As the bearish mood persists in the markets, Pallabika Ganguly spoke to some of the eminent officials in the industry to find out how they are handling their personal finances.
Vijai Mantri, CEO, Pramerica Mutual Fund
His evergreen investment – Diversified equity fund
Broad asset allocation – He has 100 percent investment in equity and does not regret his investments even in the current situation of the market. “I initiated my mutual fund investment way back in 1995. My early investments are through SIP and I still continue them. If we analyse the last 31 years, mutual fund investment have given minimum 10 percent annualised returns except in 2008, 2010 and 2011. Therefore, there is nothing to get worried if the markets are volatile,” shared Vijai Mantri.
He likes to take risk and does not have a time frame for investment. According to him, investments are forever. He reviews his portfolio annually.
A piece of advice for distributors – “Hard work and genuine advice will make you a winner. In the current situation, you should be available to your clients for answering their queries and addressing their concerns.”
Srinivas
Jain, CMO SBI Mutual Fund
His evergreen investment – “Nothing as such. I believe in right asset allocation so that my investments are safeguarded during downturn too,” said Srinivas.
Broad asset allocation – He is a moderate risk appetite investor. Along with equity investments, he also has FMPs and FDs in his portfolio. He recommends investment in a systematic manner rather than trying to time the market.
For last two years, he has added a new asset class to his portfolio – gold. He has not made any changes to his portfolio in the volatile market as he has already safeguarded his investments through appropriate asset allocation. He believes that this is not the time to make changes in one’s portfolio.
A piece of advice for distributors – “Stick to proper asset allocation for your clients.”
Ajit Menon, EVP, Head of Sales & Marketing, DSP
BlackRock Mutual Fund
Evergreen Investments – His investment of all seasons is diversified equity fund.
Broad Asset Allocation – He describes himself as disciplined investor and maintains a mix in his portfolio. 70 percent of his portfolio is in equity and some percentage in FMPs. Besides these, he likes to invest in properties.“You need to be cautious while taking your investment decision and should work on asset allocation,” believes Ajit.
A piece of advice for distributors – “We need to patiently deal with the current situation and look towards investing in MIPs and balanced funds. “
A top official from UTI Asset Management Company
His evergreen investment – He is a firm believer in equity SIPs and considers it to be an investment for all seasons.
Broad Asset Allocation – He believes in asset allocation. He has segregated his portfolio into 40 percent equity, 20 percent in short term income fund and bonds, and 10 percent gold.
He has a moderate risk appetite and believes in long-term equity investments. He believes in maintaining a diversified portfolio. Due to his busy schedule, he does not get time to review his portfolio frequently but reviews it annually.
A piece of advice to distributors – In these volatile situations, distributors should act as a catalyst in changing investor behaviour and handle things calmly. “We all are aware of the fact that market has to go up again so there is nothing to worry. It is the right time to invest. Most of the industry officials including myself are currently investing because this is a golden opportunity and will bear fruits during the bull run,” said the official.
