Portfolio rebalancing refers to resetting your asset allocation (equity: fixed income ratio) from time to time – typically once a year – to lower risk in your portfolio. In this post, I show backtesting results and discuss exactly how much is the risk reduction and in spite of tax and exit loads, it is totally…
Continue reading →A few days ago, I gave a talk at a CFA Society meeting. One of the modules is covered in this post: How much equity should I hold in my portfolio? We know that equity has the potential offer better returns than fixed income (emphasis on potential) but how much equity – either as direct equity…
Continue reading →One thing is clear from this series on market timing. There is a lot of inertia when it comes to selling equity and moving to debt in the name of timing. Many seem to prefer “buying on dips”. That is whenever they “feel” there is a “buying opportunity”. So for the 4th part in this…
Continue reading →In the third part on the series on tactical asset allocation techniques based on market timing, we evaluate the Market PE and Ten-month moving average methods over five-year vs ten-year periods and also change the equity allocation in the portfolio from 30% to 50% to 70%. In addition, we also use the method followed by Franklin…
Continue reading →Do you want a steady source of primary or secondary income from a business or service? Do you dream of being a successful entrepreneur? Of being your own boss? Sebi Registered Investment advisor and fee-only financial planner Vikram Krishnamoorthy discusses four ways to start any business from scratch and grow it steadily. Vikram is a successful…
Continue reading →We all invest with the hope of having enough money for our future needs. This is true for even those who claim they do not have a goal – they just don’t know it yet. A good amount of equity exposure is important to beat inflation for long-term (10Y+) goals. However, many people make the…
Continue reading →No, this is not a click bait. I am being serious. There are several benefits to stopping your mutual fund SIPs and manually investing. I am working on an ebook – Mutual Fund FAQ: The Basics – that will provide short, easy to understand answers to 100+ common and basic questions that new investors ask. In…
Continue reading →As mentioned last week, I am starting a new series on tactical asset allocation techniques based on market timing. In this first part, we looked at the index PE (price to earnings ratio) as a buy/sell signal. In the second part, we consider the ten-month moving average (10 MMA) of the Index price. There are still…
Continue reading →In this episode of fee-only advisor journey, Basavaraj Tonagatti, who runs the popular blog Basunivesh, describes his growth from insurance and mutual fund advisor to a financial planner to enterprising blogger and now a SEBI registered investment advisor (RIA), fee-only financial planner. He also joins as the 11th RIA in my List of Fee-only Financial Planners…
Continue reading →I am working on an ebook – Mutual Fund FAQ: The Basics – that will provide short, easy to understand answers to 100+ common and basic questions that new investors ask. In parallel, I am also making a short video answer to each of the questions covered. This is the first part where will consider…
Continue reading →In April 2018, when SEBI registered fee-only financial planner Brijesh Vappala and member of fee-only India (FOI) was added to my list of fee-only financial planners, he had written a guest post highlighting a common problem among young earners: A high income will not make you RICH!! He partitioned money spending into four bins or quadrants and showed that if…
Continue reading →I am starting a new series on tactical asset allocation techniques based on market timing. In this first part, we will look at the index PE (price to earnings ratio) as a signal. In this series, results from a backtest with Sensex and/or S&P 500 data will be presented and is one of the most…
Continue reading →Would you as a money manager, prefer to get the basics right and get on with your life? That is, do enough to ensure that you have more than a reasonable chance of achieving your future money-dependent goals/dreams and focus on your work, family and hobbies? If yes, in this guest post, SEBI registered fee-only…
Continue reading →Last week I gave a talk on index investing and market timing at the monthly meeting of the Tamil Nadu Investors Association. This is a private recording of the index investing part. We have already started the discussion on the marketing timing part with: Do we need to time the market? More on this will follow next…
Continue reading →“I am worried about Quantum Long Term Equity Value Fund: Should I Exit?”, asked a reader. “Why does Value Research say this is a four star fund when it has only given half the benchmarks return in the past year?”, asked another. So that was enough encouragement for me to review the only fund from…
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