Is it safer to invest in NFOs or existing funds? Which offer better returns?
Comparing investments in NFOs to existing funds is inaccurate since they have very different risk-return ratios and features. NFOs tend to be slightly less risky and provide lower returns in the short run, since the investments are carefully timed by the fund manager over a period of 6 months. However since there is no track record of the schemes performances investors may be hesitant to invest. The returns of both depend on the future prospects of the scheme based on an analysis of the investment avenue, portfolio composition, fund manager, fund etc.
