Think you’ve missed the bus to the market? Experts say no

Last year, Indian stock markets were soaring to touch new heights despite the pandemic causing disruption all over. The Sensex crossed the 50,000-mark while Nifty tested 15,000. A number of stocks touched new highs and turned multi-baggers.

Have you not invested in the market yet? Think you have missed the bus? Experts say you have not, as the markets are touching new heights each day and the rally has not stopped yet.

Kshitij Mahajan, co-founder of Complete Circle Consultants, a Delhi-based wealth management firm is of the opinion that there are segments like mid-caps that have seen considerable growth recently. He adds that every day there is a new high which could be an impetus for investors to enter the market.

“Until the last year or so, mid and small caps were not growing. Now we see value in those and people can consider that segment,” says Mahajan. “At the peak of the markets, it is wise to stagger your allocations over the next 10 to 12 weeks, with some international funds as part of the portfolio as well.”

“Pharma and technology funds are advisable as part of the portfolio.”

Planners state that the ideal portfolio right now is to have around six funds as the core portfolio but on the tactical front, one can add infrastructure funds but only with the knowledge of when the run might end for infrastructure.

They also feel even the Bank Nifty index could continue to go up. “I could give a conservative figure of Bank Nifty touching 38,000 in three months but then exposure to banks should be done with thought,” says Gaurav Garg, head of research at CapitalVia Global Research firm. “One can try out banking stocks that have corrected in recent times to invest in.”

“Besides that, gold has corrected so one can buy gold to have it up to 10% of the portfolio.”

Garg also feels that apart from pharma, IT and FMCG are sectors in equity where one can allocate 40% to 50%, real estate is an investment as part of the portfolio as prices of homes are quite low.

As new fund offers continue to float, experts say that the old tried and tested funds should be opted over new fund offers or NFOs.