lkhs.

(If I am not wrong I should be seeing it as an asset or liability . Correct me if I am wrong . Also in future is it advisable to take study loan on the property you are living)

3.There is still ULIP accounts of almost 6 lkhs which are invested in SBI Life – Smart ULIP – FlexiProtect Fund  distributed in my mother , sister and myself. The plan gives return based on the highest value in the tenure( Please correct me if I am wrong).

(Should I keep on investing or should I shift them to a better option)

4. My mother has LIC jeevan ananand policy which she started in 2006 . SA is 2lkhs . Policy term is 59 and premium payment term is 16 .She has to pay yearly premium of 15k.

( I have read on forums and discovered the endowment plans are pathetic. Should I surrender the policy and start term plan, with the same premium? Should I continure otherwise?)

5. There is a plot of around 40lkhs in town under my fathers name which is my mothers

(Is there a necessity to pay tax on it ? should I change to my mothers name as soon as possible?)

6. Taken a religare health insurance for my mother for 5lkhs for which I save Rs 800 monthly.

7. 10000 every month I keep aside for my sisters education fees in the form of RD, from my mothers pension. ( Am I doing it right ?)

8. I removed another 10lkhs in the ULIP which she invested in wrong manner .

(Right now they are in savings account of my mother for past 15 days. How should I invest as I told you my goals ? . Should I slowly learn and save properly meanwhile they lying in the Savings or should I invest as soon as possible ? If I should invest what are the safe options?)

9. I will be getting salary of 34k per month .

(How should I invest so that I can use for my higher education after 22 years and at the same time save TDS)

Finally , thank you for the patience and time you invested to read and replying. I dont believe in spoon feeding . Just point me in the right direction and I will carry on my own . Also please keep the goals in the mind and the discontnuity of me being the bread winner of the family after 2 years.


5 replies on this article “Guidance in investing in proper manner”

  1. Mehul Sharma says:

    Dear All,

    Wanted to see answers for these queries, if could be continued. I must say answer to these questions could be great learning. Mr. Chimp may have looked for other options but if he could say his words for his decisions on above said questions.


  2. Dear Chimp, coming to yout goals.

    1. Education for you. is it 10L or 20L? There is a huge difference in both cases.

    2. For sister’s goals, is it current value or future value?

    3. what are your own plan to get al these goals?



  3. chimp 239 says:

    Sorry it is 30 k monthly . I have edited the same

  4. Dear chimp, is it 30L lump sum amount or 30K mly pension or 3L yly pension in the above query for your mother?



  5. The best direction for you is the direction of a financial planner. your situation is complex and you will get vague arbitrary answers in a forum like this

    A financial planner will cost around 10K or so and will be money well spent.

    You can contact Ashal Jauhari or Manish Chauhan by email
    Ashal’s website is called

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