I have invested in Fidelity Special Situations Fund, ICICI Prudential Emerging STAR, ICICI Prudential Infrastructure, UTI Infrastructure and Reliance Vision Fund, all in “growth” options. My objective is to maximize returns in a three-five-year horizon. Should I exit any of these funds? I am looking to invest further in mutual funds. Do you think it makes sense to invest in the current economic climate? What funds do you suggest I should invest in? Would gold make a good investment in the current situation? Sachin
First, at this point in time, I would not advise exiting any investment related to stock as the market is nearing its bottom sometime down the line.
Moreover, the overall performance of mutual funds this time has been better than their benchmark, though in individual cases it may differ. So, at this point in time, you should stay invested unless you have a better investment option.
Regarding your second query, it does make a lot of sense to invest in this kind of a market. However you should invest in small lots so that you may take advantage of lower levels also, by buying more at lower levels.
As far as choice of funds is concerned, a whole low of good funds can be considered, such as Reliance Growth-Gr, DSP ML-T.I.G.E.R-Reg, Sundaram BNP Paribas Select Midcap fund, BOB Growth, Baroda Global, UTI Banking Sector, Tata Infrastructure, Templeton India Growth, HSBC Equity, ICICI Pru Infra Inst I, SBI Magnum Contra, HDFC Top 200, HDFC Equity, Kotak Opportunity, Reliance Diversified Power Sector-Retail, SBI Infrastructure Fund- Series I, Lotus India Agile fund, etc. You can pick up these funds based on your preference of investment.
As far as gold is concerned, it is a safe bet and in a three-month period, I expect gold to touch the $1,000 (Rs43,210) per ounce mark compared with its current price of $932. So, short-term investment in gold makes sense, though you are a little late.
In my last column, ‘Ahead of the Ticker’, investment in gold was recommended last week. The best way to invest in gold is to invest through Gold ETF (exchange-traded funds). You can also invest in gold through the Multi Commodity Exchange and the National Commodity and Derivatives Exchange, but that involves a lot of risk.
I am 32 years old and till now have invested in ICICI Bank Ltd (20 shares), Reliance Petroleum Ltd (10 shares), Bharti Airtel Ltd (10 shares) and Punjab National Bank (10 shares). Please let me know if the investments are safe.Apart from stocks, I have also invested in some mutual finds such as Sundaram BNP Paribas, SBI Contra, Reliance Banking, Reliance Growth, Tata Infrastructure, etc. Please advise if the invstements made by me are all safe and would there be growth in these investments and when. Also, recommend some good stocks or mutual funds for the short term. Vikram
The investments mentioned by you are all good and are likely to give good returns when the market heads north again. Since all the stocks in your portfolio are blue chip, you do not have to worry much.
About advice on stocks and mutual funds, we discuss a few stocks every week in the column, ‘Ahead of the Ticker,’ which appears on this page every Monday. You may read that column for short-term investment guidance.
I hold shares of UB Petroproducts (100 shares), Benzo Petrochemicals (100 shares), Ambik Proteins (1,500 shares), Raymond Synthetics (500 shares), Unity Steel (100 shares), Suman Motels (240 shares) and Chordia Foods (100 shares). What is the current status on these companies? Niteen Joshi
Benzo Petrochemicals Ltd, Unity Steel and Ambik Proteins Ltd were delisted. Raymond Synthetics Ltd was renamed Recron Synthetics Ltd in 2003. However, in 2006, Recron Synthetics was amalgamated with Indian Petrochemicals Corp. Ltd, which was later merged with Reliance Industries Ltd. Suman Motels was last traded on 12 May 2004 and trading on it is currently suspended. Chordia Foods is currently trading and it last closed at Rs47 on the Bombay Stock Exchange.
Answers are based on a technical analysis of the markets and individual stocks. The views expressed on this page are not the newspaper’s opinion and are provided for information purposes by Vipul Verma. Readers are requested to do their own research before participating in the stock markets. Neither the paper nor the information provider will be responsible for any outcome based on information provided here.