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Am I investing in the right mutual funds for my retirement?

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Last Updated: Jun 03, 2020, 09.46 AM IST
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Summary If you have any mutual fund queries, message on ET Mutual Funds on Facebook. We will get it answered by our panel of experts.

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I am 35 years old.My investment horizon is 7 to 10 years. My objective is to create a lump sum amount for my retirement.
Right now, I am investing in five mutual funds.

1. Kotak Standard Multicap Fund: Rs 2,000 per month
2. HDFC Mid-Cap Opportunities Fund: Rs 3,000 per month
3. Axis Focused 25 Fund: Rs 3,000 per month
4. Nippon India Small Cap Fund: Rs 2,000 per month
5. Axis Bluechip Fund: Rs 4,000 per month
I have an aggressive risk appetite. Am I investing in the right combination?
-Anutosh Bhattacharya


You are currently investing in a multi cap scheme, mid cap scheme, focused multi cap scheme, small cap scheme, and a large cap scheme. You are investing Rs 14,000 in a month, and most of it (around Rs 9,000) in multi cap schemes and large cap schemes. Multi cap schemes are meant for moderate investors and large cap schemes are recommended to conservative equity investors. As you can see, that is not an aggressive portfolio. It is not clear why you have added these schemes when you have a high risk appetite. It is always better to have a focused portfolio. Reassess your risk appetite and ensure that the schemes you have chosen are in line with your risk profile. You may not have mental make up to take up very high risk.

You are investing in too many schemes. Limit the total number of your schemes to two or maximum three, including tax saving or ELSS funds.
(If you have any mutual fund queries, message us on ET Mutual Funds on Facebook. We will get it answered by our panel of experts.)

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