How should I allocate MF SIPs in current market conditions?

I'm 36, working in a private firm, and started investing in July 2024. My portfolio is valued at ₹17 lakh, and I invest ₹1.15 lakh per month through SIPs.

- Harshad Chetanwala

Of this, 60% goes to mid- and small-cap funds, 15% to sectoral funds such as defence and infrastructure, and the remaining to flexi- and large-caps. My returns are currently negative. Should I change my SIP allocations? Will I still be able to reach my ₹5 crore goal in 10 years?

—Name withheld on request

Your decision to invest in Mutual funds through SIPs for a 10-year goal is correct. Many experts and advisors have been suggesting to follow a diversified approach in mutual fund investing over the last few years. This also included limiting the allocation in mid- and small-cap funds between 15 to 25% of the overall portfolio based on your risk appetite.