Mutual Fund Investment Analysis/Review post 1 year

POSTED BY RSG ON April 17, 2014 8:14 am COMMENTS (5)


Based on this site and reading books, I started investing in Mutual funds last year.

Its been 1 year now and probably time to review my investments so need some help from you guys.

I picked 3 funds and put 5K each. Each of them are giving +ve return (10-12+%). Yes, it looks good but I want expert opinion as to how do I see them for long term investment.
What are the points  I need to look to verify if my investments are on track or not beyond the +ve returns.

The Funds I picked where –

Franklin India Bluechip Fund(G)
IDFC Premier Equity Fund-Reg(G)
Quantum LT Equity Fund(G)

Please let me know your thoughts

Thank you

5 replies on this article “Mutual Fund Investment Analysis/Review post 1 year”

  1. RSG says:

    Thanks Justgrowmymoney, This is exactly what I was looking for. I just needed some guidance and meta rules which people usually follow and I totally understand there is no single answer.

    Thanks again for your help!

  2. Justgrowmymoney says:

    RSG – An easier way people think of rating mutual funds is the 3year and 5year returns versus peers. This is like looking into the rear view mirror and driving. past performance DOES NOT GUARANTEE future returns, as we all know.

    While the article referred by Ashal is very good here are few tidbits on good schemes.

    Dont switch schemes based on 1 year returns almost always! Look at the fund to see if the objective of the fund or the fund manager has changed. Sometimes the bets made can take some years to yield benefits. If the fundamental structure of the fund has not changed, stay put. If you see one of your funds lagging significantly say 20-25% than peers [Example: Other funds do 20% return and this does 16%] for 2-3 consecutive years or consistently lower over 3+ years it may be time to revisit.

    Again funds with excessively high corpus will find it difficult to deploy funds and move with the agility they once had. While this is not a reason in itself to shun those funds evaluate them more frequently.

    You also get the Beta information from sites like VRO. A lower Beta generally translates to lower fluctuations in NAV.

    There is no one-size-fits-all for all funds but just some general rules.

  3. ashalanshu says:

    Dear RSG, please visit the site freefincal. com and read there a post on MF selection.



  4. RSG says:

    Thank you Ashal for your response.

    Can you also help me in learning as to what data points I need to see and measure in order to tell my investment is on the right track. Obviously, the returns are good is one of the item but I am sure there are more points to review.

    Please let me know your thoughts.


  5. ashalanshu says:

    Dear RSG, please continue the 3 funds.



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