Above schemes rotate the funds between equity & debt as per market valuations. At higher PE, funds are moved to debt. What about taxation on redemption as some time during the period, equity portion would be below the limit required for getting REDEMPTION TAX FREE. Please clarify.

very good information Sir

I am sure, readers will appreciate the above article post todays equity market carnage. Those who exited - converted to Asset Allocations strategy wud have benefitted: 1) booked profit from 100% equity, 2) converted to 50:50 thru Asset Allocation 3) sitting on cash which will be deployed in equities at lower levels. Though cash is not King after Mr.Modis announcement yesterday, cash is king in Investor portfolios currently????

Very Nice & useful info sunil sir.

Very nice information

A superb compilation, and this is what an adviser look into it. A Regular profit booking and accumilation on low, set these streategy to involove your clients. If some one opt for these kind of streategy there wont be any fear from Regulator and our revenue model.. If MF is making hard to do business will move direct equity, just one thing is the key to success the CLIENT must have faith in your streategy... leave out AMFI, SEBI etc... focus on how you can build your investors wealth...

Mr. Bond, Thanks For Sharing it. Great Efforts, Excellent Articulation & Eye Opening Calculations. If our Investors do not earn, How we will sustain?? It is Very True that in DIRECT & DISCLOSUREs days our Payments should be justified. I completely agree with Mr. Bond. SunilSir, You have done a great job. Keep it Up..

Excellent article Mr. Bond. SIP older than 100 months cannot have SIP karo Mast Raho as monthly volatility can be more than 1% i.e. of SIP amount. So SIP karo Mast raho is half done. There should be SIP exit route but when to implement it, is a big question. Since April 2016 I am doing the same and getting wrong!!! especially in mid cap SIPs. Further, Dynamic asset allocation plans may not be the solution and need to look for some other solution, which may not be ready made. You have initiated a good point and done a good initial job but I feel still needs some more work to be done. I am happy to see that there is someone thinking in the same line where I am thinking since very long. We can have further discussion on my email id Once again thanks for raising very valid point.

Swing STP/ Value STP / Flex STP offered by HDFC / ICICI / SBI / DSPBR are IDEAL Solutions to Optimise & Eliminate Risk in Long Term ( more than 5-10 years ). P.C.Sharma

Great observations but require some fine tuning but excellent for general public. Sunil ji, your thought process is very clear which I admire and ie thw well being of the investor. Hats off to you.

if mkt crashes more than 30%, Gradually part of the safe amt may be switched to diversified eqty schemes also to gain more

Thank you for sharing your Insight ! and it is really valuable as i am using this strategy after attending you Online Platform Video and it is really workable . I had used this strategy with my clients ( whose portfolio have handsome amount ) and feedback is very positive as they seen earlier fall of 2008-2009 and also volatile period of 2010- 2013 . As you rightly said in your video and also indicate in this article as an advisor our role is not only to choose fund and give you client , more important is hand holding which became quit easy after Asset - Allocation and re - allocation . As we create any plan base on average return which is again depend on mercy of market or Fund Manager to perform well , when target Goals are near . But when We do Asset Allocation and re - allocation of Asset Classes it always add in our value creation . Thanks for sharing so valuable article which always give so much clearity and conviction

Good one Sunil Sir In the current scenario of challenging times we have to be more competitive and discuss with clients new ideas to retain them.....your thots will help us do that I have been selling both the funds BAF & Motilal Dynamic recommended by you and in the past 2 months focussing on IDFC PE also...a wonderful thot by team Kalpen Sir but what bothers a little is that there underlying equity funds have not been able to beat peer group or benchmark though classic equity is fast catching up....hope it continues Furthet how to devise a strategy so that exit strategy can be fillowed for all clients for an advisor who deals with 300/400 retail clients

cont....We can get a fair share of investors wallet if we adopt these strategies otherwise we will keep on getting 2-5% of investors portfolio in equities. And other chunk of money will go into traditional products wherein they will keep on getting 6-7% post taxes and they will be wanting us to predict the markets/ select top funds for them and so on. I totally agree with your strategies Mister Bond and follow it religiously. Thanks for coming with A2A platform and I remember what you said "Its time to give back to this society" and you are doing the best you can do. Thank you once again!

Thank you for sharing this article. I think we all should appreciate for the data crunching he has done and come up with a strategy that nobody in this industry would have thought of. The return in this strategy may underperform in case of a secular bull run or for the investors who remain invested for 15-20 years but volatility is also reduced by a large extent. Volatility is such a ghost that keeps on haunting our long term plans. And after all, who knows investor will continue it for 15-20 yrs (are we continuing our own SIPs for that period, arent we putting our money in FDs, Bonds, PPF) and we want investors to allocate all their money into SIPs, equities. cont.......

Great article Sunil with facts and figures, all those who do not agree with whats written need to see their clients SIP investments in downturns and their client behavior during turbulent times, how ever much we may talk about hand holding those times make clients stop SIPs redeem at a loss and go into assured returns FDs. Makes sense in rebalancing either manually if we follow systems or let the fund do it as per its objectives.

I like it very much Mr Bond. Vishhal Malhotra Lucknow(Suited Booted)

Excellent guide from the MASTER

PERFECT INVESTMENT STRATEGY CYCLE. ONLY THING WE HAVE TO CLOSELY FOLLOW GOVT. / MARKET PLAYERS ACTIONS VIS-A-VIS INTERNATIONAL MARKET SWINGS. FULLY APPRECIATE AGAIN, ANALYSIS

Im newly taken ARN NO so I studying index market scenarios.

Instead of booking profit , I suggest my client to go for SIP in balanced fund quarterly dividend and suggest them to Increase the SIP amount every year where they get periodical cash flow around 9% per year. Here they enjoy capital appreciation and Goal achievement is also there because of the increase in SIP amount every year. One advantage of this strategy is our client will not SIP as regular cash flow is there. Event if they dont have money to honour SIP , Dividend payout will rescue.

i endorse ramkumars view. any article with hindsight data is misleading and confusing. there are ample reasons why investors need us, which most of us know but probably do not consider as our strengths. on one hand we say investors need our guidance so sebi should support us and on other hand we say that if the investors knows couple of things he doesnt need us..lets ask ourselves and answer this question everyday why should an investor use our services. the lesser the ifs in your answer, the better it may be for your business

Hi Ramkumar, I never write biased articles. I have already mentioned that many times it is difficult to control emotions of investors & hence SIPs are discontinued. These strategies are for those investors. If u are able to continue SIPs for 10-15-20 years, then u need not adopt the same. However, only 2% investors have stayed invested for for more than 10 years. Hence, investment returns are never investor returns. I have given hard facts & figures to prove the same. Also SIPs have underperformed Exit Strategy over 2007-2016 long enough period.

Sir with due respect I dont agree with your point to regularly book profit and shift to structure products and as you point out some data that is only for specific period . Post mortem is always easy but to predict future is not.

Sir, your article is slightly biased as it only takes into account a period which has seen extreme volatility. Moreover the history of asset allocation funds are relatively short. Why you have not incorporated long term SIP results of 10 years plus or 15/20 years. As an advisor it is our job to hold investors hands and sol him through panic zones. In practice it would be easy to allocate a part of the portfolio in balanced funds at the planning stage rather than moving funds like snakes.

Best article