I am a 26 year old government employee and save 50,000 per month. I plan to buy a house and car in the next few years. I also need to save for my sister’s wedding which may happen in the next 8-10 years. I am not eligible for pension in my current job but want to invest in a pension scheme which will give me 1 lakh per month.
I have a systematic investment plan (SIP) in several growth funds since January 2018. i am also putting 5,000 per month in a public provident fund from December 2020.
In April 2021, I started investing in NPS (National Pension System) with monthly deposits 5,000 in Moderate Auto Choice Tier 1 Account linked to HDFC Pension Fund. In December 2021, I also added some funds to my portfolio for international exposure.
Please let me know if my investments are in line with my goals and suggest any changes if necessary.
—Name withheld on request
Considering that you have multiple goals that you are trying to save, while doing SIP at a young age is wonderful, the savings you need per month will be much higher than the current levels and thus, when and When your salary increases, your SIP will have to increase proportionately.
It would be ideal if you can consolidate your portfolio with investing in an ELSS fund for tax savings like HDFC Tax Saver Fund, which has performed well after a period of poor performance in the recent past, and Mirae Emerging Bluechip like Have made regular investments in schemes. Funds, international funds like Kotak Emerging Equities Fund, Axis Small Cap Fund and ICICI US Bluechip Fund.
As for the other schemes in the portfolio, you may consider gradually consolidating the above schemes over time so that you have a more focused portfolio.
Vishal Dhawan is a certified financial planner and founder of SEBI registered investment advisory firm Plan Ahead Wealth Advisors.
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