a portfolio or a plan is better than merely selecting an equity fund?
A portfolio is better aligned to a holistic planning approach rather than a single fund
Why # 1
A single mutual fund simply can’t achieve needs for both long -term and short-term goals efficiently.
Exposure across sectors within equity
Having at least one large-cap and one multi-cap equity fund in your portfolio ensures exposure to growth opportunities from all angles.
Why # 2
Why # 3
Hedging your investments across funds and AMCs
You need to spread out your investments reasonably across funds and asset management companies, so you are not over-dependent on any 1 fund.
Why # 4
Funds can become misaligned with your investment objectives
Few funds have remained consistent outperformers over a multiple decades. You will often need to shift to a fund that is more aligned with your plans and objectives.
So choose a portfolio of funds and not just a mutual fund!