yeah, it makes sense to invest in these:
Other than these I don't prefer any other sectors. Although, I haven't invested in these funds yet, but I will invest in the future if I see any opportunity.
Also, one more sector I like is Banks but I invest directly in stocks in that sector.
PSU & Defence stocks are on fire. Also look at IT. You can check these sector funds . due diligence. keep track of them as these will provide short term benefits. But I think investing through stocks in sector are better . Stay till the hype lasts & move on - that's the strategy for sectorial funds.
It is recommended to invest in sectoral if you believe that one sector of the economy is going to outperform the index. for example, if you believe oil and gas will loose its touch and green energy will be the future, then you should invest in funds specific for that. or if you believe in IT or Financial sectors, you should go with them. the point being, sectoral will not match index, they will either beat or lose against the index, it is on you to decide which sector will beat and bet on that. if you truly believe in a sector, then you can find a MF for that, if you dont find any, you can research small cap (atleast 20) stocks and manage those, or you can go with platform like smallcase which does the same and charge a lot. personally, i believe in green energy and construction sectors, and not that hyped about IT or oil and gas. finance/banking is i feel in the middle and can go any way.
I am invested in many thematic as well as sectoral MFs. A few International thematic and sectoral as well as they are not available in India. With a long enough time frame (20+ years), this should play out just fine.
Ramta_Jogi wrote:I am invested in many thematic as well as sectoral MFs. A few International thematic and sectoral as well as they are not available in India. With a long enough time frame (20+ years), this should play out just fine.
How do you invest in international funds??
Neversaynever wrote:How do you invest in international funds??
Go to AMC site > Click Invest... (SIP or Lumpsum, as available)
Watcher wrote:These are taxed like equity funds? Any long term comparison available anywhere of nifty index vs pharma/IT sector funds? + @flash007 @legend101PSU & Defence stocks are on fire. Also look at IT. You can check these sector funds . due diligence. keep track of them as these will provide short term benefits. But I think investing through stocks in sector are better . Stay till the hype lasts & move on - that's the strategy for sectorial funds.
Ramta_Jogi wrote:If u dont mind then would you like to share the names?I am invested in many thematic as well as sectoral MFs. A few International thematic and sectoral as well as they are not available in India. With a long enough time frame (20+ years), this should play out just fine.
kukdookoo wrote:Yes these are taxed like equity mf. You can compare tata india pharma fund or icici pru nifty pharma fund with nifty 50 funds. Same with icici nifty it fund/ tata digital india fund
These are taxed like equity funds? Any long term comparison available anywhere of nifty index vs pharma/IT sector funds? + @flash007 @legend101
If you trust your wisdom to outmanuver the general market. You can invest in sectoral funds and switch between them based on your understanding of which boom is coming next.
your views on sectoral vs index funds?
kukdookoo wrote:Sectoral funds only for those with expertise & patience & risk taking capability. In short, not for typical weak hearted retail investor.
your views on sectoral vs index funds?
kukdookoo wrote:
your views on sectoral vs index funds?
22g tagged wrong guy, I’ve no idea what you’ve asked. No idea about sectoral/Index funds etc. Naam bhi nahi suna kabhi. 🤦♂️
I prefer direct stocks instead of the MFs. But, the concept is good, if anyone spectacle about it.
kukdookoo wrote:I don't buy sectoral funds nor recommend ever to clients. Sector funds are the highest risk category. A basket of funds is usually bought when we don't know what to buy in a sector. I see no point in it. Risk is increased significantly. If the sector timing is done wrong, it can take years to get meaningful returns.
your views on sectoral vs index funds?
kukdookoo wrote:Not all fund managers are winners(aka getting a return of 3-4% in a sectoral fund is technically still not a loss in absolute terms but nobody wants that), you need expertise to pick the right ones.
But isn't expertise job of fund manager here? Agree with patience and risk taking point.
kukdookoo wrote:
If u dont mind then would you like to share the names?
HSBC Global Equity Climate Change.
Mirae Asset Global X Artificial Intelligence & Technology
Edelweiss Greater China.
Tata Digital India.
Canara Robeco Consumer Trends.
Tata Ethical Fund (neither thematic nor sectoral, more like Islamic ESG)
Quant Manufacturing.
ICICI Thematic Advantage.
