Originally Posted by Atiker
The nifty PE is ridiculously high at approx 24.
In the absence of a black swan event is it prudent to continue with the existing SIPs ?
1. Stop the SIPs till market cools or there is a black swan ?
2. Stop the SIPs as well as book some profit from existing portfolio.
3. Continue with SIPs but book some profit.
4. Continue SIP do nothing.
I was contemplating some of these options as well.
I am particularly worried about Small cap fund SIP so I have reduced the SIP contribution to minimum starting next month onward and diverted that amount to Largecap fund (for better perceived safety vis-a-vis small cap). At least this way, sort of minimizing the risk to the overheated segment while participating in the rally through largecap.