I am 26 and work with an MNC. I have invested Rs 10,000 each in SBI Magnum Multicap, Aditya Birla Sun Life Frontline Equity, Aditya Birla Sun Life Top 100 and HDFC Balanced Fund. Are these good funds to stay invested in?
Ramesh Shankar, Mumbai
The fund selection is good as all of them are funds with a good performance track record. However, you could consider reducing the number of your fund holdings from four funds to two from this list. This will give you a diversification across style, sector and market capitalisation. Stay invested with a goal and time frame in mind to stay invested in these funds and review its performance at least once a year to decide on continuing investing or making any change to fund selection.