Top 3 Pharma and Healthcare Mutual Funds Yielding Impressive Returns Over the Last 5 Years
The pharma and healthcare mutual funds have really grown over the years. On average, it has returned nearly 31% in recent years. Considering the growth and demand in the pharmaceutical and healthcare sectors, quite decent returns are given by the funds. Nine pharma and healthcare mutual funds have been actively competing in the markets for the past five years. Here are the top three performers from this sector.
DSP Healthcare Fund
DSP Healthcare Fund, managed by DSP Mutual Fund was launched on 5th November 2018, and it tracks the BSE Healthcare Index. Therefore, it gets closely aligned with sector trends and growth patterns. Its total AUM as of September 30, 2024, was at Rs.3,094.08 Crore. This fund has a turnover ratio of 6%. The total expense ratio is 1.93%, and an exit load of 0.50% is charged if the units are redeemed within one month. The NAV of the fund is Rs.40.498 as of October 22, 2024. The one-year return of the fund is 53.02%, and the five-year return is 31.82%. Since its inception, DSP Healthcare Fund has provided a compounded annual growth rate (CAGR) of 26.69%, notably surpassing its benchmark return of 15.7%.
ICICI Prudential Pharma Healthcare and Diagnostics (PHD) Fund
ICICI Prudential’s Pharma Healthcare and Diagnostics (PHD) Fund holds the highest AUM among these top funds, with Rs.4,987.49 crore as of the latest data. Launched on July 12, 2018, this diversified fund within the pharma and healthcare sectors aims at creating growth in diagnostics and healthcare services. The fund has a one-year CAGR of 58.39%, reflecting robust returns in recent market conditions. With a TER of 1.92%, the fund charges an exit load of 1% for early redemptions.
As of October 23, 2024, the NAV stands at Rs.37.87. Over five years, the fund has produced an impressive 31.15% return, while since inception, it has delivered a CAGR of 23.83%.
SBI Healthcare Opportunities Fund
SBI Healthcare Opportunities Fund was launched on 14th July 1999 as SBI Pharma Fund. The scheme is an equity scheme following a diversified approach to the pharma and healthcare sectors. Its benchmark is the BSE Healthcare Index. Its AUM is Rs.3,346.13 crores as of 30th September 2024 and TER is 1.95%. For exit load, it charges 0.50% on redemptions within 15 days.
As of October 22, 2024, the NAV is Rs.410.5793. The fund has returned 49.21% over one year and 29.86% over five years. It has continued to maintain its CAGR since inception at 15.82%, while its benchmark returns sit at 15.7%. The minimum amount that needs to be invested is Rs.5,000 with a top-up amount starting from Rs.1,000.
However, these high-performing pharma and healthcare mutual funds provide proof of growth and stability to the sector for a possible great return among investors over short- term as well as long-term periods.
