Recency Bias

Recency Bias: The Hidden Trap in Equity Mutual Fund Investing

In the world of investing, our minds often play tricks on us — and one of the most common traps is recency bias. This bias leads investors to make decisions based on recent performance, rather than long-term potential.

Over the last year, many investors have shied away from equity mutual funds due to their short-term underperformance. The disappointment from muted returns has made people believe that mutual funds no longer work. Ironically, the same investors were eager to invest when the markets were rallying and mutual fund returns looked impressive.

This emotional shift is a classic example of recency bias — judging an entire asset class based only on what has happened recently.

However, successful investing is not about reacting to short-term trends, but about staying disciplined through market cycles. Mutual funds are designed to create wealth over time, not overnight. When markets consolidate or move sideways, that’s often when the real long-term opportunities are being built.

Interestingly, what’s happening now in the metals segment mirrors what we saw in equities last year. Gold and Silver have delivered one-sided rallies, attracting massive investor attention.

At Next Portfolio, we have been bullish on Gold since ₹50,000 per 10 grams and Silver since ₹90,000 per kg. Our stance remains positive even today — both still hold potential for long-term investors.

However, every bullish trend comes with phases of consolidation and accumulation. Just as equities are doing right now, metals too may witness a pause or short-term correction before resuming their next leg of growth.

In many ways, metals stand today where equities stood last year — shining bright after a strong rally, while equities quietly build their base for future performance. Markets move in cycles, and patience remains the most powerful investment strategy.

So whether it’s equities, gold, or silver, remember:

Stay focused and  with your asset allocation

Avoid emotional reactions to short-term trends

Keep accumulating systematically

Because in the long run, discipline always outperforms emotion — and consistency beats timing.

Akshay Tiwari

Next Portfolio

🌐 www.nextportfolioindia.com

AMFI Registered Mutual Fund Distributor

🌍 Nothing is Permanent in Today’s Geopolitics

🌎 H-1B Visa Registration Fee Hike, What It Means for NRIs

The recent hike in H-1B visa registration fees by the US government highlights a clear message: the US no longer wants large inflows of visa applicants, but is focusing on quality over quantity.

The earlier era, when many Indians would go to the US on an H-1B visa and wait 10–15 years for a Green Card, is coming to an end. With rising political shifts and increasing uncertainty under Mr. Trump’s leadership, long-term residency in the US is no longer guaranteed or even attractive for many.

🔎 What’s Changing?

Visa costs rising → Filtering out applications, reducing inflows.

Green Card backlog → Long wait times remain, with little hope of faster approvals.

Uncertainty in policies → Rules can change anytime, creating insecurity for overseas residents.

Vote bank politics → Immigration has become a tool for elections, not a stable long-term policy.

💡 Impact on Overseas Residents

Even those settled for decades in the US are realizing that the dream of permanent residency is more fragile than before.

The feeling of “desperation” for a Green Card is reducing, as the risks and costs are rising.

Many NRIs are now questioning: “Is it worth waiting endlessly in an uncertain system?”

📈 What NRIs Should Do

Don’t put all eggs in one basket: Depending only on the US for career, residency, and wealth can be risky.

Create an alternative base: Consider India or other countries that welcome skilled professionals and investors.

Diversify investments: Spread wealth across different countries, asset classes (equity, debt, real estate, global funds).

Protect your Plan B: Be ready for any sudden changes in residency or earning opportunities.

✅ Strategic Takeaway

The world has changed. The US no longer guarantees long-term stability for overseas residents. This is the right time for NRIs to rethink, rebalance, and diversify — both in life planning and financial investments.

📌 Bottom Line: A secure future is built on multiple pillars — not just one country, one residency, or one asset class.

👤 Akshay Tiwari

Next Portfolio

🌐 www.nextportfolioindia.com

📜 AMFI Registered Mutual Fund Distributor

Portfolio Diversification is like Cricket Team

Why Diversification Is the True Strength of Your Portfolio

When investors look at their portfolio, a common question arises:

“This scheme is doing very well, but why are the other ones not performing the same way?”

It’s a fair question. But here’s the truth: a strong portfolio is not built for every scheme to perform equally at the same time. It is built for balance, stability, and long-term wealth creation.

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The Cricket Team Analogy

Think of your portfolio like a cricket team.

• You don’t expect every player to score a century in every match.

• The opener may take big risks to score quickly, while the middle-order batsman plays carefully to build stability.

• The bowler doesn’t score runs at all—but is absolutely crucial for winning matches.

• The wicketkeeper may not hit big shots, but his consistency and safe hands are essential for the team’s success.

And remember—even the best players fail sometimes. Virat Kohli might get out for zero in a match or go through a rough patch, but that doesn’t mean he’s not one of the greatest players. Similarly, if one scheme underperforms in a certain period, it doesn’t mean it has lost its value.

A cricket team wins because of collective performance, not because of one star. In the same way, your portfolio succeeds when all schemes work together in their own roles.

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Why Every Scheme Doesn’t Perform the Same

Each mutual fund or investment scheme follows a different strategy. Its performance depends on many factors, such as:

• Market conditions – Different sectors shine at different times.

• Sector allocation – IT may perform well during a technology boom, while banking may shine when interest rates are favorable.

• Stock allocation – A few chosen stocks can significantly impact performance.

• Risk level – Some funds take higher risks for higher returns, while others focus on steady, calculated growth.

This is why one scheme may deliver extraordinary returns in a given year while others appear average. The high-performing scheme may simply be positioned in the right sector at the right time—or it may be taking greater risks. The others are not “bad performers”; they are playing their roles to provide stability and balance.

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The Real Purpose of Diversification

Diversification is like insurance for your investments.

• If you only put money into the top-performing scheme, you might enjoy big gains today—but also face high risks tomorrow if conditions change.

• By spreading your investments across different schemes, sectors, and strategies, you protect yourself from sharp downturns.

• Some schemes will give growth, others will give stability, and some will act as a cushion during tough market phases.

This mix is what allows your wealth to grow steadily and sustainably over time.

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The Big Picture

When you evaluate your investments, don’t judge them scheme by scheme. Instead, look at your portfolio as a whole.

At any point in time, a few schemes will lead, while others will quietly protect your capital. Together, they ensure that your portfolio is well-balanced, resilient, and aligned with your long-term goals.

Just like a cricket team doesn’t depend on one player to win every match, your portfolio doesn’t rely on one scheme. Diversification is the real strength behind consistent wealth creation.

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Akshay Tiwari
Next Portfolio
🌐 www.nextportfolioindia.com

AMFI Registered Mutual Fund Distributor

 

U.S.–India Tensions and the Emerging Strategic Realignment

🌍 U.S.–India Tensions and the Emerging Strategic Realignment

Immediate Challenges

U.S. Tariffs Bite: 50% duties on Indian exports could shrink trade by $55–60 billion annually, hitting textiles, gems, shrimp, and auto parts.

Market Volatility: Rupee at historic lows, ~$2.4 billion in FII outflows in three sessions, with August marking the sharpest sell-off of 2025.

GDP Growth Risks: Moody’s projects up to 0.7% drag on GDP, though S&P expects resilience given India’s domestic demand strength.

Emerging Benefits & Opportunities

1. Energy Security & Cost Advantage

Discounted Russian Oil: India secures crude at 20–30% cheaper than global benchmarks, stabilizing domestic inflation and energy costs.

Diversified Energy Basket: Reduces dependency on Middle Eastern oil and U.S. LNG, strengthening long-term supply security.

2. Stronger Multipolar Position

Strategic Autonomy: India asserts independence—balancing U.S. ties with deeper SCO/BRICS engagement.

Voice of Global South: With China & Russia, India gains leverage in shaping alternative trade/finance structures like the proposed SCO development bank.

3. New Market Access

China Trade Reset: Revival of flights, visa relaxation, and expanded trade routes could unlock billions in bilateral flows.

Russia Corridor Advantage: The Chennai–Vladivostok Maritime Corridor cuts shipping time by 40%, reducing costs for energy and defense imports.

South-South Trade Expansion: India is diversifying exports to Africa, Latin America, and ASEAN, reducing reliance on the U.S. market.

4. Domestic Economic Upside

Industrial Push: Tariffs accelerate “Make in India” programs, spurring MSME participation and PLI scheme adoption.

Currency Competitiveness: A weaker rupee makes Indian IT, pharmaceuticals, and services exports more competitive globally.

FDI Rebalancing: Non-U.S. investors (Japan, EU, Middle East) see India as a hedge against China and a key growth hub.

5. Technology & Defense Synergies

Russia & China Tech Collaboration: Opportunities in energy, AI, green tech, and defense R&D.

Indigenization Boost: Push for domestic defense production strengthens Atmanirbhar Bharat agenda.

Strategic Outlook

Risk Opportunity

Risk: Short-term export losses due to U.S. tariffs

Opportunity: Cheaper energy imports, stable inflation

Risk: Rupee depreciation, capital outflows

Opportunity:  More competitive Indian services & IT exports

Risk: Trade volatility with U.S. Market

Opportunity: Access via SCO, BRICS, and South-South corridors

Risk: Pressure on GDP growth

Opportunity: Domestic reform acceleration + PLI, GST reform, FDI inflows

Summary

 Despite near-term pain from U.S. tariffs, India is turning adversity into opportunity. By securing discounted Russian oil, improving ties with China, and accelerating market diversification through SCO and BRICS platforms, India is positioning itself as a resilient, multipolar leader. A weaker rupee and stronger domestic reforms also enhance competitiveness, offering long-term benefits even as U.S. tensions remain.

Akshay Tiwari

Next Portfolio

🌐 www.nextportfolioindia.com

AMFI Registered Mutual Fund Distributor

Ganesh Chaturthi: A Celebration of Life and Wealth Creation

Ganesh Chaturthi: A Celebration of Life and Wealth Creation

Ganesh Chaturthi is not only a religious festival, but also a reminder of how wisdom, discipline, and devotion can transform our lives. Lord Ganesha, the remover of obstacles, teaches us how to balance life, make wise decisions, and create true wealth—both material and spiritual.

Ganesha and the Symbolism of Life

Lord Ganesha’s large head inspires us to think big and stay focused on our goals.

His small eyes remind us to concentrate and pay attention to details in life.

The big ears teach us to listen more and learn from others.

His trunk shows flexibility—an essential quality for adapting to life’s challenges.

Together, these symbols guide us to live a purposeful life with clarity, patience, and positivity.

Wealth Creation and Prosperity

Wealth is not only about money—it is also about health, happiness, knowledge, and relationships. Lord Ganesha, also called Vighnaharta (remover of obstacles), blesses us with the right mindset to achieve success and prosperity.

Siddhi (spiritual power) and Buddhi (intelligence), who are always with Ganesha, represent the perfect balance needed for true wealth creation.

Offering modaks symbolizes enjoying the sweet fruits of hard work and devotion.

His blessing ensures not just financial success, but also harmony, stability, and inner richness.

Life Lessons from Ganesh Chaturthi

Begin with devotion – Every new venture starts with Lord Ganesha’s blessings, teaching us to value preparation and prayer.

Remove negativity – Just like idols are immersed at the end of the festival, we should immerse our ego, greed, and doubts.

Celebrate togetherness – Festivals unite families, businesses, and communities, reminding us that true prosperity comes when we grow together.

Conclusion:

Ganesh Chaturthi is more than a festival—it is a philosophy of life. It inspires us to think wisely, act with courage, and create wealth that brings happiness not only to ourselves but to everyone around us.

🌸 Let us welcome Lord Ganesha into our hearts and homes, and with his blessings, begin a journey of life filled with joy, peace, and prosperity.

Ganpati Bappa Morya!

Akshay Tiwari

Next Portfolio

🌐 www.nextportfolioindia.com

AMFI Registered Mutual Fund Distributor

Ye Zindagi Na Milegi Dobara

Financial Discipline & Zindagi Na Milegi Dobara

We all loved the movie “Zindagi Na Milegi Dobara” — three friends chasing adventures, conquering fears, and learning to truly live. The message was simple: life is short, don’t waste it.

But here’s a thought: what if we apply the same philosophy to our money? Because let’s face it — zindagi toh dobara nahi milegi, aur paise bhi baar-baar waste karne ka chance nahi milega.

Budgeting – Your Roadmap to Freedom

In the movie, every trip was carefully planned. Similarly, your finances need a roadmap. Budgeting doesn’t mean cutting happiness, it means creating space for what truly matters. When you budget, you spend consciously and save guilt-free.

Saving – Security for the Unknown

Just like the characters didn’t know what adventure lay ahead, life also surprises us — sometimes good, sometimes challenging. An emergency fund is your safety harness, keeping you steady in life’s bungee jumps.

Investing – Growth Beyond Comfort Zone

Remember how they pushed each other to step out of their comfort zones? That’s what investing does. Putting money in mutual funds, stocks, or assets may feel risky at first, but it’s the only way your wealth grows.

Experiences vs. Expenses

The film taught us to collect memories, not things. Financial discipline allows you to prioritize experiences — travel, learning, family time — without the guilt of overspending.

Balance – The True Lesson

Life is about balance — between work and leisure, saving and spending, security and adventure. When your money is managed well, you get the freedom to say yes to life.

🌟 Final Thought

Zindagi Na Milegi Dobara reminds us to live fully. Financial discipline ensures we can. Because when money works for you, your mind is free to chase dreams, not debts.

👉 Live freely. Spend wisely. Invest smartly. Because life won’t come again — but the impact of financial discipline will last a lifetime.

Akshay Tiwari

Next Portfolio

🌐 www.nextportfolioindia.com

 

AMFI Registered Mutual Fund Distributor

Shri Krishan Janmashtami & The Art of Overcoming Financial Hurdles

🌸 Janmashtami & The Art of Overcoming Financial Hurdles 🌸

Janmashtami celebrates the birth of Shri Krishna — a symbol of wisdom, courage, and balance. His life was full of challenges, yet he navigated them with a smile, strategy, and an unshakable belief in Dharma.

These same timeless principles can guide us in overcoming today’s financial challenges.

Face Challenges with Strategy, Not Panic

When young Krishna faced Kansa’s threats, he didn’t react in fear — he prepared, planned, and acted at the right time.

Financial Lesson: Instead of panicking about debts or losses, create a plan — budget wisely, diversify income, and make informed investment choices.

Example: If you suddenly lose a major client, review expenses, tap into emergency savings, and immediately explore new business leads.

> श्लोक (गीता २.५०)

योगः कर्मसु कौशलम्

"Excellence in action is yoga."

Balance Needs and Desires

Krishna enjoyed life in Vrindavan — music, friendship, celebrations — but never at the cost of his responsibilities.

Financial Lesson: Enjoy life’s pleasures but also save and invest for the future.

Example: Go on vacations and enjoy occasional luxuries, but also ensure a fixed percentage of your income goes to investments.

> श्लोक (गीता ६.१७)

युक्ताहारविहारस्य युक्तचेष्टस्य कर्मसु।

युक्तस्वप्नावबोधस्य योगो भवति दुःखहा॥

"Moderation in eating, recreation, work, and rest leads to the end of sorrow."

Choose the Right Guidance

On the battlefield of Kurukshetra, Arjuna found clarity through Krishna’s counsel.

Financial Lesson: In money matters, take advice from trusted experts instead of following random market tips.

Example: When markets fall sharply, a qualified financial advisor can help you rebalance your portfolio instead of panic-selling.

> श्लोक (गीता ४.३४)

तद्विद्धि प्रणिपातेन परिप्रश्नेन सेवया।

उपदेक्ष्यन्ति ते ज्ञानं ज्ञानिनस्तत्त्वदर्शिनः॥

"Approach the wise with humility and service; they will impart true knowledge."

Act Without Attachment to Immediate Results

Krishna taught Arjuna to focus on action, not on the fruits of action.

Financial Lesson: Long-term investments require patience — focus on consistent actions rather than quick gains.

Example: Continue SIPs in equity funds without worrying about short-term market fluctuations — wealth grows over years.

> श्लोक (गीता २.४७)

कर्मण्येवाधिकारस्ते मा फलेषु कदाचन।

मा कर्मफलहेतुर्भूर्मा ते सङ्गोऽस्त्वकर्मणि॥

"You have the right to perform your duties, but not to the fruits thereof."

Financial Janmashtami Takeaway

Janmashtami reminds us that every crisis — personal or financial — can be overcome with faith, discipline, and wisdom.

True financial freedom comes when we combine Krishna’s eternal teachings with modern financial planning.

जय श्री कृष्ण !

Akshay Tiwari

Founder – Next Portfolio

🌐 www.nextportfolioindia.com

AMFI Regt. Mutual Fund Distributor