2026 Portfolio Playbook: Where Should Investors Put Their Money?

As investors step into the new year, the key question remains — should one create a fresh portfolio or fine-tune an existing one? Anshul Jain, Head of Research at Lakshmishree Investments, shares a practical framework for stock selection in 2026. He explains when investors should focus on large-cap stocks, why index funds and ETFs make sense for many, and why mid-cap and small-cap investing should ideally be done with expert guidance. Jain highlights that disciplined investors can use technical tools such as moving averages, flat bases, and cup-and-handle patterns to generate returns through swing trading when the market environment is favourable. However, during uncertain phases, holding cash and avoiding emotional decisions is crucial. For those lacking trading discipline, SIPs in mutual funds or investing through PMS may be a better route. The message is clear — risk management, stop-loss discipline, and position sizing are essential for long-term success in mid and small caps, while large caps remain suitable for long-term investors seeking stability.