Motilal Oswal urges balanced portfolio mix as India-US trade deal lifts sentiment

Motilal Oswal Urges Balanced Portfolio Mix as India-US Trade Deal Lifts Sentiment

Motilal Private Wealth Advocates a Balanced Allocation Strategy

Motilal Oswal Private Wealth is encouraging investors to embrace a balanced allocation strategy in light of the positive sentiment following the finalization of the India-US trade deal. By strategically anchoring portfolios with large-cap or hybrid funds and complementing them with well-timed investments in mid and small-caps, investors can optimize their returns.

Investment Recommendations:
50% allocation to large-cap and hybrid funds.
40% allocation to mid and small-cap funds.
10% exposure to global markets.

Ashish Shanker, MD & CEO of Motilal Oswal Private Wealth, advises making lump-sum investments in large-cap and hybrid funds immediately. On the other hand, stagger investments into mid and small-cap funds over the next few months to capture potential growth.

Focus on Global Markets

Within the realm of global investments, Shanker highlights a favorable outlook for emerging market exposure, aligning with the current market dynamics.

Silver and Gold: Portfolio Stability Considerations

Following a notable surge in silver prices, investors are encouraged to consider partial profit-booking if they hold significant silver exposure. Meanwhile, a neutral stance on gold is recommended to maintain portfolio stability. For those who are under-allocated to gold, gradual accumulation during market dips might be a prudent strategy for generating moderate medium-term returns.

In conclusion, as sentiment remains bullish following the India-US trade deal, adopting a balanced portfolio mix can help investors navigate the changing landscapes of both domestic and global markets effectively. Emphasizing a diverse allocation strategy is essential for long-term growth and stability.

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