mirroring mutual fund’s portfolio diversification, quite hard.
Matching or beating mutual fund’s performance, pretty easy.

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I agreed with what Nadlique had just said. Simple investment in a few stock counters are pretty much easier to monitor by any individual.

Another approach to investment would be diversification. Some money goes to mutual fund for long term e.g retirement- stable income. Invest in a few blue chip counters for capital gain. Also can consider annuity offer by insurance company (stable stream of income yearly).

Just thought of sharing my views.

Mirroring mutual funds would be a rather impossible task for individual investors with a small capital. Impossible in the sense that the level of diversification that can be achieved by mutual funds can’t be be mirrored by individual investors (you can, but sometimes it’s just not viable to do so). Mutual funds hold 30, 40 or even more financial instruments in their portfolio. Unless of course, we’ve got a huge sum of money, then that might be possible. Compare a person who has an initial capital of RM10,000 versus a mutual fund that has a capital of say, RM1 billion.

However, when I say it is quite impossible to mirror mutual funds, I have to say, matching or even beating the performance of mutual funds, can be rather easy. True, we can only dream of having the sort of resources that mutual funds have. These fellas sometimes have a whole floor of research analysts at their disposal but individual investors can beat these folks with just limited resources, any time.

So, all in all, mirroring mutual fund’s portfolio diversification, quite hard.

Matching or beating mutual fund’s performance, pretty easy.