Do I need to make changes to my mutual fund portfolio?

I am investing in the following mutual funds:
Mirae Asset Tax Saver Fund: Rs 2,000
Axis Long Term Equity Fund: Rs 2,000
Mirae Asset Emerging Bluechip Fund: Rs 1,000
Mirae Asset Large Cap Fund: Rs 1,000
Mirae Asset Short Term Fund: Rs 2,000
SBI Banking & Financial Services Fund: Rs 500

Could you please review my portfolio and suggest changes if required?
--Mahesh Sinare

Subir Jha, Founder, Buckspeak, A Hyderabad based wealth management firm, responds:

Your mutual fund portfolio has a significant exposure to one particular fund house, which should be reduced. Overall, one should not have more than 25-30% exposure to a particular fund house. You may consider replacing Mirae Asset Large Cap Fund with ICICI Prudential Bluechip Fund. The change I am recommending is purely from a risk management perspective.


Also, don’t just look at the short-term performance (1-3 years) of equity mutual funds, but look for consistent performance across cycles.

This recommendation is based on incomplete information. I am assuming that you have got your risk profiling completed.