Just a FYI -

Reliance Growth fund has been around 25 bagger in last 10 years. I doubt how many people's portfolio could beat this record. (In the peak of Jan 2008, it was about 35+  bagger).

It is amazing for a mutual fund that invest in 25+ stocks to increase its NAV 25+ times. Just a blind investment in the fund in Jan 1999 with no analysis, paralysis of stocks, EPS, ROE, ROCE, blah, blah, blah, would have given someone 25+ times returns after 10 years.

Ofcourse the main reason for the above performance was the small fund size and so those guys could go and buy all those beaten down smallcaps/midcaps post the dot com bubble.

Now the fund size is around 4000+ crores so it is now a Sensex performer.

One or two quarters performance is not enough to praise or damn a company or fund manager.And both these guys have done well in the past.


Edited by Hitesh Shah - 25/Aug/2009 at 10:37pm

One more quote from Kela on CNBC:
Source

In my opinion, in the short-term there could be a buying frenzy, I would like to call it a buying panic rather. Now people are waiting for this correction to happen and now I see people are giving up hope for the correction. So if you see the recent subscription of so many of these new fund offers (NFOs) and qualified institutional placements (QIPs) and the secondary sale, the ease at which it is happening and after sale of all this where investors are not making money, it is clearly showing signs of desperation just to put money because you can never be fired for being 100% invested but you can always be punished for being 20% in cash. So I think that psyche that we have to just put the money is coming in the markets.

Edited by Hitesh Shah - 08/Oct/2009 at 3:48pm

yes , sebi should make it mandatory for the fund manager or his immediate fly to have X amount in the fund he manages. my personal opinion