Expense Account, Mint
You could not have missed the large ads in the last two weeks, advertising 100% returns over the last year. Are they lying? Is this another scam? It is too good to be true. None of the above.
The advertised funds have indeed doubled your money over a year. And so have at least 100 other funds. No magic, it’s just that the market indices, the Sensex and the Nifty, have doubled over the last year as the Indian economy rebounds after reacting to the global slowdown. A fund would have had to do some really stupid things to give returns less than 100%—as around half the funds have actually done. You’d have been better off buying a passive fund than investing in these managed funds.