SBI Magnum Global Fund

[skytrader]

What is the idle time to sell any MF ?

Is it the right time to purchase MF? If yes then which one?

[yoogi]

It is very difficult to tell which is the ideal time. I always start investments with some objective. Once that objective is achieved next thing will be to take money out of investment slowly.

I wont try to time the market, becasue many people have failed to time the market ALL the time..

This is my example.

(I need 25 lac for a house in next 5 years. So I am investing my money in ELSS and equities.. Once the 25 lac is accrued I will Systematically Withdraw my investments in such a way that I dont have to pay short term capital gain.. )

Another 1.
I need as much money as possible for my retirement. I am 29. I will invest in ELSS for as long as there is no tax on Entry, maturity and returns... After I am 50, I will pull out 10% of my ELSS savings each year, into some balanced equity funds and monthly income plans. That will set my retirement corpus.

I also am planning to save 1000 rs a month for a lazy boy + a large screen LCD TV which could cost me 100K rs. While the LCD TV and furniture are getting cheaper, the equity is growing and I might be able to do it in next 3 years. No time plan, but with a target.

I guess it differs for everyone. Warren Buffet once has said the best period for investment is "forever", he is aginst booking profit.

[rameshk74]

Yoogi is right. Stay invested for a long time. Mutual funds is a long term investment aid. You can pull out your money any time you want. The longer you invest better the return. Infact, I would recommend skytrader to invest more in better performing funds like Reliance Growth, ICICI Emerging STAR and J M Basic etc. These funds are performing or expected to perform better than SBI MAGNUM GLOBAL.

[tellanand]

Absolutely - Ramesh is right on the money. Magnum Global has been sluggish in the recent times (b'coz of Fund Manager Change). Divert the money to ICICI Emerging Star or Reliance Growth.

- Anand

[girish_maru]

in case u r shifting then it better to invest in jm basic or reliance growth fund.

[gabbar.singh]

PersonalFn.com recommends SBIMF is not a good AMC and money is not safe with SBIMF. How far their contention is correct?

[yoogi]

Keep in mind that when you shift to a fund in another AMC,
1. You may have to pay an exit load.
2. 2.25% entry load on new fund
3. The new fund cannot be exited withing first few months/years without exit maxium exit load.

while moving within same AMC usually avoids 1 and 2.


So unless you thing the benefits of moving outweigh the problems, dont move.
Also make sure that YoY results of fund looks better when they have hit a low in the previous year. So it is your entry point in this fund and a similar time in other fund should be your comparison.

I always see whether I like top-20 stock investments a fund has made. Also compare it to another fund that offers better returns. Chose the one I like better.

Best regards.
Tony

[Vicky78]

Apart from the new fund manager for SBI Magnum Global, another issue with this fund is the size of the fund. It is well over 2K crore and it invests in midcap & small caps. A midcap fund should be able to take aggressive positions in few stocks. It should be able get in and out of some small caps quickly. Holding a large amout of a particular small cap share could difficult for the fund manager to sell during the bear market.

But on the positive side the track record of Magnum Global is amazing. I would rather hold and stop any SIPs flowing into that fund.As Yoogi said, if you need the money book your profits or else hold.

[amitrade]

Hello Friends,

I have invested rs 20,000 in SBI MAGNUM GLOBAL GROWTH FUND - seeing its past record. I am new to investing. Is it right decision.Please advise. Am I going to get good returns ? My period for investment is 2 years. Also is it the right time to invest in Mutual funds or should I wait because some people say the current bullish trend is a bubble.

Awaiting eagerly for your replies/views.

Regards,
Amit.

[amitrade]

Please advise on this.

Amit.