SMART INVESTMENTS: Light up your fortune this Samvat; review portfolio, diversify investments & leverage market swings
As Samvat 2080 begins, investors should review their portfolio, diversify their investments and leverage market fluctuations to build long-term positions. The start of the new Hindu year presents a good opportunity to take stock of what went wrong in the past and correct it.
The current Samvat 2079 had started with the stock market recovering after consolidation.
While the markets will encounter short-term volatility, investors should follow a gradual approach while investing. Sushil Jain, CEO, PersonalCFO.in, says Samvat 2080 is the best time to plan your investment as the market is in range bound and interest rates are also at their peak. “So, both the asset classes are in a good position for long-term investments.”
It is always better to review the portfolio regularly to ensure your investments are aligned with your goals and expectations. Review your portfolio every six months and re-allocate once in a year. Look into exit load, taxation and market conditions before making any changes.
Harshad Chetanwala, co-founder, MyWealthGrowth.com, says if there are investments that are underperforming it is better to reinvest elsewhere. “If you have not taken up the review process, you can certainly start this Diwali and do it at least every six months or every year,” he said.
The asset allocation needs to be based on your financial goals for the next Diwali. And if you have accumulated in equities then you can slowly shift the accumulated amount from equities to debt to avoid any impact if the market turns volatile in the near term. Staying invested and adding more in case of any minor correction could help in the long run.
Given the global uncertainties, investors should go for bottom-up plays and take some strategic
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