Did you invest 19 lakh rupees as a lump sum investment or did you invest via SIPs every month? The question is unclear and therefore, there needs to be two versions of this question.
Let's assume that you have invested 19 lakh rupees as a lump sum 7 years back. In mutual funds, a return of 12% is considered the benchmark; anything below 12% is not a decent fund if the market condition is good and anything above 12% is great! In your case, you have earned a profit of 11 lakh rupees over 7 years which comes to an annual CAGR of 6.75% only which is less than what bank FD rates offer!
If you have invested 19 lakh rupees in SIPs over the last 7 years, I can only assume that you didn't step and invested the same amount for 84 months, which comes to 22,600 rupees per month. Now if your portfolio amount is 30 lakh rupees, according to my calculations, your CAGR is 12.2% which is just at-pat with decent market returns.
If you have invested via SIPs, you can continue doing so. Check the individual XIRRs of the funds and if anyone is very low, you can consider changing it. Otherwise, if this is the story with lump sum investment, I would have to say that your fund selection isn't the best and consider consulting a proper fund manager to advise you. Don't rely on strangers on the internet or YouTube videos to handle finances.
0 Comments