Name: The Wisdom ETF Sector Rotation Theme
Brand: smallcase
SKU: SOLET_0001
Price: 2401 INR

Solomon Investments is a family managed business in financial distribution and wealth advisory.  Solomon Henry Pinto is a SEBI Registered Research Analyst and a Certified Financial Planner.

Nifty 500 Index

The Wisdom ETF Portfolio

The Wisdom ETF Sector Rotation Theme

Solomon Henry Pinto

Model portfolio that focuses on sector rotation strategies using ETFs listed on NSE.

All publicly traded ETFs on the National Stock Exchange of India are included in the universe

Building a sector rotation ETF portfolio requires strategically choosing ETFs that represent various sectors of the economy, with the understanding that some sectors tend to outperform others at different stages of the economic cycle. Our research team will allocate weights to these sectors according to their anticipated performance. We will also use market capitalization ETFs in portfolio construction which involves strategically allocating investments across ETFs representing various market-cap segments—large-cap, mid-cap, and small-cap companies. By including ETFs from different market-cap segments, we can achieve broad exposure to the equity market, reducing the risk of reliance on a single segment. Additionally, we will include exposure to International Equities, Cash, Debt, and Gold, which helps mitigate risk and enhance potential returns.

Our research team would Identify Key Sectors on NSE like Information Technology (IT), Financials (Banks, NBFCs, etc.), Healthcare, Consumer Goods, Energy, Infrastructure Etc. Once the Key Sectors are decided we would find the best suited sector specific ETFs by looking at their tracking Error, Expense Ratio, Liquidity &amp; Trading Volume, Fund Size. Once the Sector specific ETFs are selected we would assign weights based on the expected performance and Monitor and Adjust them every month. We will also use market capitalization ETFs in portfolio construction which involves strategically allocating investments across ETFs representing various market-cap segments—large-cap, mid-cap, and small-cap companies.

Since sector rotation depends on the economic cycle and market conditions, the portfolio will be monitored every month to identify trends. If certain sectors start to underperform or show signs of recovery, we will shift the allocations accordingly. Additionally, we will include exposure to International Equities, Cash, Debt, and Gold, which helps mitigate risk and enhance potential returns.

This smallcase has a monthly rebalance schedule. Once every month, the research team reviews this smallcase and realign the weights with the selected asset allocation strategy for the next month

The Wisdom ETF Sector Rotation Theme

The Wisdom ETF Sector Rotation Theme

Overview

ETFs & Weights