Only 2 Types of Equity Mutual Funds Provide Gains in a Month
Only two types of mutual funds have provided positive returns in the past month. There were a total of 20 categories of mutual funds, among which only 2 showed positive gains.
What are banking sector-related funds?
Banking-sector-related funds, also known as banking mutual funds or sectoral banking mutual funds. In this fund, investment is done in the banking sector. These are the funds related to the banking sector that, on average, provided a return of 0.70% in the last month. In the last month, Helios Financial Services Fund has given the greatest amount of return of around 2.75%. In the same time period, ABSL Banking & Financial Services Fund gave a negative return of around –0.23%.
1. What are pharma and healthcare funds?
Pharma and healthcare fund is a type of Mutual fund in which investment is done to the healthcare and pharmaceutical sectors. In this fund, investors benefit from the growth of the healthcare industry. These funds produced an average return of approximately 0.11% last month. As per the past performance, LIC MF Healthcare Fund gave the highest return last month of approximately 3.31%. While this year, ABSL Pharma & Healthcare Fund gave a negative return of 2.37%.
2. What a person should invest?
One should not rely solely on prior performance. Always think about your investment horizon, goal, and risk tolerance before making any decisions.
Is there any risk investing in these categories?
These categories mentioned are generally considered risky categories because these categories are cyclic in nature and candidates should first gain complete knowledge about these categories and then move towards investing in them.
What are these categories recommended for?
Advisors for mutual funds do not suggest sector or theme funds to beginner or inexperienced investors. These schemes are incredibly unpredictable and dangerous, and their success is solely dependent on the sector’s or theme’s prospects. Every industry or theme experiences ups and downs throughout specific economic periods.
