My dad wants to invest in Mutual Funds starting next month. He'll be investing Rs. 2 Lakhs initially and has a long term outlook (5-10 years and more, if needed). He already has enough of FD/Insurance and I don't think its necessary for him to invest in Debt Funds. I've advised him to invest the entire amount in Equity and Balanced Funds. According to me these are the funds and allocations he should consider -
HDFC Prudence - 40K
Birla Sunlife Equity - 40K
Reliance Growth - 30K
Magnum Contra - 30K
DSPML T.I.G.E.R. - 30K
Kotak Opportunities - 30K
I've also advised him to go by SIP route (6 installments/fund) starting next month itself and continue till July 08. I would like to know if the above selection of funds and allocation is good enough and reasonably risk free. I don't want him to blame me later for giving him a wrong advice. Please help.
My advice would be to go for funds with large cap bias and more in balanced as the investment is for your dad and his looking at his age it is better to not go for aggressive funds. Even MIP is gud option. However, u can personally invest in the ones u mentioned