25-Year-Old Investor? Expert Suggests This 4-Fund Mutual Fund Portfolio For Long-Term Wealth

What should a 25-year-old investor’s mutual fund portfolio look like for long-term wealth creation? Shweta Rajani, Mutual Fund Head, Anand Rathi Wealth, suggests a diversified approach with roughly 50% allocation to large caps and the remaining 50% across mid- and small-cap funds. She discusses a four-fund approach spanning large-cap, large-and-mid-cap, multi-cap and small-cap categories, with examples including Kotak Large Cap Fund, Bandhan Large & Mid Cap, Kotak Mid Cap, Canara Multi Cap and Invesco Small Cap. The approach aims to diversify across market capitalisations and fund-management styles while benefiting from potential long-term mean reversion.