My mother is 59 years old, and a widow. My father passed away in September 2015. He had made some investments. How can I re-invest on my mother’s behalf? She needs monthly income for household expenses and needs to build a consolidated portfolio. She has no liabilities. My mother’s healthcare expenses are covered as my father was employed with a public sector company. The amount available is around Rs.1.2 crore. Present investments are worth Rs.86 lakh— Rs.40-45 lakh in fixed deposits (FDs); Rs.30 lakh in Birla Capital Protection Fund; Rs.3 lakh in National Savings Certificate (NSC) for FY2015-16; Rs.4.5 lakh in post office monthly income scheme; Rs.2 lakh in Kisan Vikas Patra (KVP); and Rs. 1.5 lakh in Public Provident Fund for FY2015-16.
Her present monthly cash inflow is Rs.62,000 (Rs.30,000 rental income, Rs.17,000 from an insurance policy, and Rs.15,000 from my father’s pension). She needs about Rs.25,000 as monthly outflow, Rs.26,000 quarterly as society charges for two houses, and i ncome tax payment to be done on behalf of my father.
—Tarun Johri
The main objectives are preservation and growth of capital along with ensuring regular income.
There are three asset blocks—existing corpus, corpus to be invested and real estate. There is also a surplus that gets generated every month from rental income.
