It was good suggestion to shift your funds from LIC policy to LIC Large and midcap fund. The said fund has provided about 16% return during last 3 years.
Now WE suggest you should shift to Large cap scheme which can give better returns during next one year.
Just like we donot rotation of funds in stock market, similary rotation of MF is also advisable and advise of your friend is correct.
Sorry for this delay this time. Hence for we will quickly attend your questions.
Once again, Thanks for using our Q&A section.

It appears that you wish to earn higher returns compared to the interest on Bank FDs. You wish to invest Rs.10000 pm as SIP and Rs. 5 L Lum sum amount.

We recommend investing as SIP in Parag Parikh flexicap and HDFC Focus 30 schemes.
Rs. 5 lacs be invested equally in the large cap schemes of Nippon India MF, DSP top 100, HDFC Large cap and ICICI Large cap schemes. We anticipate large cap shares to outperform the market in the coming months and above are the best performing large cap schemes.

Thanks for your question to Sahifund.com Because we provide you proper guidance, please suggest your objective (whether it is for long term investment or short-term investment) If we can get some information about your existing portfolio, we can give you better guidance.

Edelweiss Business cycle fund is a thematic fund and during first 6 months, it has given negative return of 9.84%. If we compare that same with BSE 500 index, the benchmark index has given negative return of only 2.26%. This clearly suggest disappointing performance.
It has invested about 99.32 % of the corpus in Equity shares, however its portfolio does not offer confidence. The scrips selected and invested by this fund are not expected to give strong returns in the near future. The investment in Samvardhana Motherson, Persistent systems, Divis lab etc. may not fetch adequate returns. Hence, we suggest you shift your investment to some other better performing scheme ( e.g. HDFC Focus 30 or HDFC Flexi cap fund etc.)

Thanks for your question. SBI Energy fund has given negative return of 2.51% during last one year. However, it is necessary to evaluate the performance of this fund Vs. the performance of its benchmark index. The benchmark index has posed negative return of 5.41% during last one year and according to the performance of scheme is not bad.
The fund has invested about 96% of the corpus in the Equity shares out of which 42.82% amount is invested in Midcap and small cap stocks. It also suggests safe and conservative approach of the fund manager.

However, the Energy sector does not give confidence and instead of investing in this sector, we suggest shifting your investment in Banking fund or healthcare fund. Banking fund is expected to give better returns in the next 2/3 quarters.

Thanks for participating in Q&A section of Sahifund.com. After evaluating various funds, we suggest Tata Small cap fund. This scheme has given impressive returns during different time frame such as one year, 3 years, five years etc. The scheme has invested higher amount of AUM in Midcal and small cap funds.
Nippon Small cap fund is also performing good.

Thanks for your interest in Sahifund.com.
We suggest ICICI Pru. Value discovery fund, which has provided 20.33% pa during last 3 years.
The fund has invested in 67 scrips most of them are giant and large cap stocks. The investment strategy is bent towards giant and large cap sector.
The fund is overweight on Financial sector, Energy and utilities, healthcare and technology sector stocks.

In stead of the fund you have shortlisted, WE would suggest DSP Nifty Next 50 Index fund. Compared to Nifty, the return from Nifty Next 50 is expected to much higher and the performance of DSP Nifty Next 50 Index fund has been impressive. So, you may go for the same.

WE publish our guidance on the NFO page itself. As you know, we believe that Defence theme may not be attractive any more. The traders in the stock market are always searching for new themes every 2 years. More over most of the stocks in defence sector have reached too high valuations and there is not much room for these shares to go up sharply. So this NFO is not suggested.

Bank of India Business Cycle fund is a thematic fund and it may not provide best returns all the time. Even if you scrutinize 2 months track record, it is not so impressive. So more investment (eg Rs. 40 lacs) in such theme is not recommended.