This is the last month of the fiscal year. I had decided to sell out all my portfolio at the end of the month and have no carry forwards. I would take stock of my absolute portfolio amount and hence exact return, I would pay taxes and start FY22 on a fresh slate. I reshuffled my portfolio for March 2021 and equally invested the amount in following stocks:
Kotak Mahindra Bank
Hindustan Unilever Limited
Nestle India
Britannia India Limited
Eicher Motors Limited
Maruti Suzuki Limited
NTPC Limited
Power Grid Corporation of India limited
Coal India Limited
SBI Life
At the end of March, both the strategy and the benchmark gave near flattish returns. At the end of FY21, I had 97% return as against 60% of NIFTY. Post 20% taxation, I still had 80% return. Since, I was transacting on a monthly basis, and SEBI brought a change of rule on margin money, we could not we could not sell and buy for the same amount. Hence I always had about 20% on y portfolio in cash to ensure that I am able to build adequate positions next month. Hence on the overall, I had about 65% return in 11 months as against 60% from NIFTY.I was now looking for ways to enhance these returns as 20% cash for had an opportunity cost.