Anyone holding L&T Emerging Business Fund?

[lakelandlass]

I have been watching L&T Emerging Business fund for quite sometime. Of all the the small cap funds, this seems to be doing really bad. People who have invested in this fund, what is your take now on this find now?

 

[canxietluc123]

@lakelandlass Main mc hoon jo isme aaya.

Entered in April 2018, 39% down as of today.

 

[den12]

@canxietluc123 Come let's ride this shit train together

 

[profmaliki]

@lakelandlass The major value proposition behind investing in any L&T fund was it's star fund manager. He quit last year. Holding on to such funds make sense only if the replacement is good if not better, and even then, the new fund manager needs time to work out his strategy.

 

[lakelandlass]

@profmaliki Soumendranath Lahiri? I agree with that.

BTW, given the market situation, I’ve been thinking lately about stopping the SIP for this fund and decide whether to sell them or resume SIP once the fund goes green. Thoughts?

 

[profmaliki]

@lakelandlass

resume SIP once the fund goes green

If the prospective returns are low, better to shift to a different fund.

 

[matthewpegler]

@lakelandlass I hold this fund. I don't know why the companies they hold are doing bad. All the companies they hold have a good potential to come back stronger. Their major sector is pharma which is expected to perform well this time during crisis. I would hold on to investment as of now. All funds are about 30% down. If you don't like this fund for some reason, buy some other fund. I advise against exiting this fund right now

 

[lakelandlass]

@matthewpegler So you are suggesting to stop the sip and hold till it turns green or continue SIP? And yep, the reason why I’m still holding onto this fund is because of the same Pharma sector being the major part of the portfolio like you said.

 

[matthewpegler]

@lakelandlass Continuing SIP or stopping SIP is your choice. If you're stopping SIP, you can put the same money in some other fund. Withdrawing money from this fund right now would be stupid. I won't be surprised if this fund becomes a top performer next year. At the same time, there can be other funds who may do well.

 

[bibleexploreriii]

@lakelandlass I had invested some 36,000/- rupees through SIP it's now down to 20,000/- .

I have investment in

axis long term equity fund,
DSP small cap fund
Icici value discovery fund
L&t midcap fund
Nippon india small cap fund
Sbi blue chip fund
Sbi small cap fund

All are negative. My direct investments are way more solid. Compared to this SIPs. I guess nobody can earn a dime for you. You have to earn it for yourself.

 

[imageboy]

@bibleexploreriii Wow. Why do you have such a high small and mid cap bias?

 

[bibleexploreriii]

@imageboy I have stopped my SIP in L&T emerging business fund and Nippon india small cap fund long time back.

The only running small and midcap funds are DSP small cap fund, L&T midcap fund and SBI small cap fund.

I just got greedy. When I started this SIPs small and midcap were doing wonders 2/3 years back. Hence, I had extensively looked into selecting my schemes and started investing in small cap funds aggresively. But since then it's cracking like hell.

I have some investments in direct stocks and mostly in large caps. Those large cap stocks are still in green even after markets fell so much. I think from now on I will just avoid small and mid cap companies and invest in more robust, well known and good growth prospects company.

 

[dean91]

@imageboy I could give a hypothesis by my own personal mistakes. People who start investing assume that small and mid-cap means companies that will grow and Blue chip/large-cap have already grown so won't give much returns. Luckily i invested very small amounts hence don't mind the -30% losses.

 

[reo]

@lakelandlass All the small cap funds are taking a beating. I am invested in Franklin's but see nothing but red for a foreseeable future

 

[marialavender]

@lakelandlass I had about ~100k invested in this one, booked 30% loss few weeks back & withdrew before shit hit the fan. This mf was no going to recover for next 5 years atleast

 

[unshakeablefaith]

@marialavender Here, mf = mutual funds?

 

[marialavender]

@unshakeablefaith Yes

 

[imageboy]

@marialavender Other meaning works too

 

[spedteach]

@lakelandlass Just a thought. Shouldn't we check if this fund has out performed nifty/bse small cap indices ? Disclosure: Also invested in this fund.

 

[gash]

@lakelandlass Exited after holding for 3.5 years at a loss of about 12%.