The major market indices BSE-Sensex and S&P CNX Nifty remained listless over the last week. This was reflected in the indifferent performance of diversified growth funds.

Open-ended, Growth Schemes	NAV (Rs)	Last week	1 month	12 months	*CAGR Since inception
Magnum Equity Fund	13.1	0.8%	4.8%	-9.2%	14.2%
Canbonus	9.6	0.8%	5.9%	-27.4%	1.8%
Zurich(I) Capital Builder	9.8	0.8%	2.6%	-18.0%	2.9%
Pru ICICI Growth (Gr)	21.6	0.7%	6.8%	1.7%	37.6%
K P Prima Fund (Gr)	19.0	0.7%	-5.3%	-30.9%	9.7%
Franklin Growth Fund	6.6	0.6%	4.5%	0.0%	-36.7%
DSP ML Equity Fund	16.4	0.5%	4.1%	-14.1%	22.8%
Birla Advantage Fund	35.5	0.5%	4.0%	-2.1%	30.8%
Alliance Equity Fund (Gr)	36.3	0.5%	9.7%	33.5%	78.3%
K 30	15.5	0.3%	2.3%	-2.1%	41.5%
Canglobal	7.0	0.3%	4.8%	-29.3%	5.5%
K P Bluechip (Gr)	21.8	0.3%	8.1%	8.5%	27.9%

*CAGR=Compounded Annual Growth Rate

The above table clearly shows that most diversified growth funds have shown a range-bound growth not exceeding 1%. What is even more interesting is that over a 1-year investment horizon most funds have given negative returns.

However, that is not to say that investors must exit from growth funds. In fact, at current levels, it may not be a bad idea to accumulate more units. Mutual funds are long-term investments and therefore their performance must be gauged over a minimum 18-24 month investment horizon in mind.

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