I am planning to start a 5000 sip in reliance banking fund.I am looking for 5-10 years regular investment and will regularly increase this amount whenever I have more money.
Reasons for selecting this fund:- Ya I know its a sector fund and is very risky.But then I have done research.
1- Compared it with hdfc equity(the best equity diversified fund).Even in 2008 when U.S. banks fallen down and recession was all there in banking and finance sector, RBF fallen only -39% as compared to -50% for HEF.
2- After recession it has outperformed all the funds by miles and now has the highest returns since inception,since 3 years and since 5 years.So now when market is looking very good for banking and finance it should definetly outperform.Even if recession comes in this sector I would invest in it regularly as I know after recession it will badly outperform.(I will invest more money if recession comes in this sector).
3-All sectors are directly/indirectly depend on this sector.
4-All major equity diversified funds have there major portion of portfolio(around 15%) in this sector only.
Now suggest me I am going in right direction or not.