Most people loose the earnings by selling their hard earned investment without any reason or taking wrong advises. The best time to sell your fund depends on many parameters.

The performance of the fund comes down: This is the typical case where everyone tempts to sell their investment. But how do you decide that your fund is under-performing?

When you compare the performance of the fund with the past performance, if it is not doing well over the continuous time, it is basically the fund is not performing. But if you compare the fund with any other fund you should see whether you are comparing with the similar type of fund like sector, type etc.

Changing of Fund Manager: Most people doesn't care about the fund manager and his qualifications. But he is the one who manages your investments. A worthy fund manager will be an asset for you in the form of your investment in his fund.

When the fund manager changes, the investment style will obviously changes and it would definitely have impact on your returns. If you feel the fund manager is not capable and you have enough reasons to say that, switch to new fund.

Fund Expenses: According to the SEBI rules, the maximum expenses of the fund should not cross 6%. But it is also a big overhead for the fund. If your fund seems to charging more expense charges than it had before and they are not controlling, time comes to switch.

Fund Style: The fund style has the major impact on the returns of the fund. For example, a fund whose portfolio is formed with diversified style, and gaining good returns suddenly concentrates on some sector which you think that it will not perform in the future then you should shift to another fund.

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