Portfolio
Portfolio is a systematic way to diversify your capital in different asset classes to full-fill various aims and objectives.
Aims:
- To generate positive return to beat an inflation.
- To generate compounding return for creating a wealth over the long period of time.
- To generate a consistent return to build up a source of passive income.
Objectives:
- Liquidity: It should be liquid in nature (available cash easily whenever need arise).
- Capital preservation: It should be hedged and should have downside protection in any market cycle or trend.
- Ease of entry & exit: Entry and exit should be there without any complicated terms and conditions.
- Transparency: There should be transparency in handling, monitoring and in terms of charges.
- Tax-friendly: To maximise post tax return, it should be tax friendly.
- Simplicity: It should be simple enough to be understood by 12 year old child.
