I give you two mutual fund schemes to choose from – Scheme A and Scheme B.
Scheme A has given stellar returns over a 15-year period. It made an investment of Rs 1 lakh into Rs 35 lakh, a stunning yearly return of 27 per cent. Scheme B had a poor run in the last 15 months and Rs 1 lakh invested in it became Rs 32,000, down 68 per cent.
Which scheme would you choose if you want to invest Rs 1 lakh? Obviously, most investors would choose Scheme A.