"My portfolio isn't doing well." Many investors frequently lament, "My advisor has not recommended the right funds, and I have had an opportunity loss."
 
Is that true, though? Or would it be a matter of having unrealistic expectations?
 
For example, some investors desire large profits yet are unwilling to take chances. Although they usually make cautious investments, these investors hope for large profits. These investors invest in Nifty 50 funds or hybrid mutual funds and are continually comparing their returns to those of mid-cap and small-cap stocks, which makes them unhappy with the performance of their portfolio.
When they learn about the performance of other people's portfolios, some people criticize the advisers instead of following their advice. Additionally, some investors fail to make the necessary portfolio adjustments as advised by their consultants, only to discover later that their assets have not performed as they had anticipated.
 
Avoid chasing for quick profits.
 
Investors frequently engage in a never-ending search for the finest fund. These investors keep a close eye on daily NAVs and frequently switch funds when they notice one doing better than the other. The majority of their decisions are based on past performance, thus even a small underperformance brought on by a market slump or sector/market cap rotation will make them complain that things aren't going their way.
 
Benjamin Graham once stated, "Being better than others isn't the point of investing. Controlling oneself at your own game is the key.
 
Clearly define your objectives and refrain from pursuing quick profits.
 
Here are some things to consider if investors are unhappy with the performance of their portfolio, whether it was managed by a financial adviser or by doing it themselves:
 
Are you comparing things correctly? Funds must be compared within the same asset class, period, and category. Therefore, a six-month performance cannot be compared to a two-year performance, and a large-cap fund cannot be compared to a mid-cap fund. Furthermore, safer investments cannot be compared to higher-yielding stocks if one has made that decision.
It is simple to regret a missed opportunity in retrospect, but are you willing to take chances and can you predict the future? Even at a 5–10% decline, investors begin to fear. They are unwilling to make more financial commitments at this time. Although it is simple to place the blame for the missed opportunity on others, investors should consider if they are willing to make risky judgments.
 
When goals change, portfolios must also adapt. Furthermore, a change in objectives may also affect an investor's capacity for accepting risks. This definitely calls for a change in funding.
 
A best fund that consistently performs well does not exist. It is crucial to select a fund based on one's investment horizon and risk tolerance and to stick with it rather than switching funds frequently.
 
Over-diversification and an excessive number of funds can also have a detrimental effect on returns. For higher long-term profits, investors should look into ways to combine their holdings.