How do I get Rs.60K every month for rest of my life given my current investments? I have 2.4Cr invested in equity and mutual funds. Rs.2.15Cr foreign equity and 90lacs in debtinstruments.Noliabilities and own house.

When it comes to generating a steady monthly income from your investments, it’s like setting up a monthly subscription to financial security. Given your impressive portfolio of ₹5.45 Cr, achieving a monthly income of ₹60K, or ₹7.2 lakh per year, is quite feasible. Here’s a suggested approach:

1. Debt Investments: Out of your ₹90 lakh debt investments, you could set aside ₹60 lakh in a laddered fixed deposit arrangement or in short to medium duration debt mutual funds. Even at a conservative 6% return, these could generate approximately ₹3.6 lakh per year, meeting half of your annual requirement.
2. Dividend Stocks and Mutual Funds: From your ₹2.4 Cr domestic equity, allocate a portion, say ₹40 lakh, towards dividend-paying stocks or mutual funds. These typically provide a dividend yield of around 2-3%. This would yield approximately ₹1 lakh to ₹1.2 lakh per year.
3. Equity Mutual Funds SWP: You can set up a Systematic Withdrawal Plan (SWP) from your equity mutual funds. Even if we assume a conservative annual return of 8%, an SWP of ₹1 Cr from your equity investments can easily fulfill the remaining annual income need without eroding the capital much.
4. Foreign Equity: Considering the balance, you have ₹2.15 Cr invested in foreign equities and ₹1.9 Cr in domestic equities (after allocation for dividends and SWP). This is some geographical diversification, but we feel that Indian equity composition can improve given the strong performance and outlook of the Indian economy. The returns here can significantly contribute to the growth of your wealth.

Always remember, inflation is the silent wealth eroder. The real return is what you get after adjusting for inflation. This approach provides a balanced consideration for regular income, capital preservation, and growth.

Note: This approach doesn’t account for taxes and the potential variability in returns from equities and dividend-paying stocks. It’s always advisable to discuss these aspects with a SEBI Registered Investment Advisor (consider Jama Wealth after clicking on my profile page ).

Also, given the current market valuation (as of mid-2023 run up), be prepared for potential short-term downswings in your equity portfolio. You seem to be a savvy investor, but it’s always good to remind ourselves of market dynamics!

At last, pat yourself on the back for reaching this strong financial position. Now it’s about smartly managing what you’ve accumulated to serve you for the rest of your life. Happy investing!