Investors often take the decision of redeeming their fund in a haste. If the market is uncertain or their fund is underperforming or there is a change in the fund manager, their reflex action is to immediately redeem their fund. This may not be the right thing to do.
Mutual fund investments should always be aligned with financial goals. A correct asset allocation is the key to wealth creation. There are various categories of equity, debt and hybrid mutual funds. Picking the right mutual fund will make the difference to your portfolio. You can also talk to a financial advisor for help with choosing the right fund. Stay invested for the long term to benefit from the power of compounding.