There are two stocks which were listed recently, from the asset management space (RNAM & HDFC AMC).
Everyone is worrying about how the mutual fund future returns will be, because it is testing everyone’s patience for the past 20 odd months. It is long time, and we are getting one bad news after another every now and then, which makes the overall sentiment is very weak.
If the consumer is suffering or consumer is moving out of one product then the first hit will be only to the manufacturers and we are seeing the share prices reflecting in auto, textile and consumer goods as well.
In that case, how can the manufacturers of the mutual fund companies share price only can keep growing steadily, it shows are we missing something here?
I have taken the last 3, 6 and 12 months performances of Sensex, Nifty, RNAM (Reliance Nippon Asset Management) and HDFC AMC share price for you to understand the bigger picture.
Stocks | 3 Months | 6 Months | 1 Year |
RNAM | 28.04% | 48.85% | 23.25% |
HDFC AMC | 45% | 78.18% | 51% |
Nifty | -9.80% | -1.30% | -5.90% |
Sensex | -8.40% | 0.80% | -3.80% |
If those two stocks are steadily climbing up, it clearly shows sooner or later the positive returns will be coming to all our mutual funds as well, which we failed to understand because we are so much tied up with the recent bad performance of this investment, if the near future is not bright, these stocks price can’t move up regularly.
The challenge today is everyone is exposed to very little information (that includes me as well) and we are forming an opinion based on that. Information’s can be diluted or perceived differently to different people, when it comes to data it is the fact and nobody can have 2nd opinion. If we make a decision based on various data points, we could have the edge over the other’s opinion is what I believe.
Great days are ahead. Tough time don’t last and tough people do. This too shall pass!
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