'Stick with diversified equity funds, avoid sectoral funds now'
Financial Express Pune|December 30, 2024
If investors have excessive allocation towards small- and mid-cap funds, it may be a good time for some reallocation towards large-cap funds. Rajeev Thakkar, chief investment officer, PPFAS Mutual Fund, in an interview to Saikat Neogi, advises investors to stick with diversified equity funds rather than trying to pick one or two sectors or themes for investments in the equity space.
RAJEEV THAKKAR, CHIEF INVESTMENT OFFICER, PPFAS MUTUAL FUND

In the new year, what should be the equity investing strategy for retail investors?

The asset allocation of every investor depends on factors such as age, nature of income, the income - expenditure and assets - liabilities profile, risk tolerance, goals and so on. There is no need to tinker with the asset allocation and they should continue to allocate to equities as per their financial plan. Within their equity allocation, if the investors are investing in market-cap specific funds (for example, small-cap funds, mid-cap funds and so on) it is important to look at the weightages of the allocation. If the investors have excessive allocation towards small- and mid-cap funds, it may be a good time for some reallocation towards large-cap funds.

Will investing in hybrid funds offer a balanced approach?

This story is from the December 30, 2024 edition of Financial Express Pune.

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This story is from the December 30, 2024 edition of Financial Express Pune.

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