The PaisaSmart Wealth Builder Strategy combines stability and growth in a dynamic portfolio. Built on four foundational principles, this approach is designed to create wealth sustainably and consistently outperform benchmarks. Active rebalancing is at the heart of this strategy, ensuring the portfolio evolves with market conditions.

1. We allocate strategically to sectors, diverging from standard indices like the Nifty and Sensex:

• Prioritize growth sectors which show strong potential but are underweight in the Nifty
• Reduce exposure to overvalued or underperforming sectors
• Constant active reallocation based on macroeconomic forces enhances resilience and performance.

2. We capture high-growth investment themes often overlooked in the benchmark index e.g. India’s export growth or Capex cycle revival

3. Balance Between Large-Caps and Mid/Small-Caps dynamically adjusted through rebalances based on market conditions:

• Large-cap stocks: Serve as the portfolio’s foundation, protecting wealth during volatile periods.
• Small/mid-cap stocks: Infuse growth potential, enabling significant upside during bullish trends.

4. We optimise the portfolio through regular rebalances by adjusting exposure to stocks based on beta:

• High-beta stocks: Capture gains during bullish markets.
• Low-beta stocks: Protect against downside risk in bearish phases.