Fabits Mutual Fund Baskets: A Testament to Resilience and Strategic Wealth Building

In the world of investing, the true test of a portfolio’s strength lies not in its performance during bull markets but in its ability to weather storms during market corrections. At Fabits, we take pride in our meticulously crafted mutual fund baskets: Short Term, Mid Term, and Long Term, designed to deliver consistent performance while minimizing risk. The period from September 26, 2024, to January 20, 2025, has been a challenging phase for the Indian markets, with the Nifty 50 experiencing a significant correction. However, our baskets have demonstrated remarkable resilience, lower volatility, and a steadfast commitment to long-term wealth creation. 

Fabits’ Mutual Fund Baskets: Outperformance in Challenging Times

1. Long Term Fund Basket

• Performance: Down by only 2.21% compared to Nifty 50’s 10.95% decline.

• Why It Worked: This long-term investment fund aims to build your wealth and provide financial security. Diversification across asset classes, geographies, and strategies helped balance risk and limit losses. While equities saw volatility, allocations to gold and debt provided stability, global exposure added a layer of diversification and reduced dependence on domestic trends.

2. Mid Term Fund Basket

• Performance: Down by 3.11% compared to Nifty 50’s 10.95% decline.

• Why It Worked: This investment portfolio is designed for steady growth to help you achieve your mid-term financial goals, even with rising costs and inflation. A solid mix of large-cap and value stocks kept things stable, while global exposure helped balance out domestic market volatility. Adding some multi-asset allocation gave extra protection, reducing the impact of ups and downs. This combination of steady growth and smart diversification helped keep losses smaller.

3. Short Term Fund Basket

• Performance: Down by only 3.35% compared to Nifty 50’s 10.95% decline.

• Why It Worked: This short-term investment fund is designed to help you achieve your immediate financial goals. This fund focuses on protecting your capital with a mix of equity and a significant portion of debt, which adds stability. The debt component reduces the impact of market swings while ensuring liquidity. It’s designed for modest returns and balancing safety with some growth potential.

Volatility: The Unsung Hero of Portfolio Management

One of the standout features of Fabits’ baskets is their significantly lower volatility compared to the Nifty 50. While the index has experienced wild swings, our portfolios have remained relatively stable. This is a testament to our robust risk management framework, which includes:

• Diversification: We spread investments across asset classes, sectors, and market caps.

• Rebalancing: We adjust allocations as market conditions change.

The Real Test of Time: Patience and Commitment

The recent market correction underscores a fundamental truth: the real test of an investor’s mettle is not during bull markets but during downturns. When markets are falling, emotions run high, and the temptation to exit can be overwhelming. However, history has shown that staying invested through corrections is key to achieving long-term financial goals.

At Fabits, we believe in the power of patience and discipline. Our mutual fund baskets are designed to help you navigate market cycles with confidence. While the Nifty 50’s sharp decline may seem alarming, it is important to remember that corrections are a natural part of the market cycle. They provide opportunities to buy quality assets at discounted prices and set the stage for future growth.

Why Fabits Stands Out?

1. Proven Performance: Our baskets have consistently outperformed the benchmark, even during challenging times.

2. Lower Volatility: We prioritize stability, ensuring that your portfolio remains resilient in the face of market turbulence.

3. Long-Term Focus: Our strategies are designed to help you build wealth over time, not just chase short-term gains.

4. Transparency and Trust: We keep you informed and empowered, so you can make decisions with confidence.

Conclusion: Staying the Course

The period from September 2024 to January 2025 has been a stark reminder of the importance of disciplined investing. While the Nifty 50 has struggled, Fabits’ mutual fund baskets have emerged as a beacon of stability and outperformance. This is not a coincidence but the result of meticulous planning, strategic allocation, and a relentless focus on long-term wealth creation.

As we move forward, we remain committed to helping you navigate market uncertainties and achieve your financial goals. Remember, the journey to wealth is not a sprint but a marathon. And with Fabits by your side, you can rest assured that you’re on the right track.

Stay invested. Stay focused. Let’s build wealth together.