Mutual Fund Returns

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I agree with basantji that  mutual funds are bull market creatures. Most of the  funds don't perform even during bull markets. So the remaining very few became popular.

If you look at the portfolio, you will see the fund houses have different funds in the same category with different names. But the underlying stocks are more or less the same. Take two of the well knows funds. HDFC Equity and HDFC Top 200. One is supposed to be a multi cap and the other one large and mid. But the top holdings are almost the same. even the weightage. Other thing I noticed is that SBI is the top holding in most of the HDFC funds. Equity/top 200/prudence/tax saver etc.  Perhaps thers some sebi guideline that a group company (HDFC Bank) cant be held by the fund house? :-)

Originally posted by manish962

Originally posted by rapidriser

To my above post I would like to add that I think Prashant Jain is one of the best MF managers in business and I have a lot of respect for his views, but the stark difference between his fund's performance since inception and last 5 years immediately reminded me of my friend's remarks.

He is loaded with portfolio of 25,000+ crores. How is he going to outperform with such a huge portfolio? No doube he is one of the best MF manager but ever since the portfolo size zoomed, he is not able to perform.