Ask ET Mutual Funds: Should I exit ICICI Prudential Long Term Plan?
If you have any mutual fund queries, message ET Mutual Funds on Facebook . We will get it answered by our panel of experts.
BCCL
I have invested in ICICI Prudential Long Term Plan in January 2017. Should I exit it now, given the drop in its NAV after Feb 8 policy review ? – Srikanth Uppuluri
Vivekh Pathak, Founder, FiannceandYou, responds:
Although the fund did exceedingly well in pre-demonetisation era, it has become one of the big losers after that. Choose the right category of debt funds based on how long you wish to stay invested, and stick to it. Higher returns in debt funds do not necessarily mean stability or low volatility. Choose according to your time horizon and risk appetite.
Going forward, consider holding short-term debt and income funds. If you want to avoid volatility, either exit dynamic bond fund(s), or in case you wish to stay invested, use the SIP way. However, expect the returns to match with income fund in a few years going forward.
(If you have any mutual fund queries, message ET Mutual Funds on Facebook . We will get it answered by our panel of experts.)
Vivekh Pathak, Founder, FiannceandYou, responds:
Although the fund did exceedingly well in pre-demonetisation era, it has become one of the big losers after that. Choose the right category of debt funds based on how long you wish to stay invested, and stick to it. Higher returns in debt funds do not necessarily mean stability or low volatility. Choose according to your time horizon and risk appetite.
Going forward, consider holding short-term debt and income funds. If you want to avoid volatility, either exit dynamic bond fund(s), or in case you wish to stay invested, use the SIP way. However, expect the returns to match with income fund in a few years going forward.
(If you have any mutual fund queries, message ET Mutual Funds on Facebook . We will get it answered by our panel of experts.)
ADVERTISEMENT
Download
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
Download
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
Related Articles
GIFT City investment: Here’s how resident Indians can invest in global stocks, ETFs, and mutual funds2026-06-12T07:32:30Z- NFO Alert: ICICI Prudential Mutual Fund launches Nifty Smallcap 250 ETF2026-06-11T09:37:49Z
- Good news for Indian mutual fund investors: SpaceX could join Nasdaq 100 after 15 trading days2026-06-11T09:22:11Z
ADVERTISEMENT
