I have recently joined valuepickr and now following regularly. I am investing in equity through mutual fund since last 5-6 years and now want to build my direct equity portfolio.Since i am not from finance background , I started learning about business and reading balance sheet but still at basic level and long way to go.
I started picking stocks from sept 2020 for building portfolio and tried to stick with well known market leader in respective sector and avoid searching for multibagger small/micro caps as already lost some money in that adventure.Below is my portfolio & rational behind selecting stocks —
1)hdfc bank – leading private sector bank from hdfc group
2)hdfc life – leading private sector insurance player feel insurance sector will grow in coming years with increasing awareness about insurance
3)hul - fmcg mkt leader and good performer
4)tata consumer – transition from beverage to fmcg player expecting high growth in future
5)Pidilite - market leader in adhesive industry , coffee can inspired
6)Asian paint - market leader in paint industry , coffee can inspired
7)Navin flourine - leader in flourine industry
8)Pi industry - consistent performer in agro chem industry
9)reliance – bet on its telecom & retail business
10)syngene - pharma crams player from biocon promoter
11)laurus lab - expecting high growth due to its capacity expansion and following everyone’s conviction on promotor , bit hesitate to add earlier due to low promoter holding and pledge shares
12)polymed - medical equipment manufacturer and decent performer, not able to find any other listed player
13)Alkyl amines – amine industry leader
14)deepak nitrite - specility chemical leader
15)tcs - indian it industry leader
16)ltts / tata elsxi – engineering r&d play , bit confuse in slection but feel ltts will be better play due to there known expertise in engineering
Astral poly – pipe induandustry leader
Supreme industry – plastic industry player
Dr lal path – leading pathology & diagnostic player
route , indiamart , naukri , affle, dixon , happiest mind - Already run a lot all these
I tried to avoid cyclic industry like infra/reality/auto & psu while selecting.
Not taking concentrated portfolio approach (only 10-12 stocks) and will invest equally on all stocks. Expecting ~15% cagr
I am doing monthly sip in mutual fund to keep investment going and avoid market timing.Current core mutual fund portfolio consist (largecap ~ 35% , midcap ~ 40% , international ~ 25%).
I am maintaining asset allocation debt:equity as 50:50 .Debt with PPF/EPF/NPS.Keeping sufficient emergency fund.
I am struggling to find price for entry in selected stock as i am following 5yr/10yr pe ratio as benchmark to check valuation.I am buying stocks in small qty near 50/100/200 dma or when ever there is correction in market.But still not able to get strategy for buying.
Please provide your valuable suggestions