A) Right, so there is the rebalance happening and money is flowing towards a new and more innovative kind of company. But, the problem in India is, these companies pretty much always go to the private equity side to raise capital and they don’t come into the stock markets fox example companies like Flipkart, Ola, or a Swiggy. … [Read more...] about This top Fund Manager turns cautious, hedges almost 80% of the portfolio
Federated money market funds
Q. What were the data signs flashing in March that caused you to increase hedging and what are the signs flashing today that have caused you to increase your hedges?It is just the correlation between the fundamentals of a company and the price it is trading at. Right now, there is a lot of pain on the ground. Many promoters are talking about how badly they are doing but the stock prices are not reflecting it. We find it hard to be long on these companies. … [Read more...] about This is how True Beacon’s hedge fund outperformed the markets
However, to keep expenses to the minimum, it’s advisable to stay away from investing in physical gold this year. If at all gold buying is non-negotiable, it’s prudent to invest in gold ETFs as they can be purchased and sold anytime. Also, they help you take advantage of intermittent volatility in gold prices. … [Read more...] about Festivities and your portfolio: how should you mange your money?
The inverse of bond yield is the bond PE, which works to around 17x (100 divided by 5.9 percent). In the last 15 years, the average premium of forward PE over bond PE has been around 300 bps. Hence, till the time bond PE remains on the higher side, equity PE will also remain at elevated levels. The real threat to equities comes from the bond market. If global bond yields rise and inflation in India goes up sharply, then bond PE will fall leading to lower valuations for equities also. … [Read more...] about ‘More MF outflows seen if market keeps rising; BFSI stocks can outperform in next one year’
Citing the example of the Kotak Standard Multicap Fund scheme, which has an AUM size of Rs 29,714 crore, has just 1 percent exposure to smallcap funds. Its exposure to midcap space is 18.3 percent. It means that the fund manager must allocate Rs 7,000 crore to smallcap category and around Rs 2,000 crore to midcap category, while the largecap category of this scheme will see an outflow of at least Rs 9,000 crore. … [Read more...] about Sebi’s multi-cap fund norms may see Rs 25-35K crore move from largecaps to mid and smallcaps