Another option is to invest 50% in a good mutual fund (with right AUM size, good fund manager, low cost). It takes 5 to 10 years to understand the market and most likely the mutual fund might outperform your equity portfolio. In my opinion,
- Investing need not be focussed on multi baggers. Focus on steady cagr of 20% while you learn.
- understand risk and downside.
- Invest based on business quality instead of market perception.
- holding Cash is better than investing in random bad stocks. Don’t rush and keep moving from one stock to another. Churning is a bad idea.
- Have at least 10 stocks with highest allocation not more than 15% in any single stock. After 5 or 10 years, you can concentrate your portfolio.
I made my biggest mistakes during first 10 years of my investment career. You may be smarter and can be a good investor in 1 or 2 years but why take the chance? Have higher allocation to mutual fund when you start.