Holi 2024: How harnessing the energy of colours can transform your investment strategy
As the festival of Holi draws near, the atmosphere is full of anticipation, joy, and excitement. The colourful environment around us brings back fond memories of picking a favourite colour and smearing it on our loved ones; or of happy colourful ‘barely’ recognizable faces digging into some festive sweets or smiling up to a camera.
Colours have always held a significant place in our lives. How often have our outfits been inspired from the way we are feeling! Each colour, in its different shades and hues, has the potential to evoke a completely different feeling amongst individuals. The same principle applies with investments as well. Each asset category has the potential to deliver a different value to an investor’s portfolio.
Similar to how Holi is incomplete without all colours coming together to spread their joy, a mutual fund portfolio is incomplete without a careful assessment and inclusion of various asset classes that come together to build an investor’s wealth creation journey.
This Holi, let’s undertake an exciting exercise here and aim to assign a different colour to each investment category and dissect its various benefits:
Orange is the colour of enthusiasm and excitement, which may make it a perfect representation of equity mutual funds.Equity mutual funds invest primarily in stocks of companies listed on stock exchanges. These funds are ideally considered by investors with a relatively higher risk appetite and a longer investment horizon. While temporary fluctuations may result in volatility in an investor’s portfolio, investors still tend to invest in this category due to the promise of exposure across market caps (large, mid and small) and demonstrated performance history in the long term.
The colour
Read more on livemint.com
