Which mutual funds shall we buy for 2023

Ans: I have no doubt they will be. High interest rates tend to roil the equity markets in general, but we have a large number of structural reforms which are bearing fruits now in addition to some new businesses forming up, like defence, which were never any significant part of Indian economy. Add to it the good health of the banks and NBFCs, and we have a good likelihood of Indian equities doing fairly well, compared to rest of the world. And so would the equity mutual funds.

Ans: We can’t usually generalize investments. This depends on one’s risk appetite, the goals, year to goal, age and the quantum of investment one is looking at.
In a generic way there are quite a few options in which one can invest in 2023. If you are a low-risk individual you can look into post office deposits and bonds at the current time. For tax savings, consider ELSS and NPS.
If you have a moderate-high risk appetite you can look into hybrid and equity mutual funds, Gold funds/ ETFs, Bonds, REIT’s etc. If you have a good quantum of money to invest you can consider PMS options, AIF etc. A high risk investor can look at equity options suggested above through MFs (including mid and small cap funds), PMS, AIFs (including funds investing in unlisted companies).
While looking into these options it is also important to choose good funds. For eg: if you are looking at equity mutual funds it is important to identify good long-term performing funds. If you are looking at corporate bonds, it is important to look at the good quality/rated bonds or debt funds. A financial planner/ investment advisor would help you to identify the investment option and the funds based on your scenario.

Ans: Sector wise I see automobiles, auto ancillaries, consumer durables, fmcg (due to extra cash in hands of middle class tax payers), pharma and speciality chemicals doing well. Maruti, Motherson Samvardhana, Dabur, Whirlpool, Voltas, Zydus Life, Deepak Nitrite are some of the picks for long term.