mutual fund scheme with largest share of investment

[Lakshya Mahani]

Canara Robeco Bluechip Fund
Parag Parikh Flexi Cap Fund
PGIM Mid Cap opportunities Fund
Quant Small Cap Fund
Nippon India Small Cap Fund
UTI Nifty-50 Index Fund

 

[S.S.]

They go through phases. They won't give 20% every year. In fact, midcaps and small caps will give 5-10% for most of the years, some years they will give 20%+, and then comes some years where they will give negative 30-50% which will wipe out major the corpus you've accumulated over the positive years (One and only biggest con of compounding). When your wife sees those big negative numbers, may the cat god be with you.

I'm just assuming (looking at both of your portfolios) that you only looked at past returns and jumped into highest return mutual funds without much research.
Taking a high risk doesn't equate to guaranteed high returns in the equity world.
PS: I'm also invested in them, but they don't form a major part of my allocation, and doing rebalancing once every year.

How do you think the current portfolio should be balanced?

 

[COSMOCRAT]

How do you think the current portfolio should be balanced?

You're currently having 4 small cap funds out of 5. There is no need to get so many of the same type. First, decide what allocation of large mid, and small you want. The more % of small and mid the higher the risk of falling but it doesn't always mean higher returns. Find a good balance for your needs. Then go to value research and find the funds and their respective compositions, TER, and yearly performance. Add those compositions and see if they match your allocations. Then go to fundoo and check if there is any overlap of stocks between any two given funds, less than 30% overlap is Ok.

That's about it, to put it short. Don't go overboard with all kinds of shiny funds you see. And have one relatively stable fund like an index or balanced hybrid to add as a backbone so that if others are falling a lot this fund will not fall by a but margin. Ofcourse, comparitively.

 

[saucy]

<No context memes>

 

[saucy]

I've bought gold and Equity which tracks gold etf from small Case bees and Nippon nifty bees. Is that enough? Or should I also invest with UTI nifty 50 in coin app?

It's very subjective brother.
If you want a no-brainer, then gold + nifty50 is 99.9% gonna get you where you want to be.

 

[Walter White]

25 din me paisa double 😜

 

[Dr. Drake]

How you choose all these.
Do your own research or Domain Expertise or take advice or do it with hunch.. 😅

Mostly own research but you can find great data visualization here - https://www.advisorkhoj.com/

PS - Not a promotion

 

[arko]

I keep majority of my portfolio in index funds getting 16.2% XIRR now.
50% large cap hdfc nifty fifty
25% small cap axis small cap
10% midcap axis midcap
15% us funds motilal oswal nasdaq 100 fof

 

[jade]

Index fund returns are quite less I guess.

The main disadvantage of index funds is that they will never be able to beat the index. It doesn’t mean the returns are not attractive. Index fund returns are around 12%.

 

[jade]

How you choose all these.
Do your own research or Domain Expertise or take advice or do it with hunch.. 😅

Most of investments is common sense. The first principal of investing is to not loose the money you put in for investment. Large cap funds including active and index funds are less volatile, hence most of the money should go there. Mid cap and small cap are very volatile (some times you might loose 30% to 40% of your principal), but, unlike large cap funds are capable of high wealth generation. So the proportion of money that goes into large cap, and mid and small cap depends on your risk tolerance and your investment goals.

In general, equities are highly volatile as compared to fixed income. So a good investment strategy should have a good proportion of investment into fixed income

Also, investing in equities is long term game. Unless you investment horizon is more that 7 year, you are better off investing in fixed income instruments

 

[Gabbar]

This is my mutual fund portfolio
Mirrae Elss
Parag parikha flexi cap
Sbi focused equity
Kotal emerging
Dsp small cap

 

[Walter White]

What are your thoughts on HDFC Defence Fund?
NFO is from 19th May and I am thinking to invest in it but still having second thoughts.

 

[krishc]

and to add that other funds do not beat the index over long term either,
over long term like in 20 years no funds beat the index
other funds can be very good strategy for 3-5 years and suck for the next 5years
but if you really want the very loooong term benefit of compunding, index funds are one of the the best option
over the long term, only super exceptional investors like Buffet, Munger, Jhunjhunwala are able to beat the index

 

[Rohith_Kumar_Sp]

and to add that other funds do not beat the index over long term either,
over long term like in 20 years no funds beat the index
other funds can be very good strategy for 3-5 years and suck for the next 5years
but if you really want the very loooong term benefit of compunding, index funds are one of the the best option
over the long term, only super exceptional investors like Buffet, Munger, Jhunjhunwala are able to beat the index

So can I do UTI nifty 50 index in coin app? Or gold and Equity etf which tracks nifty bees on smallcase?

 

[krishc]

you can do in coin, groww or upstox whatever app you prefer, and there are tons of index funds, but choose only the direct plans and not regular

So can I do UTI nifty 50 index in coin app? Or gold and Equity etf which tracks nifty bees on smallcase?

 

[jade]

What are your thoughts on HDFC Defence Fund?
NFO is from 19th May and I am thinking to invest in it but still having second thoughts.

Avoid investing in NFO. Lot of people mistake NFOs to IPO, hence feel they are buying NFOs at the cheaper rate. It is good practice to see the track record of a fund before investing. NFOs have no track recorded. Also, with new funds, there is a problem of liquidity. A fund should have at least 3 years life to judge its track record.

 

[Rohith_Kumar_Sp]

you can do in coin, groww or upstox whatever app you prefer, and there are tons of index funds, but choose only the direct plans and not regular

Is UTI nifty 50 index good or hdfc nifty 50 plan good?

 

[arko]

Is UTI nifty 50 index good or hdfc nifty 50 plan good?

both are same check expense ratio .I use hdfc one

 

[krishc]

Is UTI nifty 50 index good or hdfc nifty 50 plan good?

both good, look at expense ratio and current holdings details
choose whichever you like better

 

[Gabbar]

What are your thoughts on HDFC Defence Fund?
NFO is from 19th May and I am thinking to invest in it but still having second thoughts.

It is thematic fund. Financial advisor advice to stay away from them.