Ask Value Research

Should I stop investing in a fund that underperforms its benchmark for more than 1 year?

"It depends on the fund manager's history and experience," says Dhirendra Kumar

Transcript: It depends on the history of the fund manager and how experienced she/he is. If a fund manager, with 20 years experience, has generally been right in his decisions and recently his strategies have not worked and the funds have not been performing, then one should give more time. However, if a fund manager with lesser experience, do well in one market cycle struggle in the another cycle, then it is better to stop investment in such funds.

This article was originally published on June 05, 2017.


Other Categories