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Zerodha founder Nithin Kamath says it’s stupid for investors to be buying only stocks

Zerodha founder Nithin Kamath said, “It’s quite stupid to be buying only stocks. It’s something that people don’t understand in a bull market. I think it’s important to have a good mix of fixed income or debt and equity, so that even if there are drawdowns it doesn’t bring you down so hard.”
“We don’t know if Covid has gone away. It is making a comeback in China. Then there is inflation. There could be many second and third-order effects of liquidity, apart from inflation itself. And we are still dependent on foreign flows into the country. The risk of some foreigners taking money away at a much larger pace is there and then there is the geopolitical tension. If the war escalates tomorrow, then it is a problem,” Kamath said in an interview.
“Generally, it is a good idea to first start trading part-time to see if you are good at it. You should then only take the decision of plunging into it full-time. Just quitting everything one day and saying that I want to become a trader is definitely not a smart idea,” Kamath said when asked whether trading can be carried out as a part-time activity.

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