Inflation Beater for Long-Term Growth
The problem with inflation is inevitable for the long-term investor, especially in developing countries like India. The little case in question suggests the simplest of solutions: a two-instrument mix that is an ideal antidote to the evils of inflation yet promises to grow over time.
Why Invest in This Smallcase?
Smallcase has been created to help investors identify themselves with India’s growth by investing in the top 20 blue-chip companies. It will also have the oldest and most reliable asset—gold—through an ETF. This package makes the portfolio quite strong and also has it comprehensible and sturdy in terms of volatile market situations.
It has a dual purpose: to work as a hedge against inflation and protect against uncertainty. This is a simple yet strong portfolio for those investors who are purely long-term regarding steady growth and stability. Then also can be easily monitored or liquidated as when required.
Who Can Invest in This Strategy?
This strategy is recommended for:
- Long-term investors with interests in growth and stability of their portfolio.
- First-time investors are out to secure a simple, diversified strategy.
- Contra-investors are out to protect their investments from inflation and economic uncertainty.
- Proficient investors with interest in getting a mix of equity and gold balanced in their portfolio.
The Methodology
- Defining the Universe
This smallcase is governed by ETFs to represent both instruments involved.
- Research
It is a comprehensive study aimed at identifying the criteria to be used for the selection of the constituents.
- Constituent Screening
The company reports and financials are fully examined to be qualified; the screen in stocks that match the strategy of both qualitative and quantitative parameters.
- Rebalance
It is designed to rebalance on a quarterly basis. This small case has a schedule for the review and update of the constituents once a quarter, ensuring the portfolio optimization.
Key Features
- ETFs Included: 2
- Rebalance Frequency: Quarterly
- Last Rebalance: November 18, 2024
- Next Rebalance: February 18, 2025
Performance Insights Comparison:
Smallcase vs. Equity Multi-Cap (EMC)
| Financial Ratio | Smallcase | EMC |
| PE Ratio | — | 26.29 |
| PB Ratio | — | 4.00 |
| Sharpe Ratio | 2.99 | 1.16 |
| Dividend Yield (%) | — | 1.11 |
Minimum Investment
- Amount: ₹ 288
- Subscription: Available from ₹236/month
Rebalance Timeline
Stockbox regularly monitors any updates or shifts in the timeline. Summary of recent rebalance actions:
- February 18, 2025: Next review
- November 18, 2024: No change. (-1.98%)
- September 2, 2024: No change. (+7.29%)
- May 29, 2024: No change. (+8.24%)
- November 29, 2023-February 27, 2024: Three rebalances
- February 25, 2013: Smallcase went live.
This small case well combines an expectation of managing inflation and, at the same time, earning significant growth opportunities to cater to a balanced and secure investment journey for long-term investors.
Click Below to view Inflation beater long term growth Small Case