With so many equity fund IPOs hitting the market, has the mindset of Indians about MF changed?
We believe that the response to equity fund IPOs reflects the growing realization amongst Indian investors about the advantages of professional fund management and recognition of the long term potential of equities given the strong fundamentals on the economic and corporate fronts. Which MF should a small investor who is willing to take risk invest in for a short term perspective? We believe that investment strategy and the asset allocation of an investor should not vary from year to year. Investors should draw out an asset allocation plan based on their risk profile, time horizon and financial goals, and not on expectations of market behaviour over a one year period. Research has shown that the probability of attaining financial goals is much higher by following this approach, rather than by trying to juggle around with investments, and time market cycles. As a small investor does a mutual fund help me in a falling market compared to directly investing? This would depend on the indivi
