Mr Asit Sen, a just retired from the central government, and has a very strong portfolio of Mutual Funds. In fact, the portfolio was hand-picked after a long experience. He took the help of a seasoned Mutual Fund advisor (MFD- Mutual Fund Distributor), Swaraj Finpro Private Limited, Jabalpur. Swaraj Finpro designed his portfolio by keeping his financial goals in mind. Just 15 years back, when Mr. Asit approached them, they asked him about his financial goals, how far those goals will be, and how much he would be able to invest on a monthly basis as SIP in selected mutual fund schemes.
The main goals which came out with the process of financial planning were as below-
- 1. Grand Daughter’s Post Graduation 2023 – Rs 20L
- 2. Grand Son’s post-graduation in 2025 – Rs 20L
- 3. Grand Daughter’s Wedding in 2026 – 20L
- 4. World Tour after retirement in 2023 – Rs 6L
- 5. Second income corpus after retirement worth 2 Cr
- 6. Health corpus in 2023 worth – Rs 50L
Astoundingly he is there. He has achieved his financial goals to the fullest.
He has final figures for all these financial goals by the time he retired. He is the luckiest person who achieved his goals seamlessly. This happened because he took the help of a senior certified financial goal planner, Mr. Ajay Kumar Jain, Chairman and Managing Director, of Swaraj Finpro Private Limited. There were many events of euphoria and panic in this journey, through market up and downs, wars, geo-political changes, etc., to deviate Mr. Asit’s belief in investments. Whenever he approached to take out his money from mutual funds, Mr. Ajay Kumar Jain restricted him to withdraw money in between. Mr. Jain stood with him as Sarthee just as Bhagwan Krishna stood with Arjuna during Mahabharat. His job was to control Arjun’s emotions and not to fight with anybody. So did Mr. Jain with Mr. Asit.
As a result, today Mr Asit has a very handsome corpus this time. Apart from this, he will get a retirement emolument of around Rs 1 Cr maybe in 3 months from now.
Recently his son asked him to provide a chunk of Rs 1 Cr for his business needs. Mr. Asit prompted to withdraw Rs 1 Cr and asked Mr. Jain to help him to do so.
Mr. Jain showed him his current Mutual Fund Portfolio at very handsome CAGR/XIRR returns. The total portfolio return was around 18% XIRR. It was altogether a jaw-dropping moment for Mr Asit Sen.
Mr. Asit’s portfolio was built with SIP contribution only. His SIP portfolio is combed with the following schemes,
- HDFC Focused 30 Fund – HDFC Mutual Fund
- SBI Small Cap Fund – SBI Mutual Fund
- ICICI Prudential Blue-Chip Fund – ICICI Prudential Mutual Fund
- Tata Equity P/E Fund – TATA Mutual Fund
- HDFC Mid-cap Opportunities Fund – HDFC Mutual Fund
Mr Jain suggested he shouldn’t withdraw Rs 1 Cr from the Mutual fund investment, because all the funds were earmarked for certain financial goals.
Now there is a twist to the situation. Mr. Asit was determined to provide the sum to his son at any cost. Mr. Jain requested Mr Asit to take a short-term loan against Mutual Funds or a credit limit against Mutual Funds instead of untimely redeeming from Mutual Funds. This credit limit is available at the rate of interest of 9.95% only. The main features of this credit limit against Mutual Funds are as below,
🔸 Interest as per usage
🔸 No lock-in/foreclosure fees
🔸 5-min digital process
🔸 Monthly interest from 0.83% ie 9.95% annually
While asking how to go about it Mr Jain suggested hhim, click on Loan Against Mutual Fund- Volt Money » Swaraj Finpro Pvt Ltd page on Swaraj Finpro’s website. To understand the process, he needed to click on the YouTube channel 𝐇𝐨𝐰 𝐭𝐨 𝐠𝐞𝐭 𝐡𝐚𝐬𝐥𝐞 – 𝐟𝐫𝐞𝐞 𝐋𝐨𝐚𝐧 𝐀𝐠𝐚𝐢𝐧𝐬𝐭 𝐌𝐮𝐭𝐮𝐚𝐥 𝐅𝐮𝐧𝐝𝐬 𝐰𝐢𝐭𝐡𝐢𝐧 𝟓 𝐦𝐢𝐧𝐮𝐭𝐞𝐬? – YouTube
It was a very simple process, easy to get a loan against a Mutual Fund portfolio of Rs 1 Cr within a few minutes.
Mr Asit Sen actually paid a 9.95% rate of interest for that period and saved his 18% rate of return which he was already getting on his mutual fund portfolio. As he received his retirement emoluments, he will return back the loan and save his highly profiting Mutual Fund Portfolio.
Benefits of Loan against Mutual Fund with Swaraj Finpro website,
- Interest Rates Starting at 9.95% p.a – helps Borrow from trusted banks or NBFCs at low-interest rates.
- Withdraw Flexibly – Most important Withdraw as per your need, and pay only as per usage. No hidden charges are applied.
- Repay Easily – Make monthly interest-only payments & repay the principal as per convenience.
- Secure & Paperless – Hassle-free usage from mobile phones. We ensure safety through secure integrations with lending partners.
This is How Mr. Asit Sen protected his old mutual fund portfolio from untimely redemption with the help of Swaraj Finpro Private Limited.
This is a smarter option for urgent cash when you have Investments in Mutual Funds.
This post first appeared on Financial Tips For Young Professionals: Building Wealth In Your 20s And 30s And Consequences Of Starting Late, please read the originial post: here
