I have shortlisted my goals and the expected amount:
SHORT TERM GOALS
Buying vehicle upto Rs 80,000 within 1 year
Home loan repayment Rs 6.5 lakh within 3 years
For utility goods upto Rs 1 lakh within 1 year
Pregnancy and delivery….upto Rs 1 lakh within 1 year
LONG TERM GOALS
Daughters education minimum 1 lakh per year
Husband’s surgery/treatment may be Rs 6 to 7 lakhs
Buying property, may be Rs 1 crore after 5 to 6 years
Please guide me about how to invest money. I am waiting for your valuable reply. My age is 34 years and my husband’s age is 32 years.
— Shaali Lisa
Chokkalingam Palaniappan, Director, Prakala Wealth, a wealth management firm based in Chennai responds:
You have many needs and wants. All of us have the same. However, we have to prioritize the more important things since surplus with many of us is less. In your short term goals, pregnancy expenses are more important than buying a vehicle. Since you are a govt. employee, you should have health insurance. Please check with your HR Dept. There is no urgency to close your home loan.
In your long term goals, your husband may check with his employer for his surgery expenses. I am not sure if you have mentioned (Rs. 1 Lakh) school educational expenses for your daughter. If it is so, it should come under regular monthly expenses. However, you can plan for her college education now and invest for the same.
Alternatively, since, you may divide the surplus into two parts – one for your short term needs and another one for your long term goals and invest as follows:
For Short Term
ICICI Pru Ultra Short Term Fund – 25% of your surplus (per month)
IDFC Ultra Short Term Fund – 25% of your surplus (per month)
For Long Term
Canara Robeco Equity Hybrid Fund – 25% of your surplus (per month)
UTI Flexi Cap Fund – 25% of your surplus (per month)
The short term fund can be redeemed whenever you want. However, we suggest a holding period of at least 6 months. The long term fund is for your long term goals. Suggested holding period is a minimum of 7 years.