Portfolio plan for 46 to 58 with more than 4 dependents
| Options | Equity | Bonds/Debentures | Mutual Funds | Liquid Cash | Real Estate | Gold | Insurance | Tax saving |
| % | 27 | 20 | 11 | 15 | 5 | 5 | 10 | 7 |
Equity: Growth stocks – 40 , Value stocks – 35 , Defensive stocks – 25
Mutual Funds: Growth fund - 50 Income fund – 50
At your age you need to decrease investments in equity (27%). The suggested split is: Growth stocks: 40% Value stocks: 35% Defensive stocks: 25%
Investing 20% of your savings in bonds and debentures will provide fixed income to meet your expenditure.An investment of 11% in mutual funds (50% in growth funds and 50% in income funds). will ensure returns and security.15% of your savings may be held in cash to meet health and other related expenses. An optimum proportion (5%) should be invested in gold and real estate.Investments in tax saving instruments and insurance should each be limited to 5% of your savings.
The starting point for Portfolio Planning is here.