Use overseas funds to diversify across geographies, but exhaust domestic options first
In the past six months, at least four new international or overseas funds have been launched. And, according to Securities and Exchange Board of India (Sebi), there are at least five draft offer documents for such funds with it. Year-to-date (February end) inflows into all categories of growth funds (equity and balanced funds) has been negative, according to the Association of Mutual Funds of India. But overseas equity funds saw net inflows of around 947 crore. Undoubtedly, investor interest has been captured.