Contra Mutual Funds

Ans. Yes, contra funds invest with a contrarian approach, i.e., in stocks that are currently underperforming but have strong fundamentals that indicate future growth. These funds invest ‘against the wind’ or against the prevailing market trends.

Ans. Contra funds are suitable for investors seeking returns from stocks available at reasonable valuations and the probability of a good turnaround in the future. They come with high risk and high rewards potential, suited for high risk appetite and a 5-7+ year time frame.

Ans. Yes, you can withdraw money anytime from contra funds by placing a redemption request. The funds are credited to your account in 3-4 business days.

Ans. Yes, contra funds are ideal for long-term investors as currently out-of-favor stocks are at lower valuations and have high chances of delivering good returns even when the markets are not very bullish.

Ans. You can start investing in contra funds with an amount as low as Rs. 100.