Investor’s 10 mutual funds held same 8 stocks, lost Rs 2 lakh in returns due to duplication; see how
When a Tax Buddy client thought more mutual funds meant better diversification, the results told a different story. A review revealed that 65% of his Rs 10 lakh portfolio was invested in the same eight stocks across multiple schemes. The overlap cost him Rs 2 lakh in potential returns over five years, exposing the hidden danger of over-diversification.
When a Tax Buddy client thought more mutual funds meant better diversification, the results told a different story. A review revealed that 65% of his Rs 10 lakh portfolio was invested in the same eight stocks across multiple schemes. The overlap cost him Rs 2 lakh in potential returns over five years, exposing the hidden danger of over-diversification.
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