The market continues to display mixed signals. Nifty and Sensex are hovering near all-time highs, but under the surface, there’s noticeable churn — especially in the mid and small-cap segments. It’s been a volatile few weeks, and I’m seeing some signs of fatigue in valuations, particularly in certain high-growth small cap mutual funds in India that have seen massive inflows over the last 12-18 months.
While small caps offer long-term growth potential, the current euphoria around the segment has pushed me to re-evaluate my exposure. I’m not planning a full exit, but I am trimming some overweight positions in funds that have run up significantly without corresponding earnings growth. Also considering shifting part of that capital to more balanced hybrid funds or contra strategies until the small-cap valuations cool off.
On the operational side, I’ve also been reassessing my platform strategy. Managing multiple accounts and platforms for equities and mutual funds is becoming inefficient. I’ve started comparing options to consolidate everything under one umbrella — trying to find the best demat account that offers not just low fees, but also decent analytics, integrated mutual fund tracking, and a reliable mobile app.
I’ve tested a few in the last quarter. Rupeezy came up during my research — seems to have most of the features I need, though I still need to explore their reporting tools and how smoothly they handle SIPs and redemptions. For now, I’ve moved a small test portfolio there to monitor performance, UI/UX, and service quality over the next few months.
Macro-wise, I’m keeping a close watch on inflation prints in the US and India, along with central bank commentary. Fed’s stance will likely impact global flows, especially into EMs like India. Domestically, the festival season should give a boost to consumption-linked stocks. I’m selectively looking at autos and capital goods for fresh positions if valuations stay reasonable.
No aggressive buying this month — mostly reviewing, trimming, and reallocating. Might revisit my small-cap exposure in early Q1 2026 depending on earnings and broader sentiment.
