Can I continue with DSP Credit Risk Fund?

I had invested Rs 4 lakh in DSP Credit Risk Fund in June 2018. The scheme is giving negative returns since the last eight months. In June, its NAV fell by 2 per cent due to DHFL crisis. So my question is should I continue with the scheme or invest in any other mutual funds?
--Bunty Mittal

Veena Malgonkar, certified financial planner, KM Wealth Solutions, responds:

Normally, there is not much difference in the performance of debt schemes. However, the recent defaults of IL&FS, DHFL, and Reliance ADAG group had adversely impacted the schemes with exposure in these papers. We went through a similar phase in 2016, with default of Jindal Steel & Power. I would ask you to invest in schemes that specialise in managing debt like Franklin India Credit Risk Fund (for an aggressive investor), or ICICI Prudential, HDFC, Kotak and, IDFC Credit Risk Fund (for the most conservative investor). You must look at the portfolio of the scheme to ensure that the portfolio is well diversified.