Uncategorized

Mutual Funds are very simple to understand. So at times, investors prefer to select their funds on their own. They might be able to select the best of the funds, but they do make some common mistakes which ideally an advisor can help them to avoid.   Let’s look at them one by one: To Look At Short Term/Recent Performance of the Fund: It's very easy & common practice. Looking at the recent performance data of the fund, investors get attracted to invest in it. Completely forgetting that past performance is not the guarantee of the future one! There are

Mutual Fund & PMS, both are portfolio based investments i.e. investment is done on more than one stock or company. Often people have question about the fundamental difference between these two. Diversified V/s Concentrated Portfolio: Mutual Fund fundamentally is a diversified portfolio. It focuses on optimum return by taking minimum risk with the use of diversification strategy. Although stock selection, number of stock and combination percentage of equity & debt vary by scheme type. But it still focuses on variety. PMS on other hand is more concentrated effort. Volatility: Conviction of the fund manager in PMS plays a very important