This plan is also designed for wealth creation and capital growth over a long period of time but will have some exposure to debt & money market instruments with an aim to provide little stability to our money as wemove a little closer to your retirement.
Benefits of being in “40s”:
Time: Close to two decades until your retirement
Savings: While in ‘40s’ expenditures may have grown but so does the income, which allows to save & invest more towards our goals
Risk Profile: This period may warrant for ‘Step-Up’ (increase) in regular savings amount (SIP amount) but with a moderate to high growth orientation & risk.
Will invest in a mix of equities, bonds, money market instruments to achieve both growth & income, while attempting to minimize volatility
Will seek to maintain a flexible equity exposure between 65-80% depending on the current market conditions.
Debt portion of the portfolio will predominantly follow an accrual strategy with investment in quality corporate bonds and debentures.
Equity component to be more quality focused while being diversified across sectors and market caps