Morgan Stanley Growth Fund

Morgan Stanley Growth Fund

Morgan Stanley Growth fund is being managed by Amay Hattangadi from 2004. He is being assisted by Swanand Kelkar since Feb 2012. The fund's performance has been unconvincing and below the category average. If you have invested in this fund, exit now to invest in a better performing fund. If you are a new investor you can safely skip this one.

Where does Morgan Stanley invest your money ?

Morgan Stanley Growth fund is a large & mid cap fund which means most of your money is invested predominantly in stocks of large and medium sized companies. Large cap companies tend to be stable compared to mid cap and small cap companies. Yet exposure to mid cap companies is not avoided due to prospects of kicker returns. This fund has 65.68% exposure to large cap stocks, 29.75% exposure to mid cap stocks and about 2% exposure to small cap stocks.

Suitable for what? 

Creating wealth
Lifestyle needs

Not Suitable for?

Child's education
Child's marriage
Planning for retirement
Home Purchase
Short term needs

How has Morgan Stanley Growth Fund performed in the past?

If you had invested Rs 1 lakh when the fund was launched in January 1994 the value of your investments would be around Rs 6.62 lakhs. The performance has been not better than or similar to other diversified mutual funds. Assume you had invested Rs 10,000 every month in Morgan Stanley Growth through SIP for the past 5 years today you would have just around Rs 7.74 lakhs.

What charges apply?

If units are sold within a year an exit load of 1% is deducted from your total returns. This would be 2% if sold between 6 months and 1 year. No exit load applies for units withdrawn post one year. Expense ratio of Morgan Stanley Growth fund is 2.18%. This is charged to recover the fund management company's expenses on securities' transactions, commissions, registrar fees, etc. Your mutual fund returns will be total returns less expense ratio.

What are the tax implications?

The returns in an equity mutual fund are absolutely tax free, provided you do not withdraw within 1 year.