I have been diligently investing in MFs since last few years and being from finance background and AMFI certified I believe I have better perspective of choosing investments.
I invested in one of the best funds (those were when at time of investing) after doing lot of research and going through research advisory services like valueresearchonline ,etc.
But even after 8 yrs my portfolio IRR comes around only 20%
If your investment amount is less than 5 lakhs and u cant directly invest in stocks then MFs is a best way. But considering 1.5% expense ratio for direct investments if ur investment value is more than 5 lakhs then u end up paying more than Rs 8000 as fees annually !!
And these research advisory services keep changing their stars (or grades or whatever) So when we look at 5 star rated funds then it looks lucrative but when the fund underperforms then these people simply changes their stars to another fund to fool new investors.
I think 20% irr can be easily achieved through fundamental research reports and good quality stocks. No point in paying high fees when nothing extra ordinary result is obtained.
I invested in one of the best funds (those were when at time of investing) after doing lot of research and going through research advisory services like valueresearchonline ,etc.
But even after 8 yrs my portfolio IRR comes around only 20%
If your investment amount is less than 5 lakhs and u cant directly invest in stocks then MFs is a best way. But considering 1.5% expense ratio for direct investments if ur investment value is more than 5 lakhs then u end up paying more than Rs 8000 as fees annually !!
And these research advisory services keep changing their stars (or grades or whatever) So when we look at 5 star rated funds then it looks lucrative but when the fund underperforms then these people simply changes their stars to another fund to fool new investors.
I think 20% irr can be easily achieved through fundamental research reports and good quality stocks. No point in paying high fees when nothing extra ordinary result is obtained.