October has been a really bad month for the markets and what is more it came after a terrible September too. Like many other investors my equity portfolio, be it stocks or MF has taken a very bad hit. As far as my primary portfolio goes I am not too worried about it as that is a long term one and, even at my current stage in life, I can afford not to draw money form it for the next 10 years or so. I do need to review and quite possibly rationalise some holdings but that can wait for better days.
A lot of my current focus has been on my secondary portfolio – the one where I want to invest about 8 lacs and am hoping to see it grow to about 20 lacs in 10 years. In my two previous posts I had given some details about the stocks I am planning to buy and also a snapshot of it. From now on I will do a post every 10 days or so where I will talk mostly about the changes to it and the new purchases. Readers who are interested in following this series should make an effort at reading my 2 earlier updates for better clarity.
So here are some updates to my portfolio :-
- I have started buying HDFC Bank and Indusind Bank as of yesterday. Though I am a little wary of banking as a sector, these banks should do well over the period that I have in mind.
- As usual, I buy in small lots so it is 10 stocks per share that I have begun with.
- Added some more of my earlier purchases this week as follows:-
- Tata Motors
- Intense Technologies
- Indiabulls Housing Finance
- Yes Bank
- As of now my total invested amount is 5.1 lacs and the portfolio is still in deep red.
- My top holdings are Tata Motors and Intense Technologies. Together they make up 30 % of my portfolio in terms of invested amount.
- These are also resulting in most of the portfolio losses currently but I am not too concerned about it as I think they will be on the upswing soon.
What do I look to buy with the 3 lacs I will put into my portfolio still? Well, in this market there are many options but I will largely stick to the 20 odd stocks I have bought so far. In these Banks, NBFCs and some of the other large caps can prove beneficial.
Should you be buying in this market when there is every possibility of further cuts over the next few months or so? Yes, definitely – you are getting Yes Bank at 180, Tata Motors at 170 and many others are attractive in terms of prices. Buying stocks now or at least investing in MFs is the best decision you can make for your money.
As for my portfolio, my prediction is it will be in the green by the time 2019 is here.