It’s easier to sell equities or units of equity-oriented mutual funds in a rising market, especially near the peak when the existing investors have already experienced high gains, rather than selling in a falling market. The sweet experience of the existing investors lures new and novice investors in overheated markets at high risks.
However, to take advantage of the sentiment of amateur investors, Asset Management Companies (AMCs) come out with New Fund Offers (NFOs) while many companies launch Initial Public Offers (IPOs) or Followup Public Offers (FPOs), as the case may be.