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Good strategy for all customers.
Dear Dhiraj, Thank you for your feedback. On the 2 points you have raised 1) Firstly on the fund returns, just wanted to highlight that the current strategy has been introduced recently and past returns of the fund does not reflect the current strategy. 2) I do agree on long term basis that industry should focus on alpha generation through stock selection. This fund is for a conservative investor who is worried of near term volatility in the market. This fund is not as a replacement for diversified equity or balanced funds but a stepping stone for customers who are migrating from conservative investments such as fixed income to equities.
A good sales pitch but: 1. If we look at the performance of this 5 year old fund, its unable to beat even the buy and hold balanced fund of yours. 2. Even after the recent deep correction, most equity funds of yours hv done much better than this fund. The industry should focus more on Alpha due to better scrip selection, than timing the markets through PE/PB ratio models. This is what Warren Buffett does.