IDFC Infrastructure Fund

[arun.gupta]

Hello everyone,

I am planning to invest in IDFC Infrastructure Fund. The infrastructure sector has gone through bad times in the past but i am hoping that the future is bright (As per some experts!). To think of it, India is on its way to become a superpower and the government is bound to push this sector forward and welcome investments and fund dispersion. IDFC in its press release has said that they shall be looking forward to sectors such as power, transportation and water management. I think this is bound to give positive returns in the long run. Would like to know your take on it!

Thanks

 

[milind]

Hello everyone,

I am planning to invest in IDFC Infrastructure Fund. The infrastructure sector has gone through bad times in the past but i am hoping that the future is bright (As per some experts!). To think of it, India is on its way to become a superpower and the government is bound to push this sector forward and welcome investments and fund dispersion. IDFC in its press release has said that they shall be looking forward to sectors such as power, transportation and water management. I think this is bound to give positive returns in the long run. Would like to know your take on it!

Thanks

Reading your post gives me an impression that you have already made up your mind and are asking to get reconfirmation of your decision .

Well, my $0.02

If you have looked through advice from the "experts" on the threads in this forum, you would realize that advice on NFOs is Avoid, and on thematic funds is Avoid (or at least restrict to small % of portfolio).

Experts in media say what people expect them to say. India becoming superpower and requiring lot of infrastructure has been and still is - lot of smoke. Whatever my (ignorant) sentiments, I would rather let the professional money managers make the sector decisions for me and keep my money in diversified funds.

-- Milind

 

[arun.gupta]

Reading your post gives me an impression that you have already made up your mind and are asking to get reconfirmation of your decision .

Well, my $0.02

If you have looked through advice from the "experts" on the threads in this forum, you would realize that advice on NFOs is Avoid, and on thematic funds is Avoid (or at least restrict to small % of portfolio).

Experts in media say what people expect them to say. India becoming superpower and requiring lot of infrastructure has been and still is - lot of smoke. Whatever my (ignorant) sentiments, I would rather let the professional money managers make the sector decisions for me and keep my money in diversified funds.

-- Milind

Thank you milind for the reply. I agree with what you are saying. Experts in the media are bound to say stuff that sounds nice, but don't you think things are improving around us. Take for example the monorails initiative in Mumbai and the how can we forget the metros under construction. Also, i think the corruption is slowly getting eradicated and people are evolving. For example the builder scam is now in the open and 81 contractors have been given notices. I think people are forgetting that such small improvements would eventually in the long run would reap profits. Although there is a lot of pessimism in the air, one could still gamble with a little bit of investments!

 

[xxdiesel]

Avoid sector funds and avoid NFOs. If you are keen on the theme, at least go with an existing fund in that space.

 

[nsuresh_rasr]

Here is my suggestion based on my experience.
* Avoid NFO. Look for funds which is atleast 3 years old and compare its performance with peers.
* Dont go for sectoral funds. You really cant judge a sector, eventhough the future looks bright.
* Keep your portfolio simple. have a mix, 1 large cap, 1-2 large - mid cap, 1-2 mid-small cap funds.
* invest regulary, without worrying about the market movements.

I have been hearing about infrastructure boom for the last 3 years and based on my agent suggestion, i too have invested in some infrastructure funds. Returns are very poor. Learnt my lesson in the hard way.
Hope it helps.

 

[arun.gupta]

Here is my suggestion based on my experience.
* Avoid NFO. Look for funds which is atleast 3 years old and compare its performance with peers.
* Dont go for sectoral funds. You really cant judge a sector, eventhough the future looks bright.
* Keep your portfolio simple. have a mix, 1 large cap, 1-2 large - mid cap, 1-2 mid-small cap funds.
* invest regulary, without worrying about the market movements.

I have been hearing about infrastructure boom for the last 3 years and based on my agent suggestion, i too have invested in some infrastructure funds. Returns are very poor. Learnt my lesson in the hard way.
Hope it helps.

Dear nsuresh,

Thank you for your information. Even i had burnt my hand after investing in this sector earlier. I think what you are saying is true it sure was a promising sector and never performed the way it was supposed to. But having said that, i cannot deny the fact that the sector sure has seen some improvement.I think i shall invest a small amount and I truly think it is worth taking a risk.

 

[vishal412]

IIF being positioned as a thematic fund in IDFC infra fund, IIF will have its penchant towards sectors which are likely to benefit from the infrastructure development in the Indian economy. The fund will invest in stocks without any market capitalization bias, but the investment focus will be primarily guided by growth potential and other economic factors of the country.