Still not let me share with you some view about how you can add funds to your portfolio…First of all you have to decide whether you want to be in large cap, mid cap or small cap. If you want to be with giant and somewhat risk averse in equity than large cap will be a best option for you. At the same time if you want to take high risk in equity market and looking for super normal returns over a period of time with some multi bagger scripts than Small cap or mid cap will be a good option for you.
Let me tell you one more thing that in a present market condition fund manager and their investment style will play a big role in your portfolio make over. Nowadays you will found many funds setting on huge cash level, near about 20% to 35% or even more, irrespective of any market cap fund that can affect your portfolio returns.
If a fund you have invested with a view to get super normal returns in small cap or mid cap fund and the same fund is setting on high level of cash than you probably dissatisfy with the performance of the fund.
So, as per your risk appetite, time horizon and level of aggressiveness to chase returns in equity market you should go for a scheme where your investment objective correlates the fund manager present and future investment pattern.
Mind well if you are of view to go with a very aggressive and fully invested fund than at the time of market raising you will gain a lot but at the time of market fall your fund will also fall with the same magnitude if the fund is fully invested in to equity and have very aggressive stock picks in his portfolio (high beta stocks).
Remember every coin has two sides.
Happy investing.
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