There is a big question in investor’s mind, especially if someone has started investing in the last 2 to 3 years, whether their investments in equity mutual funds will give 10 % plus returns in the long run?
I would like to give a analogy for this, how many times you would have seen your kid falling in their childhood days (say less than 3 or 4 years old) especially when they are learning to walk, many times isn’t it, though we feel bad when they fall, but do we stop making them walk just because they fall frequently and get hurt.
Compare the same with your equity investments, in the short term (less than 5 years) there will be lot of volatility in your portfolio value, but in the long run the markets are bound to give you handsome returns, provided you stick to your initial investment plan and invest regularly. So if you have invested for the long term don’t come to any conclusion based on the short term market movements and repent later.
Happy Investing!
RaVi
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