Should I change any scheme in my mutual fund portfolio?

I have been investing Rs 5,000 per month in each of the following funds via SIP for the past one year.
L&T Midcap Fund
L&T India Large Cap Fund
HDFC Top 100 Fund
IDFC Focused Equity Fund
Franklin India Smaller Companies Fund

My investment horizon is 25 years. I am not sure whether I am investing in the right mutual funds. Should I change any scheme in my portfolio?
–Rohil Chaddha

Deepali Sen, Founder, Srujan Financial Advisors, responds:

Your exposure to mid cap and small cap is on the higher side, around 40 per cent. You should try to limit your exposure to around 20 per cent of your equity portfolio.

For mid cap, you may consider Axis Midcap Fund, HDFC Mid-Cap Opportunities Fund, and Franklin India Prima Fund.

For small cap, you may invest in Axis Small Cap Fund, HDFC Small Cap Fund, and SBI Small Cap Fund.

You can avoid L&T India Large Cap Fund and IDFC Focused Equity Fund. You can diversify the large cap exposure across ICICI Prudential Bluechip Fund, Aditya Birla Sun Life Frontline Equity Fund, and SBI Bluechip Fund. And, in the multi cap space, you may consider investing in Aditya Birla Sun Life Equity Fund, SBI Focused Equity Fund and ICICI Prudential Multicap Fund


READ  RBI will not let any co-operative bank to collapse, says Shaktikanta Das


Please enter your comment!
Please enter your name here