My favourite mutual funds

Equity Diversified : HDFC Top 200 Fund / DSP Blackrock 100 Fund
Equity Tax : HDFC Tax Saver / Sundaram BNP Paribas Tax Saver / Fedility Tax Advantage Fund / Franklin India Taxshield
Equity Themic : Reliance Diversified Power Sector Fund
Equity Aggressive : Kotak Opportunities Fund

Investment advice

1. Be greedy when others are fearful & be fearful when others are greedy.
2. Don’t be over greedy. Fix a target for exiting the stock and book profit when your targets are met.
3. Do not panic when the market / stock prices fall. In fact, this is the best opportunity to buy more scripts and average the portfolio. Utilize every dips & falls.
4. Balance your portfolio regularly.
5. Invest systematically.

10 STEPS TO BUILD AN IDEAL STOCK PORTFOLIO

1. Invest in 15-20 well researched stocks ideally. Maximum 25 stocks.
2. Invest in not more than 02 companies in same sector.
3. Allocation in particular stock: Minimum 5%. Maximum 10% of the total portfolio.
4. Invest in not less than 05 sectors and not more than 10 sectors.
5. Allocation in particular sector: Minimum 10%. Maximum 20% of the total portfolio.
6. Allocation ratio should be 65 : 35 : 10 in Large Cap : Mid Cap : Small Cap respectively.
7. Investment in Value : Growth : Momentum stock in the ration 60 : 30 : 10.
8. At least 10 to 15% of the portfolio must be defensive stocks.
9. At least 10 to 15% of the portfolio must be out of the flavor stocks.
10. At least 25% of the total portfolio value should be cash reserve at any time.