A 100% equity portfolio: Will it work?

With inputs and data from Bipin Ramachandran

With even the plainest of index funds delivering great returns, Indian equities now have a fan club rivalling actor Rajnikanth’s. 

You find many X handles claiming that they will never invest in any asset except stocks. Wealthy investors interviewed in the pink papers breezily put their personal equity allocation at 100%, while dissing fixed deposits, bonds, real estate and gold as useless assets. 

So, are all those investment books and grey-haired investment gurus wrong, when they tell us that we should be owning multiple assets in our portfolio, with a well-thought-out asset allocation? Let us assure you that they aren’t. 

‘Best’ asset changes over time 

All those folks who are advocating 100% equity portfolios today, have given in to recency bias. They’ve started believing that equity returns are a certainty because they’ve seen the stock markets rally strongly in the last ten years, with very brief corrective phases. But that’s not the true nature of the beast. 

For those taking stock in February 2024, equities look like the best asset class to own because their 10-year CAGR (compounded annual growth rate) is 13.8%, while gold has returned 7.3% and debt has delivered 9.2%. 

If you looked at 10-year returns in December 2020 (graph below), government bonds were looking like a much better asset class than equities, as their 10-year return was at 9.9%, while equities managed 8.8% and gold gave 9.3%. 

In August 2020, the 10-year record would have convinced you that bullion is your best bet, because the 10-year gold return was 11.9% while equities had returned an anaemic 7.6% and government bonds 9.9%. 

The above data goes to show that point-to-point or trailing returns on a specific date can be a highly unreliable guide to choosing your asset classes.

Modelling the investor experiences with full equity portfolios

This is why, to assess how 100% equity portfolios fare in real life compared to asset allocated portfolios, Primeinvestor ran a rolling return analysis spanning the last two decades in the Indian markets. 

To calculate rolling returns, we used the Nifty100 index as a proxy for equities, SBI Gilt Fund as a proxy for bonds and Indian gold prices (in Rupees) as a proxy for gold from January 2003 to February 2024. (We chose SBI Gilt Fund to approximate bonds because it has a 20-year track record and is easy for retail investors to own). 

Over this two-decade period, the Nifty100 delivered a point-to-point return of 15.86%, the gilt fund delivered 6.86% and gold returned 12.11%. 

Though those equity returns over a twenty-year holding period look great, they were very hard to achieve in real life. 

To explain why, let’s take the example of Mr Hopeful who began with a 100% equity portfolio and invested only in the Nifty100 index in January 2003. 

In the very next year after he started investing, Mr Hopeful would have hit the jackpot. Between April 2003 and April 2004, with the markets shooting up, his portfolio would have delivered a bumper 116% return. His Rs 10 lakh investment would now be worth a cool Rs 21.6 lakh!

But had he rejoiced and sold off his portfolio to book profits, he would have missed out on four more years of blockbuster stock market returns. Assuming Mr Hopeful was a patient investor and held on to his stocks only portfolio for the four years from April 2004 to September 2008, his portfolio would have been up by 230% in absolute terms, taking his portfolio value up from Rs 21.6 lakh to Rs 49.7 lakh.   

By this time, the stellar gains on his portfolio would have made him believe that he was on to a sure thing, and that he should stick to his 100% equity portfolio. But with the arrival of the global financial crisis from October 2008, he would have suffered a nasty shock. 

For, within the next three months from October to December 2008, the stock indices plummeted, reducing his portfolio to rubble. In just three months, he would have seen about 41% of his wealth wiped out and his portfolio value back at Rs 28.8 lakh.  

Just as he was giving up all hope, the market upswing from October 2008 to June 2009 would have taken up his wealth to Rs 51.7 lakh.  

Now, having seen his wealth decimated by 50% just the previous year, it would have taken superhuman effort for Mr Hopeful to stay invested at this juncture. Every instinct would have cried out for him to sell his entire portfolio, while the going was good. 

One can continue to trace Mr Hopeful’s story over the next 15 years, when the market saw many more crashes and rallies. But his stomach-churning ride in the first six years of his investment career, is a good illustration of why equity-only portfolios work only in theory.  

If they had all their wealth invested in equities, most investors would find it behaviourally very difficult not to sell when markets crash or book profits when it trebles in short order. 

This is the first reason why 100% equity portfolios don’t work. The big losses and gains that the stock markets deliver from year to year aren’t conducive to holding your investments for the long-term. And yet, an investment horizon of 10 plus years is necessary for a great return experience from equities. buy-and-hold investing. 

Instead of getting very adventurous with a 100% equity portfolio, had Mr Hopeful opted for an asset allocated portfolio with 60% in equities and 40% in debt, his ride would have been far smoother. 

His portfolio return in his best year would have been 67.6%. In the worst year he would have lost 32.3%. The smaller gap between the good and bad years would have made his journey smoother, significantly improving his odds of buying and holding for 20 years.

A 60-40 portfolio would have got him to a CAGR of 13.5% by February 2024. This is lower than the 15.8% CAGR from a 100% equity portfolio. But behaviourally, the 13.5% return is more attainable than the 15.8% return. 

It is not just big market ups and downs that investors with equity-only portfolios need to endure. They also need to keep faith through long spells when their portfolio delivers losses or sub-par returns.  

Our rolling return analysis shows that with an equity-only portfolio, Mr Hopeful would have had to put up with loss making years about 18.6% of the time in the 20-year journey. With a 60:40 portfolio, he would have had to endure losses only 12% of the time.  

Fewer loss-making periods would have made it easier for Mr Hopeful to hang on to his portfolio without panicking, so that he could benefit from bull markets when they arrived.

Some market mavens recommend going all-in on equities because “Equities are the only asset class that beat inflation”. 

While it is true that the CAGR on an equity-only portfolio beats inflation over 10 or 20 years, equity-only portfolios don’t beat inflation every year. 

Investors who have entered Indian equities in the last five years are supremely confident about this asset because they’ve never experienced vexing spells when their portfolios deliver single-digit returns. But more seasoned investors will tell you about a long period between 2011 and 2013 when equities struggled to get them to a 6% CAGR even after hanging on for five years. 

Our rolling return analysis tells us that on a one-year basis, an equity-only portfolio would have delivered a return of less than 6% about 30% of the time in the last twenty years. Given that long term inflation rates in India average 6%, that’s a fairly high frequency for your portfolio to do worse than inflation. 

100% debt portfolios did even more badly at beating inflation, with such a portfolio not delivering a 6% return 51% of the time. However, if you held an asset allocated portfolio with 60% equity, 10% gold and 30% debt, then you managed to beat a 6% return about 75% of the time. 

Loss-making spells or periods of low returns from equities usually follow long bull markets that have pushed equity returns well above long-term averages. We are currently in the midst of such a phase. Therefore, asset allocated portfolios are likely to fare much better going forward, than equity-only portfolios. 

But is an equity and debt mix enough to reap the benefits of asset allocation? Should you go with a 60-40 portfolio or experiment with other allocations? We’ll answer these questions in our next few articles on this subject. 

You can now check whether your are holding the right risk-adjusted asset allocation for your goal, time frame and risk profile by using our super-comprehensive Portfolio Review Pro tool

More like this

18 thoughts on “A 100% equity portfolio: Will it work?”

  1. Thank You for starting a discussion on this key topic. Hoping that subsequent articles will give a solution – what is the ideal mix. This issue is very important for those who have build the corpus for retirement and have time left for starting to use. Mix should be sufficient to beat the inflation plus have small growth to cover uncertainities.

      1. Is it only for 100% equity mF or is it valid for 100%direct equity shares and mF ?
        I am in later category
        I am comfortable with near 100 % allocation with shares and m f
        I am holding them for past 35-40 years
        I intend to pass on to next generation
        Please include in your portfolio review Pro tool , equity shares too…
        Regards

  2. Mam
    I totally disagree on your hypothesis.
    I have been investing in MFs -pure equity for 24 years now.
    If my end goal is long term & retirement planning , what you say is absolutely wrong.
    I have made average 17% in equities and seen my investments crash over 60% atleast thrice for 3.5 years – I never flinched & sold but continued my savings irrespective of yearly CAGR

    It’s stupid to match so called real estate, gold, bonds which all arent near liquid …..
    So in my experience, park 3 to 4 years worth of annual expenditure in debt , rest in equity, switch off telly, news and wannabe financial planners, sit back, relax and your corpus is made

    1. This is not a hypothesis but a number based analysis. You haven’t mentioned if your portfolio outside of MFs is also all-equity – no PF, FDs etc. But if a portfolio without asset allocation has worked for you, that’s great. Congrats on being an exceptional investor who isn’t subject to any human emotions of doubt, greed or fear :⁠-⁠)
      But 99% of investors including me, aren’t like you and so we do need asset allocation.

      1. Hi Aarti,
        I have been investing in equities for two decades now and the only reason to withdraw money for me was when I have sudden expense. So for future if I have enough amount to cover say 2 years worth of total expense or have enough funds that I would require in debt.,then can I put the remaining completely into equity so that I can maximize my returns? This is an alternate methodology to arrive the percentage of debt that needs to be in my PF to maximise returns. But What i wanted to know is that is there a potential to maximise returns just by rebalancing and if so then what is the best Equity to debt ratio that needs to followed and what frequency that needs to be rebalanced to maximise retuens

        1. Bipin Ramachandran

          Hello Sir,

          To answer your questions:

          The two main reasons for not recommending a 100% equity portfolio for anyone are:

          1) One shouldn’t be forced to sell equity at an unfavourable time. Having debt instruments to cover emergency funds, short term goals, and other reserves will help us to hold on to equity when the market corrects.
          2) An equity only portfolio will face big drawdowns when markets correct. This shouldn’t make the investor nervous and sell.

          You asked if you have ‘enough funds’ in debt, can you go completely equity to maximise returns. Since this addresses the first point above, you can.

          If you think drawdowns wouldn’t make you nervous, from the psychological aspect, you can have as much equity as you’re comfortable with. Also, looking at the entire portfolio, you will not be having a 100% equity portfolio as you have debt also (from the last point)

          Regarding adding debt for rebalancing and maximising returns: This may seem possible retrospectively, especially during selected periods. For example, if one rebalances in favour of debt as part of yearly rebalancing in 2020 January and does another special rebalancing in favour of equity due to big drawdown in 2020 March, the portfolio will have extra returns due to rebalancing. However, the key is to set rules for rebalancing that captures these scenarios in the future. If we do such an analysis, we will find that, even though these rules may give alpha due to rebalancing in the year 2020, it should have clipped upsides in other years and looking at longer periods, the ‘rebalancing’ isn’t giving alpha to the returns.

          In short, rebalancing is a method to reduce risk or increase risk adjusted returns rather than increasing returns alone for the long term.

          Hope that answers the questions.

  3. Good article. ‘Loss-making spells or periods of low returns from equities usually follow long bull markets that have pushed equity returns well above long-term averages. We are currently in the midst of such a phase. ‘ – Could you please let us know how long do you think this phase could last? Are we in a bubble/over-valued now? If yes, at what levels of Nifty100 would you recommend re-entering the market to beat FDs (for example)?

    Also, economic historian Russell Napier talks about financial repression due to elevated debt levels being the new norm (at least in the developed markets) – please see article below. In this scenario, do you think buying debt is riskier in comparison to equities?
    https://themarket.ch/interview/russell-napier-the-world-will-experience-a-capex-boom-ld.7606

    1. The debt metrics of the Indian govt are on an improving path so I believe debt is a safer asset today in terms of valuation. The imminent FPI flows into Indian debt due to global bond inclusion is a tailwind too.
      On equities rather than a 0 or 100 kind of approach a tactial approach where you set minimum and maximum equity allocation (it’s about 50% and 65%) for me works better. Today it seems safer to be closer to that lower end

      1. How do u manage to do the tactial approach where you set minimum and maximum equity allocation (it’s about 50% and 65%) . WIll be helpful for us to know

        1. It requires closer tracking of markets and is a bit subjective. I usually move gradually to 50% equity when Nifty PE over 24 and I also see behavioural signs of froth in mkts. Add equity after a material fall of 15% when there’s more pessimism around.But this kind of loose tactical calls can go wrong too as you can reduce equity too early.

  4. Excellent Aarati. Awaiting your next on asset allocation permutations. Please do advise on Gold as well.

    Thanks and Regards

    Rajiv Kumar Mendiratta

  5. Excellent article from Aarati and Bipin’s data (which is always mind blowing)

    Another question on this
    A younger one starts his job and let’s take he has working career span of 25 years from age 25 to 50.
    He continues to invest aggressively 100% in a nifty100 index till age of 42/43.
    Now he is earning more also , probably highest till what he earned all this year. Now from his age 43 to 50, he investe 100% debt.
    Do you see a flaw in this ?
    May be some data insights into it .

    1. This is a good strategy in theory. But as we’ve said in the article, it’s very tough for first timers to hang on to 100% equity portfolios if there are 30-50% corrections. Over a 10 year period you will encounter 1-2 such phases

Comments are closed.

Hold On

You are being redirected to another page,
it may take a few seconds.
Login to your account
OR

Become a PrimeInvestor!

Get stock & mutual fund recommendations

Start registration

Start registration

OR
user icon
user icon
user icon

Terms & Conditions

A copy of the T&C has been sent to your email.

Last modified on February 18, 2025

This website www.primeinvestor.in (“Website”) is owned and operated by PrimeInvestor Financial Research Pvt. Ltd. (“RA”), a SEBI-registered Research Analyst with Registration No. INH200008653.

Through the Website, the RA allows clients to access research recommendations, research reports, and model portfolios, along with tools, personal finance products, and articles, on the payment of a subscription fee (“Research Services”). The terms ‘RA’ or ‘us’ or ‘we’ refer to PrimeInvestor Financial Research Pvt Ltd (SEBI RA Registration No INH200008653) who are the owners of this Website and offering the Research Services. The term ‘you’ and ‘client’ refers to the subscriber of the Services on the Website. The RA provides the Research Services subject to the notices, terms, and conditions set forth in these Terms. By accepting these Terms when you subscribe to the Research Services, you provide your consent to abide by these Terms.

Most Important Terms and Conditions (MITC)

[Forming part of the Terms and Conditions for providing research services]

  1. These terms and conditions, and consent thereon are for the research services provided by the Research Analyst (RA) and RA cannot execute/carry out any trade (purchase/sell transaction) on behalf of the client. Thus, the clients are advised not to permit RA to execute any trade on their behalf.
  2. The fee charged by RA to the client will be subject to the maximum amount prescribed by SEBI/ Research Analyst Administration and Supervisory Body (RAASB) from time to time (applicable only for Individual and HUF Clients).
    Note:
    • SEBI's current cap on fee is Rs 1,51,000/- per annum per family of client for all research services of the RA.
    • The fee limit does not include statutory charges.
    • The fee limits do not apply to a non-individual client / accredited investor.
  3. RA may charge fees in advance if agreed by the client. Such advance shall not exceed the period stipulated by SEBI; presently it is one quarter. In case of pre-mature termination of the RA services by either the client or the RA, the client shall be entitled to seek refund of proportionate fees only for the unexpired period.
  4. Fees to RA may be paid by the client through any of the specified modes like cheque, online bank transfer, UPI, etc. Cash payment is not allowed. Optionally the client can make payments through Centralized Fee Collection Mechanism (CeFCoM) managed by BSE Limited (i.e. currently recognized RAASB).
  5. The RA is required to abide by the applicable regulations/ circulars/ directions specified by SEBI and RAASB from time to time in relation to disclosure and mitigation of any actual or potential conflict of interest. The RA will endeavor to promptly inform the client of any conflict of interest that may affect the services being rendered to the client.
  6. Any assured/guaranteed/fixed returns schemes or any other schemes of similar nature are prohibited by law. No scheme of this nature shall be offered to the client by the RA.
  7. The RA cannot guarantee returns, profits, accuracy, or risk-free investments from the use of the RA's research services. All opinions, projections, estimates of the RA are based on the analysis of available data under certain assumptions as of the date of preparation/publication of research report.
  8. Any investment made based on recommendations in research reports are subject to market risks, and recommendations do not provide any assurance of returns. There is no recourse to claim any losses incurred on the investments made based on the recommendations in the research report. Any reliance placed on the research report provided by the RA shall be as per the client's own judgement and assessment of the conclusions contained in the research report.
  9. The SEBI registration, Enlistment with RAASB, and NISM certification do not guarantee the performance of the RA or assure any returns to the client.
  10. For any grievances,
    • Step 1: the client should first contact the RA using the details on its website or following contact details:
      Customer care: [email protected]
      Grievance officer: [email protected], ATTN: Srikanth Meenakshi
      Compliance officer: [email protected], ATTN.: Bhavana Acharya
      Principal officer: [email protected], ATTN.: Vidya Bala
    • Step 2: If the resolution is unsatisfactory, the client can also lodge grievances through SEBI's SCORES platform at www.scores.sebi.gov.in
    • Step 3: The client may also consider the Online Dispute Resolution (ODR) through the Smart ODR portal at https://smartodr.in
  11. Clients are required to keep contact details, including email id and mobile number/s updated with the RA at all times.
  12. The RA shall never ask for the client’s login credentials and OTPs for the client’s Trading Account, Demat Account, and Bank Account. Never share such information with anyone including RA.

By browsing, viewing, using the Website and subscribing to the Research Services provided therein you consent to and agree to comply with these Terms and Conditions of subscription (“Terms”).

The RA reserves the right to change or modify the Website, the contents thereof and these Terms at any time. All modifications to these Terms & Conditions will be posted on the Website and will become effective immediately upon such posting. Changes once made will be communicated to the client. Continued use of the Website shall be construed as acceptance of the revisions to the Terms by conduct.

The following terms and conditions include but are not limited to minimum mandatory terms and conditions to clients as stipulated by SEBI.

1. Availing the research services

By accepting delivery of the research service, the client confirms that he/she has elected to subscribe to the research service of the RA at his/her sole discretion. The RA confirms that Research Services shall be rendered in accordance with the applicable provisions of the SEBI RA Regulations.

2. Obligations on RA

The RA shall be bound by the SEBI Act and all the applicable rules and regulations of SEBI, including the RA Regulations and relevant notifications of Government, as may be in force, from time to time.

3. Client Information and KYC

The client shall furnish all such details in full as may be required by the RA in its standard form with supporting details, if required, as may be made mandatory by Research Analyst Administration and Supervisory Body(RAASB)/SEBI from time to time. RA shall collect, store, upload and check KYC records of the clients with KYC Registration Agency (KRA) as specified by SEBI from time to time.

4. Standard Terms of Service

The consent of client shall be taken on the following understanding:

“I / We have read and understood the terms and conditions applicable to a research analyst as defined under regulation 2(1)(u) of the SEBI (Research Analyst) Regulations, 2014, including the fee structure.

I/We are subscribing to the research services for our own benefits and consumption, and any reliance placed on the research report provided by research analyst shall be as per our own judgement and assessment of the conclusions contained in the research report.

I/We understand that –

  1. Any investment made based on the recommendations in the research report are subject to market risk.
  2. Recommendations in the research report do not provide any assurance of returns.
  3. There is no recourse to claim any losses incurred on the investments made based on the recommendations in the research report.”

The declaration of the RA is as follows:

  1. We are duly registered with SEBI as an RA pursuant to the SEBI (Research Analysts) Regulations, 2014 and our registration details are: registration no SEBI INH200008653, with registration date 19th August, 2021
  2. We have the registration and qualifications required to render the services contemplated under the RA Regulations, and the same are valid and subsisting;
  3. Research analyst services provided by us do not conflict with or violate any provision of law, rule or regulation, contract, or other instrument to which it is a party or to which any of its property is or may be subject;
  4. The maximum fee that may be charged by the RA is ₹1.51 lakhs per annum per family of client. Our current fee structure, the term and duration of our subscription for our Research Services, can be viewed on our website here: https://primeinvestor.in/prime-pricing
  5. The recommendations provided by us as part of the Research Services do not provide any assurance of returns.

5. Consideration and mode of payment

The client shall duly pay to the RA the agreed fees for the services that RA renders to the client and statutory charges, as applicable. Such fees and statutory charges shall be payable through the specified manner and mode(s)/ mechanism(s).

The payment of fees shall be through a mode that shows traceability of funds. Such modes include but are not limited to credit cards/debit cards/ UPI/ net banking or any other mode specified by SEBI from time to time. However, the fees shall not be in cash.

6. Risk factors

  1. Investments are subject to market risk. Investing or trading in financial products involves risk. Past performance of the recommendation is not an indication of future returns. Past performance of the RA is not an indicator of future performance. Past performance of the security is not an indication of future returns.
  2. There are no assurances or guarantees that the objectives of any investment in financial products will be achieved.
  3. The names of financial products mentioned herein do not in any manner indicate their prospects or returns. The performance in the equity may be adversely affected by the performance of individual companies, changes in the market place and industry specific and macro-economic factors.
  4. The performance of the investments/ products recommended by the RA are subject to a wide range of risks, including but not limited to: performance of the respective companies, changes in equity and debt market conditions, micro and macro factors and forces affecting equity and debt markets, general levels of interest rates and interest rate risk, credit risk, liquidity risk, reinvestment risk, economic slowdown, volatility & illiquidity of the stocks, risks associated with trading volumes, liquidity and settlement systems in equity and debt markets and/or such other circumstance beyond the control of the RA or any of its Associates.
  5. Other risk factors include that may affect the performance of the investments/ products recommended by the RA include but are not limited to economic policies, changes of Government and its policies, acts of God, acts of war, civil disturbance, sovereign action and /or such other acts/ circumstance beyond the control of the RA or any of its Associates.
  6. The recommendations provided by the RA as part of its Research Services may not be suitable to all categories of investors.
  7. The client should read all scheme and security related documents carefully before investing.
  8. Returns and performance figures mentioned in the research report represent past performance and should not be constituted to be future returns or guaranteed returns.

7. Conflict of interest

The RA shall adhere to the applicable regulations/ circulars/directions specified by SEBI from time to time in relation to disclosure and mitigation of any actual or potential conflict of interest. Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors. Investment in securities market are subject to market risks. Read all the related documents carefully before investing.

General disclosures: PrimeInvestor Financial Research Pvt Ltd (with brand name PrimeInvestor) is an independent research entity offering research services on personal finance products to customers. We are a SEBI registered Research Analyst (Registration: INH200008653). PrimeInvestor Financial Research Pvt. Ltd., its employees, directors or agents, do not have any material adverse disciplinary history as on the date of publication of this report.

Restrictions on trading: To ensure no conflict of interest, the RA declares as follows:

  1. Personal trading activities of the individuals employed as research analysts shall be monitored, recorded and subject to a formal approval by the directors or compliance officer of PrimeInvestor Financial Research Private Limited.
  2. Research analysts employed by PrimeInvestor Financial Research Private Limited or their associates or relatives shall not:
    • Deal/ trade in stocks recommended/ tracked by the research analyst within 30 days before and five days after the publication of a research report;
    • Deal/ trade in securities that the research analyst reviews in a manner contrary to the given recommendation;
    • Purchase or receive securities of the issuer before the issuer's initial public offering, if the issuer is principally engaged in the same types of business as companies that the research analyst follows or recommends.

Disclosures with respect to Research and Recommendations Services:

  1. The RA or its directors or any of its officer/employee does not trade in securities which are subject matter of recommendation.
  2. The RA, or any of its officers, directors, employees, or subsidiaries have not received any compensation/ benefits whether monetary or in kind, from the AMC, company, government, bank or any other product manufacturer or third party, whose products are the subject of its Research Services or investment information.
  3. The Research Analysts who have prepared the research reports that form part of the Research Services (“Research Analyst”) certify that all of the views expressed in the research report accurately reflect their views about the subject company or subject security.
  4. The RA or directors or employees or Research Analyst certify that no part of their compensation was, is, or will be directly or indirectly related to the specific recommendation(s) or view(s) in this report.
  5. The Research Analyst has not served as director, officer or employee in the subject company, AMC or insurance company of the mutual fund or insurance policy that is the subject of this report, or company whose bonds, NCDs, fixed deposits or other savings products that is the subject of this report.
  6. The Research Analyst or their relatives do not have any known direct or indirect material conflict of interest including long/short positions in the subject company.
  7. The Research Analyst may hold investments in the stocks, mutual fund schemes, bonds, fixed deposits, insurance policies, or other products that are the subject of the recommendations provided as part of the Research Services. The Research Analyst certifies that they will not act in a manner contrary to their views on these securities except in the event of significant news or event or change in personal financial circumstances and without formal approval from the directors of PrimeInvestor Financial Research Pvt. Ltd. or the compliance officer.
  8. There are no actual or potential conflicts of interest arising from any connection to or association with any issuer of products/ securities, including any material information or facts that might compromise its objectivity or independence in the carrying on of the Research Services. Such conflict of interest shall be disclosed to the client as and when they arise.
  9. The RA or its directors or its employee or its associates have not managed or co-managed the public offering of any company. The RA or its directors or its employee or its associates have not received any compensation for investment banking or merchant banking of brokerage services from the subject company. The RA or its directors or its employee or its associates have not received any compensation for products or services other than above from the subject company. The RA or its directors or its employee or its associates have not received any compensation or other benefits from the Subject Company or 3rd party in connection with the research report/ recommendation.
  10. The subject company of its research recommendations was not a client of the RA or its directors or its employee or its associates during twelve months preceding the date of recommendation services provided.
  11. The RA or its directors or its employee or its associates has not served as an officer, director or employee of the subject company. Research Analysts has not been engaged in market making activity of the subject company.

PrimeInvestor Financial Research Pvt. Ltd., its Associates, the Research Analysts or their relatives holds ownership of 1% or more, in respect of the said issuer company(ies)? – NO

8. Termination of service and refund of fees:

The RA may terminate or suspend rendering of Research Services to the client in the following circumstances:

  1. On account of suspension/cancellation of registration of RA by SEBI. In case of suspension of certificate of registration of the RA for more than 60 (sixty) days or cancellation of the RA registration, RA shall refund the fees, on a pro rata basis for the period from the effective date of cancellation/ suspension to end of the client’s subscription period.
  2. The RA voluntarily chooses to terminate its Research Service. In the event of such termination of the Research Service, the RA shall refund the fees, on a pro rata basis for the period from the date of such termination of research service to end of the client’s subscription period.

9. Grievance redressal and dispute resolution:

Any grievance related to:

  1. nonreceipt of research report, or
  2. missing pages or inability to download the entire report, or
  3. any other deficiency in the research services provided by RA

shall be escalated promptly by the client to the person/employee designated by RA, in this behalf as under:

Name: Bhavana Acharya
Designation: Director & Compliance Officer, PrimeInvestor Financial Research Pvt Ltd
Email: [email protected]

The RA shall be responsible to resolve grievances within 7 (seven) business working days or such timelines as may be specified by SEBI under the RA Regulations.

RA shall redress grievances of the client in a timely and transparent manner. Any dispute between the RA and his client may be resolved through arbitration or through any other modes or mechanism as specified by SEBI from time to time.

If the client is not satisfied with the response of the RA, he/she can lodge his/her grievances with SEBI at scores.sebi.gov.in. Alternatively, the client may also write to any of the offices of SEBI. For any queries, feedback or assistance, please contact SEBI Office on Toll Free Helpline at 1800 22 7575 / 1800 266 7575

Details on grievances are available on the Website as follows: https://primeinvestor.in/ra-grievance/

10. Additional clauses:

Scope of the Research Service: The Research Services will be limited to providing independent research recommendation and shall not be involved in any advisory or portfolio allocation services. The Research Services are not meant to be tailor-made or customized solutions that specifically apply to each client based on his/her risk profile.

The RA never guarantees the returns on the recommendation provided. Investor shall take note that investment/trading in stocks/Index or other securities is always subject to market risk. Past performance is never a guarantee of same future results. The RA shall not be responsible for any loss to the Investors.

This service is not directed for access or use by anyone in a country, especially the USA, Canada or the European Union countries, where such use or access is unlawful or which may subject PrimeInvestor Financial Research Pvt Ltd or its affiliates to any registration or licensing requirement.

The Research Service, including recommendations, research reports, updates, and other information will be accessible through the RA’s website https://primeinvestor.in only. Such recommendations and updates will not be provided over phone calls.

Fees: Our current fee structure, the term and duration of our subscription for our Research Service, can be viewed on our website: https://primeinvestor.in/prime-pricing. Eligibility for any discounts is ascertained at the time the client subscribes. Any such discount and its tenure shall be at the discretion of the RA.

Subscription and access to content services fall under the purview of Goods and Services Tax (GST) as per the current indirect taxation policy, Government of India. Unless otherwise indicated, prices stated on our website are exclusive of applicable GST, any applicable value added tax (VAT) or other sales taxes. We are a business-to-consumer (B2C) service provider and we do not commit to provide any input tax credit on GST charged on subscription to our Research Service.

We may change the Subscription Fees and charges then in effect, or add new fees or charges which will take effect at the end of the client’s subscription period, by giving notice in advance and an opportunity to cancel renewal of the subscription.

Subscription Access & Renewal: Subscription to the Website commences immediately on the realisation of payment of the Subscription Fees. Subscriptions are set to be renewed automatically at the end of the subscription period.

Unless the client notifies us before the end of his/her subscription period, or the client cancels the auto-renewal mandate within the period specified by law, that the client does not wish to renew his/her subscription, the client’s subscription will renew for the period defined by the client’s subscription plan. We will charge the subscription using the same payment method that you previously used.

Although the client may notify to us his/her intention to his/her subscription, such notice will only take effect at the end of his/her then current subscription period, and he/she will not receive a refund other than as set out under Clause 8 in these Terms.

The client may notify us of his/her wish to cancel his/her subscription by sending an email to [email protected]. The client must provide at least 5 business days advance notice for this to be implemented.

Refunds: There can be no cancellation and refund of subscription fee paid once the subscription is active, other than as stated in Clause 8 of these Terms. If the client is entitled to a refund as specified under Clause 8 of these Terms, the RA will credit that refund to the card or other payment method used by the client to submit payment, unless it has expired - in which case the RA will contact the client to proceed with the refund. If we do issue a refund or credit due to circumstances outside the obligations specified under Clause 8, we are under no obligation to issue the same or a similar refund in the future.

General disclaimers: The recommendations made herein in the Research Services are expression of views and/or opinions and should not be deemed or construed to be advice for the purpose of purchase or sale of any security, nor a solicitation or offering on any investment/ trading opportunity on behalf of the company, AMC, insurance company, or issuer of security referred to herein.

The content and research reports generated by the RA does not constitute or is not intended to constitute an offer to buy or sell, or a solicitation to an offer to buy or sell financial products, units or securities.

The information/ opinion/ views mentioned in research reports or by the RA are not meant to serve as a professional guide to the client or recipients of this Report. The research report, recommendation, or any other content published by the RA do not assure or guarantee any minimum or fixed returns to the client or recipients of the reports/ recommendations/ content.

Use of this information is at the client’s own risk. The client must make his/ her own investment decisions based on his/her specific investment objective and financial position and using such independent advisors as he/she believes necessary. The services rendered by the RA are on a best-effort basis. All information in the content or research report of the RA is provided on an as is basis. Information is believed to be reliable but the RA does not warrant its completeness or accuracy and expressly disclaim all warranties and conditions of any kind, whether express or implied.

While due care has been taken to ensure that the disclosures, information, and opinions given are fair and reasonable, PrimeInvestor Financial Research Pvt Ltd and/or none of its officers, directors, partners, employees, agents, subsidiaries, affiliates or business associates shall be liable for any direct, indirect, special, incidental, consequential, punitive or exemplary damages, including lost profits arising in any way whatsoever from the information/ opinions/ views contained in the research report and recommendations that form part of the Research Service, and/or mails, social media or notifications issued by PrimeInvestor Financial Research Pvt Ltd or any other agency appointed/authorised by PrimeInvestor Financial Research Pvt Ltd. Returns and performance figures mentioned in the research report represent past performance and should not be constituted to be future returns or guaranteed returns.

Any agreements, transactions or other arrangements made between the client and any third party named on (or linked to from) the Website are at your own responsibility and entered into at your own risk. Any information that you receive via the Website, whether or not it is classified as “real time”, may have stopped being current by the time it reaches you. Market price information may be rounded up/down and therefore may not be entirely accurate.

The purpose of these disclosures is to provide essential information about the Research Services in a manner to assist and enable the prospective client/client in making an informed decision for engaging in Research Services before onboarding.

History, present business and background: PrimeInvestor Financial Research Private Limited is registered with SEBI as Research Analyst with registration no. INH200008653. The Research Analyst got its registration on August 19, 2021 and is engaged in offering research and recommendation services.

Disciplinary history: There are no pending material litigations or legal proceedings against the Research Analyst. As on date, no penalties / directions have been issued by SEBI under the SEBI Act or Regulations made thereunder against the Research Analyst relating to Research Analyst services.

Details of the RA's associates: No associates.

Usage of Website Content: This Website is controlled and operated by the RA. All material, including research reports, recommendations, portfolios, ratings, lists of financial products, illustrations, statements, opinions, views, photographs, products, images, artwork, designs, text, graphics, logos, button icons, images, audio and video clips and software (collectively, “Content”) are protected by copyrights, trademarks and other intellectual property rights that are owned and controlled by the RA or by other parties that have licensed their material to us.

Except where otherwise agreed in writing with the RA, material on the Website is solely for the client’s personal, non-commercial use. Except as provided below, the client must not copy, reproduce, republish, upload, post, transmit or distribute such material in any way, including by e-mail or other electronic means and whether directly or indirectly and the client must not assist any other person to do so.

Without the prior written consent of the RA, modification of the materials, use of the materials on any other web site or networked computer environment or use of the materials for any purpose other than personal, non-commercial use is a violation of the copyrights, trademarks and other proprietary rights, and is prohibited. Any use for which the client receives any remuneration, whether in money or otherwise, is a commercial use for the purposes of these Terms.

The client may occasionally distribute a copy of a research report, or a portion of the same, from the Website in non-electronic form to a few individuals without charge, provided the client includes all copyright and other proprietary rights notices in the same form in which the notices appear, original source attribution, and the phrase “Used with permission from PrimeInvestor Financial Research Pvt. Ltd.”

While the client may occasionally download and store research reports or information from the Website for his/her personal use, he/she may not otherwise provide others with access to the same. The foregoing does not apply to any sharing functionality we provide through the Website that expressly allows the client to share Content or links to Content with others. In addition, the client may not use Content he/she has downloaded for personal use to develop or operate an automated trading system or for data or text mining.

The client agrees not to rearrange or modify the Content available through the Website. The client agrees not to display, post, frame, or scrape the Content for use on another website, app, blog, product or service, except as otherwise expressly permitted by these Terms. You agree not to create any derivative work based on or containing the research products and Content. The framing or scraping of or in-line linking to the Services or any Content contained thereon and/or the use of webcrawler, spidering or other automated means to access, copy, index, process and/or store any Content made available on or through the Services other than as expressly authorized by us is prohibited.

The client further agrees to abide by exclusionary protocols (e.g., Robots.txt, Automated Content Access Protocol (ACAP), etc.) that may be used in connection with the Research Services. The client may not access parts of the Research Services to which he/she is not authorized, or attempt to circumvent any restrictions imposed on your use or access of the Services.

As a general rule, the client may not use the Content, including without limitation, any Content made available through one of our RSS Feeds, in any commercial product or service, without our express written consent.

The client may not create apps, extensions, or other products and services that use our Content without our permission. The client may not aggregate or otherwise use our Content in a manner that could reasonably serve as a substitute for a subscription to the Website.

The client may not access or view the Services with the use of any scripts, extensions, or programs that alter the way the Services are displayed, rendered, or transmitted to you without our written consent.

The client agrees not to use the Services for any unlawful purpose. We reserve the right to terminate or restrict the client's access to the Website if, in our opinion, the client's use of the Services may violate any laws, regulations or rulings, infringe upon another person's rights or violate these Terms.

Prohibited content: The Website includes comments sections, blogs and other interactive features that allow interaction among clients and between clients and the RA. We call the information posted by or contributed by users “Contributed Content.” In the course of availing of the Research Services or uploading any post or comment on the Website, the client shall not post any Contributed Content that (i) contains nude, semi-nude, sexually suggestive photos, (ii) tends or is likely to abuse, harass, threaten, impersonate or intimidate other users of the Website and/or Research Services, (iii) is lascivious or appeals to the prurient interest or if its effect is such as to tend to deprave and corrupt persons who are likely to use or have access to the Website and/or Services, or (iv) otherwise violates, is prohibited or restricted by applicable law, rule or regulation, is offensive or illegal or violates the rights of, harms or threatens the safety of other users of the Website and/or Services (collectively “Prohibited Content”).

We reserve the right to cease to provide the client with the Research Services or access to the Website, or terminate your subscription, with immediate effect and without notice and liability, for violating these Terms, applicable law, rules or regulations and reserves the right to remove Prohibited Content which is in violation of these Terms, or is otherwise abusive, illegal or disruptive. The determination of whether any content constitutes Prohibited Content, violates these Terms, or is otherwise abusive illegal or disruptive, is subject to the sole determination of the Firm.

Changes to Research Services: We are constantly endeavouring to improve the quality of Research Services provided to our clients. Due to this, the form and nature of the Research Services provided may change from time to time without any prior notice to the client. We reserve the right to introduce and initiate new features, functionalities, components to the Website and/or Research Services and/or change, alter, modify, or discontinue existing ones without any prior notice to the client.

Warranty and liability disclaimer: The Website, Research Services, and all the materials and services, included on or otherwise made available to the client through this Website is provided by the RA on an “as is” and “as available” basis without any representation or warranties, express or implied except otherwise specified in writing. Without prejudice to the foregoing paragraph, the RA does not warrant that:

  • This Website and/or Research Services will be constantly available, or available at all;
  • The information on this Website or provided through the Research Services is complete, true, accurate or not misleading; or
  • The quality of any products, services, information, or other material that you obtain through the Website or Services will meet your expectations.

The RA, to the fullest extent permitted by law, disclaims all warranties, whether express or implied, including the warranty of merchantability, fitness for particular purpose and non-infringement. The RA makes no warranties about the accuracy, reliability, completeness, or timeliness of the Website, Research Services, Content, Contributed Content, Services, software, text, graphics and links.

The RA does not warrant that this Website, Research Services, information, content, materials, or any other material included on or otherwise made available to you through this Website, their servers, or electronic communication sent by the RA are free of viruses or other harmful components.

Nothing on this Website constitutes, or is meant to constitute, advice of any kind.

Indemnification: The client:

  1. Represents, warrants and covenants that no materials of any kind provided by him/her will:
    1. Violate, plagiarise, or infringe upon the rights of any third party, including copyright, trademark, privacy or other personal or proprietary rights; or
    2. Contain libellous, Prohibited Content or other unlawful material;
  2. Hereby agree to indemnify, defend and hold harmless the RA and all of the RA’s officers, directors, owners, agents, customers/clients, information providers, affiliates, licensors and licensees (collectively, the “Indemnified Parties”) from and against any and all liability and costs, including, without limitation, reasonable advocate’s fees, incurred by the Indemnified Parties in connection with any claim arising out of any breach by the client of these Terms or the foregoing representations, warranties and covenants. The client shall cooperate as fully as reasonably required in the defence of any such claim. The RA reserves the right, at its own expense, to assume the exclusive defence and control of any matter subject to indemnification by the client.

Applicable law: This Website, including the Content and Contributed Content and information contained herein, and the provision of Research Services shall be governed by the Securities and Exchange Board of India, laws of the Republic of India and the courts of Chennai, India which shall retain exclusive jurisdiction to entertain any proceedings in relation to any disputes arising out of the same. As such, the laws of India shall govern any transaction completed using this Website.

Information gathered and tracked: Information submitted or collected on the Website or pursuant to the use of the Services is stored in a database. Specifically, we store the username, name, e-mail address, contact number, as submitted or collected on our Website or through the provision of the Research Services. We may use such information to send out occasional promotional materials, including alerts on new Services available, or other promotional and marketing material relating to our clients and customers.

In accordance with the Information Technology Act 2000, the name and the details of the Grievance Officer at PrimeInvestor is provided below:

Mr. Srikanth Meenakshi
PrimeInvestor Financial Research Pvt. Ltd., Registered office: 659, 4th Avenue, D-Sector, Anna Nagar Western Extension, Chennai 600 101.
Email: [email protected]

11. Mandatory notice:

Clients shall be requested to go through Do’s and Don’ts while dealing with RA as specified in SEBI master circular no. SEBI/HO/MIRSD-POD-1/P/CIR/2024/49 dated May 21, 2024 or as may be specified by SEBI from time to time.

12. Optional Centralised Fee Collection Mechanism:

SEBI has operationalized a centralized fee collection mechanism for IA and RA. Under this mechanism, clients shall pay fees to IAs/RAs through a designated platform/portal administered by a recognized Administration and Supervision body. This is an optional mechanism for the registered entities. At this time, PrimeInvestor has opted out of this fee collection mechanism. Therefore, all subscription payments for the Research Services will be through the modes as specified in Clause 5 of these Terms.

Enter the OTP sent to (Edit)
By doing this you agree to our terms & conditions
Didn't receive OTP? Resend

Have an account?
Login To Your Account
OR
Don’t have an account ? Register for free