Category: Mutual Funds Review

Till now we have been only recommending HDFC Funds – Equity and Top 200. However, last month we recommended investors to invest in the NFO of Reliance Long Term Equity Fund. Our research team has carefully analysed Reliance Growth fund managed by Sunil Singhania and we recommend SIP investors to invest in the same.

Reliance Growth fund is a pure equity fund which mainly invests in Large Cap and Mid Cap stocks. If you have seen the presentation of Singhania, you will be convinced that he is in lookout for a sunrise sector and emerging companies of the same. These companies will always give higher percentage of returns.

Here is a quick look at historical performance of Reliance Growth Fund. Since inception, it has yielded a compounded return of 33.7% for NFO investors and 40.20% for SIP investors. Your investment of Rs 1,33,000 over a period of 11 years is today worth, Rs 14,75,756 🙂 Kindly take a look at the attached excerpt from the latest factsheet.

Reliance Long Term Equity fund will be managed by Sr. Fund Manager at Reliance Mutual Fund, Mr. Sunil Singhania.

Sunil Singhania has a fantastic track record with Reliance Growth Fund and his Reliance growth Fund is also recognized by Lippers for outstanding performance.

Here are two Podcast presentations by Sunil Singhania on Reliance Long Term Equity Fund – focusing on Smallcap and Midcap stocks.

Podcast Presentation – 1 by Sunil Singhana for Reliance Long Term Equity Fund.
Podcast Presentation – 2 by Sunil Singhana for Reliance Long Term Equity Fund.

Investors can subscribe to the issue as the fund manager is upbeat about the prospects of smallcap and midcap companies in India. He says this is a chance to get into the next sunrise sector and the next Infosys.

Tags: Indian Mutual Fund, Reliance Mutual Fund, Emerging Markets , Podcast Money, Podcast India, Financial Podcast

Reliance is coming with a new fund offering of Reliance Long Term Equity Fund – Closed ended for 36 months and then opens for regular sale and re-purchase. The focus of Reliance Long Term Equity Fund is to invest in Midcaps and Smallcaps of the BSE-Midcap and Smallcap indices to generate wealth. According to Lippers, Reliance is one of the top performing fund houses in the world, DalalStreet.Biz recommends a Invest.

Various Reliance Mutual Fund Schemes and Objectives:

Reliance Vision Fund – Large Caps

Reliance Growth Fund – Mid Caps and Large Caps

Reliance Equity Opportunities Fund – No Bias on any Cap or Sector

Reliance Equity Fund – Top 100 stocks by Market Capitalization and those present in the F&O Segment

Reliance Long Term Equity Fund – Small and Mid Cap Stocks [NFO, Subscribe]

Global Mutual Fund Rating agency, Lippers have rated Reliance Growth and Reliance Vision fund amongst the top 20 funds for record performance in the past 5 years in the world.

Lipper data suggests, Reliance Growth Fund has given compounded returns of 71.39 per cent per annum, while Reliance Vision Fund has given return of 68.16 per cent over the past five years.

However, none of the HDFC funds figured in the list. If you want to invest in Mutual funds, then take the SIP route.

Good news, this diwali we have a new fund offering from Franklin Templeton India – Franklin Templeton Capital Safety Fund. This is India’s first capital protected scheme and the fund targets capital preservation according to the new guidelines on capital protection by SEBI.

The fund aims to protect capital by investing in high quality equity and provides safety of capital through debt investments. This fund has AAA (so) rating from Crisil indicating the highest degree of certainty on timely repayment of the units at face value.

Templeton Capital Safety Fund Offer Details : The new fund offer opens on October 31 and closes on November 30. The close-ended fund offers two plans 3 and 5 year plans with Growth and Annual Dividend Plans. Minimum investment for the fund is Rs 10,000.
The fund will invest 70 per cent in debt at any given time in AAA or higher quality paper to protect the capital with the rest being in equity. Compared to HDFC MIP funds which invest around 80% in debt and 20% in equity this has higher returns potential.

Mr Kudva said, “The fund is planning to get listed on the NSE to provide enhanced liquidity as according to SEBI guidelines, these funds cannot be repurchased,”

Please read the offer document and prospectus before investing.

I have been regularly updating the status of HDFC SIP Investments every quarter.

The markets were at a peak in March and bottomed out in June and are once again at the highest peak in the Indian history of stockmarkets now. I really hope you folks will stick to discplined SIP investments like I do 🙂

Here is an update of various HDFC Mutual Fund schemes at the end of Q3-2006.(Sept-2006)
SIP has always outperfored lumpsum investments. Check out for the performance of the following funds which I have been updating since last 6 months.

• HDFC Equity Fund Growth
• HDFC Top 200 Fund Growth
• HDFC Long Term Advantage Fund Growth
• HDFC TaxSaver Fund Growth

Report on the performance of the above four funds at end of Q1 and Q2 are made available.
Q1-2006 report is available here.
Q2-2006 report is available here.

Happy Investing!!! Questions and comments can be sent to ichetan AT GMAIL DOT COM