We ran our model portfolio engine to determine the strategic allocations for FY23. The engine works around the fundamental principle of modern portfolio theory, which provides a framework to create a portfolio of different asset classes such that the expected return is maximized for a given level of risk. Some of the observations
Asset Class |
Sub Asset Class |
Sub Asset Class |
Aggressive |
Assertive |
Prudent |
Cautious |
Conservative |
Equity |
Large cap |
Mirae Asset Large Cap Fund |
27.0 |
22.5 |
20.0 |
13.0 |
7.0 |
|
Midcap |
Invesco India Midcap Fund |
18.0 |
13.5 |
10.0 |
7.5 |
5.0 |
|
Small cap |
Axis Small Cap Fund |
5.5 |
5.0 |
5.0 |
6.0 |
0.0 |
|
|
Union Small Cap Fund |
5.5 |
5.0 |
5.0 |
0.0 |
0.0 |
|
Sector/Theme |
DSP Natural Resource & New Energy Fund |
3.5 |
2.5 |
2.5 |
0.0 |
0.0 |
|
|
SBI Infrastructure Fund |
3.5 |
2.5 |
2.5 |
0.0 |
0.0 |
Fixed Income |
Corporate Bond |
Aditya Birla SL Corp Bond Fund |
0.0 |
5.0 |
5.0 |
10.0 |
15.0 |
Accrual |
Banking & PSU |
Axis Banking & PSU Debt Fund |
0.0 |
0.0 |
0.0 |
10.0 |
10.0 |
|
|
IDFC Banking & PSU Debt Fund |
3.5 |
5.0 |
7.5 |
12.5 |
15.0 |
|
|
Nippon India Banking & PSU Debt Fund |
0.0 |
0.0 |
0.0 |
0.0 |
10.0 |
|
Corporate FD |
Mahindra Finance FD |
3.5 |
9.0 |
12.5 |
15.0 |
15.0 |
Gold / Commodities |
ETF |
Nippon India Gold Savings Fund |
5.0 |
5.0 |
5.0 |
5.0 |
5.0 |
|
Thematic |
ICICI Pru Commodities Fund |
5.0 |
5.0 |
5.0 |
5.0 |
5.0 |
International Equity |
US Equities |
Motilal Oswal Nasdaq 100 FoF |
15.0 |
15.0 |
15.0 |
11.0 |
8.0 |
Cash |
Ultra Short Term |
Kotak Savings Fund |
5.0 |
5.0 |
5.0 |
5.0 |
5.0 |