Should Debt Investments be part of your long term portfolio?
Many investors tend to get attracted by the past return of equity without assessing their own risk appetite. But once reality dawns on them that equity returns are volatile and can deliver negative returns too, they get petrified and tend to exit at a loss. So, for such investors, it is always imperative to know their risk profile first and allocate their funds accordingly. Ventura Securities says including debt in a portfolio will not only provide stability but will also protect them from taking impulsive decisions like selling equity or equity funds at a loss.
Including debt in their portfolio along with the equity could help ease the stress for such investors, even if the investment is for a longer period: Reuters