Why are you buying largecaps in 3 different index fund than buying a single fund? I know this is definitely not diversification. You are giving more expense ratios by splitting to different AMCs. Largemidcap 250 index has more weightage to largecaps only.
@ashlymr.lonely6543 will risk be reduced if i divide my fund between different amc?rather than put all my money in single fund house. Now about large midcap 250 index I will quote exact words of nse here"The Nifty LargeMidcap 250 reflects the performance of a portfolio of 100 large cap and 150 mid cap companies listed on NSE, represented through the Nifty 100 and the Nifty Midcap 150 index respectively. The aggregate weight of large cap stocks and mid cap stocks is 50% each and are reset on a quarterly basis." And if i stick to one fund house for large cap say bandan-My exposure to sole hdfc bank stock is 10% 😅 and if something happens to hdfc tomorrow? But kindly let me know your advice regarding diversification and what i should do ?
@lifer755 As you have invested only in index funds, you should have known how the index funds work. Passively managed funds always mimics the index. That is why expense ratios are low. 30% in Nifty 50 30% Nifty Next 50, 20% Midcap 150 and 20% Smallcap 250 is the ideal diversification. Investing in the same stock in different fund houses/funds is not diversification You have 50% allocation to Largecaps in NiftyLargemidcap250 index.. So you are investing twice in the same stock by investing Nifty 100 index too. Hope you get it. In anyways you are overinvested in Largecaps. You have a better downside protection. 😃
@ashlymr.lonely6543 😅offcourse i have selected index fund because i know it tracks the index and it will have low expense ratio One more important point i have to make is that when you invest in nifty 100 and nifty largemidcap 250- it doesnt mean that both are exactly same and division of invested money between included stock will be diluted Thats why i have only 2.5% in hdfc bank stock even if i have invested in multiple large cap MF 😄 yes i have invested 62% in largecap,and if you review my video , exposure to hdfc is only 2.5% because of dilution of largecap funds I need down side protection 😅 you said it👍👍👍👌 That was the point of whole video😅😅😅 Defenitely will be reviewing my portfolio when nifty bounce back strongly
Why are you buying largecaps in 3 different index fund than buying a single fund? I know this is definitely not diversification. You are giving more expense ratios by splitting to different AMCs.
Largemidcap 250 index has more weightage to largecaps only.
@ashlymr.lonely6543 will risk be reduced if i divide my fund between different amc?rather than put all my money in single fund house.
Now about large midcap 250 index
I will quote exact words of nse here"The Nifty LargeMidcap 250 reflects the performance of a portfolio of 100 large cap and 150 mid cap companies listed on NSE, represented through the Nifty 100 and the Nifty Midcap 150 index respectively. The aggregate weight of large cap stocks and mid cap stocks is 50% each and are reset on a quarterly basis."
And if i stick to one fund house for large cap say bandan-My exposure to sole hdfc bank stock is 10% 😅 and if something happens to hdfc tomorrow?
But kindly let me know your advice regarding diversification and what i should do ?
@lifer755 As you have invested only in index funds, you should have known how the index funds work. Passively managed funds always mimics the index. That is why expense ratios are low.
30% in Nifty 50 30% Nifty Next 50, 20% Midcap 150 and 20% Smallcap 250 is the ideal diversification.
Investing in the same stock in different fund houses/funds is not diversification
You have 50% allocation to Largecaps in NiftyLargemidcap250 index.. So you are investing twice in the same stock by investing Nifty 100 index too. Hope you get it.
In anyways you are overinvested in Largecaps. You have a better downside protection. 😃
@ashlymr.lonely6543
😅offcourse i have selected index fund because i know it tracks the index and it will have low expense ratio
One more important point i have to make is that when you invest in nifty 100 and nifty largemidcap 250- it doesnt mean that both are exactly same and division of invested money between included stock will be diluted
Thats why i have only 2.5% in hdfc bank stock even if i have invested in multiple large cap MF
😄
yes i have invested 62% in largecap,and if you review my video , exposure to hdfc is only 2.5% because of dilution of largecap funds
I need down side protection
😅 you said it👍👍👍👌
That was the point of whole video😅😅😅
Defenitely will be reviewing my portfolio when nifty bounce back strongly