Sectors that keep your portfolio green, long term stocks to buy.

 A very powerful technique for Green Portfolio

In this Era of quick earnings and easy money concepts, some of us want to keep their portfolio always green to generate long term wealth from money. For that, diversification of the invested money is very crucial. That's why we should invest in more than one options and in case of stock market, we should be invested in more than one sectors. 

But it takes lot of research for finding those sectors and then good stocks in them. Well you came at very good place for this purpose. Here are few sectors and stocks, where you can diversify your portfolio and minimize the risk of negative returns.

These are the sectors for good diversification -

1. Banking 

Banks are the backbone of the Economy, you may have be already heard of this phrase. Its true by the way. Same in the stock market, banks play very significant role in displaying the actual picture of the Economy and are managed by highly educated group of economists. 

The Government and Reserve bank always take decisions that are good for the country and the people of it. That's why its not easy for the banks to run in the bearishness for a long term, they have to boost the Economy and bring back the financial growth.

2. Pharmaceutical 

As the population is increasing and new disease are discovered, so it is near to the impossible for the medical sector to not to grow. According the Union Budget for the fiscal year 2025-2026, the Indian government allocated ₹99,858.56 crore to the Ministry of Health and Family Welfare. 

So you can make an assumption of how much potential is hiding in the Indian healthcare sector. This can not be bearish for a long term too likewise Banking sector.

3. Fast moving consumer goods -FMCG 

You are already aware of the figures that represent the population and the growing rate of it. In rural households, spendings to only food items was 47.04 % of their total spendings while urban spends 39.68 % on food. These expenditure is a part of total expenditure of a normal family in India. 

So you can imagine the broader number if we include the spendings related to non-food items. So there are chances that this sector can correct at times but its too near to impossible for crashing.

Here are few good stocks from these sectors - 

1. Kotak Mahindra Bank

Kotak Mahindra Bank is the 3rd largest private bank in India and well diversified financial service provider in India. Company's profits has grown more than 3 times from past 7 years, but stock price did not do much from last 3 years. Still company is stable and strong by their financials and share price has a good potential to grow.

2. State Bank of India

SBI is the largest public sector bank in India as you already know. Company's net profit grew at compounded rate of 17 %  in last 10 years. Also the company's stock has given a total return of around 300 %  since the pandemic of 2020. 

These 2 banking sector stocks can help your portfolio to become stable and getting good returns in long term holdings.

3. Dr Reddy's Laboratories   

Dr Reddy's Laboratories is the 4th largest stock of the pharmaceutical sector in India. This stock has given a compounded profit growth of 24 % in last 5 years. And stock price moved nearly 230 % in same period. Company has a lot of potential in the growing Economy and GDP.

4. Cipla Ltd.

Cipla ltd is 2nd largest company in the Indian pharmaceutical sector. With a strong financial history, company's net profit grew nearly 4 times in past 7 years, also stock price did well. Stock of the company has given a compounded 26 % returns in last 5 years. Also company is well managed and has a good reputation in the market.

5. Nestle India ltd.

Nestle India ltd is a FMCG sector stock that mainly focused on food items and has a very good market share in food items consumed by the Indian retail. The net profit of the company has grown around 3 times since the covid pandemic. Also the share price has shown a good amount of growth from last 7 year with a return of around 3.5 times. 

6. Hindustan Unilever ltd.

You must have used many product made by this company. Because this company manufactures almost  everything we use in normal life. No need to more introduction, company's profit grew by compounded  11% in last 10 years. And the stock price has given a return nearly 250% from last 7 years. 

Company is very stable and also stock price don't fall much even in a bearish market.

So these were few sectors and stocks that are very stable and well managed. All stocks have a good track record and brilliant financial history. You can consider these stocks for your own analysis. 

Also this is humble request, please do your own research before any investment. The source of the above information is Screener. You can find same and more information their of these companies. If you reached here and found any valuable information from this article then please share your positive response and support.

Thank you.