What should your equity, fixed income portfolio look like? Motilal answers

MOPW reiterates their view to have a duration bias in the fixed income portfolio so as to capitalize on the likely softening of yields in the next 1-2 years

Investors should adopt a cautious approach to their portfolio strategy as current global events and expensive valuations are creating uncertainties in the market, as per the  Motilal Oswal Private Wealth's (MOPW) Alpha Strategist report for October 2024.

Heightened geopolitical  tensions have led to increased volatility, rising crude oil prices, and rising bond yields, raising concerns about inflation and interest rate cuts. Indian equities, particularly small and mid-caps, are trading at significant premiums compared to long-term averages.

A.Iran – Israel Tensions increasing volatility

India VIX increased by 25% from lows of 12 to 15 in a span of few days.