Should I sell Aditya Birla SL Pure Value Fund?
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You are investing in a value-oriented scheme. The value-oriented category is among the poor performers in the last year. The category has offered around 2.52% in the last one year. Aditya Birla Sun Life Pure Value Fund was the second in the list in 2017, with 56% returns. However, the scheme has lost 22 per cent in 2018.
The value-oriented category, as the name suggests, picks up undervalued stocks in the market, and wait for a long period to realise the full value of the stock. That means you should invest in these schemes only if you are a devotee of value investing and you have a very long investment horizon. Many mutual fund advisors believe that growth strategy would continue to do well in India and investors should use value-oriented funds only as a diversification tool. However, many qualify conscious investors swear by value investing strategy.
You have two choices. If you are not a great fan of value-oriented strategy, you may stop your investments, and invest in a growth-oriented scheme that is in line with your risk profie. Two, if you believe in the strategy, you can give some more time to the scheme to perform.