Performance of mutual funds in 2020
Frontline equity indices dropped by almost 39 per cent within just 48 trading days. It was a free fall for the equity market. The mutual funds dedicated to the equity market also saw a fall in their net asset value (NAVs). The worst impacted was infra, value, and bank dedicated funds, while the best performer in the same period was IT, pharma, and international.
|
Return Between (Jan 20 - Mar 23)
|
|
Category
|
Return (per cent)
|
|
INFRA
|
-28.72
|
|
Value
|
-27.65
|
|
BANK
|
-27.59
|
|
Small Cap
|
-27.52
|
|
Dividend Yield
|
-23.56
|
|
Energy
|
-23.55
|
|
ELSS
|
-22.61
|
|
Large Cap
|
-22.40
|
|
Large & Mid cap
|
-21.91
|
|
Mid Cap
|
-21.40
|
|
Multi-cap
|
-21.01
|
|
Consumption
|
-18.74
|
|
PSU
|
-18.70
|
|
MNC
|
-18.04
|
|
IT
|
-15.88
|
|
International
|
-8.94
|
|
Pharma
|
-4.94
|
From the lows of March, the Indian equity market is up by almost 45 per cent. Not all the categories have risen the way they had fallen. Some categories of funds had fallen fast; however, their pace of recovery is slow. For example, banking dedicated funds on an average, fell more than 27 per cent but managed to recover only 12 per cent from their lows. Similarly, pharma sector funds were the least to fall, and thus, they have performed their best from the lows of March 23.
|
Return Between (Mar 24 - Aug 14)
|
|
Category
|
Return (per cent)
|
|
Pharma
|
59.66
|
|
Energy
|
48.09
|
|
IT
|
44.63
|
|
Small Cap
|
39.33
|
|
Value
|
34.41
|
|
Mid-Cap
|
33.87
|
|
Dividend Yield
|
33.85
|
|
INTL
|
31.80
|
|
INFRA
|
29.86
|
|
Large & Mid cap
|
29.78
|
|
ELSS
|
29.23
|
|
Multi-cap
|
28.74
|
|
MNC
|
28.18
|
|
Large Cap
|
27.96
|
|
Consumption
|
26.75
|
|
PSU
|
21.02
|
|
BANK
|
12.64
|
When it comes to individual funds, we find that the worst-performing funds in the first quarter of the year have not responded, barring few, in terms of returns later on.
|
Worst Performing Fund (Jan 20, Mar 23)
|
|
Fund Name
|
Returns (per cent)
|
Category
|
|
Quant Small Cap Fund - Direct Plan
|
-40.39
|
Small Cap
|
|
HDFC Infrastructure Fund - Direct Plan
|
-39.94
|
INFRA
|
|
HSBC Infrastructure Equity Fund - Direct Plan
|
-39.21
|
INFRA
|
|
UTI Transportation and Logistics Fund - Direct Plan
|
-37.83
|
THEMATIC
|
|
Aditya Birla Sun Life Small Cap Fund - Direct Plan
|
-37.38
|
Small Cap
|
|
Best Performing Fund Mar 24, - Aug 14)
|
|
Fund Name
|
Return (per cent)
|
Category
|
|
Quant Small Cap Fund - Direct Plan
|
83.64
|
Small Cap
|
|
ICICI Prudential Commodities Fund - Direct Plan
|
67.32
|
THEMATIC
|
|
ICICI Prudential Pharma Healthcare And Diagnostics (P.H.D) Fund - Direct Plan
|
67.30
|
Pharma
|
|
DSP World Gold Fund - Direct Plan
|
66.36
|
International
|
|
UTI Healthcare Fund - Direct Plan
|
63.08
|
Pharma
|
Hence, what goes down does not mean that it will come up at the same pace, and hence, you should avoid bottom fishing.