You are here: Home » PF » Q&A » Investments
Business Standard

Investing: Rishi Nathany

Business Standard 

What do you think about investing in gold saving schemes of jewellers? I am wary of other products for investing in gold.
There are various gold saving schemes offered by jewellers where they provide an installment scheme to customers to buy gold jewellery, after which they pay the last installment. However, there are various factors to be considered before investing in such schemes. First, these schemes are not regulated. Moreover, they only enable you to buy gold jewellery, where making charges could be high. Additionally, if you want to invest in gold and not jewellery, you could consider investing through a gold exchange-traded fund or e-gold. if you want to go for the gold savings scheme offered by jewellers, make sure you understand the conditions and be sure about the reputation of the jeweller.

Are multi-cap funds better products for investing than equity diversified ones? The former has given higher returns last year
Multi-cap equity funds have fixed limits as to the minimum and maximum percentage that can be invested in small-, mid- and large-caps. Diversified equity funds are allowed to invest across market capitalisations, and thus the fund manager could diversify his holding substantially to manage and reduce volatility risk. In good times, multi-cap funds may outperform diversified equity funds. But on the downside, they could face greater volatility risk, too.

My portfolio comprises mostly a large-cap equity fund, and around 15 per cent in debt funds. I want to take some amount of risk. How about including some sector funds? Which sectors can I invest in now?

From your statement I understand that 85 per cent of your money is invested in a single large-cap equity fund, with the balance in debt funds. It would be better if you diversified your across a couple of more funds to reduce concentration risk. As you want to increase risk in your portfolio, you could look at some mid-cap funds as well as sectoral funds. Infrastructure is a beaten sector. So are public-sector banks and metals. However, please be aware that these sectors are going through their own set of problems.

The views expressed are the expert’s own. Send your queries to

Today, Rishi Nathany, CEO, Dalmia Securities, answers your questions

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Mon, February 11 2013. 00:24 IST