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The Mutual Funds Investment Thread

Isn't the risk is pretty much same in Nifty50 Index fund/ETF or any other large cap MF since they are investing in more or less same firms?
You can say, but large cap MF's fund manager tries to beat the index. Do your research & decide. As I mentioned earlier, don't look much into expense ratio as the return number you see is after the expense ratio computed.
 

whitestar_999

Super Moderator
Staff member
Isn't the risk is pretty much same in Nifty50 Index fund/ETF or any other large cap MF since they are investing in more or less same firms?
Large Cap MFs do invest round 20-30% of total amount in companies outside of large cap without which it is simply not possible to beat index performance not to mention even among index making companies the % of investment is not exactly the same as index weightage.e.g.In index reliance has around 10% weightage currently so any index fund will invest around 10% of total MF funds in it but a large cap MF may invest 15% in reliance.
@omega44-xt
 
Large Cap MFs do invest round 20-30% of total amount in companies outside of large cap without which it is simply not possible to beat index performance not to mention even among index making companies the % of investment is not exactly the same as index weightage.e.g.In index reliance has around 10% weightage currently so any index fund will invest around 10% of total MF funds in it but a large cap MF may invest 15% in reliance.
@omega44-xt
Got it, knew about the latter. I just compare returns of MFs + graphs, like during dips how much it lost, etc. Large-cap funds or index funds didn't seem that good to me personally.
 

TheSloth

The Slowest One
The market is already going up today. I thought it will stay down till 31st Jan. Any idea what's happening??
 

whitestar_999

Super Moderator
Staff member
The market is already going up today. I thought it will stay down till 31st Jan. Any idea what's happening??
Sensex is already down from its high of 60k+ a few days ago, don't look at few days period or try to predict how long mkt will remain down based on that period. In any case, the week before the budget day is supposed to be volatile so such highs & lows in a day are normal at least for this week & the next.
 

TheSloth

The Slowest One
^Make sense.
Any idea how the new budget will affect the Indian market? Anything to specifically look out for??
 

rockfella

In the zone
He is talking about direct equity investments by amateurs, MFs are managed by professionals & no good MF has ever given a negative or even lower return than FD/savings acc over a period of 10+ years.
Most of the info in his videos are gossip monger type lame info, almost about anything.
 

TheSloth

The Slowest One
Market is significantly down now. All the investments are in negative. I will continue the SIP but thinking how much "more" should I invest during these downfall period? I am doing 5k investment every month. Is there any formula or base percentage against regular investment amount, which tells how much lumsump amount to invest when market is down??
 

rockfella

In the zone
Market is significantly down now. All the investments are in negative. I will continue the SIP but thinking how much "more" should I invest during these downfall period? I am doing 5k investment every month. Is there any formula or base percentage against regular investment amount, which tells how much lumsump amount to invest when market is down??
Go ninja on on it! Increase SIPs if you can, do lumpsums if possible. How long nobody know but it is a good time to dump money! No formula. Yesterday I did a big lumpsum as market was down 4/5% and now it is up by 2/3% today.
NOTE: To ensure you get NAV of the same day use UPI option before 2:45 pm or else it goes next day or the next. I did mine at 2:35 pm lol.
 
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whitestar_999

Super Moderator
Staff member
NOTE: To ensure you get NAV of the same day use UPI option before 2:45 pm or else it goes next day or the next. I did mine at 2:35 pm lol.
Do note that timing also depends on the bank/MF/3rd party platform from where you are investing.

I will continue the SIP but thinking how much "more" should I invest during these downfall period?
Only do lumpsum investment for that money which you unexpectedly got recently(like some bonus or some cancelled purchase at the last moment) or it is part of some large amt of money lying in some savings acc at 3-4% interest rate from which you also doing SIP.
 

Zangetsu

I am the master of my Fate.
Market is significantly down now. All the investments are in negative. I will continue the SIP but thinking how much "more" should I invest during these downfall period? I am doing 5k investment every month. Is there any formula or base percentage against regular investment amount, which tells how much lumsump amount to invest when market is down??
I'm ignoring it for now. Since, last 6-8 months my profit went through these stages
35k ---> 30k --> 26k --> 22k (today)
 

TheSloth

The Slowest One
I'm ignoring it for now. Since, last 6-8 months my profit went through these stages
35k ---> 30k --> 26k --> 22k (today)
Yeah I also have similar story. From 6k to -2k today. It's funny and scary at the same time. I don't know what would have happened about the people who had above 6-5Lakhs in their investments.
 
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