In the present market condition any Equity Diversified fund you take up and you will find the 1 year return from -30% to -70% and so its very difficult to decide on which fund to choose. There would be many fund managers suggesting to avoid Equity Funds but there would be mad people like me who at this point of time also is believing in equity as an investment class and suggesting the fund. Remember I am in process of making some large investment in this Fund and that is the main reason to suggest here.
Before going into the details of the fund I would like to tell you why I still consider Equity as an investment. Currently we are at 9k Sensex or around 2700 Nifty. My guess was a bottom should be around 8.5k but due to some sentiments we can go down some more percentage points but then we should see some value buying coming among the FIIs and so that should stabilize the things.
Also the current Indian GDP and earnings Growth and Inflation cooling off would help but then we would see some earnings damage as well and so we should choose companies / sectors which should be least effected and so I would suggest one fund which I have done some investment.
Fidelity Equity Fund
Top 10 Stock holdings are
B H E L
which makes it more interesting for me at this moment. Also the top 10 holdings has around 35% of its total investment making it considerable investment in the best companies I would anyway would do when investing in stocks.