Banks, Pharma and IT sector consumes 40% of your invested capital. Performance of the MF depends on these 3 sectors.
Where Is the money invested?
What is the cost for 1 lac, by availing service of this Mutual Fund?
Even if the name is bluechip, this MF is parking 45% of your capital in bluechips.
Its accumulating some midcap (34%) & Small cap+ miscellaneous (18%)
The Asset Management company earns rs 147 Crore per annum fixed. No obligation towards performance. Means, even if they under-perform, they get rs 147cr to advertise “Mutual Fund Sahi Hain”; every year.
What are the top two holdings?
How did the MF perform in last 5 years against these two stocks?
Take any time frame, Mirae BlueChip has under performed HDFCBANk or Icici Bank.
Does this mirae bluechip emerging fund beat its benchmark?
YES, This MF is beating Nifty index ! And thus receives 5 star rating by outperforming the blue chip market (nifty)
Do notice, the mid cap and small caps it hold. They are taking extra risk to beat nifty. And being successful
should one buy this Mutual fund?
YES. Most of us are not sophisticated enough to keep track of top holdings or , switch stocks in direct equity.
This Mutual Fund portfolio is what you want to hold when india grows towards 5 trillion dollar economy.
Can i beat this MF on my own?
Go with top 4–5 holdings. Accumulate those stocks in your own direct equity- demat account. ( A bank account is for holding cash, A demat account is for holding electronic assets)
- A mutual fund is a long only startegy
- A mutual fund needs minimum 10 stocks. They cannot put more than 10% of the money they manage,in one stock.
- Expense ratio of 1.75 % (1750 upon 1 lac) can pay your half years mobile recharge.
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