Dip in rating of HDFC Top 200

POSTED BY sachin balavant patil ON June 15, 2012 12:13 pm COMMENTS (7)

Dear Sir,
I’ve been investing in HDFC Top 200 fund, since June 2011 (by SIP 1000 Rs./month). Now that Valueresearch has downgraded it’s rating to four star, kindly inform me what should be my course of action? I have a investment horizon of 15 years. Awaiting hearing from you.

Kind Regards
Sachin

7 replies on this article “Dip in rating of HDFC Top 200”

  1. Ashal Jauhari says:
    June 16, 2012 at 4:26 am

    Dear Sachin, just for the sake of discussion – You stop investing in HDFC Top 200 now Start a new SIP. After 6 months or so VROL or any other site is now giving 5* for HDFC Top 200 or downgraded the new fund you invested in, what ‘ll you do then?

    Thanks

    Ashal

    Reply
    1. waris says:
      June 16, 2012 at 11:24 am

      Dear Ashal,
      What will be your criteria for selecting a FUND?

      Reply
      1. Ashal Jauhari says:
        June 16, 2012 at 11:35 pm

        Dear Waris, consistency in performance is my basic idea to invest in a fund.

        Thanks

        Ashal

        Reply
  2. BanyanFA says:
    June 15, 2012 at 6:38 pm

    Sachin,
    The star rating keeps on changing if a MF scheme doesn’t meet the returns consistently and other factors.

    HDFC Top 200 is a good fund. Each fund tends to punt upon a selection of stocks which the fund manager is bullish upon (based upon their research). It is not always that all stocks in a scheme would be doing good at all times. Stocks tend to be governed by their fundamentals and their sentiments. At times bank stocks are favourites and then engineering, metals, etc. Hence it all depends upon the stock selection. What matters the most is long term ability of the scheme to generate consistent return. If a scheme has fared poorly in past couple of months / quarters, it doesn’t mean that it is a poor scheme.

    I would suggest you to continue investing into Top200.

    Reply
  3. Kirubakaran says:
    June 15, 2012 at 6:14 pm

    Dear Sir,
    Pls explain why VRO downgrade the ratting if nay reason is behind. i am also invest this fund last three years.

    regards
    Kirubakaran.K

    Reply
    1. Ramesh says:
      June 15, 2012 at 6:27 pm

      Please check how they do the rating, you will find your answer.

      Reply
  4. Ramesh says:
    June 15, 2012 at 3:06 pm

    Good lesson for star-gazers.

    Personally, continue investing in that fund, and do not go and visit VRO for starring funds. Their star rating (or for that matter, star rating of anyone based on quantitative analysis) is ‘not worth the pixels on which it is shown’). 🙂

    Ramesh

    Reply

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.