These are the regular sources of income for the elderly!

I am 62 years old. What are the avenues I have for a steady income? - Narayan

If you want to live a relaxed life in peace, you need to have enough funds for it. Senior citizens naturally opt for traditional ways. They also want to have immediate access to liquidity when needed in an emergency. Before investing, you need to decide how much you want each month. If any income comes through other means it should also be taken into consideration. That could be rental income, pension‌ , or something else. It should be clear how much investment is required each year. If you want more than 4–6 percent per year, you need to lower your expectations.

For example, if your investment fund is worth Rs. If more than 6 percent is withdrawn then one has to be prepared for low income in those subsequent years. Do not ignore inflation. If Rs 50,000 is enough for monthly expenses today .. after 5, 10, 15 years this amount will not be enough. At that time, the maximum is required. That is why retirees need to find ways to cope with inflation and return. Therefore, investments in equities should continue even after retirement. Only then will there be a chance for returns beyond inflation in the long run. The amount of investment should not be invested in inequities. Put 30–40 percent. The rest should be kept in fixed income tools.

Government-guaranteed schemes should be given first priority. Senior Citizens Savings Scheme (SCSS), Pradhan Mantri Vaya Vandana Yojana, and Post Office Monthly Income Schemes should be given first priority. An investor can invest up to Rs 34.5 lakh in all these schemes combined. The rest should be invested in high-quality debt funds. The investment should be adjusted annually to keep the equity share of 30-40% of the total investment.

Can Dynamic Bond Funds Be Sure If NAVs Fall? - Gayatri

Dynamic bond funds have the flexibility to convert their managed investments from long-term to short-term and from short-term to long-term. These schemes mostly handle medium to long-term investment securities. So these schemes will have an impact at a time when interest rates are rising. This can lead to a decrease in NAV. Yields are likely to increase further from here. Interest rates are hard to predict at all times.

So investors need to invest according to their needs. Preference should be given to schemes that take interest rate calls with a slight difference in fixed income plans. Priority should be given to quality portfolios based on accrual income rather than schemes that try to earn higher returns by switching investments between different periods. In most cases, short-term funds perform better than dynamic bond funds.

A comparison of the five-year rolling earnings from 2010 between the two shows the same. If you opt for dynamic bond funds they will give returns but the fund manager will be tidy with the investment management. Those who want consistent returns with low tides can opt for short-term funds.