The stock market is scaling new heights and investors are at a loss to understand where they should deploy their money now. With valuations way above historical averages, the risk-reward equation is clearly not in favour of investors. In such a scenario, equity funds with a value bias are the best bet. They help you invest in a portfolio of stocks that carries lower downside risk, and yet offers healthy returns over time.
Value funds are run with a clear emphasis on the tenets of value investing. The focus is on identifying stocks that are currently priced at a discount to their intrinsic value— or at a price that is not reflective of their true worth.
