Should I continue with SBI Midcap Fund?

I am a 23-year-old student. I am doing CA. I invest mainly from my stipend and have been investing in the following schemes:
HDFC Equity Fund – Rs 1,000 (last 1.5 years)
SBI Magnum Midcap Fund - Rs 1,000 (last 9 months)
ABSL Equity Advantage Fund - Rs 1,000 ( last 9 months)
Tata Multicap Fund - Rs 2,000 (1 month)
These are all direct plans. I have invested for a long term (minimum seven years) and have a moderate high risk appetite. Are these schemes good for me? I have a doubt for SBI Midcap. Should I stop my investment in it or continue? Please suggest. My goal is wealth creation and to increase the amount as soon as I get the job. Should I continue or change the portfolio?
--Vatan Goel

Since you have a long-term investment horizon and a moderate risk appetite, you should invest mostly in multicap schemes. You may also invest a part of your corpus in largecap schemes if you want to diversify your portfolio and reduce the overall risk in your portfolio. You are currently investing in a multicap scheme, a midcap scheme, a large & midcap scheme, and a multicap scheme.

Your scheme selection is problematic. You have chosen HDFC Equity Fund, an iconic scheme, that has been inconsistent for some time. Even SBI Magnum Midcap is not a great performer in the category. Also, you have chosen a multicap scheme that was launched hardly a month ago. You have also not given proper thought to your risk profile while putting together a mutual fund portfolio.


We believe you are not very clear about the concepts regarding investing in mutual funds. You should seek the help of a seasoned mutual fund advisor in your locality.