In April, contra/value equity mutual funds witnessed a 68% AUM jump to Rs 1,57,946 crore, attracting investors with a higher risk appetite. These funds invest in out-of-favour or undervalued stocks, offering potential returns amid market volatility.
“I would recommend investors to look at normal SIPs as well as trigger SIPs because if you have the 5-10 year perspective, definitely you should go for it and in a falling market like this where you do not know where the bottom is you could definitely take advantage and decide levels at which you want to enter.”
“Just because a fund has deployed 95% or even higher, does not mean that it is the best approach because you may end up having a very fat tail. You may end up having 70-80 stocks in a portfolio where the fund manager is just buying a lot of stocks to deploy the cash which may not be in his high conviction basket.”
"It is not necessary to rush to pay off your home loan. Even if the return on equity is higher than the loan rate, it is still beneficial to continue with both, considering the long-term perspective. However, one should consider tax savings and maximize them when deciding on part prepayment. if one is conservative and prefers a guaranteed return, it may be better to pay off the loan sooner. "