— Sri Ramakrishna Chittabathina
Subir Jha, founder, Buckspeak, a financial planning firm based out of Hyderabad, responds:
5 years is not the ideal investment horizon for a SIP in equity funds. I would recommend sticking to debt funds. You would also have to temper down your return expectation from debt funds in the next 3-4 years. Some debt funds with robust long-term track record and well-positioned portfolio for the next 5 years are:
If you have some flexibility for your goal, you could invest 25% into ICICI Pru Equity & Debt Fund, a hybrid fund and split the remaining 75 % into the above three debt funds. All the debt funds are different in character and would complement each other. Also in debt funds, past returns are not at all an indicator of their future returns. This should you closer to 40-45 lakhs in the next 5 years.