
Finding the Best Fund or Best Asset Class is a meaningless exercise. Running behind it is a waste of time and energy. The same idea is available from the social media post of online brokerage platform Jirodha’s co-founder and CEO Nitin Kamat. Kamat has given an advice for investors, as well as promoting multi asset funds of the Zerodha Fund House (Zerodha Amc). Kamat wrote on social media platform X …
After the experience of more than 20 years in the market, one thing has become very clear for me that most investors should invest in low -cost equity, date and gold index funds and do something useful in their lives. Trying to choose ‘Best Fund’ or ‘Best Asset Class’ is a great time and energy waste. Most investors do not understand that instead of being adamant on choosing ‘Best Stocks and Funds’, they will get much better returns by focusing on maximizing their earning ability.’
Zerodha Amc promoted multi asset funds like this
Kamat further wrote, ‘This is the reason why we launched Zerodha Amc Multi Asset Fund. This single fund gives investors a chance to invest in the same place in large cap and mid-cap equities, government bonds and gold. Investors do not have to worry about rebalansing, tax complications or managing many investments.
He also said, ‘A famous fidelity study found that his best performing accounts belonged to people who were either dead or forgot that they had accounts. The study is coined, but the point still remains. Let us know that Fidelity Investment is a renowned financial services company in America.
The right risk management is also necessary to make profit
Earlier, Nitin Kamat had given an advice to investors by giving the example of Elm Wealth’s ‘Crystal Ball Challenge’. He had said that it is not enough to guess only the future. If you want to make a profit, then you should also come to the right risk management. Under the ‘Crystal Ball Challenge’, 118 students of Finance were given the front page of the next day’s Wall Street Journal 24 hours before the news was printed. It was expected that all the students would get huge profits, but about half of the students lost a lot. One of every 6 students left nothing left. This shows that if you do not know how to bet, then there is no point in knowing the future.
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