A portfolio can be rebalanced by either selling a portion of the outperforming asset class or by buying more of the underperforming asset class.
Goldman Sachs expects gold to reach $3,150 per ounce in the international market by December 2025, up around 19.1 per cent from its current level of $2,645, according to a recent report in Business Standard. Domestically, gold is trading at Rs 76,018 per 10 grams after delivering a remarkable 21.9 per cent return in the past year.
Allocation to bank deposits -- fixed deposits, savings account deposits, and current account deposits -- came down.
'A 10 to 15 per cent allocation to gold in portfolios reduces risk without compromising on potential returns.'
With this allocation of portfolios, the Sharad Pawar-led NCP has got most of the 'plum' ministries.
Let reason, not emotion, guide your decisions.
Do not keep a large portion of your long-term portfolio in FDs.
Adopting overly aggressive strategies without considering risk could lead to significant losses during the next downturn.
'Ajit Pawar is trying to sideline us; he is trying to be in the BJP's good books at our cost.'
Dwaipayan Bose simplifies the whys and hows of revisiting your financial goals
From the 30-share Sensex pack, Tata Consultancy Services, Infosys, NTPC, HCL Technologies, Axis Bank, Tech Mahindra, Bajaj Finserv, Sun Pharma, IndusInd Bank and Reliance Industries were the major laggards. Tata Steel, Hindustan Unilever, Mahindra & Mahindra, Nestle and State Bank of India were among the gainers.
He dropped those perceived to be non-performers or whose integrity came into question, and also where it was felt they needed to learn a lesson or two in humility.
'Like every Budget, this time, too, there is chatter around tinkering with the long-term capital gains tax.' 'Investors may not want to jump into the markets until there is clarity on this front.'
'A mid-year review makes the end-of-year financial review manageable and less stressful.'
The rising market poses a dilemma for investors on whether to continue buying, reduce equity holding, or exit equities altogether.
'Value index funds are most appropriate for long-term investors who can withstand deeper drawdowns.'
'Investors with foreign currency-denominated goals, such as foreign education or foreign travel, should go for US equity funds.'
Maharashtra Chief Minister Devendra Fadnavis on Thursday said the names of the probable ministers from the Bharatiya Janata Party in his cabinet have been shortlisted and the final decision will be taken by the party's central leadership.
Multi-asset allocation funds emerged as the most popular option for MFs as they provided the needed flexibility.
'It pains me when Marathi film-makers come to me and say that Marathi cinema is not getting the right platform.'
Foreign investors have pulled out Rs 26,533 crore from the Indian equity market this month so far owing to increasing allocations to China, concerns over muted corporate earnings and elevated valuation of domestic stocks. While the sell-off continues, the quantum of net outflows has significantly reduced compared to October, when Foreign Portfolio Investors (FPI) withdrew Rs 94,017 crore ($11.2 billion) on a net basis.
'It's advisable not to go overboard on a banking sector fund or any other sector fund.'
Investors should match their investment horizon with the fund's portfolio duration.
Pawar said, "I will meet PM Narendra Modi on July 18. During the meeting, I will take up various issues related to farmers with him. (NCP leader) Praful Patel and I will attend the National Democratic Alliance (NDA) meeting."
Alternative investment funds (AIFs) - investment vehicles favoured by the affluent - have topped $50 billion (Rs 4.3 trillion) in total investments for the first time during the April-June quarter, according to the latest data from the Securities and Exchange Board of India. The industry's commitments have approached Rs 12 trillion ($140 billion), marking a 40 per cent increase over the past year. The amount raised and deployed stood at Rs 4.74 trillion ($56 billion) and Rs 4.32 trillion ($51 billion), respectively, the data shows.
'A dynamic bond fund acts like a gilt fund in a rate cut scenario and like a conservative short-term bond fund when rates rise.'
Omkeshwar Singh, head, Rank MF, a mutual fund investment platform, answers your queries.
'You should always maintain an allocation to gold as it has the ability to counterbalance any correction in the equity market.'
The Indian markets have delivered high long-term returns, second only to the US.
If you lack an emergency fund or it is depleted, use part of your bonus to build or replenish it.
Foreign investors have pulled out Rs 22,420 crore from the Indian equity market so far this month, owing to high domestic stock valuations, increasing allocations to China, and the rising US dollar as well as Treasury yields. With this sell-off, Foreign Portfolio Investors (FPIs) have recorded a total outflow of Rs 15,827 crore in 2024 so far. As liquidity tightens, FPI inflows are expected to remain subdued in the short term.
Ask rediffGURU and PF and MF expert Janak Patel your mutual fund and personal finance-related questions.
Debt funds typically held 0-5 per cent of their portfolio in cash and cash equivalents before this Sebi diktat.
The answer depends on your financial goals and risk appetite, says Certified Financial Planner Ramalingam Kalirajan, and explains why.
Ask rediffGURU and PF and MF expert Janak Patel your mutual fund and personal finance-related questions.
Kumaraswamy also ruled out any differences among JD-S MLAs over cabinet berths and allocation of portfolios.
If a 5% to 10% fall in the equity market gives you sleepless nights, you are not cut out for a 75% to 80% allocation to equities and must reduce it.
After a stellar 2023, the mutual fund industry sustained its growth momentum in 2024 with an impressive Rs 17 lakh crore surge in assets, driven by buoyant equity markets, robust economic growth, and increasing investor participation. Experts are predicting the positive trend will extend into 2025.
'Exposure to small and midcap stocks exceeded desired levels in many portfolios, prompting rebalancing.'
'A long-term investor with a 4 to 5 year horizon could invest in this theme via SIPs.'
