Dear omveer627, Here i`m trying to answer ur queries one by one. a- In the light of proposed new DTC, there may be adverse impact on ur PF maturity amount but as of now it`s merely a proposal & nothing is concrete. So wait for the clarity from the govt. In between u may decrease ur PF cont. from 25K to 15K & divert this 10K amount into MFs. in ur list of funds there r total 9 funds, out of which only 1 fund is large cap (Birla Fr`line). U have 3 multicap funds Rel. RSF, DSP Eq. & TATA Pure Eq. out of which u should redeem from TATA & invest this amount in HDFC Top 200 & also start a fresh SIP in HDFC Top 200. As ur Tax saving requirement for 1L under 80C r already over, no need to commit money in any tax saver funds. IDFC Prem. Eq. & Rel. Growth both r midcap oriented fund. Hence it`s advisable to hold only one of them. Hold IDFC Prem. Eq. * divert ur Rel. Growth SIP into Rel. RSF Eq. Continue ur IPru Infra, DSP Eq. & Rel. MIP. b- As of now u had paid only 3 prem. & in all probability u may be at loss or just on break even point. In this case plz. pay at least 2-3 more prem. & then only decide the fate of this ULIP. The reason is simple - Due to frontloading cost structure, the agent & ins. co. had already earned a sizable chunk from ur money & if u want to recover that money, there is no option but to continue for few more prem. c - Already advised in point a. d - Already advised in point a. Plz. feel free to ask if u need more help. Thanks Ashal...

Dear omveer627, As of now plz. don`t panic for New Tax Code (NTC). First of all it`s merely a proposal at this stage. Final shape may be different from what we can see at present. There is more to it, in the proposal of NTC, it`s clearly mentioned, the balance lying in the PF or PPF accounts on 31st of march 2011 (if NTC implemented from 1st April 2011)`ll always remain tax free. But any contribution after introduction of NTC & any interest accrued in the account (be it on old balance or fresh investment)`ll become taxable at the time of withdraw or maturity. So as of now u may continue with ur 25K in PPF. Thanks Ashal ...

You can go for additional purchase and otherwise go for more sips into these funds like: 1)Icici pru focussed equity 2)Reliance banking fund 3)Icici pru discovery fund you can invest and take the benefit of market fall...

If you are monitoring the Stock Market Movements Regularly,it is Good to Invest lumpsum Small Amounts ( Rs.5000 - 10000 ) in your Funds. You should Spread your Investment in one month or more ( from Today till Dec.2009 First week or even beyond that. Best Wishes P.C.Sharma ...

Dear Omveer627, ur choice of funds is good. Also u r investing thru SIP, it`s the icing on the cake. Now u want to invest more thru lumpsum, u may do so if ur time frmae is 5+ years. One small suggession, Plz. invest ur lump sum funds in debt funds of ur respective AMCs & use STP in place of SIP to invest in ur target Eq. funds. From ur debt funds u `ll earn higher return than ur SB acct. & also u may invest in lump sum in Eq. funds in between by signing a transaction slip only. Thanks Ashal...

If you are not Comfortable with Uncertainies of Market,there is no harm in Continuing to add in PPF. In long Term ( more than 10 years ),investment in Equity Funds is likely to be more Rewarding than PPF. In Baiai ULIP,you have to Pay monthly A& 3% Allocation Charges. DONT pay Further Premium. You may Redeem it or continue it as PAI-UP ( without paying Further Premium). Best Wishes, P.C.Sharma ...

Dear Omveer, Bajaj Allianz capital unit gain is having 56% surrender charge after 3 years( ie, you have to pay Rs.84000/- from u r fund value of 1.5 lakh). So wait for the IRDA new rules to be implemented. ie. ULIP companies should not charge surrender charge after 5 years or they have to wind up the scheme before 31 st december of this year...

I had switched over from ICICI Pru Dynamic to Pru Infra thinking it to be more versatile. There is hardly any rally in it. It has proved to be a dud since last six months. Any othe plan of ICICI which csn give me better returns....

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1. I am a 46 years old Army Lt colonel due for retirement in 2017 . My core investment is my provident fund (25k per month). Total balance is about 15 lac. I am not worried about pension and insurance as I am adequately covered by the Army in both. I started investing in mutual funds in 2007. Presently I am invested with 5.5 lac in mutual funds as under:-
(a) BSL frontline Equity G (SIP @5k per month increased from 2k)
(b) DSPBR Equity – D 50k
(c) ICICI Pru Infra-D (switched from Pru Dynamic) 38k
(d) IDFC Premier Equity –G 58k
(e) Kotak tax Saver-D 30k
(f) Reliance Growth –D (SIP @5k per month incresed from 2k) 27k
(g) Reliance RSF Equity-G 28k
(h) TATA Pure Equity –G (switched from TATA Indo global Infra) 14k
(i) Reliance MIP one lac

2. I also have a Bajaj Allianz capital unit gain ULIP with 3 premiums paid @40k per year and LIC Jeevan Suraksha pension policy No122 with annual premium of 9752 Rs with last premium in 2017. I also have a LIC Jeevan Surabhi money back policy all premiums paid. I have the following queries:-
(a) Should I decrease my provident fund and increase equity exposure to any bal funds/mip. What are the implications consequent to new tax c ode
(b) Should I continue with my Bajaj Allianz ULIP.
(c) Should I start any other SIP/ fatten up my existing portfolio.
(d) Should I redeem TATA pure Equity for investment in Magnum Contra/UTI dividend yield.
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I had switched over from ICICI Pru Dynamic to Pru Infra thinking it to be more versatile. There is hardly any rally in it. It has proved to be a dud since last six months. Any othe plan of ICICI which csn give me better returns....

dear ashal, thanx for your well considered views. Presently Iam subscribing 25k in my PPF with 8% tax free returns. Is it advisable to reduce this amount in view of the new direct tax code bill and invest the ibid amount in reliance MIP/balance funds/debt funds considering safety also in view. ...

I am holding a number of equity diversified funds including BSL Frontline Equity, DSPBR Equity, IDFC Premier Equity PlanA, reliance growth, Reliance regular Savings Equity, TATA pure Equity.I am also investing via SIPs in Reliance Growth And BSL frontline Equity.i Is it advisable to invest lumpsum in these funds consequent to the current slump in the market.
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dear PCS, thanx for the recommendations. plz clarify the following:-
1. I get about 1 lac as interest(tax free) from my PF corpus every yr)at8% interest rate. Isnt it better to continue rather than face the uncertainities of the market.
(b)My cover ex Bajaj Allianz is just Rs 4lac. With 3 premiums of 40k, the present value of the capital is 1.50 lac. I can only redeem next yr by september.Since most of the initial expences of ULIP are already met, can I go for the 4th premium next yr. even my equity investments have not yielded these returns.
(c) TATA Pure Equity will be redeemed and money utilized to fatten uo IDFC Premier Equity.
(d) Kotak tax saver is a one time investment. I intend to redeem it/ switch over to Kotak opportunities/Kotak 30.
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1. I am a 46 years old Army Lt colonel due for retirement in 2017 . My core investment is my provident fund (25k per month). Total balance is about 15 lac. I am not worried about pension and insurance as I am adequately covered by the Army in both. I started investing in mutual funds in 2007. Presently I am invested with 5.5 lac in mutual funds as under:-
(a) BSL frontline Equity G (SIP @5k per month increased from 2k)
(b) DSPBR Equity – D 50k
(c) ICICI Pru Infra-D (switched from Pru Dynamic) 38k
(d) IDFC Premier Equity –G 58k
(e) Kotak tax Saver-D 30k
(f) Reliance Growth –D (SIP @5k per month incresed from 2k) 27k
(g) Reliance RSF Equity-G 28k
(h) TATA Pure Equity –G (switched from TATA Indo global Infra) 14k
(i) Reliance MIP one lac

2. I also have a Bajaj Allianz capital unit gain ULIP with 3 premiums paid @40k per year and LIC Jeevan Suraksha pension policy No122 with annual premium of 9752 Rs. I also have a LIC Jeevan Surabhi money back policy all premiums paid. I have the following queries:-
(a) Should I decrease my provident fund and increase equity exposure. What are the implications consequent to new tax c ode
(b) Should I continue with my Bajaj Allianz ULIP.
(c) Should I start any other SIP/ fatten up my existing portfolio.
(d) Should I redeem DSPBR Equity and TATA pure Equity for investment in Magnum Contra/UTI dividend yield.

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