Latest news with #AnandRathiWealthLimited
Time of India
23-05-2025
- Business
- Time of India
International mutual funds rally up to 12% in one month. Time to go global?
Being the only category to offer double-digit returns in the past month, international mutual funds have outperformed domestic equity mutual funds. International funds have offered an average return of around 11.68%, whereas domestic mutual fund categories have offered average return ranging between 0.47% to 8.37% in the mentioned period. There were 20 equity mutual fund categories including sectoral and thematic funds in the said period. Also Read | MF Tracker: Can this mega largecap fund add stability to your portfolio in volatile market? Play Video Pause Skip Backward Skip Forward Unmute Current Time 0:00 / Duration 0:00 Loaded : 0% 0:00 Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 1x Playback Rate Chapters Chapters Descriptions descriptions off , selected Captions captions settings , opens captions settings dialog captions off , selected Audio Track default , selected Picture-in-Picture Fullscreen This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Text Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Opaque Semi-Transparent Transparent Caption Area Background Color Black White Red Green Blue Yellow Magenta Cyan Opacity Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Drop shadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Best MF to invest Looking for the best mutual funds to invest? Here are our recommendations. View Details » by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like The Cost of Dental Implants in Bishoftu Might Surprise You Dental implant | Search Ads Learn More Undo An expert noted that these gains were driven by geopolitical developments such as the Trump tariff announcements and trade deals. In recent months, international markets have seen increased volatility, influenced by country-specific events—for example, China 's major stimulus package announced in late September 2024 triggered a sharp market rally. Similarly, in the U.S., post-election speculation, tariff wars, and trade negotiations have heightened market activity. Commenting on domestic funds performance against stellar performance by international funds, Chethan Shenoy, Executive Director & Head - Product & Research, Anand Rathi Wealth Limited mentioned that such short-term rallies are often volatile and unsustainable as they are event driven, over a longer horizon, Indian markets have delivered stronger performance- Nifty 50 has a 5-year CAGR of 22.22%, while international funds averaged 14.58%. Live Events 'Actively managed funds such as Flexi Cap, Multi Cap and Large & Mid Cap funds have done even better, delivering 24.26%, 28.44% and 26.93% respectively, outperforming the index itself over the same 5-year timeline,' he added. Shenoy further adds that when we look at the long-term risk-adjusted returns of global markets, the U.S. and Indian markets have shown better efficiency compared to China, Hong Kong and Japan, whereas the domestic funds, on the other hand, have higher return potential with a wide range of categories to pick from. 'Indian markets offer easier access to data and are simpler to track, making them more suitable for investors. Given the complexity of global markets, well-diversified domestic funds remain the better choice for investors.' Among the 65 international funds, Nippon India Taiwan Equity Fund offered the highest return of around 29.51% in the said period. Invesco India - Invesco Global Consumer Trends FoF and Mirae Asset Global X Artificial Intelligence & Technology ETF FoF offered 23.18% and 21.51% returns, respectively in the mentioned period. Four international funds gave negative returns in the last month. ICICI Pru Strategic Metal and Energy Equity FoF lost the most of around 2.13%, followed by Axis US Treasury Dynamic Bond ETF FoF which lost 1.15% in the same period. DSP US Treasury FoF and Aditya Birla SL US Treasury 3-10 year Bond ETFs FoF lost 0.99% and 0.11% respectively in the same period. Also Read | Mutual funds for beginners: What strategy should students adopt to start investing? Among the 20 domestic equity mutual fund categories, banks and financial services funds have offered the lowest average return of around 0.47% in the last one month. Large cap funds gave an average return of around 2.40% in the same period and flexi cap funds gave 2.90% average return in the mentioned period. The large & mid-cap funds offered an average return of 3.27%, and multi cap funds gave 3.49% average return in the similar time frame. In the last one month, small cap funds delivered 4.15% average return whereas mid cap funds gave 4.70% average return. Auto sector based funds gave the highest average return of 8.37% in the same period. Even after international funds have delivered a stellar performance in the last one month over domestic funds, the expert doesn't recommend investing in international funds, but if one looks for global diversification in the portfolio, they can explore only upto 5 -10% of the overall portfolio. 'Investors can consider investing across the range of domestic diversified equity funds to get exposure across the range of categories and sectors to generate good alpha and returns in the long term,' Shenoy recommended. In the last month, Nasdaq has gained 18.91%, followed by DAX, which gained 13.75% in the same period. S&P 500 gained 13.31% in the mentioned period. The Hang Seng index went up by 11.337% in the same period. Dow Jones in the said period gained 9.67%, followed by NYSE, which gained 8.74% in the same period. The Indian benchmark indices - Nifty50 and BSE Sensex- went up by 2.85% and 2.76% respectively in the same period. After seeing the performance of international funds, investors wonder when and how they should review their portfolios if this gap continues between the global and domestic funds. Also Read | Why retail investors should consider STPs during volatile markets To answer this question, Shenoy said that several global and external factors drive international markets, making it difficult for investors to track and make informed decisions. 'As per the IMF projections, India is set to grow at 6.2 to 6.3% in the coming years, which is the highest among the developed economies and emerging ones like China. Inflation is under control with CPI at 3.14% for April, the lowest in six years and below the RBI's target. The interest rate environment is favourable, with lower inflation, controlled fiscal deficit, and anticipation of rate cuts pointing to a downward trend in rates.' 'April 2025 witnessed GST collections reaching an all-time high of Rs 2.37 lakh crore, reflecting strong consumption and economic momentum. The fiscal outlook remains stable, with the fiscal deficit for FY26 projected at 4.4%, supported by robust revenue generation from direct taxes.' Considering these factors, Shenoy advises not allocating a significant portion to international funds. International funds cater to different broad international markets, commodities, foreign indices, among others, and to sum it up, the performance of the scheme will depend on under which geography your money is invested. That means you should pay extra attention to your investments in international funds. Pay extra attention to which geography or indices you are investing in. One should always choose a scheme based on risk appetite, investment horizon, and goals. ( Disclaimer : Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times) If you have any mutual fund queries, message on ET Mutual Funds on Facebook/Twitter. We will get it answered by our panel of experts. Do share your questions on ETMFqueries@ alongwith your age, risk profile, and Twitter handle.
Time of India
17-05-2025
- Business
- Time of India
Defence ETFs gain 17% in one week. Should you add to your portfolio?
Defence ETFs have gained upto 17% in the last one week after the success of Operation Sindoor and Prime Minister Narendra Modi's strong endorsement of India's defence manufacturing capabilities. Two ETFs - Groww Nifty India Defence ETF and Motilal Oswal Nifty India Defence ETF - gained 17.16% and 17.17% respectively in the said period. A fund of fund based on defence ETF - Groww Nifty India Defence ETF FOF offered 17.69% in the similar time period. These schemes are benchmarked against Nifty India Defence - TRI, which went up by 17.22% in the similar time period. Best MF to invest Looking for the best mutual funds to invest? Here are our recommendations. View Details » Also Read | Flexi Cap vs. Multi Asset Allocation Mutual Funds: Which one is best for you? An expert attributes this surge to being driven by rising geopolitical escalations between India and Pakistan. 'The rising tensions between India and Pakistan have increased investor interest in defence stocks, and with increased government spending, policy support, and geopolitical factors, it is gaining attention from investors. Ongoing geopolitical tensions continue to make defence a key policy-supported and structurally important sector,' said Shweta Rajani, Head - Mutual Funds at Anand Rathi Wealth Limited . Live Events The focus on defence stocks came after reports that the Modi government has called a meeting with defence makers. To this Shweta adds, if we look at India's defence budget, it has nearly tripled over the past decade from Rs 2.29 lakh crore in 2014–15 to Rs 6.81 lakh crore in 2025–26, and now accounts for 13.45% of the total national budget. 'Additionally, the government is expected to push for greater indigenous manufacturing of defence equipment for the Indian army, which is likely to benefit domestic defence manufacturers,' she added. In the last two weeks, these defence sector based ETFs have gained 18% whereas the fund of fund has gone up 19.02% in the last two weeks. The index funds based on the defence sector delivered 18% return in the same period. According to a report by ETMarkets, the rally in the defence stocks comes in the wake of Operation Sindoor — India's military response to the April 22 Pahalgam terror attack — which showcased the country's defence strength using indigenous systems. Also Read | Coal India and ITC Hotels among stocks Parag Parikh Flexi Cap Fund bought and sold in April The report adds that in his first national address after the operation, PM Modi called for greater military self-reliance, emphasising India's growing role in new-age warfare. 'We have proven our dominance in modern warfare,' Modi said. 'We have always defeated Pakistan on the battlefield. Today, we've demonstrated our superiority again. The time has come for 'Made in India' defence equipment. We've adopted a zero-tolerance policy towards terrorism.' Commenting on the way forward for the defence sector, the experts said that, looking ahead, we remain optimistic about the defence sector, which is expected to perform well, supported by favourable government policies and long-term capital commitments. 'However, it is not advisable to invest solely in any single sector, as sectoral and thematic funds tend to be cyclical in nature. For instance, while defence was among the top-performing sectors from 2023 to mid-2024, it turned into one of the underperformers in the latter half of 2024,' she added. 'We recommend that investors consider actively managed diversified equity funds, such as market-cap-based funds and strategy-based funds, such as value, contra, and focused, as these funds provide broad exposure across sectors and categories, helping reduce concentration risk and offering resilience across market cycles,' Shweta recommended.
Economic Times
02-05-2025
- Business
- Economic Times
Planning to start SIP to buy a house in Bangalore? Experts offer help
Vishal Dhawan, CEO, Plan Ahead Wealth Advisors, a wealth management firm in Mumbai. Live Events Sagar Shinde, VP of Research at Fisdom Chethan Shenoy, Director and Head - Product & Research of Anand Rathi Wealth Limited Three Reddit users in the mutual fund community have sparked an online debate with starting their mutual fund investments of which two have a financial goal of buying an apartment in Bangalore within the next 5-10 of these three users, two are above 30 years of age whereas one is 23 years old who has planned to start investment in two flexi cap funds - Parag Parikh Flexi Cap Fund and HDFC Flexi Cap Read | Can a Rs 1 lakh monthly SIP buy you a Bangalore apartment in 10 years? Many users suggested investing in Nifty based index funds, balanced advantage funds, and to add gold funds as well. ETMutualFunds reached out to a few experts who offered help for the first time the first time or to young investors, Dhawan recommends that equity-oriented mutual funds could be a good asset for investment as they can benefit from compounding and at the same time gold should make up a certain portion of their investment, with a view to reducing portfolio volatility with low correlation with other asset classes.'The allocation of gold can increase or decrease to a certain extent based on the key factors that affect gold and mutual funds,' he recommended that to begin their journey, new investors can even start with hybrid funds — which invest in both equities and debt — offering a more balanced, less volatile explained that SIPs (Systematic Investment Plans) in such funds help in developing a disciplined investment habit and gold, while a good hedge, should form only about 10–15% of the portfolio for diversification purposes, rather than being the primary investment Read | Is buying Nifty 50 ETFs on every 1% dip a smart strategy? Mutual fund expert offers help 'For first-time or new investors, the first step would be to figure out your goals and investment horizon. Understand your risk and return objectives and then pick an appropriate asset allocation strategy to be followed in accordance with your risk and return appetite. A mix of equity and debt in the right proportions would be ideal, as they have low correlation with each other and provide portfolio diversification benefits,' Shenoy should always make an investment decision based on investment horizon, risk appetite, and goals.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)If you have any mutual fund queries, message on ET Mutual Funds on Facebook/Twitter. We will get it answered by our panel of experts. Do share your questions on ETMFqueries@ along with your age, risk profile, and Twitter handle.
&w=3840&q=100)
Business Standard
29-04-2025
- Business
- Business Standard
New Nippon funds close April 30, experts say tread with caution
Nippon India Asset Management has launched two new index funds, Nippon India Nifty 500 Quality 50 Index Fund and Nippon India Nifty 500 Low Volatility 50 Index Fund on April 16, 2025. Aim is to deliver cost-effective, diversified exposure to the Indian equity market. Market watchers are debating whether these passive products offer enough value for retail investors rushing to invest before the April 30 closing date. Chethan Shenoy, executive director and head of product & research at Anand Rathi Wealth Limited, weighs in, calling for 'cautious optimism' and a deeper understanding of these funds' structures. Two Indices, Two Themes The Quality 50 Index Fund will track top companies from the Nifty 500 that exhibit strong fundamentals --companies with high return on equity (ROE), solid earnings, and low debt. In contrast, the Low Volatility 50 Index Fund targets companies with the least price fluctuation over the past year. 'It focuses on price stability,' Shenoy explains, 'Ideal for investors wary of market swings.' Though passive funds typically boast lower expense ratios, Shenoy warns against equating low cost with high performance. These funds will only rebalance twice a year. Underperformers may stay in the portfolio longer due to this rigid structure. Historical performance has been inconsistent. 'Out of the last six years, these strategies delivered alpha in only three,' he notes. Who Should Invest? Despite a low minimum investment of ~1,000, Shenoy suggests retail investors tread carefully. 'NFOs often lack a proven track record. It's safer to go with funds that have been tested across market cycles,' he advises. Strategy Over Hype
