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Benchmark Investments

Asset Allocation

Equity
Large Cap Fund 0%
Mid Cap Fund 0%
Small Cap Fund 0%
Multi Cap Fund 0%
Balance Fund 0%
International Markets Funds 0%
Emerging Markets Funds 0%
Debt
Short Term Income Funds 40%
Credit Opportunities Fund 45%
Liquid 7%
Low duration Fund 8%
Equity
Large Cap Fund 15%
Mid Cap Fund 0%
Small Cap Fund 0%
Multi Cap Fund 10%
Balance Fund 15%
International Markets Funds 0%
Emerging Markets Funds 0%
Debt
Corporate Bonds 35%
Cash 15%
Equity
Large Cap Fund 15%
Mid Cap Fund 10%
Small Cap Fund 10%
Multi Cap Fund 10%
Balance Fund 15%
International Markets Funds 0%
Emerging Markets Funds 0%
Debt
Corporate Bonds 35%
Cash 15%
Equity
Large Cap Fund 20%
Mid Cap Fund 20%
Small Cap Fund 10%
Multi Cap Fund 15%
Balance Fund 10%
International Markets Funds 5%
Emerging Markets Funds 5%
Debt
Corporate Bonds 10%
Cash 5%
Equity
Large Cap Fund 20%
Mid Cap Fund 25%
Small Cap Fund 15%
Multi Cap Fund 20%
Balance Fund 0%
International Markets Funds 5%
Emerging Markets Funds 10%
Debt
Corporate Bonds 0%
Cash 5%
Equity
Large Cap Fund 0%
Mid Cap Fund 0%
Small Cap Fund 0%
Multi Cap Fund 0%
Balance Fund 0%
International Markets Funds 0%
Emerging Markets Funds 0%
Debt
Liquid 100%
Low duration Fund 0%
Short Term Income Funds 0%
Credit Opportunities Fund 0%

Secure

Typically, a Secure investor is:
  • Such investors are not an appropriate for investments from medium to long-term seeking capital growth.
  • Investors focus entirely on the preservation of capital.
  • Their return is likely to be low and consistent compared with the other risk options offered.
  • The portfolio is restricted in its ability to reduce taxable income or the tax effectiveness of that income.

Cautious

Typically, a Cautious investor is:
  • cautious or a first-time investor
  • primarily focused on portfolio stability and preservation of capital
  • will need the money from their investments in five years or less
  • has a medium investment time horizon and seeks a growth potential that can compete with inflation concerns
  • someone with a portfolio that primarily consists of investments in cash and bonds
Investment Period: We assume a 10 year investment horizon.

Conservative

Typically, a Conservative investor is:
  • willing and able to accept some risk or volatility
  • primarily focused on pursuing a modest level of portfolio appreciation with minimal principal loss and volatility
  • someone with a portfolio that primarily includes investments in cash and bonds with some allocation in equities
Investment Period: We assume a 30 year investment horizon.

Balanced

Typically, a Balanced investor is:
  • looking for a balance between portfolio stability and portfolio appreciation
  • willing and able to accept a moderate level of risk and return
  • an investor focused on growth but looking for greater diversification
  • someone with a portfolio that primarily includes a balance of investments in bonds and equities
Investment Period: We assume a 30 year investment horizon.

Growth

Typically, a Growth investor is:
  • primarily focused on pursuing portfolio appreciation over time
  • usually an experienced equity investor
  • can tolerate market downturns and volatility for the possibility of achieving greater long-term gains
  • someone who won’t need the money from their investments for 10 years or more
  • someone with a portfolio that has exposure to various asset classes but primarily invested in equities
Investment Period: We assume a 30 year investment horizon.

Aggressive

Typically, an Aggressive investor is:
  • primarily focused on pursuing above-average portfolio appreciation over time
  • someone who can tolerate higher degrees of fluctuation in the value of his investments
  • someone with high return expectations
  • someone who won’t need the money from their investments for 15 years or more
  • someone with a portfolio that has exposure to various asset classes but will be heavily invested in equities
Investment Period: We assume a 30 year investment horizon.

Disclaimer

The above data is for illustration purpose only. The information provided on this website is to help investors in their decision-making process and shall not be considered as a recommendation or solicitation of an investment or investment strategy

Equity Mutual Fund

Equity Mutual Fund

Equity mutual funds invest major corpus in equity shares of various companies in particular proportions. This asset allocation is based on the type of equity fund and its alignment with the investment objective. Depending on the market conditions, the asset allocation can be made purely in stocks of small-cap, mid-cap, or large-cap companies. After allocating a significant proportion to the equity segment, the remaining amount is invested in debt and other money market instruments. This helps bring down the element of risk and take care of sudden redemption requests.

You don't have to buy shares in individual companies to invest in stocks. You can also buy mutual funds, index funds or ETF Individual stocks, mutual funds, index funds and ETFs all have something in common: they have the potential for relatively high returns, but also for relatively high risk.

Debt Mutual Fund

A debt fund is a Mutual Fund scheme that invests in fixed income instruments, such as Corporate and Government Bonds, corporate debt securities, and money market instruments etc. that offer capital appreciation. Debt funds are also referred to as Fixed Income Funds or Bond Funds.

In terms of operation, debt funds are not entirely different from other Mutual Fund schemes. However, in terms of safety of capital, they score higher than equity Mutual Funds.

Stocks

When you buy shares in a company you're investing in stocks. This is also known as owning equities. Companies issue stocks as a way of raising money and spreading risk. Some pay dividends to their shareholders. As a shareholder, you can make money through dividends, from selling the stock for more than you paid or from both. The value of shares fluctuates. The goal is generally, as you’ve likely heard, to "buy low and sell high."

Bonds

Bonds are the foil to stocks. They're the slow-and-steady refuge when stocks aren't performing well. When you buy stocks you become a partial owner. With bonds, by contrast, you're a lender instead of an owner. Companies and governments issue bonds to raise money. Gilt funds or Govt Securities are generally considered a rock-solid investment because there's virtually no risk if it is issued from govt of india and if its private issuer then check with rating and other credentials of bonds

Your principal? That's the amount you pay for a bond. Your bond will come with a coupon rate that represents the percentage of your principal that you'll receive as an interest payment. You keep earning interest until the bond's maturity date. If you put all your money in bonds you probably wouldn't earn enough to beat inflation by much, depending on interest rates.

Cash

Cash gives your assets some liquidity. The more liquid an investment is, the more easily and quickly you can access it and put it to use. Keeping money in cash could mean putting it in a liquid funds.

Cash gives you flexibility and acts as a buffer against equity risk. But if you keep all your money in cash you probably won't beat inflation. This means your money would lose real value over time. On the other hand, if you didn't have any cash assets you could be scrambling for liquidity in the event of a big expense like a medical emergency or period of unemployment.

Your Goals

If your goal is to create an emergency fund that you might need to access at any time, the liquidity that cash offers is a major asset. On the other hand, if your goal is very early retirement (also known as financial independence), you likely need to invest heavily in equity to get the kind of returns you'll need to grow your money by a significant amount in a short time.

We all deal with overlapping - sometimes competing - financial goals. We want to save for retirement but we also want to save for a house. We want enough money to live on in retirement but we also want a little extra money to leave to our children as an inheritance. Our priorities change over time, which is why keeping an eye on your asset allocation and rebalancing periodically is so important.

Your Age

Say you want to retire at age 67. What would you do if your investment portfolio lost 30% of its value when you hit age 65? Would you have enough money left to stick to your plan and retire at 67, or would you have to stay in the workforce for longer than you intended? Most people can't afford much volatility in the value of their portfolio so close to retirement.

That's why it's generally suggested that you allocate relatively more to bonds as you get closer to retirement. If you have an asset allocation of 90% equity and 5% cash and 5% bonds at age 60, you'll have high potential for growth but also high risk. That's a very aggressive portfolio for someone of that age. If you have an asset allocation closer to 45% equity, you'll end up with lower risk that your net worth might take a dip you can't afford. On the other hand, having 0% in stocks might not earn you enough over the next 7 years to get you ready for retirement.

Your Risk Tolerance

We've already talked about how investing in equity comes with the risk that your net worth could drop. Some people tolerate risk better than others. If you're very risk averse, you won't want to keep 90% of your assets in equity. If you like the thrill of risk and you don't mind experiencing ups and downs, a high percentage allocated to equity won't phase you.

The key to thinking about risk tolerance and investing is balancing your innate risk tolerance with the other two factors discussed above - your goals and your age. For example, if you reach age 65 and you're as risk-loving as ever, you might want to let your age and your goal of impending retirement moderate your aggressive investment strategy. If you're a conservative investor, but you're 22 and earning an entry-level salary, you might want to overcome your conservative instincts and bump up your equity allocation so that you'll save enough for retirement. You get the idea.

Bottom Line

Allocating your assets is a personal decision and it's not a decision to make once and then forget about. Say you set your portfolio to be 80% equity, 15% bonds and 5% cash. If you reinvest the dividends from your equity, you'll eventually end up with a higher proportion in stocks than the 80% you started out with. Not to mention the fact that you'll probably want to change your asset allocation as you age and your goals change. It's your money – it’s important to put it to work in the way that makes sense for you.

Disclaimer

Benchmark Investments is a Registered Mutual Fund Distributor.

Benchmark Investments is NOT an advisory firm & NOR an Investments advisor.

The contents herein mentioned are solely for informational and educational purpose only

This document is marketing material for a retail audience and does not constitute advice or recommendations. Past performance is not a guide to future performance and may not be repeated. The value of investments and the income from them may go down as well as up and investors may not get back the amount originally invested.

Mutual Fund investments are subject to market risks, read all scheme related documents carefully.

The above calculation and illustration of figures are indicative only and not on actual basis.

We Benchmark Investments are not warrant the accuracy or completeness of the information, text, graphics, links or other items contained in this website.

We may make changes to the contents, or to the information described therein, at any time without any notice.

In case of any variance between what has been stated and what is contained in the relevant Act, Rules, Regulations, Policy Statements, etc, is possible and we do update as per our update made.

We neither endorses in any way nor offers any judgment or warranty and accepts no responsibility or liability for the authenticity, availability of any of the goods or services or for any damage, loss or harm, direct or consequential or any violation of local or international laws that may cause infringement by your visiting on these websites as well as on using websites links which are provided on these website.

Please consult your CA / Tax expert for taxation before investing.

The information provided on this website is to help investors in their decision-making process and shall not be considered as a recommendation or solicitation of an investment or investment strategy.

We do not provide tax, legal or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction.

Tax law is subject to continual change, at times on a retroactive basis and may result in incremental taxes, interest or penalties.

There are risks associated with fixed income investments, including credit risk, interest rate risk, and prepayment and extension risk. In general, bond prices rise when interest rates fall and vice versa. This effect is usually more pronounced for longer-term securities.

Stock investments have an element of risk. High-quality stocks may be appropriate for some investments strategies. Ensure that your investment objectives, time horizon and risk tolerance are aligned with stocks before investing, as they can lose value.

Benchmark Investments only acts as a mediator between its clients and the company inviting/accepting deposits, known as Principal Company.

The contents herein above shall not be considered as an invitation or persuasion to trade or invest. We accept no liabilities for any loss or damage of any kind arising out of any actions taken in reliance thereon.

BENCHMARK INVESTMENTS

Benchmark Investments, 6 Sector II Shanti Niketan, Govindpura Bhopal, Bhopal-462023, India. +91-755-4938282/+91-9826310337 hello@benchmarkinvestments.in.
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Mutual fund and other investments are always subject to market risks. Please read all, Scheme Information Documents (SID), Key Information Memorandum (KIM), Addendums(if any) issued there to from time to time and any other related documents or information carefully before investing. Past performance is not indicative or assurance of future performance or returns. Please consider your specific investment requirements before choosing a fund.

For any grievances, investors can contact at: hello@benchmarkinvestments.in,  Tel: +91-755-4938282 / +91-9826310337.
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