Investment Strategies: Beat the market with this passive Nifty investing approach
Mumbai: A low-cost investment strategy that aims to benefit from both narrow and broad-based equity rallies could generate market-beating returns. The plan, better suited for seasoned investors, involves switching between two Nifty index funds — Nifty Top 10 Equal Weight, and Nifty 50 Equal Weight — depending on market conditions.If the gains in Nifty are driven by a select set of stocks, investors could consider the Top 10 Equal Weight index, while investing in the Nifty 50 Equal Weight index is suitable in times of a broad-based rally, says Anil Ghelani, head of passive investments and products, DSP Mutual Fund.
A study by DSP Mutual fund showed investors can benefit from phases of ‘polarisation’ and ‘depolarisation’ by adopting a…