What Smart Investors Do When Markets Crash : Risk Management Explained Ft. @Akshatzayn | FWS 87

Summary

Key Points

• —He employs options strategies, such as selling cash-secured puts and buying put options, to protect his portfolio against significant market downturns and generate income. 5:11
• —Sri believes that the perception of a market bubble is often due to an overall increase in debt and inflation, which devalues currency and inflates asset prices. 9:44
• —Akshat Sri allocates approximately 70-75% of his liquid portfolio to equities, with a significant portion (around 65%) currently invested in US equities, despite market bubble concerns. 10:20
• —While acknowledging the Indian market's high valuations, he focuses on sectors like IT and lending companies, employing a 'buy and rotate' or swing trading strategy based on sentiment analysis. 14:56
• —He invests in international markets like UAE and Europe, seeing opportunities in UAE developers (like Emaar) and European generational companies (like ASML) for diversification and potential growth. 21:13
• —In the crypto space, Sri primarily holds Bitcoin and Ethereum, viewing them as volatile but potentially rewarding assets with fixed supply, and is willing to increase his allocation up to 10%. 27:49
• —His illiquid assets are primarily in real estate, with properties in Goa, Dubai, and Thailand, focusing on rental income in Dubai and viewing Indian real estate more for capital appreciation. 32:47
• —Sri has diversified income streams, including ad revenue, YouTube memberships, educational programs, brand deals, rental income, and income from options trading on his core portfolio. 35:19
• —He has established a Dubai-based hedge fund, 'Maschies', which allows for global investing flexibility and hedging strategies not typically available in Indian PMS structures, with a minimum investment of $500,000. 37:22
• —His core investment advice is to focus on upskilling to generate income, then strategically investing to create passive income streams, and to avoid comparing one's financial journey to others. 38:55