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1. techuser   I Like It. |Report Abuse|  Link|February 23, 2022 3:16:30 PMReply
Sir, Please give your opinion.

How one could hedge their MutualFund portfolio? Let's assume you've 12-15 Lakh portfolio in different schemes, and you know market is going to correct, is there any way to hedge this kind of portfolio or withdrawing is the only option??

I found on youtube that people suggest to buy NIFTY PUT options to hedge the portfolio, so if NIFTY is corrected too below your strike price, you can benefit. But I looked at the premiums and they are too high for hedging.. I just checked for the strike price 16500 and expiry-date of 31-March, the premium is 323...So it's like 50*323=16000 RS you've to pay to "secure a bit" your portfolio just for "one" month?

Please experts is there any way to get around this? Or you would suggest "averaging", I mean buy more MF units if NIFTY goes down?