1. I have got Franklin Templeton Capital Safety Fund (five years growth) converted to my demat account for trading. I want to know if the units transferred can be traded at prevailing net asset value (NAV). Is there normally any deduction by the registrar while transferring to demat account? If I do not trade, will I get the maturity value at the end of five years?
2. I have HDFC Long Term Advantage Fund, ICICI Prudential Tax Plan, Fidelity Tax Advantage Fund, Tata Tax. I plan to reduce the number of these schemes after March, when three years are completed. Please advise if by giving up some of these schemes I can go for a better scheme such as SBI Magnum Tax Gain Scheme.
3. I have 490 shares of Gammon Infrastructure Projects. The current market price is very low now. Please advise whether I can give up this scheme and go for something else with better prospects. I can hold these shares four-five years.
Regarding your first query the units can be traded at the prevailing NAV and on maturity the fund house would repurchase its units.
If your lock-in period is expiring, then it would be better to invest in other schemes such as Kotak Opportunities, UTI Banking Sector, Reliance Growth, etc. The NAVs are sharply down, so there is opportunity in good number of schemes.
Regarding Gammon Infrastructure, the stock is currently in consolidation phase and is expected to break out on upside and roughly in less then three months the stock could touch Rs72. It would be advisable to take the call then in the prevailing market scenario.
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