Top 5 Mutual Funds for Long Term Investing

About this Video

• Video Title: Top 5 Mutual Funds for Long Term Investing
• Channel: Rajat Sharma - Sana Securities
• Speakers: Rajat Sharma
• Duration: 00:11:46

Introduction

This video provides Rajat Sharma's recommendations for five mutual funds suitable for long-term (5+ years) investing. The selection isn't based on past performance but on future outlook, current fund allocation, and expense ratios. He also discusses core vs. satellite portfolio strategies.

Key Takeaways

• Fund Selection Criteria: The speaker's fund selection is based on future outlook, current fund allocation, fund expense within its category, and the fund's current market position. Past performance is not the primary factor.
• Fund Expense Ratio: While important, expense ratio isn't the sole determinant. Actively managed top-performing funds often justify slightly higher expenses.
• Portfolio Strategy: The speaker suggests a core portfolio of the five recommended funds (covering large, mid, small, and value caps) and a satellite portfolio (20% allocation) for thematic investing (e.g., FMCG).
• Top 5 Fund Recommendations: Nippon India Large Cap Fund, Kotak India Equity Contra Fund, Invesco India Mid Cap Fund, Bandhan Small Cap Fund, and SBI Focused Equity Fund.
• Mid-Cap vs. Small-Cap: The speaker generally prefers mid-cap funds for long-term investing due to less volatility compared to small-cap funds, but acknowledges the potential for higher returns from small-cap during bull markets.