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Last Updated : Mar 20, 2012 02:48 PM IST | Source: CNBC-TV18

Want to invest in SIPs? Get expert advice here

In an interview to CNBC-TV18, Lovaii Navlakhi of International Money Matters advises investors SIPs as per their goals.


If you are an amateur investor, systematic investment plan (SIP) would be the best avenue to get exposure to equity markets and ensure stable returns.


In an interview to CNBC-TV18, Lovaii Navlakhi of International Money Matters advises investors SIPs as per their goals.


Below is the edited transcript of his interview on CNBC-TV18. Also watch the accompanying video.


Q: The investor can invest Rs 5,000 in SIP for a long-term period of five-ten years. He wants Rs 25 lakh in 16 years? Which fund will you recommend?


A: My specific suggestion would be to pick one largecap fund like DSP Blackrock Top 100. He can put Rs 3,000 a month there. He can also take one midcap fund like HDFC Midcap Opportunity Fund and put Rs 2,000 a month there. That will help him to reach Rs 25-26 lakh at the end of 15 years and help him achieve his goal.


Q: The investor can invest Rs 12,000 per month and he wants to know how to allocate the money. What would be the best fund?

A: We are assuming that after 16 years he needs to get Rs 25,000 a month and he lives on till the age of 85 years. His investments, at that stage, earn him 1% over inflation, Then Rs 15,000 a month is good. If he has only Rs 12,000, he can look at two or three funds. He can look at a largecap fund maybe ICICI Focus Blue-Chip, a multi-cap fund like HDFC Equity and then one midcap fund maybe like IDFC Premier Equity. So, these three funds would get him started. Whenever he can increase that amount, a bit he should increase so that he gets closer to his goal.



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First Published on Mar 20, 2012 02:24 pm
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