October 16, 2010 12:26 pm
Core and Satellite funds, have come across these in MF jargon. Will experts pls explain what is the difference between the investment strategy of these funds? Tx.
i am not an expert! core funds are generally good large,large mid cap or multicap diverfied funds, good equity oriented hybrid, called balanced equity funds also, good tax savings funds, good mip mutual funds, which make core of your investment for long term, whereas the satelite funds are mostly good mid-small cap funds, sector funds, which should be at the most @20-30%, WHICH MAY ENHANCE YOUR PORTFOLIO RETURN WITH SOME MORE RISK THAN CORE FUNDS.
Core and satellite are actually “strategies” adopted by funds. http://en.wikipedia.org/wiki/Core_%26_Satellite
Your email address will not be published. Required fields are marked *
Subscribe to FREE Video Course + FREE Ebook + Future Email Updates
This site uses Akismet to reduce spam. Learn how your comment data is processed.
Join 1,60,000 email subscribers
FREE Video Lessons directly in your email daily
144 page PDF ebook with best articles from Jagoinvestor
Get future articles directly on your mailbox + updates
6 PART VIDEO COURSE
Check your Email and Click on the Confirmation Link
New here? Create an account