Starting Young

Piyush Bhurangi, 26, working as a Software Engineer in Noida, U.P. is getting married in November and is looking to freeze a long-term investment plan to suit a larger family. He has invested Rs 1,000 each in mutual funds via the systematic investment plans (SIPs). Currently, on a take-home salary of Rs 25,000 per month, his expenses add up to about Rs 10,000, apart from investments. He has a term insurance plan of Rs 25 lakh with additional death benefits (ADB) taken in September, 2009. All his investments are tilted towards equities. While that wasn’t really a very big problem as he is young, yet diversification is crucially necessary as he is the only bread-earning member of his family right now.

This article was originally published on November 28, 2009.