Review: Parag Parikh Long Term Equity Fund

Parag Parikh Long Term equity fund is a diversified equity fund investing across sectors and countries. 

Key Takeaways

  • The fund invests a part of the investment corpus (Below 35%) in foreign listed securities. This works extremely well in providing a hedge when the Indian markets are underperforming.
  • Currency risk is managed by hedging.
  • The fund has managed to give positive returns of 18% in the last one year when many India focussed funds have underperformed.
  • Insiders (Employees/Managers) hold 5.04% (As on 31/12/2019) of the fund indicating ‘Skin in the Game’. It provides comfort to investors.
  • Suitable for investors who want to invest only for the long term. (Five years or more)
  • Investors get indirect ownership of big global tech names such as Alphabet, Amazon & Facebook through this fund.
  • A good fund option to diversify any portfolio that is heavily reliant on Indian equities. 

Scheme Focus:

Parag Parikh Long Term Equity Fund is a multi-cap fund that invests across sectors, market capitalization and geography. A minimum of 65% of the corpus is invested in Indian Equities with some portion of the fund invested in equities listed in other countries. 

Returns: (As of 24/01/20)

Since Launch: 17.07%

3 Yr: 14.91%

5 Yr: 11.54

Top 5 Holdings:

  1. Alphabet Inc. Class C
  2. HDFC Bank
  3. Bajaj Holdings & Investment
  4. Amazon.Com Inc (USA)
  5. ICICI Bank

Other Scheme Details:

Expense Ratio: 1.17% (As on 31/12/19)

Minimum Investment: Rs. 1000

Exit Load: 2% before 365 days. 1% between 366 and 730 days.

Fund Managers: Rajeev Thakkar, Raunak Onkar & Raj Mehta

More details on Fund Website

(All Return percentages are for the Direct Plan.)

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