I have been investing in mutual funds for the past one year and plan to continue investing for the next 10. I currently invest in Fidelity Equity which I wish to replace with UTI Opportunities or DSPBR Top 100 Equity. Could you help select one of the two funds?
The two funds that you have selected fall into different equity categories. So you need to give careful thought as to what kind of a fund you are looking for. Since your investment tenure is long, you could look at an ‘Equity: Large & Mid Cap’ fund. Since the exposure to mid caps will be higher than with a pure large-cap fund, the risk would also be higher. However, the long time frame gives you that leeway to tide the volatility with the potential for better returns. Stick to a long tenure when investing in equity and do so systematically. You should also make it a practice to periodically check the performance of your funds to make changes where necessary.