'Models can assist, not replace, stock selection'

Model-driven vs human-led portfolios? Investing in stocks is an art, not a science. Stock selection is ultimately a skill that drives wealth creation. Human judgment remains one of the most sought-after qualities in stock picking. At LIC Mutual Fund, we view data-driven models as powerful enablers, not replacements. Over the years, we expect more strategies to be model-assisted— particularly in passive and factor-based products, where rules-based investing adds consistency. However, mathematical models can only complement, not replace, stock selection. Qualitative insights, management interactions and macro interpretation often separate average from e

This article was originally published on October 24, 2025.