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What should be my investment plan given the Omicron threat?

Dhirendra Kumar advises working on an asset allocation plan

What should be our investment strategy considering the recent Omicron threat? Should we move from equity to debt?
- Rama Kant Saboo

I would not suggest you move completely from equity to debt. If you remember what happened in March 2020, the market was on a free fall, and many people got scared and pulled out their money. After that, we have seen unprecedented gains. Equities are unpredictable and will remain like that.

So if you are investing for the long run and are unlikely to need the money in the next five years, don't bother about it. If at all you have to do something, work on your asset allocation plan. Say if you decide always to have 30 per cent of the money in fixed-income, move only that much money to fixed income. So that if there is a significant change, you can rebalance it and profit from the change.

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