Portfolio Overlap Analyzer
Measure weighted overlap, Jaccard similarity, concentration and look-through duplication across up to five portfolios.
How to use this Portfolio Overlap Analyzer
Portfolio overlap measures whether two apparently different funds or portfolios own many of the same underlying securities. This matters because owning several schemes does not automatically create diversification. The Finin2min analyzer accepts two to five normalized holding lists and compares every pair, helping a user identify duplication before deciding whether the number of schemes is actually adding new exposure.
Calculation logic
Weighted overlap is the sum, across common securities, of the lower weight in each pair: Σ min(weight A, weight B). A 7% weight in one portfolio and 4% in another contributes 4 percentage points of overlap. Jaccard similarity is also shown as common holding count divided by the union of holding counts. Each entered portfolio must reconcile to approximately 100%, which prevents a partial list from masquerading as a complete portfolio.
Worked interpretation
Suppose Fund A owns a stock at 8% and Fund B owns it at 5%. That security contributes 5% to weighted overlap, not 13%. Repeating this for all common securities produces a direct measure of duplicated portfolio weight. Users can then inspect the pairwise matrix rather than relying on scheme names or categories alone.
What this result does not prove
Overlap is only as good as the effective-date and completeness of the holdings supplied. Mutual fund portfolios change, and an outdated disclosure can make a current portfolio look more or less similar than it is. The metric also does not by itself identify whether duplication is undesirable: two broad-market funds may intentionally overlap, while two concentrated strategies with lower numerical overlap can still share the same sector risk.
Methodology, data and limitations
This Finin2min tool separates calculation from recommendation. Inputs, return assumptions and stress parameters remain visible and editable. Results are educational scenarios, not forecasts or suitability advice.
Primary / official references
- SEBI — Mutual Funds Regulations, 2026 (last amended 7 Jul 2026)
- SEBI — Master Circular for Mutual Funds, 20 Mar 2026
- SEBI — Circulars index (check post-Master-Circular updates)
- SEBI — Categorization and Rationalization of Mutual Fund Schemes, 26 Feb 2026
- AMFI — NAV Download
- AMFI — Total Expense Ratio
- AMFI — Portfolio Disclosure
Questions & answers
What does the Portfolio Overlap Analyzer calculate?
Portfolio overlap measures whether two apparently different funds or portfolios own many of the same underlying securities. This matters because owning several schemes does not automatically create diversification. The Finin2min analyzer accepts two to five normalized holding lists and compares every pair, helping a user identify duplication before deciding whether the number of schemes is actually adding new exposure.
What assumptions drive the result?
Weighted overlap is the sum, across common securities, of the lower weight in each pair: Σ min(weight A, weight B). A 7% weight in one portfolio and 4% in another contributes 4 percentage points of overlap. Jaccard similarity is also shown as common holding count divided by the union of holding counts. Each entered portfolio must reconcile to approximately 100%, which prevents a partial list from masquerading as a complete portfolio.
Can I treat the result as a forecast or recommendation?
No. The output is an educational scenario generated from the values entered. It does not predict market returns, recommend a security or establish suitability for an individual investor.
How should I handle market or mutual-fund data?
Use a current, complete dataset with a recorded effective date. Where the page requires imported scheme, NAV, TER, portfolio or industry data, Finin2min should publish or retain the source authority, retrieval date, parser version and file hash.
What are the main limitations?
Overlap is only as good as the effective-date and completeness of the holdings supplied. Mutual fund portfolios change, and an outdated disclosure can make a current portfolio look more or less similar than it is. The metric also does not by itself identify whether duplication is undesirable: two broad-market funds may intentionally overlap, while two concentrated strategies with lower numerical overlap can still share the same sector risk.