MUTUAL FUND: WANT RS 2 CRORE FOR RETIREMENT? TOP 9 FUNDS RECOMMENDED BY EXPERT

Mutual Fund SIP: We work hard in the present with the objective of creating a better future. Our lives are affected by several parameters, but one important milestone is retirement. During this period, we stop contributing to our lives by working full-time and depend upon the provisions we have made over the years. It is said that what we sow is what we reap in the coming days.

On that note, we bring you top fund recommendations from an expert to help build a Rs 2 crore retirement corpus.

Please note that these recommendations were shared only on ET Now Swadesh. During the show, the expert was answering the investors’ queries and making recommendations accordingly. You can check if you hold any of these mutual fund schemes in your portfolio.

1. Investor portfolio

• UTI Nifty 50 Index Fund
• UTI Nifty Next 50 Index Fund
• Parag Parikh Flexi Cap
• HDFC Small Cap
• HDFC Flexi Cap
• ICICI Pru Nifty Midcap 150 Index Fund
• Investor age: 46
• Total invested corpus: Rs 42 lakh
• Plans to invest: Rs 20 lakh
• Target corpus: Rs 2 crore
• Time period: 14 years

Expert recommendation

According to the expert, the investor appears to be a disciplined investor with a cost-conscious approach, given his preference for index funds. With Rs 42 lakh already invested and an additional Rs 20 lakh planned, the investor is well on track to reach his Rs 2 crore goal in 14 years, provided he adds around Rs 34,000 per month. The investor portfolio is well-structured, though switching from a mid-cap index fund to an active mid-cap fund could potentially enhance returns.

Recommended Mid Cap Funds:

• Invesco India Mid Cap Fund
• Motilal Oswal Midcap Fund

2. Investor portfolio

Another investor wants to invest Rs 5 lakh in equity funds for a period of three years, with a specific focus on power and IT-based funds.

Expert recommendation

A three-year horizon is relatively short for equity mutual funds, as they ideally require at least five years; thematic or sectoral funds are not advisable for such a brief period, said the expert. Instead, the investor should opt for diversified funds, as power and IT exposure is already available there, and stagger the Rs 5 lakh investment over 3-5 months across multiple schemes to reduce timing risk.

Recommended Funds:

• UTI Nifty 50 Fund
• DSP Nifty 50 Fund
• Invesco India Large & Mid Cap Fund
• Parag Parikh Flexi Cap Fund

3. Investor portfolio

Next question from Chandrashekhar, age 45. He invests Rs 1.45 lakh per month via SIP for 15 years. Additionally, Rs 10,000 in Silver ETF and Rs 10,000 in Gold ETF for 10+ years. He also increases SIP by 10 per cent annually.

Expert recommendation

The portfolio shows good diversification with exposure to metals, but allocation to gold and silver should ideally be capped at 20 per cent, as equities tend to generate stronger long-term returns. A balanced approach would be to keep 30-40 per cent in large-cap funds, 20 per cent in metals, and 20-30 per cent in mid- and small-cap funds, while limiting the total number of schemes to four or five and diversifying across fund houses. With a monthly SIP of Rs 1.45 lakh and consistent investing, he can potentially build a corpus of Rs 5-7 crore over 15 years.

4. Investor portfolio

• Parag Parikh Flexi Cap
• Motilal Oswal Mid Cap
• Tata Small Cap
• HDFC Flexi Cap
• Target corpus: Rs 3 crore
• Investment period: 15 years
• The investor concern is that the mid and small cap funds have underperformed recently. Seeking a portfolio review and advice on switching funds.

Expert recommendation

According to the expert, the investor should channel the additional Rs 20,000 SIP into a large cap fund to strengthen his core portfolio. The investor's current four schemes are well-diversified, and mid and small cap underperformance is likely temporary, so SIPs should continue for cost averaging. Two flexi-cap funds are fine due to minimal overlap. To reach Rs 3 crore in 15 years, a total monthly investment of around Rs 65,000 is needed; the investor is close to this target. No redemptions are necessary.

Recommended Large Cap Funds for Rs 20,000 SIP:

• DSP Nifty 50 Fund
• UTI Nifty 50 Fund
• ICICI Prudential Large Cap Fund

(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money related decisions.)

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2026-02-11T06:57:35Z