Browsing: portfolio

[ad_1] ICICI Lombard General Insurance has ‘rebalanced’ its motor insurance portfolio after the government did not increase annual motor third party premiums for any of the classes of vehicles for the current fiscal. As a result of rebalancing, motor gross direct premium income (GDPI) mix for commercial vehicles decreased on a year-on-year basis during Q1FY24, while that of both private cars and two-wheelers increased. In the motor GDPI mix for the company, share of commercial vehicles fell 360 bps y-o-y to 21% in Q1FY24. But, shares of private cars and two-wheelers increased 100 bps and 260 bps to 48.7% and…

[ad_1] By Prateek Pant Every asset class has a role to play in differing economic conditions and it is impossible to time the winning asset class. A right mix of these asset classes along with periodic rebalancing exercises may help investors to lower drawdowns, smoothen returns and achieve reasonable returns to attain their long-term financial goals. Portfolio rebalancing primarily entails rejigging allocations across asset classes such as, but not limited to, equity, debt, gold, real estate, and even alternatives like private equity funds, venture capital funds and hedge funds etc. The right mix of these asset classes may help investors…

[ad_1] Planning for retirement is a crucial activity that requires long-term consideration and thoughtful decision-making. While there are various investment options available, understanding your risk tolerance and desired rewards is important to building your retirement portfolio.  Creating a balance between risk and reward helps you ensure the stability, growth, and longevity of your investments, ultimately securing a comfortable retirement. However, there is no one size fits all. The key lies in identifying and aligning your investment choices with your personal risk tolerance and desired outcomes. Understanding the equation between risk and reward Understanding the relationship between risk and reward is…

[ad_1] For the longest time, fundamental analysts and fund managers such as myself have sat on our high horses claiming that investing/investment is purely an art; one bets on people which cannot be accurately modeled. While there is some truth to these statements, it is important not to disregard the importance of quantitative tools in both research and portfolio management. In research, quantitative tools can help speed up research as well as help scour the breath of the market far more effectively. After having gone through the cases of corporate misallocation and misappropriation uncovered in the past decade, we compiled…

[ad_1] Investing in international funds ensure portfolio diversification, reducing risk by not being solely reliant on the performance of the Indian market. Additionally, international funds open up investment opportunities in new markets, potentially aiding wealth creation. Returns from international funds are rising because of the rally in those having allocation towards the US economy, especially US tech. As international stocks such as those in the S&P 500 index are trading close to or below the average medium-term P/E, there could be an opportunity for investors to buy select high-quality stocks at reasonable valuations, especially on the back of strong fundamentals.…

[ad_1] Asset allocation means dividing your investments among different asset classes, such as equity, bonds and bank deposits, among others. The strategy of asset allocation is used by investors to reduce risks and improve the chances of achieving financial goals. There are different asset allocation strategies, and the best one depends on your finances, age, risk tolerance, and investment goals. Asset allocation is important because it helps you reduce risks. No single asset class is immune to loss, but by diversifying your investments among different asset classes, you can reduce overall risk. Also read: From New Tax Regime to Old,…

[ad_1] Renowned investment strategist Christopher Wood of Jefferies has initiated investment in AU Small Finance, assigning it a 3% weightage, and has removed CAMS (Computer Age Management Services) from his portfolio, revealed the latest GREED & Fear note. As a result, the lending sector’s weighting in the portfolio has jumped to 35%. Last month, Chris Wood added Zomato to his three long-only portfolios and SBI Life Insurance to one. Further, he removed HDFC Life and Standard Chartered, and reduced investments in JD.com and Alibaba. Computer Age Management Services’ (CAMS) removal from Chris Wood’s portfolio came just after a week when…

[ad_1] A periodic review of the mutual fund investment portfolio can help you understand whether you are on the right track to meet your financial goals or not. Ideally, this review should be done on a half-yearly basis or at least on a yearly basis. In an e-mail interaction with FE PF Desk, Shrinath ML, Senior Research Analyst at FundsIndia shares a quick guide on how to review your mutual fund portfolio. Edited excerpts: First, evaluate your current asset allocation. If there are large deviations (> 5%) from your original asset allocation, you will have to rebalance your portfolio to…