An Expert’s Market Strategy: Stay Invested, With A Goal In Mind

Staying invested in the markets in the post-covid period is the single biggest strategy that went right for Swarup Mohanty, director & CEO, Mirae Asset Investment Managers (India) “It always does,” he says, in his talk with Mint as part of our annual series on the personal finance journey of financial services industry leaders. Two years back, when Mint had reached out to him, he was considering raising his equity allocation.

Equity debt rejig

Today, after the run-up in the stock market, his portfolio has got skewed towards equity – 70% in equity and 25% in debt. The rest is in physical gold which he inherited from his family. While he feels the markets are looking good, all his recent investments have been in debt. He is on course to bringing his equity-debt allocation to the intended 60:40. “Review and rebalance your portfolio diligently, every year or two without getting swayed by emotions,” says Mohanty, a firm believer in asset allocation.

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Mohanty has taken the plunge into alternative assets too, in the form of a small investment in two start-ups. But, a bulk of his money is invested with his employer: 85% of his money is invested in Mirae Asset MF’s schemes.

When asked about his preference between, large, mid, and small-cap segments, Mohanty has this to say, “I am a paranoid retirement kitty person because I don’t have a pension. Given my main goal of retirement, I have a portfolio return requirement of 11-12%. For this, I don’t need to take the risk of small caps.”

Mohanty has exposure to only large and mid-cap stocks through the mutual fund route. He does not invest directly in stocks. He is, however, an enthusiastic investor in thematic funds. He is positive on the banking them which he expects to play out in the next 3-4 years.

In debt, Mohanty feels that with interest rates moving…

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