–Santanu Bhattacharya
It seems you are new to investing in mutual funds. When you are planning for retirement, there are two phases: accumulation phase and retirement phase. In the accumulation phase, you save and invest to create a corpus. In the retirement phase you start taking money out by drawing a regular income. The strategy is different in both the phases. For example, most investors, especially young investors, would invest aggressively in equities to build a large retirement corpus in the accumulation phase. Once they retire or a few years before retirement, they will shift the investments in equities to safer avenues like debt mutual funds and bank deposits to draw a regular income. Unless you plan your retirement systematically, you will run out of money soon. That is why one has to be realistic when investing for retirement.
You are 48 years old. That means you should avoid taking unnecessary risks and stick to relatively safer options like large cap funds and flexi cap funds. Once you are near retirement, you can move the money to debt mutual funds and set up a Systematic Withdrawal Plan or SWP. You should choose the amount based on your corpus and your financial situation.
If you don’t understand much about mutual fund and investment options, seek the help of a mutual fund advisor or financial planner.
