DO NOT INVEST IN SECTOR FUNDS..OK,THEN WHAT IS THIS ?EDUCATE YOUR SELF

 

People say do not invest in sectoral funds. it is risky.Invest in diversified large cap funds.

But below you can see large caps are in negative zone compared to IT and Pharma funds on the 1 week basis.worse the large caps have fallen similar to small and midcap funds in percentage terms.

IT and Pharma funds are better off than others in 1 week and YTD terms.

Ofcourse banking sector completly out in YTD as covid has completly affected the sector.

Point is EVEN Diversified/Large caps are not safe when there is blood path in the markets.They also fall along with the markets like other funds.

Then where is the safety in them.

Iam not saying you completly invest in sectoral funds.According to your cash in hand you have to deploy depending upon the market condition.

 now IT and Pharma are best bets in sectoral funds.Where you can invest.once you get the your target returns and then  come out from the same.

Depending upon the market conditions,we have to wisely identify the funds.let it be large cap or sectoral funds invest and profit.

thanks 

https://www.valueresearchonline.com/ for the data.