Magnum Contra, Reliance Diversified, Reliance Natural Resources are in my portfolio. Would investing in Reliance Infrastructure Fund be a good move?
The usual advice for the investors is to invest in an equity diversified mutual fund which can invest across all sectors. Magnum Contra is a fund on that level. Reliance Regular Savings or Reliance Growth would be a better option. And do not make a lumpsum investment.
To invest continuously in a fund house is very important because if you keep investing a small amount then the chances of incurring huge losses during a market crash are very less.
Therefore, a fund that has been around for a long time, and it has given good returns over a period of time consistently would be a better option. And Magnum Contra, Reliance Regular Savings and Reliance Growth are such funds.
I am a new investor; please enlighten me about SIP and some good funds. I intend to invest about Rs 15,000 for 7 years or so.
The systematic investment plan (SIP) is similar to a recurring deposit of a bank account. Amount is not a very big concern, but the time frame is more important. For the time period you have mentioned, it would be desirable to start with a balanced fund. Maybe after a year or two, you should switch to a pure equity-based fund. Invest in it on a monthly basis.