Most Authentic Website For Mutual Fund Research

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Most people don’t invest in Mutual Funds merely because they are confused between so many funds that are there in the market and they can never decide which one is the best for them. After reading this article you will get a fair idea about how you should begin your mutual fund research.

Who you should not ask for advice on mutual fund investment?

  1. Your Bank’s Relationship Manager
  2. Your stock brokers
  3. Free advise given online on websites like Quora
  4. Policy sales agents

Why you should not ask others about where to invest?

Mutual Fund companies give monetary benefit to the people who promote their fund. This benefit could be in the form of commission or in any other form. So, when you ask others, it is possible that they suggest you only the funds that would benefit them more. This way you might end up investing your hard earned money in a wrong fund.

Can we ask our friends or relatives?

It is always good that you compare funds yourself. When you ask your friend or relative, It is possible that they suggest the same Fund that was suggested to them by some broker or agent. However, you may ask your friends or relatives if you trust them and they have good knowledge too. But don’t just ask them the name of the Fund, try to understand the reason behind their suggestion and what all factors they considered while doing their research (if they did any).

Which website to research?

There are many websites that compare mutual fund. But we cannot trust all. It is possible that some sites might be biased for their own benefit but the websites you can trust even with closed eyes is the website of National Stock Exchange (NSE – click here to visit).
When you open this website go the ‘Mutual Funds’ section towards the bottom. You will find following sub-heads in it:
  1. Daily Statistics
  2. Historical Trade Statistics
  3. Closed Ended MF Schemes (Listed)  and List of eligible AMC schemes
  4. MF Tracker
  5. NAV

We will discuss each of these on by one, we recommend you practice on the browser side by side:

Daily Statistics

This will give you the information of number and amount of subscription and redemption that took place in the mutual fund market on the last trading day. It is good indicator for understanding daily market trend i.e. whether more people are on the buying side or on the selling side. More subscriptions than redemption reflect a positive market trend and indicates the possibility of further upside in the market.

Historical Trade Statistics

This also gives the information about number and amount of subscription and redemption that took place in the mutual fund market. However, the difference is that you can select any length of historical period for which the data can be extracted. Suppose, you select period from 1 January 2017 to 31 March 2017, then you will get the details of subscriptions and redemption on each trading day between the selected period. This information can be downloaded in Excel format and then you can make a line graph to understand the trend in the market.

Closed Ended MF Schemes (Listed) And List of eligible AMC schemes

This will give the following information about all the listed mutual funds in the market.
SYMBOL
NAME OF COMPANY
 DATE OF LISTING
PAID UP VALUE
MARKET LOT
ISIN NUMBER
FACE VALUE

MF Tracker

This is the best tool to study the performance of mutual funds. It gives you the following tabs:
  1. Scheme info
  2. NAV
  3. Recent Dividend
  4. Top Performer
  5. Search
  6. NFO

The ‘Scheme Info’ tab shows fund wise NAV, Dividend history, performance report, asset allocation etc. Other most relevant tab here is the ‘Top Performers’ tab. It gives an overview of top performing funds of each category. Best Funds can be further sorted based on their Ranking or Absolute Return or Annualized Return.

Latest NAV

This takes you to the ‘Scheme info’ tab same as above.
We hope you liked this article. We will come up with another article soon on what all other factors to consider to compare two mutual funds.
For those who are not clear about the basics of mutual fund, click here to get clarity in a very simple language.
Author:
Sahil Goel | LinkedIn