Investment advisors recommend their clients to invest money in various financial instruments based on their goals and risk appetite. However, where do advisors invest their money?
We spoke to a few leading advisors to find out what they are doing with their money. Though all of them invest in mutual funds, they also put their money in direct equity and PMS.
Vinod Jain of Jain Investment has invested his money in direct equity, mutual funds and PMS. He said, “I am a direct equity guy. I have invested nearly 80% of my money in direct equity as I have adequate knowledge of stock investments. Another 20% is in mutual funds, PMS and debt instruments such as tax free bonds and PMS. I have also allocated a small portion of my portfolio to sectoral funds.”
Nisreen Mamaji, of MoneyWorks Financial Advisors too invests in equity but through equity funds. Sharing her personal investment style, she said, “I invest in funds which I recommend to my clients. The fund has to pass through a test before it makes its way to my recommendation list. However, in this process, I have built my own portfolio. I have invested 75% in equity and 25% debt. On the equity side, I have exposure to equity funds, sectoral funds and PMS.”
Nisreen manages her investment portfolio on her own and conducts a periodic review half yearly.
Amol Joshi, Founder, PlanRupee Investment Services invests only in mutual funds. He says, “I have invested all my savings in mutual funds. I am a disciplined follower of asset allocation, so I invest 70% in equity and 30% in debt. Initially, I invested in pure equity funds and income funds for equity and debt exposure but now I invest in hybrid funds too as these funds auto rebalances the portfolio based on market conditions.”
Amol invests his money through an advisor. “To manage my investment portfolio, I consult another advisor, known to me for the last several years. This helps me avoid investment biases and encourages me to stick to the goals. Another benefit is portfolio review. I may not get time to review my portfolio but a professional does it for you when you hire an advisor.”
