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See AlsoKnow about Low-Risk Vs High-Risk InvestmentsLow-Risk vs High-Risk Investments: What's the Difference? - ExperianRisk implies future uncertainty about deviation from expected earnings or expected outcome.
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Risk Lover
Risk lover is a person who is willing to take more risks while investing in order to earn higher returns.
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Definition: A risk averse investor is an investor who prefers lower returns with known risks rather than higher returns with unknown risks. In other words, among various investments giving the same return with different level of risks, this investor always prefers the alternative with least interest.
Description: A risk averse investor avoids risks. S/he stays away from high-risk investments and prefers investments which provide a sure shot return. Such investors like to invest in government bonds, debentures and index funds.
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Risk
Risk implies future uncertainty about deviation from expected earnings or expected outcome.
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Risk Lover
Risk lover is a person who is willing to take more risks while investing in order to earn higher returns.
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Get your portfolio ready for election results: Hedge the re-rated oil and gas sector stocksRight from power, railways, PSU banks, sectoral lenders to oil and gas there are many sectors which have made a comeback in the last 10 years. Comeback both in the real business sense, where the operating matrix and fundamentals of the sector have improved which has led to better performance. Also a comeback on valuation front, where the stocks which were quoting at a price earning multiple of single have been now consistently quoting in high double multiples. A number of them have seen this transformation due to a stable policy environment, policy push and policy cleanup which the government has undertaken in the last ten years. The consensus estimate of the street is that policy continuity is the most critical thing for the re-rating to continue. In this new series, we take a different sector and how much they are dependent on government policy and how investors can protect their portfolio from any sudden decline.- If largecaps start catching up, the broad market may not cool off immediately: Rohit Srivastava“Reliance Industries needs to really participate and get the momentum going. It is trailing at around Rs 2,400. That is also the point at which it had broken out from its one year falling channel. We are watching very closely whether that support holds because once the momentum picks up, then we will actually get further addition to the index pretty quickly.”
- ‘A multi cap fund provides more sectoral diversification’"In a strong market, the swing and upside in mid caps and small caps can be that much greater. They can deliver higher returns, as has been seen in the increasing investments in mid and small cap stocks and funds in recent times," says Ankit Jain, Fund Manager, Mirae Asset Investment Managers (India).
- ETMarkets Fund Manager Talk: This fund manager recommends balanced portfolio of equity, debt for FY24Indian investors who are risk-averse should diversify their portfolios across different asset classes such as equity, debt and liquid assets like bonds or cash, according to Ayush Aggarwal, chief investment officer at SMC Private Wealth. Aggarwal recommended a balanced portfolio approach with allocation reviewed and adjusted regularly based on market trends and changing economic or political conditions. Aggarwal is bullish on Indian stock markets, particularly those linked to recovery in the domestic economy.
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- Quant Mutual Fund has launched a Dynamic Asset Allocation Fund that provides 100% flexibility in shifting between debt and equity. The company aims to target a new investor audience, such as people who invest in FDs but are reluctant to take risks. They believe the new fund can generate extra alpha over FD returns and offer a similar low-volatility product with better taxation. The fund can be used as a debt tax savings product, while Sebi also allows exiting 100% from equity or participating in 100% debt. The fund aims to generate alpha opportunistically when extreme or special situations arise.
- What is the difference between long duration funds and target maturity funds?“The conservative investor does not need to stagger his investment. They should divide debt allocation in parts. The money which they think is an emergency fund and may be needed in less than one year, should go to liquid or short-term funds. The money they can park for three to five years and are okay with volatility there, should go to long-debt funds.”
- “There are three themes we are overweight on. First, we are extremely positive on the capex cycle currently ensuing in India, driven by the private sector. The second area that we are overweight on is basically going bottom up in the real estate sector. The third is domestic cyclicals which is a combination of financials and of cyclical sectors like autos.”
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- We should not be positioning ourselves as a strong man economy; it scares away foreign investors: Ajit Dayal"The government is trying to do very good things but attributing everything to one individual may scare away the foreign investors. It makes them nervous and they wonder if this is the next China. What if tomorrow like Xi or Putin, we do something stupid? It is very ambitious and sometimes we mis-position ourselves thinking it is going to work in our favour. But that is not the message they want to hear."
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