Sir

As the market is showing down trend so if any person want to invest Rs. 1.00 Lacs for 3-5 years in market then whether Mutual fund is better or investment in equity will be better.

If instead of mutual fund investment in equity of leader of sector is done i.e. SBI in Banking, NTPC in power, Bhel in Infrastructure, Airtel in Telecom then whether it is safe and good return assured ?

Whether this is right time to pick share of above compny or you feel much more correction in near future. On what level of market we should enter for long term investment in fundamentally strong company.

If you do not have the time and resources to track your investments, mutual funds are always the best option.

To me, the markets seem to be fairly valued at this point of time and I don't think any mutual fund would be able to give great returns in next six months. Usually people expect returns in 6-12 months and get impatient if they don't see their stocks or NAVs not moving up.

If you have a 3-5 year horizon, you should not worry when your investments go down 10% or so.

You can invest Rs 1 lac in five lots of Rs 20000 each, over the next five months. This would be a good hedge against the volatility in the market.

If you pick all large cap stocks, your returns would be similar to the returns of Nifty/Sensex.

If you don't want to look at smaller companies, it would be better to go for a blue chip mutual fund.

__________________
Read All Rules Before Making Any Post | E-Investing on Google+

thanks 4 this great advise