Navigating Systematic versus Total Risk in Mutual Fund Selection

Picture a client who is deeply invested in a Mid-cap fund, worrying incessantly every time the Sensex drops, even though the fund itself has outperformed its peers. As an MFD, you might show them a Sharpe Ratio to calm...

Understanding Beta: Distinguishing Market Movements from Manager Skill

Consider a client who points to a large-cap equity fund and asks why it plummeted by 15% during a recent market correction when the Nifty 50 only fell by 10%. As an MFD, your initial instinct might be to defend the...