Generally, for a long-term investment, an investor should some chunk in different types of stocks. The segregation of stocks types can be as 40% in Blue-chip stocks, 20% in Small and Medium Enterprise (SME) stock as they have higher growth prospects and 10% in gold, 10% in Insurance, and 10% in liquid funds to fulfill any immediate and urgent needs that might arise at any point of time in your life.

The Blues stock investment will ensure that you get a certain level of growth thus giving less risk to your portfolio. On the other hand, return on investment of SME will be fluctuating for a shorter-period but on a long-term basis this too will go up and add growth to your corpus.