Recommend ONLY UBI MF funds

[Aitijhya]

I will invest Rs 7 lacs for 2-3 years in UTI MUTUAL FUNDS . I have a UTI agent who is my fathers friend and stays in my locality . I am new in mutual funds and this agent recommends me of the following three funds.

UTI liquid cash plan 5 lacs Divident
UTI Dividend Yield Mutual Fund 1 lac Divident
UTI MNC FUND (G) 1 lac Growth

Is the above a good investment??

I want to analyze the future of the following fund.How to start??

UTI Wealth Builder Fund - Series II - Retail Plan (G)

 

[KoolSIM]

Amongst the three funds, only UTI Dividend Yield is a reputed fund. You shouldn't concentrate all your fund investments into the same fund or the same fund house. That's a rule of investment. Also UTI Liquid Cash fund is just that.....a liquid (debt) fund. Not an equity fund! Don't expect great inflation adjusted returns from that.

There are plenty of great funds out there than the ones you are planning to tackle. Some of them are ICICI Prudential Focused Blue Chip, DSP Blackrock Top 100, HDFC Top 200, IDFC Premier Equity, etc. Just because you have an easy investment access in your dad's friend should not be a criteria to enter MFs.

Also, when investing in equity funds, one must invest systematically instead of all in one go. Your allocations like 1 lakh to UTI MNC / Div. Yield could hurt you if the markets turn downwards. In today's world, nobody knows where the markets are headed tomorrow. To insure against this risk, its better to systematically invest in equity funds.

I know these are harder things than investing at one go and sitting at home, but then again, one only earns money when he/she works hard, right?

A simple of way of investing systematically would be to invest 5 lakh in a good liquid fund and start an STP (Transfer) to equity funds. You could also do an SWP (Withdrawal) to a bank account and tie it up with an SIP of a fund!

 

[asterix24]

Please don't do the mistake of investing as someone is your relative or family friend. Please invest based on prudent fiscal and investing principles.

KoolSim has responded excellently well. If you want to look at another UTI fund, you can consider UTI opportunities i.e. 2 funds you could invest could be UTI Dividend Yield and UTI Opportunities.

One of the foremost investing principles is to diversify across genres, AMCs etc. Hence, putting all eggs into only one AMC may not work to be financially beneficial to you.

Happy Investing !!

 

[ashwani chadha]

amongst the three funds, only uti dividend yield is a reputed fund. You shouldn't concentrate all your fund investments into the same fund or the same fund house. That's a rule of investment. Also uti liquid cash fund is just that.....a liquid (debt) fund. Not an equity fund! Don't expect great inflation adjusted returns from that.

There are plenty of great funds out there than the ones you are planning to tackle. Some of them are icici prudential focused blue chip, dsp blackrock top 100, hdfc top 200, idfc premier equity, etc. Just because you have an easy investment access in your dad's friend should not be a criteria to enter mfs.

Also, when investing in equity funds, one must invest systematically instead of all in one go. Your allocations like 1 lakh to uti mnc / div. Yield could hurt you if the markets turn downwards. In today's world, nobody knows where the markets are headed tomorrow. To insure against this risk, its better to systematically invest in equity funds.

I know these are harder things than investing at one go and sitting at home, but then again, one only earns money when he/she works hard, right?

a simple of way of investing systematically would be to invest 5 lakh in a good liquid fund and start an stp (transfer) to equity funds. You could also do an swp (withdrawal) to a bank account and tie it up with an sip of a fund!

you have given 100 % expert views -i appreciate !!!

 

[ashwani chadha]

i will invest rs 7 lacs for 2-3 years in uti mutual funds . I have a uti agent who is my fathers friend and stays in my locality . I am new in mutual funds and this agent recommends me of the following three funds.

Uti liquid cash plan 5 lacs divident
uti dividend yield mutual fund 1 lac divident
uti mnc fund (g) 1 lac growth

is the above a good investment??

I want to analyze the future of the following fund.how to start??

Uti wealth builder fund - series ii - retail plan (g)

don't invest at one-go
you will not get time to repent even,go for systematic investment plan-maximum you can use 5% of seven lakh on monthly bases-keep rest in bank small fixed deposits,til all is not invested,in next two year in systematic plan way

 

[Alice748]

Price to sales ratio is not something that one comes across commonly. Is there any fundamental analysis software or database by which one can make comparisons between different companies of the same indstry. One has to see things in a relative perspective- how does one know whether EPS or P/E ratio is normal/abnormal unless one compares with Industry standard.

 

[Aitijhya]

Your valuable suggestions are priceless. I have left the Mutual fund
broker and i'll invest myself online. Presently i am investing around 10 lacs in SBI DOMESTIC plan 10.2 % interest with income tax applicable [safest investment i have found]. Rest 5 lacs i' ll try to invest in mutual funds after proper learning the trade of the game.

Lets start the game

asterix24 you have written

If you want to look at another UTI fund, you can consider UTI opportunities i.e. 2 funds you could invest could be UTI Dividend Yield and UTI Opportunities.

Now i found 2 Uti opportunities fund.

Uti opportunities fund (G)
Crisil Fund rate 2
2011 - 13 for 3 qtr
2010 18
2009 94
2008 -49.2
2007 70
2006 11

Uti opportunities fund.(D)
Crisil Fund rate 2
2011 -16.1 for 3 qtr
2010 5.2
2009 78.4
2008 -57.2
2007 49.2
2006 -2.5

Both are general equilty , large cap.
Both has net return 92% in five years as i understand from

http://www.moneycontrol.com/india/mutualfunds/mfinfo/competition/MUT073

Which one is better? Should i buy

 

[asterix24]

I hope this is not a game and serious investment venture . For the 2 funds listed, please note that they aren't 2 different funds. They are the same fund with 2 different options i.e. Growth and Dividend.

Please read up on the differences/nuances of these options.

Happy Investing !!

 

[Aitijhya]

OIC. Dividend and growths are named as (D) and (G) .I got it.
Growth Fund will be a good option for my one lakh.

I hope this is not a game and serious investment venture .

Certainly not. I have never invested a penny except in lands and Provident funds and
suddenly i have to invest a lot.

I have a family business which is dependent on export of steel to europe as we manufacture steel plant equipments.Due to fall of Euro and $ we have to invest
a lot of money on personal behalf and from company account. Trying to learn this investment game desperately.

Can someone tell me what is best corporate
investment ? A Company current account does not earn any interest i.e
0% interest if kept in bank current account and not used.


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BTW if someone got interested in Sbi domestic plan rate read 9.25% which i have
written as 10.2.

 

[asterix24]

For investing on the behalf of a company, you should definitely consult your lawyers and accountants. Typically, a corporate can lock in surplus funds as deposits in banks, which in turn gets a working capital.

To invest in a equity or equity related instrument, I think you need some clearances and approvals. Please do check on the same. I am not an expert in that area.

I think forex is another place where you can lock your money, but check.

Happy Investing !!