I am a young investor – 80% equity exposure – is it better for me?
I am a young investor; I can bear more risk at this age, so 80% equity exposure is fine for me. This is the misconception among young investors. In addition, you know to get an inflation-adjusted return on investment, investing in equity is must.. And at the same time, you also know that asset allocation based on your risk profile is also a must to reduce the risk in your portfolio. But the big question is, how much equity exposure is needed? Moreover, you may have heard or read somewhere that young earners can invest up to 80% in equity, …
nifty 50 and nifty 50 tri – what is the difference – All you need to know
When discussing Nifty 50 and Nifty 50 TRI, it’s essential to understand the key differences between these two indices. which are crucial for investors and traders in the Indian stock market. – **Definition** of Nifty 50… Nifty 50 is a stock market index that represents the weighted average of the 50 largest and most liquid Indian companies listed on the National Stock Exchange (NSE). – In addition, it serves as a benchmark for the overall market performance and is widely used for various financial products, such as mutual funds and ETFs. And Nifty 50 is calculated based on the stock …
top mutual funds for sip in 2025 – All you need to know
Are you looking for the top mutual funds for SIP to invest in 2025 in India? Read this complete article to get the list of mutual funds that I am suggesting you and also the things to keep in mind while investing in MF. Before knowing the best mutual funds to invest in 2025, let me explain the process to invest in mutual funds. In addition, you need to connect all the dots and take investment decisions. Process to invest in equity mutual funds?… Why should you invest in equity mutual funds? .. a) To beat the inflation… You may …
icici equity valuation index – How it is useful to time the market?
All investors know this important rule for investing in equity markets. In addition, that rule is that you should buy at low valuations and sell at high valuations in the market to make high profits or high returns on investments. Moreover, the ICICI pru equity valuation index will help you to know whether equity valuations are high or low. But most investors are very confused about identifying the high valuations in Indian equity markets, i.e., nifty and sensex. In addition, most of the time investors enter at high valuations and sell at low valuations. In fact, they are selling their …
high returning mutual funds – Out of large, mid, small and mulitcap fund – All you need to know
Are you confused about choosing the high-returning mutual funds category out of large, mid, small, and multi-cap funds? Then you are at the right place to know more about it. High-returning mutual funds out of large, mid, small, and multicap funds?… for this analysis, I took the daily nav of all these 4 category benchmark closing values for more than 470 days from 2006 to the 2024 end. In addition, I have calculated the yearly return on investment for all these 4 categories: large cap, mid cap, small cap, and multi cap. But you can see that the returns for …
best fund to invest – Out of large cap, mid cap and small cap and multi capfunds for consistent roi?
There are so many categories of funds to invest in the equity mutual funds category. But the real problem comes while choosing the best fund to invest in out of the large, mid, small, and multicap fund categories to get consistent ROI for your future financial goals. Best fund to invest out of large, mid-, and small-cap funds… Large-cap fund definition means, as per SEBI rules, mutual funds should invest in the top 100 companies that are listed on the national stock exchange as per the highest valuations. And midcap funds that will be investing in the top 101 to …
Types of Investors – Based on your risk profile – All you need to know
The risk profiling process will give an output report about risk tolerance. In addition, this report will tell you what type of investor you are. Types of Investors Based on Your Risk Profile… A doctor prescribes medicine only after a proper diagnosis, right? As the medicine consumed has some risk associated with it. Similarly, most of the investments have some risk associated with them, apart from government bonds. So, it is a must for all of us to measure our risk profile first and then decide the asset allocation based on that risk tolerance report. Generally, there are 5 types …
Risk Profile for your investment journey – all you need to know
Investors investing in capital markets must access their risk profile first. And then we must decide the asset allocation and follow that asset allocation. In addition, this risk profiling must be reviewed at least once a year. Risk Profile Definition… A risk profile is an analysis of types of risks faced by individuals and companies. In addition, for individuals, a risk profile is the amount of risk that he/she is inclined to take on the investment portfolio. Risk profile for individuals… An individual risk profile represents the amount of risk he/she is willing to take in the investment portfolio. In …
Fixed Asset allocation – Nifty 50 and Gold back testing – All you need to know…
If you are investing in the stock market or in equity mutual funds, asset allocation is a must to reduce the risk in the portfolio. Here, in this article, I will explain to you about fixed asset allocation with Nifty 50 and Gold as asset classes in the portfolio with a backtest with the help of nifty and gold historical values. What is fixed asset allocation… Fixed asset allocation is a strategy to allocate a specific ratio of equity and debt (gold, debt funds, etc.). In addition, this strategy is also called the buy and hold strategy. And rebalancing of …
Benchmark in mutual funds – is it important for your investment decissions?
If you are about to buy a rice bag, there is no need to test the entire bag, right? If you can test a small sample of rice with your hand, that is more than enough to know the quality of the rice that you are buying. Similarly, while investing in mutual funds, if you compare any group of schemes with its relevant benchmark, that is enough for you to take your investment decision. What is a benchmark in a mutual fund? In the realm of investment, the selection of the right instruments can significantly influence the outcome of an …
