Toll Free No: 1800-103-7212
HomeInvestingModel Advisory Funds

Model Advisory Funds

Why Model Advisory Funds at Narnolia?

The idea of a model advisory fund is to provide a benchmark for a particular risk-return matrix that clients can directly buy into. It offers the following unique benefits.
Rigorous model selection :

The model funds are classified based on portfolio objective which means they have a return matrix and a risk matrix too. Clients can choose the model that is best suited to their unique risk capacity and return requirements based on a very detailed and elaborate profiling of the client.

Multi factor fund selection :

The more complex part of the Model Advisory Funds is to select the right funds for each portfolio. Apart from their risk-return profile, these funds are also evaluated based on historical returns, consistency of returns, risk parameters and the extent of diversification in the portfolio.

Periodic monitoring and rebalancing :

Monitoring of the Model Advisory Fund portfolios is customized to your needs based on your goals and target asset allocation. There are clear rules and guidelines set and agreed with respect to rebalancing the portfolio which will ensure that any deviations in your portfolio are corrected immediately.

Advisory approach to model building :

Advisory model fund at Narnolia adopts a dispassionate and hands-off approach to fund selection. This ensures that the funds are selected purely on their merits. The service does not rely on principal payments and thus reduces the conflict of interest in the fund selection.

Approaches to Advisory Fund Model building – The Narnolia way

The portfolio creation for the model funds is largely based on the portfolio objective. Broadly, there are some key themes that our advisory fund models handle.

Pure Equity Focus Model

This model is predominantly focused on equity and therefore the risk parameters in this model are relatively higher. The objective of the fund is to focus on long term wealth creation and does not really look at regular income either in the form of interest paying bonds or even high dividend yield companies.

Growth Oriented Portfolio

This is also a predominantly equity oriented fund with the focus of the fund portfolio more on capturing growth rather than worry about value. This is more of a momentum based approach where the fund selection is based on the ability of the companies in the portfolio of the fund to participate in high growth stories.

Balanced towards Growth

This model is more focused on an equity orientation but income generation is the secondary objective. These model portfolios continue to be predominantly invested in equity funds. These model advisory funds entail moderate to high risk in the long term.

Balanced towards Income

These are lower on the risk scale compared to funds that are balanced towards growth. They entail low to moderate risk and are tilted towards primarily generating income and subsequently ensuring portfolio appreciation.

Tax Saving Models

These models include equity linked savings schemes (ELSS) plans that can reduce the tax liability of the investor due to the Section 80C benefits that these ELSS funds offer. Growth plans are also structured to reduce the tax payable.

Narnolia Edge – Model Advisory Funds

Model Portfolio Stocks in India

At Narnolia we have consistently believed that mutual funds offer the best combination of growth, diversification, flexibility and goal relevance among all the investment products in the market. Model advisory funds are designed to create distinct portfolio buckets which investors can easily pick and choose to cater to their unique requirements. Model Advisory Funds offer the following key benefits.

  • The models are defined based on a very rigorous back testing of customer preferences and risk capacity. That makes these models much closer to reality and they mirror the actual matrices of clients.
  • Our extensive research base in equity, mutual funds and our sensitivity analysis models help us to create models that are not only robust but also flexible enough to adjust to shifting market conditions.
  • An India-centric research desk with coverage of 1600 stocks, 25 commodities and 2000 fixed income products as well as over 30 currencies. This helps us to fine tune the Advisory models with a high degree of sophistication.
  • Intelligent algorithms help us organize data on the supply side and match it with goals to create a compelling financial solution that is unique only to you. A mix of artificial intelligence and machine learning makes the best use of big data and advanced analytics.
  • A clearly ring fenced model with hard Chinese walls for the advisory business ensures that product design is entirely based on client requirements only..
Narnolia Research & Advisory Narnolia Trading Platforms Narnolia Online | media Room