My investment audit in July

In the last post I had written about my financial audit in July, where the focus was mainly to look at my revenues, expenses and consequently the cash flows. In the current post I will look at the investment audit which I had carried out simultaneously for the same period, that is the first 4 months of the financial year.

As my regular readers will probably recall, I had the following investment plan for the current year:-

  • Investment of 3 lacs in the PPF account of my wife and me.
  • Investment in equity MF to the extent of 5 lacs in the year. For this purpose I am looking at the calendar year 2016 rather than the financial year.
  • Stock portfolio investment, mainly by my wife, to the extent of 1 lac.
  • Reinvest of the principal amount from FMP redemption proceeds into appropriate debt or hybrid instruments.

In my audit of investments, I had the following observations:-

  • Contribution of 3 lacs was made to the PPF account of Lipi and me in the beginning of April. The next contributions will be in April 2017.
  • Equity MF purchases were done in the January to March period mostly. I have so far invested 2.5 lacs out of the yearly planned 5 lacs. I have plans to buy MF again when the Nifty is close to the 8000 figure. I feel it eill happen by October or so, but even if it does not, I can always buy at a later point.
  • As the stock buying opportunities were good, we ended up moving about 1.5 lacs fresh money into Lipi’s portfolio. This was helped by the maturity proceeds of an FD that she had.
  • FMP investments worth 7 lacs at cost value matured in this period. I have taken the LTCG as revenue for myself and reinvested the 7 lacs. Based on my thought process about FMP not being a good choice right now these have been invested in Gilt funds, Equity Savings funds, Monthly Income Plans and Arbitrage funds.
  • I also redeemed one of my debt funds from Franklin Templeton as it was not doing well. Again, the proceeds were invested in the instruments mentioned in the earlier point.

In the August to November period there are some key investment decisions that I need to make:-

  1. Decide on an appropriate time for additional MF purchases.
  2. Reinvest FMP maturity proceeds into appropriate investments.
  3. Decide on how much money should be made available for Lipi’s stock portfolio.

Overall, the investment plan seems to be going fine and I am feeling quite good about it.

2 thoughts on “My investment audit in July

  1. Sorted and Simple plan. thanks for walking the talk , not many who are privileged with knowledge and ability share such information in detail. keep it up and good luck aug-nov period.


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