Investment ideas?
Hi guys,
I'm seeking advice to invest overall 2.5lac yearly in ppf, nps, sip to get early retirement if possible. How I can split the money into sip and what plans, nps, ppf to get maximum corpus at the age of 50 my current age is 28.
First, analyse your financial plan,
viz: understand your near term and long term goals by time & money-required axis
If equity markets are overvalued, try to invest more in safer places such as EPF as it gives highest+guaranteed EEE(exempt exempt exempt) returns. Then pick and choose good Index funds. Try to have major money in equities. Use corporate NPS deduction to invest in NPS. This is a trick which allows you to reduce your take-home salary, thereby reducing your tax liability. Use compounding to your benefit and play the long game, as far as possible.
For someone, a 70-30 equity to debt split may be good, for someone else it could be 90-10. Nobody knows the perfect split, just have enough emergency spends to cover for your 6 or 12 or 18months expenses and you can invest the rest amt as per your risk appetite. If you feel confused talk to a fixed fee financial planner/advisor and invest only in low commission investment products.
Above all, invest in yourself. 10% of 10Lakh is 1Lakh and 10% of 30Lakh is 3Lakh. 😀
