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Ramalingam Kalirajan1389 Answers  |Ask -

Mutual Funds, Financial Planning Expert - Answered on Apr 24, 2024

Asked on - Jun 06, 2023Hindi

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I am investing in these funds Nippon small cap direct growth 2000 sip Quant small cap direct growth 1000 sip Canara robeco small cap 1000 sip Tata small cap 500 sip Sbi small cap 1000 sip I am looking for long term investment for 25 years. Are these funds good? Pgim midcap fund 1000 sip
Ans: Your investment approach focusing on small-cap and mid-cap funds reflects an aggressive stance with a long-term horizon of 25 years. Small-cap and mid-cap funds have the potential for higher growth but also come with increased volatility.

Assessment:

Small-cap Funds:
Nippon, Quant, Canara Robeco, Tata, and SBI Small Cap Funds are all focused on the small-cap segment. While they have potential for growth, it's essential to be prepared for higher volatility associated with these funds.
Mid-cap Fund:
PGIM Midcap Fund provides exposure to the mid-cap segment, which can offer a balance between growth potential and risk compared to small-cap funds.
Recommendations:

Diversification:
Ensure your portfolio is diversified across market caps, sectors, and investment styles to manage risk effectively.
Monitor Performance:
Regularly review the performance of your funds and monitor their alignment with your financial goals and market conditions.
Consider Professional Advice:
Consulting with a Certified Financial Planner can help personalize your investment strategy, ensuring alignment with your long-term goals and risk tolerance.
Conclusion:

Your current funds are geared towards aggressive growth, aligning with your long-term investment horizon of 25 years. While they have potential for higher returns, be prepared for increased volatility, especially with small-cap funds.

Regular reviews and adjustments to your portfolio, along with a diversified approach, can help navigate market dynamics effectively. Embrace this long-term investment journey with patience and discipline, and may your investments thrive over the years towards achieving your financial aspirations.
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DISCLAIMER: The content of this post by the expert is the personal view of the rediffGURU. Investment in securities market are subject to market risks. Read all the related document carefully before investing. The securities quoted are for illustration only and are not recommendatory. Users are advised to pursue the information provided by the rediffGURU only as a source of information and as a point of reference and to rely on their own judgement when making a decision. RediffGURUS is an intermediary as per India's Information Technology Act.

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