I had a look at the 2016 MF list published by you.I would like to know if it would be fine having the below 2 MF in your portfolio. I wanted to know in terms of portfolio overlap.
Franklin India Prima Fund(G)
Franklin India Prima Plus Fund(G)
I compared both the funds in Fundpicker portfolio overlap and the % portfolio overlap was 38. But when I cross checked with Money control portfolio comparison tool, the % portfolio overlap was 57%. Bit confused with the results. Both are quality funds and i was hoping to invest in both but then if the overlap is beyond 40%, it wouldn’t make any sense investing in both. This is where I need your suggestion.
Thanks & Regards,
The problem with Multi-Cap funds is that they can shift to any category as they have mandate. Current 38% between mid-cap fund of Franklin India Prima fund to Franklin India Prima Plus may either decrease or increase. However, I don’t think 38% is a big overlap.
If you still feel this a great risk, then select pure large cap and pure mid-cap fund and start investing.