4 min read.Updated: 03 Nov 2019, 06:21 PM ISTNeil Borate
Underperformance shouldn’t be always seen with pessimism
A fund that is down 20% can easily gain 20% or lose another 20% going forward
One of the most important money decisions to take is to weed out underperforming funds. It involves admitting to yourself that your original selection may have been poor. If you have a financial adviser, it might be equally difficult for her to make this admission. Alternatively, what was earlier a high performer may have gone off track subsequently. Another question to ask is, how long should a fund underperform in order to be placed in the exit list? Neil Borate asks experts how one can identify underperformers.