Postman News Latest News, Live Breaking News, Today News …
Related Articles
Maulesh : Dr. AAA, mutual fund is risky investment yar. My portfolio was positive Rs. 100000/- in last week but today it was negative by Rs. 50000/-
Dr. AAA : Maulesh, It is not risky. It is only volatile investment.
Maulesh : Both are same
Dr. AAA : No. There is a huge difference between volatility and risk. Let me explain by example.
If someone would have invested Rs. 100000/- in popular scheme of MF in January 2008, the value in March 2009 was Rs. 45479/- (-54.5% down)
Maulesh : OMG!!!
Dr. AAA : But do you know the value in November 2010 ?
Maulesh : May be Rs. 70000 or 80000…
Dr. AAA : No, it was Rs. 136687/- (200% up from March 2009)
Maulesh : OMG
Dr. AAA : not only that, the value in January 2015 was Rs. 212855/- (55.7% up from November 2010)
Maulesh : ok
Dr. AAA : But again in February 2016, it was Rs. 156398/- (-26.5% down from January 2015)
Maulesh : Oh no, again
Dr. AAA : And 18th May 2018 value was Rs. 252049/-
Maulesh : What a roller coaster ride!!!?
Dr. AAA : But despite the roller coaster ride, from Jan 2008 to May 2018, Rs. 100000/- has grown to Rs. 252049 (152.05%)
Maulesh : Right, Mutual fund is not risky but volatile. I can understand the difference now.👍
Dr. AAA : Understand one thing…Give time to grow your investment. Don’t jump in to conclusion looking 1 or 2 years return
Maulesh : Right.
