Financial Planning Expert, Gaurav Mashruwala, talked to a web-audience on the do’s and don’ts of portfolio diversification on 7th March. The host of the webinar was Mumbai based investment house US Freedom Capital.
During the webinar, Mr. Mashruwala indicated that at the most basic level, diversification means investing in a manner where not all assets fluctuate in the same direction at the same time. Aligning your investments to your financial goals, he said, is especially important. On that note, he outlined the most critical aspects of a well-diversified portfolio. This includes articulating your financial goals, analyzing your cash flows, and knowing the items that you’re invested across. In addition to these aspects, he laid great emphasis on timelines: “The sooner you assess and thoughtfully construct your portfolio, the better.”
Contrary to popular belief, he added, the focus of diversification is not purely about generating the highest returns. In fact, Mr. Mashruwala is of the view that it is highly beneficial from a wealth preservation perspective. He has encouraged his own clients to consider diversification in foreign currencies for the very reason that it helps reduce overall risk in their portfolio.
In fact, Mr. Mashruwala commented that a majority of HNI Indians have their portfolio concentrated in INR. But with regulatory roadblocks becoming less of an issue, and fund options being more accessible, it is worthy to consider investing outside of India. One must remember, he said, that geopolitical activity can influence a currency. If investments are saturated in purely one currency alone, then it is important to decide what you are doing to protect those assets. Making investments across the globe could be a smart solution, that has become less complicated over the years.
About US Freedom Capital
US Freedom Capital is a boutique investment firm headquartered in Dallas, Texas with the Indian head office in Mumbai. The firm is focused on providing diversified dollar-denominated structured investment opportunities to global investors to earn stable, predictable returns as well as gain US Green Card through the EB-5 Visa Program, keeping in mind the safety of principal investments.
The team consists of the three former highest-ranking officials at US immigration (USCIS), and the professionals at US Freedom Capital have over $3 billion commercial real estate experience with decades of investment experience. Built on a reputation of commitment and trust, US Freedom Capital has a 100% success rate in EB-5 green card approvals.
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