New Delhi: The current market it not a bear market but one has to just bear with it for better times to return — read for the bulls to be back — said titans of the mutual fund industry and personal investment space at the TV9 What India Thinks Today Global Summit 2025 even as they said for the first time investor who doesn’t want to visit any MF distributor or adviser, choosing a multi-asset fund to flag off their journey would be just fine.
The advice came from a panel that consisted of Nilesh Shah, MD, Kotak Mahindra Asset management Company, Deepak Shenoy, founder & CE, Capitalmind and Dhirendra Kumar, founder & CEO, Value Research were the speakers in the session title “Bears and Bull: SIP the volatility?”.
Ideally, one should consult a mutual fund distributor or an investment strategist, said Nilesh Shah. “Go to an adviser or MF distributor. Share our risk profile and investment goal and ask for prescription and then follow it diligently,” said the Kotak Mahindra AMC boss. “But if you don’t want to go to any adviser and share your financial goals, please put your money in multi asset allocation funds. Invest in this category,” asserted the mutual fund veteran.
New investors can consider these funds
Dhirendra Kumar offered an uncluttered approach for beginners. “five-six types of funds can fulfil the needs of most investors and do it well and comprehensibly. Simplicity is the ultimate sophistication. For most long term investors in equity one or two multi cap funds will suffice,” he said. His other recommendations:
Someone who is beginning too invest in his/her forties: A multi asset fund is fine for 10 years
If you have money for a couple of months: Go for ultra-short term bond funds
If you have money for a few days: Consider a liquid fund
If you are a first time conservative investor: Start with aggressive hybrid or multi-asset fund
“These four types of funds will help you with all your life’s financial goals. You can forget the rest,” asserted Dhirendra Kumar. Index funds have become extremely popular in recent years. On these funds Kumar said, “It is a substitute for multi-cap funds.”
All the panelists were unanimous that one should not open an investment app every day and stare at the market and NAVs. Prices will go up and down every day but the point is to sit back and give time to the fund managers. “They are not magicians,” was the assertion from all three experts.
Threshold of a multi-year bull run
Despite the sharp correction in the Indian stock market from the peak levels in September 2024, the market was never in the grip of bears, agreed all the three panelists. “I don’t think we are in the bear market,” said Nilesh Shah. Resorting to a cricket analogy, he said the current market is taking fresh guard and the market never moves in one direction. Every time it moves up, it takes fresh guard at a lower level. That we are not in a bear market was also the opinion of Deepak Shenoy. Just “bear” with the market, he quipped.
A keen observe of the financial and mutual fund market for well over three decades, Dhirendra Kumar emphasised that investment is no game and important financial goals of many people are dependent on it. So people have every right to feel concerned about whether to sell out or continue. But his emphatic advice, “We are on the threshold of a multi-year bull run.” “FII massive outflow was counterbalanced by domestic investors. Remember 58% market went down when FIIs exited in 2008,” Kumar added.
When to invest?
There is a golden rule in personal finance. “When you have money to save, please invest. If you have to use money now, please take it out,” said Shenoy. If there are expenditure needs in the short-term, don’t try your luck in the market, and take out money, was his advice. Kumar said many people get an annual bonus or ancestral inheritance. In which asset class can they put their money? For any category on investment, the next five years is going to be positive, said Kumar. “When I get annual bonus, I spread it over the next three months,” said the veteran investment analyst.
“Is the worst over?” To this question of the anchor, Shah parried a direct reply and said “Never say never, anything can happen.” Again switching to a cricket analogy, Shah remarked that with a bowler like Donald Trump one can never be sure of the type of ball he is going to pitch at you. Moreover, there are other uncertainties at work. His advice: “Be like Sachin Tendulkar and stay on the pitch and you will score a lot of runs. Don’t try to hit every ball for a six.” It never happens in the world of investment.
(Disclaimer: This article is only meant to provide information. News9 does not recommend buying or selling shares or subscriptions of any IPO, Mutual Funds, precious metals and crypto assets.)
If you are investing in mutual funds, you should not open your app in the first three-four years other than to make investments. A steady approach to investing will fetch you returns, said stars of the mutual fund industry and personal investment space on the platform of WITT 2025. Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
