In addition, robust new job additions toward the end of H1 2019 helped curb losses. Investors are currently betting on an imminent quarter-point rate cut by the Fed, which could propel equities even higher. Support quality journalism and subscribe to Business Standard.US equities have performed remarkably well so far this year, with stocks hitting record highs just last week. Your support through more subscriptions can help us practise the journalism to which we are committed. We believe in free, fair and credible journalism.
More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.Īs we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content.
#BEST PERFORMING MUTUAL FUNDS FOR 2019 HOW TO#
Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Having said that, for large-caps, continuous selling from foreign investors is a challenge,” said Sanghavi.īusiness Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. “Currently, large-caps are looking attractive since mid- and small-cap stocks have been posting very high returns in the past 18 months, appearing rich in valuation. In the past one year, apart from Sensex, the MidCap Index and the SmallCap Index have given returns of 37.2 per cent and 59.39 per cent, respectively, in the past year. Market participants say these trends indicate the rally has been across sectors in the large-cap stocks, and value stocks have also been performing well lately. As long as India’s nominal gross domestic product grows in the range of 10-12 per cent, there is a high probability that active funds will continue to do well.”Īpart from active large-cap funds, passive funds, such as Bharat 22 exchange-traded funds, funds tracking Value 20 Index, and Equal Nifty funds, have also done well, compared to the Sensex. The growth in the economy usually percolates through equity markets by way of broader markets faring well. Krishna Sanghavi, chief investment officer–equity at Mahindra Manulife Mutual Fund, says, “When the economy grows, a large number of sectors do well.
In the period between 20, many large-cap funds had underperformed the markets since the rally was very concentrated, leading to investors gravitating towards passive funds.Īmong active funds, Quant Focused Fund has given returns of 45.82 per cent, while Invesco India Largecap Fund and Tata Largecap Fund have given returns of 37.66 per cent and 36.31, respectively, in the past one year. But in the past few months, the rally across markets has been helping fund managers.” Whenever there is a concentrated rally, few stocks and sectors do well. G Pradeepkumar, chief executive officer, Union Asset Management Company, says, “Underperformance of active funds was a short-term phenomenon.