'Adopt wait and watch strategy, deploy funds slowly on market dips, says Seemant Shukla of JM Financial Mutual Fund
₹17.8 lakh crore over the course of six sessions as the total market capitalisation of the companies listed on the BSE dropped from ₹323.8 lakh crore on Tuesday, October 17, to approximately ₹306 lakh crore. The market is being held back by a number of headwinds.
In light of the present geopolitical environment, difficulties and slowdown in developed markets, and the upcoming election in India, Seemant Shukla, Chief Business Officer, JM Financial Mutual Fund feels that people should consider a phased investment strategy with a longer time horizon. In an interview with Mint, Shukla also spoke at a length about investor preferences and fund categories from the previous year, asset allocation in light of the present market conditions, and tactics to draw in more Systematic Investment Plans (SIP) clients.
Edited excerpts: Given the current geopolitical landscape, challenges and slow down in developed markets, and an impending election in India , investors may feel anxious which is palpable. It is suggested that individuals explore a staggered investment approach with a longer time horizon.
Despite global uncertainties, the Indian economy is relatively outperforming other emerging and developed markets, supporting a bullish long-term view for India. Also Read: Stock Market Today: Nifty 50, Sensex end with solid gains; investors pocket about ₹5 lakh crore in a day Adopting a "wait and watch" strategy or keeping dry powder on hand and deploying funds gradually during market dips can be advantageous.
Regardless of the chosen strategy, it is essential for investors to perceive equities as a long-term investment. "Exciting news! Mint is now on WhatsApp Channels
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