Need Suggestion in selecting funds

[raj345]

Hi all,

I need suggestion,i am new to investment

my profile is

I am 23 yrs old,want to invest 25000 pm for 5 yrs without withdrawing till 5 yrs.suggest me the plans which also covers under tax plan for 7000 and remaining 18000 in other funds.

Experts reply pls

 

[yodlee99]

Glad to see you are starting early. Since you have age on your side, I would suggest to keep investing longer (5-10 yrs+) for considerable returns.
In order to avoid having to wait for market corrections, invest regularly using SIP in 3 to 5 funds on different dates of the month.

Have 2 core funds in your portfolio with LARGE-cap tilt: a) HDFC Top 200 (Growth) ; b) Birla SF Frontline Equity - Plan A (Growth)
Have 1 with MuLtI-cap tilt: c) DSPBR Equity (Growth) or Reliance Regular Savings Fund - Equity (Growth)
1 mid & small-cap fund: d) IDFC Premier Equity-A (Growth) or Reliance Growth (Growth)
and
1 in ELSS for tax savings: e) HDFC Taxsaver or Canara Robeco Equity Taxsaver

Fixing 7000Rs per month for the ELSS fund, you can split the rest 18000 pm equally among the other 4 funds (4500 each).

There might be periods during the term of investment when the returns might be below par. Hence, increase SIP amount as and when possible within these funds. Invest initially for a period of 1 year and then check your portfolio. Use www.valueresearchonline.com to learn more.

Good luck !

 

[raj345]

Hi Yodlee,

Thanks for your prompt reply.

My plan is like this,

1)HDFC Top 200 (Growth)-5000

2)Birla SF Frontline Equity - Plan A (Growth) 4000

3)DSPBR Equity top 100 (Growth)-5000

4)Reliance Growth Fund (Growth)-5000

Is it fine or any suggestions in this pls let me know

and for tax plans how about considering

MAGNAMtax gain 93

 

[yodlee99]

Good selection. 3 large caps, 1 midcap and 1 ELSS. However, your ELSS fund selection is just 3-star rating from valueresearch. Typically, one should go for a 5 and if not a 4-star rated fund. Is there any reason behind this?

 

[raj345]

hi,

there is no specific on magnum plan,

I am choosing hdfc tax saver-7000

anymore suggestion?

 

[yodlee99]

I would say, go for it.

 

[niknayak]

If you're interested another very good SME pick is the DSPBR Small & Mid Cap - RP (Growth).

 

[raj345]

is dspbr in elss?

 

[vishal412]

Yes dspbr is in ELSS, for this year, may be with the new DTC from next year, we can see some changes, but as of now its in ELSS