My portfolio as of July 2006.

I hold shares in a many company's falling under distinct sectors. Their numbers range from two to four hundred and fifty. I am not happy with the level of diversification I have used. I want to restrict my diversification to five or six sectors and only 15 - 25 companies. Some of the companies listed here do not fall exactly under the category specified.

Today I realize that I have ventured in to too many companies and do recognize that such a wide-ranging diversification did not help in making better profits and nor it insulates me from risks. Note that i was a beginner and naive as one.

These are the sectors / companies i am holding shares as of July 2006.

Auto / Auto ancillary:

HERO HONDA, JK INDUSTRIES, PRICOL LIMITED, SHANTHI GEARS LTD, TVS MOTOR COMPANY LIMITED.

Banking / Finance:

DENA BANK, IFCI LTD, INDIABULLS FINANCIAL SERVICE

Cement

GUJ AMB CEMENTS, MANGALAM CEMENT LTD, MYSORE CEMENTS LTD

Chemicals

CLARIANT CHEMICALS (INDIA) LTD, DCW LTD

Construction

ANSAL PROPERTIES & INFRASTR LT, D S KULKARNI DEVELOPERS, HINDUSTAN CONSTRUCTION CO,

IVRCL INFRASTRUCTURES & PROJECT, JAIPRAKASH ASSOCIATES LTD, NAGARJUNA CONSTRN. CO. LTD

Consumer Durables

HITACHI HOME & LIFE SOLUTIONS, SAMTEL COLOR LTD

Engineering / Capital Goods

BHARAT EARTH MOVERS LTD, EVEREADY INDUSTRIES INDIA, PRAJ INDUSTRIES LTD, SIEMENS LTD, UNITECH LTD, WALCHANDNAGAR INDUSTRIES

FMCG (Fast Moving Consumer Goods):

WILLIAMSON TEA ASSAM LIMITED, HLL, TATA TEA, TITAN INDUSTRIES LTD

Hotels:

JAYPEE HOTELS LTD

Information Technology:

MPHASIS BFL LIMITED, D-LINK INDIA LIMITED, HCL INFOSYSTEMS LTD, HCL TECHNOLOGIES LIMITED,

INFOSYS, KALE CONSULTANTS LTD, OPTO CIRCUIT (INDIA) LTD, SATYAM COMPUTERS

Metals:

LLOYD STEEL INDUSTRIES LTD, RAIN CALCINING LTD, STEEL AUTHORITY OF INDIA, STERLITE INDUSTRIES LTD, TISCO, UTTAM GALVA STEEL LTD

Others:

BELL CERAMICS LTD., BSEL INFRASTRUCTURE REALTY LTD, GITANJALI GEMS LTD., GOLDIAM INTERNATIONAL, NOVOPAN INDUSTRIES LTD., PIRAMYD RETAIL LTD, RAJESH EXPORTS, RELIANCE INDUSTRIAL INFRASTRUCTURE, SUPRAJIT ENGG., THOMAS COOK (INDIA) LTD, TRIVENI ENGG & IND LTD

Paper:

BALLARPUR INDUSTRIES LTD, STAR PAPER MILLS LTD

Pharmaceuticals:

ADVIK LABORATORIES, ARVIND REMEDIES, CADILA HEALTHCARE LIMITED, PFIZER LTD, WOCKHARDT LTD

Power:

SUZLON ENERGY LIMITED, TATA POWER CO LTD

Refineries/Oil-Gas:

ESSAR OIL LTD, MRPL, ONGC

Shipping:

VARUN SHIPPING LTD

Sugar:

BALRAMPUR CHINI MILLS LTD, KOTHARI SUGAR & CHEMICALS, SAKTHI SUGARS LTD

Telecom / Telecom Equipment:

AKSH OPTIFIBRE, STERLITE OPTICALS

Textile:

ALOK TEXTILE INDUSTRIES LTD, ARVIND MILLS LTD, BOMBAY DYEING & MFG. CO LTD, CENTURY ENKA LTD, CENTURY TEXTILES LTD, PENINSULA LAND LIMITED, PANTALOON RETAIL INDIA LTD, RAYMOND LTD