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MF Guru: 'Can I achieve Rs 2 cr target in 10 years?'

January 13, 2023 08:54 IST
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Ulhas Joshi, Head -- Sales, Rank MF, (external link) a mutual fund investment platform, answers your Mutual Fund queries.

MF guru

Illustration: Dominic Xavier/

Lynn Joy: I am slightly risk averse but planning to make good investments in MF as i think I can set them up for the long term. Right now, I read about a lot of funds but confused as I am not from a finance background and would like to proceed with caution. I can set apart 40,000 for investing.

Can you suggest a few MFs that would be good to go ahead with? I also want to understand if i should focus on Growth funds or IDCW Interim. I quite don’t understand what IDCW Interim means, is this Dividend sort of format?

Ulhas Joshi: IDCW stands for Income Distribution cum Capital Withdrawal. You can generally see 2 options under IDCW plans: IDCW reinvestment where the fund house reinvests the dividend amount and allots additional units to you.

Under IDCW payout, the fund house will transfer the dividend amount to your bank account.

Under the growth option, the fund house does not declare any dividend. You will see an appreciation of your NAV.

If you are investing for the long term, you can opt for growth plans in the below schemes:

  • UTI Flexicap -- Growth with Rs 10,000 SIP
  • SBI Small Cap -- Growth with Rs 10,000 SIP
  • Motilal Oswal Mid Cap Fund -- Growth with Rs 10,000 SIP
  • PPFAS Conservative Hybrid Fund -- Growth with Rs 10,000 SIP


Pramod P Ambekar: I am investing in below mentioned MFs monthly for the past 5 months.

1. Parag Parikh Flexi Cap fund (G) -- 1000

2. UTI Flexi cap Fund - Growth -- 5000

3. Motilal Oswal Mid cap Fund - Growth -- 4000

Kindly suggest whether these funds are good or I need to diversify. I wanted an amount of around 2 cr before retirement. Currently my age is 36 years.

Ulhas Joshi: All the 3 current funds you currently invest in are good. You can increase the step up the SIP amounts by 10 per cent every year. You can also consider adding Samco Flexicap Fund and UTI Flexicap Fund.


Shiva Naga: I just want to create the corpus 2 cr in 10 yr tenure. Please advise me whether this can be achieved or not. Here are the details of funds that are investing from 2021 Jan. 

ICICI prudential technology fund -- 10 k/month

Axis small cap -- 5 k/month

Mirai asset tax saver fund -- 5 k/month

Mirai asset emerging bluechip fund -- 2.5k/month

Ulhas Joshi: Achieving Rs 2 Crore in 10 years is an ambitious target. Please increase the SIP amount up to Rs 60,000 and increment the SIP installment by 10 per cent per year.


Divyanshu Chaudhary: I'm currently 26 year old. I'm having an SIP of 12,500 in Mirae asset tax saver fund, 5000 in Parag Parikh flexi cap fund, 5000 in uti nifty index fund. The current corpus is around 5.5 lakh. I'm earning around 75000 per month and unmarried. I've additional funds (around 10000) to invest in sip, kindly advice a suitable fund for wealth creation. Also, advice a fund for parking my additional funds (with returns better than FD) for short term of 1 year.

Ulhas Joshi: You can consider PPFAS Conservative Hybrid Fund for parking your funds. For SIPs you can consider Samco Flexicap and UTI Flexicap funds of Rs 5,000 in each.


Jitendra Prajapati: I am new to Mutual fund and I want to start to do investment in mutual funds. Initially I want to start SIP of Rs 5000 (1000 SIPs for 5 Funds) for Short, Mid and Long Term. Kindly suggest in which mutual funds I have to start SIP of Rs 1000 and for how long? Your value suggestion is most important on that. Kindly suggest the best.


Ulhas Joshi: 5 schemes may dilute the returns of your portfolio. It is better to choose 3 schemes. You can go for:

  • HDFC Hybrid Fund-Growth for short term with Rs 2,000 SIP for 2 to 4 years.
  • DSP Top 100 Equity Fund-Growth with Rs 2,000 SIP for 3 to 5 years.
  • Canara Robeco Smallcap Fund-Growth with Rs 1,000 SIP for 5 to 8 years.



UTI Nifty Next 50 Index Growth Direct Plan - -- 16000

Parag Parikh Flexi Cap Growth Direct Plan - -- 16000

Edelweiss Balanced Advantage Growth Direct Plan - -- 16000



Ulhas Joshi: The funds you invest in are good funds. You can continue your investments.


Rajashekhar G B: I am 45 year old with current 2 ULIP investments started in 2003 (Fund Amount: 31 lakh) and 2018 (Fund amount: 40 lakh with monthly SIP of 50K for another 5years). ULIP returns have been very low but I like to continue as these funds can be withdrawn for any emergencies. 

My goals are similar to one of the fellow enquirers as below:  

Goal1: Retirement Rs 3 cr in 10years 

Goal 2: Education and Marriage of my daughter Rs 2 cr in 16years.  

Please advise suitable MFs and SIPs to achieve above goals. 

Ulhas Joshi: To achieve your goals, please share more details like surplus amount you can invest monthly in SIPs and lump sum investments. 


Asif Mohammad: I have been investing in the following funds: 

1. Mirae Assert Large Cap Fund -- 2K

2. Quant Focused Fund -- 2K

3. Edelweiss Mid Cap Fund -- 1K

My goals are to plan a vacation (Hajj) which is going to cost me around 14 Lakh in the next 5 years (2027). My other goal is to accumulate a corpus of around 30 Lakh in the next 7 years (2030) for purchasing a home.

Where and how much should I invest to achieve both the goals? Please advise me.

Ulhas Joshi: To create a corpus of Rs 14 Lakh in the next 5 years, you need to increase your monthly investment to Rs 17,000 from your current Rs 5,000 in the same schemes.

To create a corpus of Rs 30 Lakh in the next 7 years, you need to start monthly SIPs of Rs 25,000 in:

  • UTI Flexicap – Rs 10,000
  • Motilal Oswal Midcap – Rs 10,000
  • Canara Robeco Smallcap -- Rs 5000

If you can step up your SIPs by 10 per cent annually, you will achieve your goals faster.


Akash Chawla: I am currently investing through sip. My age is 31 and investing from last 2 years. My aim is wealth creation. Am I investing in right funds?

1) axis bluechip -- 5000

2) axis midcap -- 8000

3) parag pareikh flexi cap -- 10000

4) SBI smallcap -- 7000

Ulhas Joshi: The funds you are investing in are good funds. You can continue investing in them.


Yogesh Malkhede: I want to start 10K/Monthly each in below 4 Funds from my Wife's account. She is currently 38 and can work max till her 50.

Canara Robeeco Equity Direct Fund

PGIM MidCap Equity Direct 

Nippon India Small Cap Direct 

ParagParekh FlexiCap Direct

1. Are this funds Good and how much return they can give in next 12 years?

Ulhas Joshi: The funds you are investing in have good portfolios. You can start investing in them.

2. Is it wise to replace any Good performing Index Fund in place Equity Large Cap Fund.

Ulhas Joshi: Passive funds are good for mature markets. Indian markets are still developing and active funds are recommended instead of passive funds.

3. Want to add additional 10K/Monthly with beating the FD fund (can generate 10-12 per cent CAGR) and can be used as Emergency Fund as well… So which fund should I choose here?

Ulhas Joshi: You can consider PPFAS Conservative Hybrid Fund.

Disclaimer: This article is meant for information purposes only. This article and information do not constitute a distribution, an endorsement, an investment advice, an offer to buy or sell or the solicitation of an offer to buy or sell any securities/schemes or any other financial products/investment products mentioned in this QnA or an attempt to influence the opinion or behaviour of the investors/recipients.

Any use of the information/any investment and investment related decisions of the investors/recipients are at their sole discretion and risk. Any advice herein is made on a general basis and does not take into account the specific investment objectives of the specific person or group of persons. Opinions expressed herein are subject to change without notice.

Note: The questions and answers in this advisory are published to help the individual asking the question as well the large number of readers who read the same.

While we value our readers' requests for privacy and avoid using their actual names along with the question whenever a request is made, we regret that no question will be answered personally on e-mail.

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