InvestorQ : Can mutual fund portfolio help to buy the stocks in the Indian market?
Dhwani Mehta made post

Can mutual fund portfolio help to buy the stocks in the Indian market?

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Dia Deshpande answered.
3 months ago
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It is a smart strategy provided you understand your goals, financial profile, and risk appetite. When trying to duplicate portfolios of mutual funds, it is better to choose ones that have a fund manager at the helm with consistent historical returns. Further, you should also choose a mutual fund category that aligns with your financial goal and risk appetite.

You need to be careful though, of the price at which you buy the stock. Mutual fund fact sheets are not reported in real-time. You may not be able to ascertain the price at which the fund manager has bought or sold a stock. With funds, the price at which they buy also makes a difference in their overall strategy. And many times, a high beta stock is added to the fund’s portfolio as part of a fund’s strategy.

On an individual level, you may not be comfortable with owning such a stock. Therefore, while choosing the stocks you want to own, be sure to do your own research on the stocks from the fund portfolio to determine whether they align with your financial goals.
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