Quarterly Update: April – June 2025

When we look back at the last three months, the headlines might have felt unsettling — conflicts flaring up in different corners of the world, new trade barriers, and local tensions too. But if there’s one thing these events remind us, it’s this: volatility is temporary — but your plan is built to last.

Let’s break down what happened this quarter, what it means for your portfolio, and what we, together, should focus on next.

Key Events, Simply Explained

👉 India–Pakistan Tensions
In April, the situation at our borders grabbed a lot of attention. Whenever there’s news of conflict, markets do wobble for a bit and they did this time too. But history tells us something important: our markets have a way of absorbing shocks and moving on. This time was no different. After a few jittery days, things settled as India’s economic fundamentals stayed strong.

👉 Iran–Israel Conflict
You may have noticed oil prices inching up briefly because of this. Higher oil usually means more inflation pressure but the good news is, India’s inflation is still under control. So far, it hasn’t caused any big changes to your investment outlook.

👉 US Tariffs – The ‘Trump Tariffs’
Trade tensions with the US came back into the picture a fresh round of tariffs on some Indian exports was announced. While this creates uncertainty for some sectors, India’s domestic demand remains strong, and we have the RBI stepping in to support growth.

👉 RBI Cuts Repo Rate
To balance out the global stress, our central bank cut rates not once, but twice this quarter. This is good news for businesses and borrowers — loans get cheaper, companies can borrow to grow, and credit activity picks up. For us as investors, this means opportunities in banks, infra, and small businesses could see a boost.

Why India’s markets were able to absorb the shock?

Because India’s markets today rest on strong domestic consumption, a growing middle class, healthy corporate balance sheets, and a well-regulated financial system — these fundamentals act like a shock absorber when global or border tensions arise.

Where Do We Stand Now?

• India’s GDP growth is still healthy, slightly adjusted down to around 6.3–6.5% for the year — steady despite all the noise.
• Inflation is under check, which gives the RBI room to keep policy supportive.
• The rupee has stayed relatively stable, and foreign investors continue to see India as an attractive story over the long run.
• Our markets may look sideways for now, but that’s normal after a strong run last year. A breather often sets the stage for the next leg up.

👉 UPDATE on EXISTING Products:

UNIFI Blend Strategy Update — Q4 FY25 & Beyond

Where’s the portfolio focused?

• Today, about 50% is in small caps, 19% in mid-caps, and 31% in large caps, balancing growth and stability.
• Key sectors include Consumer, Financials, Healthcare, IT, Infrastructure, and niche areas like chemicals and green energy — all selected bottom-up for strong fundamentals.

The team carefully picks the best opportunities across different sectors, themes, and market caps. This quarter, the team booked profits in stocks that delivered strong returns and reinvested that capital into ideas with a better risk–reward balance for the next leg of growth.

What’s the outlook for the next 2–3 years?

• The fund’s approach of low turnover and high-conviction bets helps keep your capital working efficiently through market cycles.
• Normalising interest rates (good for banks and borrowers).
• Stronger government capex and infra push post-elections (positive for infra sector)
• Emerging consumption and premiumisation trends (boosting FMCG, healthcare, and discretionary names).
• Selective global demand for IT and specialty pharma.

👉 New ADDITIONS in our Approved Products:

Along with keeping your core portfolio steady, we’re always looking for new opportunities that align with your goals and the changing market landscape. This quarter, we’ve added a few carefully chosen funds to our recommended list:

🔹 Kotak Gold Fund
A good hedge against uncertainty. With global geopolitical tensions and potential inflation spikes, gold remains a smart diversifier. This fund gives you simple, paper-based access to gold without the hassles of physical storage.

🔹 Edelweiss Midcap Fund
India’s midcap segment continues to be a sweet spot for growth. Strong domestic demand, formalisation, and policy support mean quality mid-sized companies could see steady earnings expansion. This fund aims to tap into well-managed mid-sized businesses with robust balance sheets and strong potential to grow faster than the broader market.

🔹 Mirae Global Allocation Fund – Gift City
For clients open to global exposure, this newly launched fund via Gift City gives you an efficient route to invest in a diversified global portfolio — equity, debt, and alternatives — with the benefit of Gift City’s investor-friendly taxation framework. It’s a way to add international diversification without complex paperwork or high costs.

Our strategy: These additions are part of our broader approach to balance stability and growth. Gold gives protection in uncertain times, midcaps tap India’s domestic growth story, and global allocation helps spread risk across geographies and asset classes. As always, we’ll match these ideas to your unique goals and risk comfort — not all products suit everyone, but the right mix can make your portfolio stronger for the long run.

👉 New UPCOMING Avenues
What’s new is the launch of Specialised Investment Funds (SIFs). These are a new breed of investment products designed to channel long-term capital into specialised themes like infrastructure, green energy, private debt, or niche alternative assets.

The big plus for you as an investor? Many of these new SIFs come with mutual fund-like tax treatment, which means you enjoy similar capital gains benefits— making them potentially more tax-efficient than some other alternative routes.

We’re keeping a close eye on this space and are currently evaluating a couple of promising SIF options that could complement your core portfolio — but only where they truly add value. If they pass our checks, we’ll reach out to discuss how they might fit into your plan — something we’ll evaluate carefully if we believe it suits your goals.

What Should You Do Now?

1️⃣Stay invested — don’t react to headlines.
Most geopolitical shocks cause short-term dips. Long-term portfolios recover and grow, provided you stay disciplined.

2️⃣ Review, don’t churn.
This is a good time to check if your asset allocation matches your goals. We’re watching rate-sensitive sectors (banks, infra) and domestic themes that benefit from lower interest rates.

3️⃣ Think long-term themes.
New avenues like SIFs are interesting for patient capital — with the added advantage of possible tax efficiency. We’ll reach out if these make sense for you.

4️⃣ Trust your plan.
This quarter showed yet again that unpredictable events will come and go — but a balanced, well-diversified plan cushions the shocks.

Your financial plan is built not for perfect days, but for all seasons. As your advisor, We’re here to help you stay on course, find opportunities in every cycle, and make calm, informed decisions no matter what the headlines say.

Together, we’ll stay calm. Stay invested. And stay ahead.