30 results for “investor-behaviour”

[Podcast] The Strategy that Helps You Stay Invested: Capitalmind Anchor

The Returns You See vs. The Returns You Keep

The advice to "stay invested" is easy to give. It's also suspiciously convenient when it comes from a fund manager who benefits when you don't leave. So, we tested it. Eighteen flexi cap funds. Over a decade of data. A simulated investor who exits when their fund underperforms. The answer is uncomfortable for different reasons than we anticipated. Investor returns depend on two decisions. Which fund you pick, and what you do after you pick. Research suggests most investors get at least one wrong. The DALBAR Quantitative Analysis of Investor Behavior[i] estimates investors trail the very funds they invest in by nearly 2% annually. Morningstar's Mind the Gap 2025 report[ii] found a 1% gap over a decade.

Does Your Retirement Portfolio Have Room for Error?

Why is building margin for errors matters more than chasing higher returns? Read on to understand.

Ixigo Rides Along, As India Travels More. But, Can It Keep Up The Pace?

An analysis of eighteen flexi cap funds over a decade of data, testing whether reacting to underperformance by switching actually helps investors.

The WWII Bomber Puzzle: A powerful lesson for modern investors

Our recent article in The Economic Times reveals how survivorship bias can mislead investors. Drawing on the story of World War II bombers and statistician Abraham Wald's brilliant insights, we explore the dangers of focusing only on successful funds, companies, or strategies. Just as military commanders nearly reinforced the wrong areas of bombers, investors often chase 'proven' track records while ignoring the unseen failures. Our article provides actionable insights to help investors uncover true risks and build resilient portfolios. From managing liquidity risk to diversifying across asset classes, we invite readers to examine their own blind spots and take steps to protect against hidden vulnerabilities.

The Behaviour Gap: Why Returns and Investor Outcomes Diverge

It's not the tools you use

Demystifying Momentum

The Adaptive Momentum Portfolio in our PMS, Capitalmind Wealth, completed five successful years of live operation in March 2024, making it India’s longest-running quantitative PMS momentum strategy. We wrote this article for the non-finance investor to understand, jargon-free, from our experience managing a quantitative momentum strategy with real capital.

Looking for the best PMS for your investments? Find Capitalmind PMS Strategies and Performance here

As a high-net-worth investor in India, you have a wide range of options when it comes to choosing a portfolio management service (PMS) to invest your money. PMS are investment vehicles that are designed to provide professional management of portfolios, enabling investors to achieve their financial goals. Choosing the right PMS is critical to ensure that your investments are managed effectively for the long term and generate the returns you are looking for.

Capitalmind Turns 9!

We turn 9 today, and take you through a few thoughts, learnings and our little bit of advice on how to look at wealth, performance and all the crazy things we've done and said. Be happy, live free.

Wealth Letter July 2023: It's raining new highs

Plan less, Live More

Conventional financial planning works well when we have perfect information about our financial future. Few in the real world have that luxury. We don't know what and how much we will want to spend on well into the future. We also don't necessarily know our long-term risk tolerance. Most people need to be thinking and planning less, not more about money.

Fact, Fiction and Factor Investing

Factor investing has been around for several decades, backed by an enormous body of literature, and yet it is still surrounded by much confusion and debate. Some of the rhetoric and myths have existed for a long time, while others surface during difficult periods of performance. This article examines many claims about factor investing; some are timeless, while others are focused on specific concerns that have emerged recently. This post summarises a recent paper 'Fact, Fiction, and Factor Investing' which is a must-read for any investor considering allocating to a Factor Strategy like Momentum.

Podcast: Turbulent times - RBI thrives, Fed fumbles

. Markets are slaves of earnings and liquidity. Liquidity has taken prominence after the coronavirus outbreak. At first, central banks across the world increased liquidity by cutting rates and helping their populace to live through the pandemic. Then the after effects of increasing liquidity hit - increased inflation. Now, the same banks are sucking out liquidity by increasing interest rates to counter inflation. The looming after effect of increasing rates is the "r" word that is too pious to speak loudly. In this podcast, Deepak & Shray discuss the two central banks that impact us the most - RBI and FED (Federal Reserve System, USA). What makes this podcast interesting is that we are looking at everything from the lens of who does better - FED or RBI? .

[23 Jul 22] Newsletter: Market Overview, 5 Good Reads & Capitalmind Weekly Show!

🔆 Quick glance . - Market Overview - Sensex 30 PE trend, Macro markers & Top stocks of the week - Links we like - 5 good reads on markets & money - Capitalmind Show - Kya Lagta Hai Bazaar on Youtube .

CM Focused Factsheet: A strong FY22 and the FY23 roadmap

FY22 was a good year for the CM Focused portfolio, up 36.7%, while the Nifty 50 advanced by 19%. In this post, we'll break down the CM Focused Portfolio's performance and get into the underlying portfolio management process.

EP40: How Smallcase helped create a new generation of investors

Episode 40 and we’re speaking to the fintech firm that just raised 40 Million dollars last week - Smallcase! Deepak sits down with co-founders Vasanth and Anugrah to talk about creating a new way to invest in stocks, investment lessons from the pandemic and what’s up next from the Smallcase team.

Introducing the Capitalmind Low-Volatility Portfolio

Introducing the Capitalmind Low Volatility Portfolio Factor Investing is about defining a characteristic (also called factor), and consistently applying a set of criteria to buy a diversified portfolio of stocks that share that characteristic For a factor to be implemented over the long-term, it needs to be persistent, pervasive, robust, investable, and intuitive. The last condition makes sure investors don't fall into the Bangladesh Butter Production problem Based on its run in the last 18 months, Momentum is one of the better-known factors. A long-term portfolio should ideally have adequate factor diversification. In a paper, the authors go as far as to say "...factor diversification is more effective at reducing portfolio volatility and market directionality than asset class diversification" Our backtests show a quarterly rebalanced portfolio of stocks with lowest volatility can outperform the NIFTY both from a returns and downside volatility perspective

Shrinking FD Rates, Expensive Loans and Where to Invest Instead

In this episode, Shray and Deepak discuss the evaporating returns from safe investments such as FDs, what it means for lending, and how should you invest in this new (to India) low interest-rate world.

Podcast #33: Momentum Investing, Unintuitive yet Effective

In this episode of the Capitalmind Podcast we discuss what is momentum investing, the key research by academics and practitioners that started the exploration into this strategy, the two schools of thought that explain why it exists. How it applies to Indian markets, and our analysis into whether it has worked. Also the downsides of momentum, both real and perceived, and in what ways it can be a good counterweight to a bottom-up fundamentally picked portfolio. We close with how we manage the Momentum portfolio at Capitalmind, and the differences between the Premium and the PMS Momentum portfolio.

Podcast #31: How trend following can make buy and hold better

In this episode, Shray and Sandeep discuss how adding a trend following layer to a long-only portfolio can help enhance returns and lower drawdowns, in the context of Capitalmind Chase - our own such strategy.

Podcast #29: Discussing credit scores, trust, valuing your time and habits of the wealthy with Kunal Shah

"How will we become wealthy if we hate everyone who becomes wealthy?". "All the entrepreneurs who are somewhat successful are because of their thick skin" "The largest employer of this country is inefficiency” Some amazing insights in the 29th edition of the Capitalmind Podcast, where Deepak Shenoy of Capitalmind and Kunal Shah of CRED analyze the affluent - their spending patterns, usage of credit, and the behaviour of successful people.

Podcast #21: The amazing rise of passive and what you need to do about it

How To Buy A Mutual Fund (Ep-14)

Podcast: Momentum- The Anomaly that Persists (Episode-6)

The Mindtree L&T Takeover Saga Raises the Question - To whom does a Company belong?

CobraPost Exposes Wily Tricks of Bankers

Behavioural Quirks and Discipline

The lack of irrational exuberance

SIPs are not necessarily less risky, or better for the long term