Skip to content

Tengruipharm

Just another WordPress site

  • npressfetimg-13624.png
    Graphic Designer Barbara Budish Wears Many Creative Hats – Shepherd Express Graphic design
  • npressfetimg-12192.png
    Lionel Messi And The Best Watches of the 2022 World Cup – HODINKEE Watches
  • npressfetimg-27856.png
    Rolex Now Has a Resale Program. The Watch World Quakes. – The New York Times Watches
  • npressfetimg-3304.png
    3 passive income ideas for 2023 – CBS News Passive income
  • npressfetimg-21990.png
    Bitcoin price not more important than financial independence: Trezor CEO – Cointelegraph Financial independence
  • npressfetimg-16758.png
    Watch: Steelers Retire Franco Harris Number – Sports Illustrated Retire
  • npressfetimg-7043.png
    Shirley based Sitka Creations graphic design studio celebrates 20 years in business – Sentinel & Enterprise Graphic design
  • npressfetimg-15226.png
    Can Duncan and Lorna afford to retire early and leave their children a big nest egg – The Globe and Mail Retire
npressfetimg-1125.png

How to build a portfolio for long-term wealth? Gautam Baid explains – Economic Times

Posted on December 14, 2021 By Financial independence No Comments on How to build a portfolio for long-term wealth? Gautam Baid explains – Economic Times

“Patience is a great equaliser of cycles in financial markets. If you have a long term horizon, you will do very well as an investor as long as you are invested in good companies. Multiple mega trends are playing out at the same time and these should provide investors very good compounding returns over the next few decades,” says Gautam Baid, Founder, Stellar Wealth Partners and Author, Joys of Compounding.

Given the volatility in the current global and domestic market, how should one build a portfolio?
After 15 years of investing in the Indian markets and having achieved financial independence, I thought it is time to use my experience and expertise to create an investment vehicle to create generational wealth for many Indian families over the next few decades. Just recently our investment firm in India Stellar Wealth Partners Private Limited got SEBI registered as a research analyst firm and we have recently launched our two small cases on the small case technology platform to help retail investors and working professionals build long-term wealth so that is the broad background about the recent initiative.

How are you going about your portfolio construction? What is the methodology and strategies you are launching here?
Both the small case portfolios contain 25 to 30 names and they are benchmark agnostic with no rigid market cap constraints. The reason for choosing 25 to 30 names is because this is the optimal number of holdings to maximise the risk return trade off. As per our study published in Random Walk Down Wall Street, as the number of stocks in the portfolio approaches 25 to 30 names, the incremental volatility reducing benefits reach near zero and this is the sweet spot for an active investor wanting to outperform the market. One has captured almost all the benefits of diversification and yet the number of companies one needs to know thoroughly is still manageable. That is the broad portfolio construction and one of the two small cases is flexi-cap small case and the other one is mega-trend small case. They are based on our main investment philosophy which is based on variant perception and long-term structural trends. That is the investment framework we follow at Stellar Wealth Partners.

What is the long-term structural trend that you are watching, which you have tried to mimic in your portfolio as well? What are the themes you are betting on?
Long-term structural trends are found in industries with very favourable industry structure. They are structured in the form of monopoly or in oligopoly and they are usually experiencing some form of industry tailwinds. There is consistency and predictability of cash flows in such industries and there is a long runway for growth because of the large addressable market and that is the key for compounding.

When high return on capital employed is juxtaposed …….

Source: https://economictimes.indiatimes.com/markets/expert-view/how-to-build-a-portfolio-for-long-term-wealth-gautam-baid-explains/articleshow/88277545.cms

Financial independence Tags:RSS Feeds

Post navigation

Previous Post: How To Save Money on Your Car Rental During the Holiday Season – Newsweek
Next Post: 3 Ways to Earn Income While the Market Swings Up and Down – Motley Fool

Related Posts

  • npressfetimg-10903.png
    FIRE Calculator: Find Your FIRE Number Now | NextAdvisor with TIME – NextAdvisor Financial independence
  • npressfetimg-7168.png
    FIRE Calculator: Find Your FIRE Number Now | NextAdvisor with TIME – NextAdvisor Financial independence
  • Investing Advice for 2023, Why It Will Be ‘One of the Greatest Years’ – Business Insider Financial independence
  • npressfetimg-9527.png
    She’ll Analyze Your Budget — Then Share It with Her 167000 … – NextAdvisor Financial independence
  • npressfetimg-19125.png
    Extreme Saving Method Speeds Up Early Retirement Option – AARP Financial independence
  • npressfetimg-34459.png
    Extreme Saving Method Speeds Up Early Retirement Option – AARP Financial independence

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Archives

  • February 2023
  • January 2023
  • December 2022
  • January 2022
  • December 2021

Categories

  • Advertise online
  • Affiliate Marketing
  • Bad habits
  • Budget lifestyle
  • Celebrities
  • Content marketing
  • Cryptocurrency
  • E-commerce
  • Fashion clothing
  • Financial independence
  • Graphic design
  • Haircare
  • Healthy habits
  • Housing market
  • Investments
  • Makeup
  • Motivation
  • Nail stylist
  • Passive income
  • Personal finances
  • Personal style
  • Quit smoking
  • Retire
  • Self-development
  • Stock market
  • Stop drinking
  • Tattoos
  • Time management
  • Watches
  • Youtube Marketing

Meta

  • Log in
  • Entries feed
  • Comments feed
  • WordPress.org

Recent Posts

  • 4 side hustles for Gen Z that can bring in hundreds or even thousands of dollars a month – CNBC
  • Earn Passive Income With This Side Hustle That’s Perfect for Introverts – Yahoo Finance
  • Extreme Saving Method Speeds Up Early Retirement Option – AARP
  • Demystifying the Concept of Financial Independence Through Free Education – Daily Scanner
  • Americans prefer to cling to cash after shaken by stock market volatility – Yahoo Finance

Recent Comments

    • npressfetimg-361.png
      Guide to investing in 2023: This year’s weaknesses could turn into next year’s strengths – CNBC Investments
    • npressfetimg-15683.png
      How virtual clothes could help solve fashion’s waste problem – CNN Fashion clothing
    • npressfetimg-4038.png
      BBB National Programs Board of Directors Welcomes IAB CEO David Cohen and Re-Elects Three Members, Including P&G’s Ken Patel as Chair – Yahoo Finance Self-development
    • npressfetimg-18150.png
      Q: “How Do I Convince My Teen to Use a Daily Planner for Time Management?” – ADDitude Time management
    • npressfetimg-17346.png
      How to Keep People Watching YouTube Videos to the End – Social Media Examiner Youtube Marketing
    • npressfetimg-4742.png
      New Year 2023: These Daily Habits Will Help You Stay Healthy In 2023 – NDTV Healthy habits
    • npressfetimg-23346.png
      Olivia Culpo: Christian McCaffrey’s ultimate motivation to lead the 49ers to the Super Bowl – Marca English Motivation
    • npressfetimg-6406.png
      Belgium advertise online to find a new national team coach – Marca English Advertise online

    Copyright © 2023 Tengruipharm.

    Powered by PressBook News WordPress theme