Portfolio Building Simplified: Avoid These Mistakes In Equity Investing

In this session, Rajeev Thakkar, CIO & Director of PPFAS Mutual Fund, provides practical guidance for new and experienced investors who often feel overwhelmed by the plethora of investment options. He stresses that the first and most important decision is asset allocation—how much to invest in equities, fixed income, overseas assets, precious metals, or real estate—before even choosing a specific mutual fund scheme. For equity investments, Thakkar recommends starting with diversified funds such as flexi-cap, multi-cap, or a mix of large, mid, and small-cap funds, rather than getting caught up in thematic or sectoral funds, which are often more volatile and can underperform after hype-driven runs. He also cautions against over-allocating to small and mid-cap funds, noting that the majority of corporate profits in India are concentrated in large-cap companies. This video is essential for anyone looking to create a balanced, long-term investment portfolio without confusion.