Want to make money? Eyeing mutual funds? Know if Nippon India fund is a good investment bet

In these tough Corona times, when business and job opportunities are few and far between, everyone is searching for money-making avenues. Well, check out mutual funds to do so. Here we look at Nippon India fund as an investment bet and how is Nippon Multi Asset as a fund? We provide the answers to our viewers questions about their investments here and offer a window to the larger community of investors to learn more and profit from it. 

One of the Zee Business callers, Tara Chand wanted to know about Nippon India Growth Fund. He holds 700 units in this fund. He wants to keep it for next 7-10 years. He wanted to know if he should remain in this fund or switch to another one. 

See Zee Business Live TV streaming below: 

Advice to Tara Chand 

Nippon India Growth Fund is a mid cap fund with expense ratio at 1.3 per cent while the turnover ratio at 139 per cent. Both expense and turnover ratio is high. It is advised not to switch fund from mid cap to small cap.  

Another caller Sailesh Daga has invested in a scheme where he is paying SIP of Rs 6000. He is 39 years old. He was getting returns of 12-15 per cent in the pre covid period. He wanted to know if he should stick to this fund. This fund has an investment period of 17 years. He is targeting Rs 65 lakhs by retirement.  

Advice to Sailesh Daga 

Sailesh has funds like IDFC Multicap Fund, Kotak Standard Multicap Fund, L&T Emerging Businesses Fund and ABSZL Midcap Fund where he is paying SIP of Rs 2000, Rs 1500, Rs 1500 and Rs 1000. He is advised not see returns on a regular basis as the period of these funds is 17 years. The funds performance depends upon the market movements. 

See full coverage in video below:

कोरोना काल में म्यूचुअल फंड का प्रदर्शन फीका क्यों?
निवेश के लिए Nippon Pharma कैसा फंड?
जानने के लिए देखिए #MutualFundHelpline @kuvera_in @rustapharian @SwatiKumariZee https://t.co/IMIEJXcgXR

— Zee Business (@ZeeBusiness) September 4, 2020

The investors should also know about bank and PSU funds. They have 80 per cent exposure in banks and government owned companies. The debt funds of banks and government companies have high liquidity. These funds have low average maturity.