Good to see your thread after reading your inputs in other threads!
Portfolio looks good to begin with. Strategy also looks sound to begin with. It should provide good capital protection while you keep learning & evolving.
However, I feel that if one is into direct stock picking then the need to even look at any index for selecting one’s universe of stocks should not eventually arise…it could even be the other way round…a stock we chose may be from well known promoters and leader in its segment but today not a part of any index and eventually becomes one…
Not saying that anything not right in your strategy, its perfectly great provided – You chose it knowing that its the best for you risk as well as competency vise…
Now, regarding above picks, among the names I know something about and at very high level – I see almost 20% allocation to BFSI out of which 50% is with NBFC. Almost 20% allocation to mostly large cap IT & approx. 12% to Pharma…
Top 2 names – Bajaj & Divis seem little risky to me as one being an NBFC and other a disruptive, complex pharma player…
20% allocation to IT is something most retail investors would dream of, if they had taken at right levels a decade back…myself trying to increase IT allocation since couple years and one thing I have realized is these are highly volatile, prone to huge disruptions but are protected so far by excellent promoters, top notch management & corporate governance in most Indian companies…so 20% of your IT portfolio looks good for retirement (very long term) if volatility can be forgotton…This brings to another thought…if target and sector is more for retirement then is it not better to focus more on midcap names rather than large caps…just a thought to ponder on…
6% allocation to FMCG looks very less compared to other sectors…
10% allocation to top banks looks good, cannot say same about the 10% allocation to NBFCs (however there are always exceptions and so far Bajaj finance has been a blockbuster of an exception)
Almost 12% allocation to top notch Paints & Adhesive Chemical looks good as well
Disc: Invested in some names hence biased. Not eligible for any recommendation.
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