Re: 10 lakhs to invest
looking at reliance growth since about may '07 to now its gone up from 300 too 500..... do you still see this growth for the future and how long? looking at its graph I'd feel reluctant to invest in such a MF when its at its peak.......
NAV of the fund does not matter, there are tons of threads in this forum that have explained that.
A MF is not a stock! So do not treat a fund like a stock.
If there is an issue with Reliance Growth, it would be its asset size. With a huge asset size, it will not be able to move in and out of small caps aggressively as it used to earlier. It will be forced to follow a buy and hold strategy for major part of its portfolio rather than quick profit taking.
Given all these odds, in 2007 it still ended the year being in the top 25% in terms of returns under diversified equity funds category. Given its track record, I would still place my bets with this fund.
However a more aggressive investor can choose Kotak Opportunities over Reliance Growth.