Many mutual fund investors have turned extremely risk averse lately. A series of bad news – downgrades and defaults on the debt mutual fund space – were the wake up call for many conservative investors. A bleak economic scenario and a narrow market rally have lately turned even many equity investors extremely cautious.
A combination of scheme categorisation, economic downturn, and market downturn, coupled with negative news on the NBFC sector and couple of frauds, has created mayhem, in the market which led to underperformance of many mutual fund schemes.
Mutual fund investors are discussing the exit of Soumendra Nath Lahiri, CIO, from L&T Mutual Fund. Some prominent fund managers like Krishna Sanghavi of Canara Robeco MF and Gautam Sinha Roy of Motilal Oswal MF among others, have left their respective fund houses in 2019.
Yes, you read it right. You shouldn’t do anything based on the news that your fund manager has put in his papers. You should wait for more details before taking any decision. Do not panic and avoid knee-jerk reactions, say mutual fund advisors.
Recently, actively managed large-cap mutual funds have been criticised due to their under-performance vis-a-vis passive funds. However, currently six of the top 10 large-cap MFs over one year are active funds. Should you invest in them?
Failure of the telecom entity to continue as a going concern will potentially hit several debt schemes holding roughly Rs 2,023 crore worth of Vodafone Idea debt. According to data, schemes of four asset management companies hold the paper.