Fee-only Advisor Journey: Sukhvinder Sidhu’s unwavering principles

SEBI registered investment advisor Sukhvinder Sidhu shares his journey: from bank branch manager to following his passion and his struggle in establishing himself as a fee-only financial planner. Sukhvinder is a man of unwavering principles who strongly believe in unbiased, affordable and commission-free financial planning advice to families. In spite of his early difficulties and in spite of seeing commision-based planning thrive, he has stuck to his guns. I am delighted that it is finally paying dividends. This is the second fee-only advisor journey featured. The first was Melvin Joseph’s determined struggle to the top. read more

What is XIRR: A simple introduction

If you have invested in mutual funds, the annualized returns that you see in portfolio trackers are from an XIRR calculation. It is important to understand that XIRR is an “adjustment” and not get carried away with the large numbers that you see. A simple explanation of what is XIRR.
XIRR or extended internal rate of return is a measure of return used when multiple investments (at different points in time) are made in a financial instrument. read more

Download Update: Robo advisory Template – Version 3

Readers may be aware that in September 2017, I had released a robo advisory software template to plan from start to finish for retirement (early, normal, before and after), non-recurring financial goals (child education) and recurring financial goals (Holiday, appliances etc.). Here is the 3rd version of the template.

Changes made in version 3

1: One major bug in the computation of post-retirement income and one minor bug in the cash flow have been corrected. Your retirement planning outputs will change only if you had entered regular income after retirement. It is however recommended that you use this version from now on. read more

what should be my first mutual fund?

Yesterday, we considered How to start investing in equity Today, let us discuss what should be the first mutual fund for a young earner or for new mutual fund investors. The financial services industry makes a big deal out of risk profiling. You cannot take theoretical answers about market volatility and provide investment advice on that! The true risk appetite of a person is revealed only when the market crashes. read more

How to start investing in equity?

This weekend, in a two-part re-assemble series posts, let us consider: (1) How to start investing in equity and (2) what should be my first mutual fund?. The transition from the comfort of fixed income to volatile equity can be quite dramatic. I discuss simple getting-started ways for investors new to equity.

Investors make two big mistakes when it comes to equity

1: Forgetting about asset allocation (how much is invested in equity and how much in fixed income) read more