Digging too deep into fund portfolios

When mutual fund investors choose funds, is evaluating their underlying portfolios the right way to go? Consider this email I received from an investor a few days ago. He is commenting on a number of AMCs subscribing to the recent IPO of Adlabs. He is sure, on his judgement, that when the one-month lock-in of these AMCs is done, the price will be lower than the issue price. Therefore, he asks, "Basically it is a waste of hard-earned money of small investors like me. Who is responsible for this loss? Can we initiate some action against these AMCs that on what basis did they subscribe to such an IPO?" Suggested read: Learning from others There are a lot of things that are wrong with this approach to investing, not the least of which is the laughable notion that one month is an appropriate period on which to judge equity investments. However, there is a deeper problem here. This person assumes that the mutual fund investors should evaluate the portfolios of the funds they invest in, and 'initiate action' if any one of the stocks in that portfolio makes a loss over any period selected by the investor. It's clear that th