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.
Macro's don't change my strategy. Execute to plan and rebalance annually.
Elucidate on your plan that resists macro changes. Would surely love to know more about it.
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.
Tujhe q batau
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.
Allocation should definitely change over market cycles. Equity/Debt/RealEstate/etc
Loving how 2024 is looking actually. Getting rid of my cash position and all in on equity. Plus, locking in the good interest rates FDs. Not seeing lucrative returns on FDs till the next quantitative tightening now.
Godspeed! Time to...
mid 20s, ctc 30LPA(cash, non esops), monthly expense 60k(including needs + wants), how should I invest (~1.5L pm) considering following:
Move to Bangalore, give half of that to @BangaloreLandlord, put the rest in index, US and hybrid funds. Do stock tr...
Today there is mild profit booking. Have purchased 500 ETF units of NIFTYBEES today. Let's see.
Anyone else opening new postions or any thoughts to share?
