An investment portfolio is like a cricket team put in to bat in a test match. In cricket, the selectors pick up individual players based on their past performance and the need to make a balanced team. Similarly, for preparing a good portfolio, we need to put in funds that have different characteristics and perform in different market conditions and scenarios. One can either make a portfolio by self through self-study and monitor it regularly with knowledge or take the advice of a qualified investment advisory company, which selects the best combination of funds out of the hundreds available and keeps guiding and balancing to enhance the chances of posting a good score on the scoreboard.
A portfolio, like a cricket team, takes time to settle down and start scoring – depending on the way it is structured. Consistent focus and review of strategies definitely deliver in the long run, even though there could be reverses in the short run.
Vinay Kumar, Humfauji Gurgaon