Ask ET Mutual Funds: Please suggest some NFOs to invest

I want to invest in good New Fund Offers (NFOs) with a long-term horizon. Please suggest some scheme. I need a complete list of NFOs in the market. Please suggest where can I get a list.

--Vivek Kedia

Investing in New Fund Offers of mutual funds is not a great investment strategy. It is always better to invest in a mutual fund scheme with a long-term performance record than a newbie which is yet to prove its mettle. Mutual fund houses are forced to launch new products to complete their offerings, but that doesn't mean that you must buy them. Do not fall for the age-old marketing gimmick that a scheme with an NAV of Rs 10 is better than a scheme with a higher NAV. The NAV is the total value of assets minus liabilities per unit. It shouldn't be confused with the price of a stock, which reflects its fundamentals plus market expectations. You should invest in an NFO only if it is offering something that is not available in the market.

(If you have any mutual fund queries, message ET Mutual Funds on Facebook. We will get it answered by our panel of experts. )