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How to draw regular income as I am going to retire

I am going to retire in the month of August 2017. I would like to invest around Rs. 25 Lakhs in 5 different funds and would like to draw Rs. 25,000 per month through SWP. My risk apetite is low being a retired employee with no other source of income?

May 6, 2017 by Sankarankutty P V, Trichur  |   Mutual Fund

As you are retired and your risk profile is also low, you should ideally invest in debt funds or MIPs which pays monthly dividend as you want regular income. However, desiring to get Rs 25,000 by investing Rs 25 Lakhs is quite a bit higher expectation.

To earn higher return, you have to take moderately high risk and in that case balanced funds could be a good option. There are quite a few balanced funds which pays around 10-12% dividend annually. These dividends are paid either monthly or quarterly. the other option is to invest the lump sum amount in balanced funds and draw a fixed amount monthly through SWP.

You can check the top performing balanced funds and MIPs from these links - https://www.advisorkhoj.com/mutual-funds... and https://www.advisorkhoj.com/mutual-funds...

Therefore, first decide if you can take higher risk or not and then opt for the right category of funds.

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