Top five equity mutual funds having low risk
A recent spike in volatility led to pressure on equity markets. Here are the top five equity mutual funds with comparatively low risk.
For nearly 18 months, the Nifty 50 had been advancing. But in October 2021, following a record high of 18,604, the Nifty 50 began to fall making lower highs and lower lows. At present, it is experiencing a phase of correction. The volatility is escalating globally, including in India. India VIX, a volatility index of India, spiked to 23.82 in November 2021 from its lows of 9.03 in September 2021.
In the past few months, there have been an increasing number of cases of Omicron, a new variant of coronavirus. The virus was first reported in South Africa and has since spread to several other countries. However, due to the fact that no one has died from this new strain, there is some uncertainty over the severity of this virus. This was reflected in the market as well making it more volatile. Thus, you may be looking to invest in low-risk equity funds if you are someone who isn't able to tolerate the unstable nature of the market. This article will list the top 5 low-risk equity mutual funds.
|
Fund Name
|
Standard Deviation
|
Sharpe Ratio
|
Sortino Ratio
|
Beta
|
|
Parag Parikh Flexi Cap Fund
|
17.75
|
1.32
|
1.34
|
0.72
|
|
Axis Flexi Cap Fund
|
17.35
|
0.98
|
1.16
|
0.74
|
|
Axis Midcap Fund
|
18.59
|
1.14
|
1.15
|
0.71
|
|
BNP Paribas Large Cap Fund
|
18.23
|
0.81
|
0.94
|
0.83
|
|
Canara Robeco Bluechip Equity Fund
|
18.64
|
0.89
|
1.04
|
0.86
|
In the above table, we have listed the top five equity mutual funds that are low in risk compared to other equity mutual funds. Nevertheless, being equity mutual funds, they would have the risk characteristics of stocks, and their safety may not be as good as debt funds. So, at this point, it is vital that you diversify your portfolio between equity and debt funds.