NFO: Reliance Close-Ended Equity Fund
Smart Savers Team | 30 October 2012
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The returns you get from close-ended equity schemes depend a lot on when you invest and when you exit, even over long periods. A lot also depends on the valuation of the market when you invest in the scheme and the market scenario at the maturity of the scheme. Your returns could vary considerably depending on these factors. The equity diversified scheme from Reliance Mutual Fund—Reliance Close-Ended Equity Fund—will invest in stocks from sectors and industries of all market capitalization. There would be two separate series; one would have a term of five years and the other would have a term of 10 years.
Investing in equities over a five-year period and 10-year period is a good strategy. The returns tend to be less volatile over such periods. Yet, how good your returns are, depend a lot on the timing of you investment even over long periods.
Moneylife analysed the returns of the Sensex over five year and 10-year periods. According to the study it was seen that even over a 10-year period there was a chance of getting negative returns. This being a close-ended scheme, there is no option to invest systematically which is the ideal way to invest in equities. Therefore, before investing one would have to take a long term view of where the market is headed and this is something which many experts can’t predict accurately. Therefore, what investors need is systematic investment plan (SIP) which not only encourages regular investments but tells you how much to invest depending on the current level of the market. To know more about the new fund offer click here.
Dear Investor,
In case of any grievance / complaint :
In case of any grievance / complaint :
- Please contact Compliance Officer Pankaj Raheja at [email protected] and Phone No. - 91-22-35131664.
- You may also approach CEO Debashis Basu at email- id [email protected] and Phone No. - 91-22-35131664.
