Will these mutual funds help me to accumulate Rs 2 crore

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I am a 30-year-old businessman. I am investing Rs 12,500 per month in the following five funds
Rs 5,000 in UTI Nifty Index Fund
Rs 2,000 in UTI Nifty Next 50 Index Fund
Rs 2,000 in Axis Midcap Fund
Rs 2,000 in Motilal Oswal S&P 500 Index Fund
Rs 1,500 in UTI Small Cap Fund

I am planning to continue with the SIP for 25 to 30 years. I wish to accumulate Rs 2 crore when I turn 55 years old. Is my portfolio good enough to reach my goal?

—-Yuvaraj Jayaraman

If you invest Rs 12,500 per month for 25 years, you would be able to accumulate Rs 2.37 crore. That is assuming an annual return of around 12% on your investments. However, to earn that you have to continue with your investments. And you will continue with your investments only if you choose mutual funds in line with your risk profile. However, you have not shared your risk profile. Therefore it is not possible to recommend mutual funds for you.

You are investing in index funds based on large cap, mid cap and global indices.Apart from this you are also investing in mid cap and small cap schemes. You should understand that These schemes have varying risks. Their returns will also vary. Large cap schemes are less risky than mid cap and small cap schemes. However, large cap schemes also give lower returns and they are also less volatile. Mid and small cap schemes can be highly risky and volatile, but they can also offer higher returns. You should be mindful of these differences. Only then you will have the conviction to continue with them during a bad phase in the market.

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