question on mutual fund?

before buying mutual fund NAV, devidend , growth, some features need to look. my question is, In which mutual fund if i invest will get good returns? which point i have to look regarding NAV?
as per my understanding, suppose if i invest 1000 per month, consider for the month Jan NAV is 10unit then my amount will be 100 rupees. suppose in Feb Nav is 15unit then my amount will be 66.66 ruppes will get. if i take MF having higher NAV i wont get good returns but If i take less NAV value, then i will get good return.
Is it true what i understood? if not please correct me/…

2 Replies to “question on mutual fund?”

  1. what you have understood is correct if it is SIP, EMI side on number of units you will get based on NAV.
    on the other hand your return will be based on the performance of the company(on whom you are investing). and not on the NAV,
    NAV high are low the number of units may change but the final value remains same for your investment.

  2. few misconception need to be cleared that a MF of NAV 12 is better than a MF of NAV 100.
    there is no major misconception of choose NAV of 12 becos the price is less. if hte two funds are equal then a 20 % increase will be equal to both the funds. past expericene is a guide to future increase thus it is alwasy better to buy a MF at NAV 100.
    in a way wat you said is rite . this is what is called cost averaging. you continue a SIP in a few wel known MF and a change in price will give you higher units or lower units. as time goes by, this will average out and your buying cost will always be less then the average cost.
    one does not check the NAV, just buy the best .
    would advice you the following
    HDFC 200, hdfc equity, Franklin prima plus, UTI infra, IDFC small and midcap, Fedility equity,

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