Ask Value Research

High Returns, High Risks

HDFC Midcap Opportunities is a very good mid- & small-cap fund, but it can be extremely volatile...

I have started SIPs of Rs 1,000 in HDFC Midcap Opportunities. I want to invest for 9 to 10 years. Please advice.
- NR Singh

While HDFC Midcap Opportunities is an excellent mid- and small-cap fund, it is also a risky proposition. Such funds will do exceptionally well during a bull run, but they would also fall a lot more than the broader markets during a bear phase. Continue investing in it if you have the stomach for high volatility and won't get affected by an interim decline in the value of your investments. However, you can't invest in any market-related instrument and forget about it for 10 years. You should review your investments at least once a year.



This article was originally published on January 23, 2013.

Ask Value Research aks value research information

No question is too small. Share your queries on personal finance, mutual funds, or stocks and let us simplify things for you.


Other Categories

Informed fund ideas, better judgment. Every month. Mutual Fund Insight, every month since October 2002.

Take charge. Know more. Keep more. Mutual Fund Insight helps you do all three — every month