What is your investment allocation strategy?

Have a significant cash position right now. Currently, majority is tied up in Indian blue chips and index ETFs. I have a minority position in Fixed Income securities and currently building it up more as I suspect interest rates are likely to have plateaued at their peak.

Kendall Taye

Unemployed

a year ago

Macro's don't change my strategy. Execute to plan and rebalance annually.

Jordon Carmden

Gojek

a year ago

Elucidate on your plan that resists macro changes. Would surely love to know more about it.

Blair Dean

Unemployed

a year ago

Nothing can resist macros. Macros are all pervasive, but offer no actionable signals to the lay investor. Changes get triggered due to macro shifts in parts of your portfolio, but frequent tinkering or even action doesn't necessarily translate to better returns or better risk management. What makes a difference is discipline in continuing investments through thick and thin, and periodic rebalancing (annual in my case) to ensure macros don't inflate a part of your portfolio beyond its rightful weight. So after a few years of experimenting and tinkering with my money, the HLD for the portfolio over the past 10Y is: 60% in equity - Index + a self managed concentrated 10 stock portfolio. 20% - Gold (all digital). 20% - Debt (EPF, PPF, Long Term Gilt/GSec funds). There are also side experiments I run, but they are very minor. Smallcases, NPS, etc. It doesn't matter what they return.

See more comments

Coy Lee

Bombay Play

a year ago

Tujhe q batau

Kalan Everett

Stealth

a year ago

My corpus isnt much so I just consider where my inflows/savings accumulate. My framework is N50, NN50, MC fund, SC fund, US funds and debt (debt funds, EPF, PPF). Every quarter I check which of the above equity indices has given least returns compared to others. Eg: Currently NN50 appears least appreciated vs SC, MC, Nifty. So I invest in that. After some more years of saving, I plan to have target allocations for above sub-classes and rebalanced twice a year. One thing I ve learnt abt MC/SC indices: They give inferior returns adjusted for their risk as compared to N50, NN50. Most of their return spikes are easier to spot and exit and you don't need to remain invested in them. When mutual fund managers stop accepting lumpsum investments in their SC schemes, that is a good signal that they are gonna be out of steam and can be exited.