Start Samvat 2078 With A Bang
Dalal Street Investment Journal|November 08, 2021
Diwali brings with it loads of enthusiasm and a strong positive feeling. This extends to your finances too. And even though last year’s Diwali turned out to be depressing on account of the pandemic, here is how you can look forward to brighter days with good financial planning and the right choice of equity and debt funds
Start Samvat 2078 With A Bang

There are four key virtues that the festival of Diwali in India symbolises: a) victory of good over evil, b) illuminating one’s inner self, c) knowledge and d) financial prosperity. As evident, the festival of lights was quite different last year and it is not that hard to guess the reason. Last year the economy, and consequently the equity market, was overturned by the impact of the pandemic. All of a sudden, the world seemed to have turned upside down with fatalities increasing by the day, unemployment numbers starting to zoom up and health concerns taking precedence over everything else. Diwali, as such, turned out to be a dark one.

However, in any critical situation as this one, proper planning and discipline with a little patience can help you appreciate the true essence of Diwali and enhance your personal finances for a better tomorrow. The equity market has been rewarding to those investors who had patiently invested in a disciplined way during the fall. From last Samvat till date, Nifty 50 Total Returns Index (TRI) has surged close to 42 per cent whereas Nifty Mid-Cap 100 TRI and Nifty Small-Cap 100 TRI have ascended nearly 68 per cent and 81 per cent, respectively.

The graph above clearly shows that those who had invested in the previous Samvat have been rewarded quite handsomely (index values are re-based at 100). In fact, those who were overweight on small-cap stocks or funds dedicated to small-cap stocks would have almost doubled their wealth in the matter of just one year. That said, investors should always diversify their investments. This helps them reduce unnecessary risk. Let us now see the returns that you would have generated if you had invested from Diwali to Diwali.

هذه القصة مأخوذة من طبعة November 08, 2021 من Dalal Street Investment Journal.

ابدأ النسخة التجريبية المجانية من Magzter GOLD لمدة 7 أيام للوصول إلى آلاف القصص المتميزة المنسقة وأكثر من 9,000 مجلة وصحيفة.

هذه القصة مأخوذة من طبعة November 08, 2021 من Dalal Street Investment Journal.

ابدأ النسخة التجريبية المجانية من Magzter GOLD لمدة 7 أيام للوصول إلى آلاف القصص المتميزة المنسقة وأكثر من 9,000 مجلة وصحيفة.

المزيد من القصص من DALAL STREET INVESTMENT JOURNAL مشاهدة الكل
How To Invest In An Ageing Bull Market
Dalal Street Investment Journal

How To Invest In An Ageing Bull Market

Bull rallies (periods when stock prices rise) and bear declines (periods when stock prices fall) are natural parts of stock market cycles, but they don't follow a fixed timeline.

time-read
5 mins  |
July 29, 2024
Should You Entrust All Your Money To A Single AMC?
Dalal Street Investment Journal

Should You Entrust All Your Money To A Single AMC?

If you are a market participant, you have probably heard the quote 'don't put all your eggs in one basket', which suggests diversification. Investors often focus on diversifying across categories like large-cap, mid-cap and small-cap, but they may unintentionally overlook diversification across different AMCs. The question arises: is AMC-wise diversification really necessary? Rakesh Deshmukh takes a closer look at this scenario

time-read
7 mins  |
July 29, 2024
Wild Swings Engulf Global Equities
Dalal Street Investment Journal

Wild Swings Engulf Global Equities

U.S. stock markets experienced significant volatility. An early-week rally pushed the markets to new highs, but this momentum faded, primarily due to weaknesses in the tech sector. The major indices had a mixed finish with, S&P 500 and Nasdaq closed lower, while the Dow recorded a notable gain.

time-read
2 mins  |
July 29, 2024
U.S. Elections and China's Economy Hamper Commodities
Dalal Street Investment Journal

U.S. Elections and China's Economy Hamper Commodities

Commodity markets experienced selling pressure in the last fortnight, driven by uncertainties surrounding the upcoming U.S. presidential elections, concerns about the Chinese economy, and increased agricultural production in Brazil.

time-read
2 mins  |
July 29, 2024
Wealth Building For Retirement Through Mutual Funds
Dalal Street Investment Journal

Wealth Building For Retirement Through Mutual Funds

Retirement is one of the most crucial and lifechanging phases. It marks a period where maintaining your lifestyle becomes paramount even though your regular income stops.

time-read
3 mins  |
July 29, 2024
Mastering Investment with Information Ratio
Dalal Street Investment Journal

Mastering Investment with Information Ratio

Information Ratio helps in navigating the complexities of the investment landscape by assessing an active fund manager's performance. And though it has its limitations, it remains an essential part of the finance industry. The article explains what Information Ratio is and how investors can use it as another tool

time-read
6 mins  |
July 29, 2024
Plan To Be Financially Independent
Dalal Street Investment Journal

Plan To Be Financially Independent

Each of us aspires to be financially independent as it ensures having enough resources to be self-sufficient and control our finances.

time-read
2 mins  |
July 29, 2024
❝Technology is the new game-changer"
Dalal Street Investment Journal

❝Technology is the new game-changer"

With a new breed of young investors entering the financial markets, it is the use of technology that is increasingly playing a major role in how investments are done and tracked. Anand Radhakrishnan, Managing Director, Sundaram Mutual Fund, shares his opinion about how this factor is turning into a significant tool and how it will shape the strategies of his company

time-read
5 mins  |
July 29, 2024
What If Donald Trumps?
Dalal Street Investment Journal

What If Donald Trumps?

The potential election of Donald Trump as president in the U.S. carries significant implications for the Indian equity market. It could lead to changes in the global trade dynamics, in particular affecting the Indian IT sector while also raising inflation levels and leading to yet another revision in the visa programme for Indians who want to work in the US. The article takes a closer look at what may lie in store

time-read
6 mins  |
July 29, 2024
Sectoral Gains Make A Mark
Dalal Street Investment Journal

Sectoral Gains Make A Mark

Benchmark indices continued their uptrend, reaching new record highs, although the pace has slowed as the broader markets faced selling pressures

time-read
2 mins  |
July 29, 2024