Sector diversification calls you to look at the FMCG sector. What do you expect?
As an investor you would be more initerested in this FICCI survey a through & recent study of the segment.
The FMCG funds currently available are :
1. Fraklin FMCG Sector Fund
2. ICICI Pru FMCG Sector Fund
3. Magnum FMCG Sector Fund
What is the prospects for this sector?
Irrespective of the global slowdown started with subprime crisis of USA and now spilling its beans from Greece, Portugal, Spain etc.. in Europe, we have a responsible government and a central bank that try to steer ahead of times. The JNNRUM and NREGP started two budgets ahead of any government or central bank started programmes for supporting job for the lower sections in the economy to pull demand from the villages/semi-urban places.
The local demand will sustain the growth rate in the segment in spite of any thing that happening globally
It is better to read about other sectoral funds, if you are looking at completness of your diversification process.
People who read this also looked at:
1. Technology Sector Funds
Start Early, Proceed Systematically, Look Long Term
Let Your Money Work For You
All You Wanted to know about money
Showing posts with label Sectoral Funds. Show all posts
Showing posts with label Sectoral Funds. Show all posts
Monday, May 10, 2010
Thursday, May 6, 2010
Technology Sector Funds
If I am in the HNI category, normally there is a chance that i have exhausted my 'primary diversification' requirement and comfortable to look at 'completeness' of the diversification itself.
Technology Sector Funds is just one of the Several class of Sectoral funds available today in India. as they are normally high risk, asset allocation of more than 20-30% of your equity portfolio is not advisable.Theoretically, if you posses all the sectors in the economy in your portfolio of Funds, then you reach the completeness level of diversification. You get benefits from the sector that is having market today. All seasons bring you benefits one by one. But you should have deep pockets to make that kind of allocation to reap reasonable levels of revenue and or capital appreciation.
Sectoral Funds by their objective, are permitted to have skewed portfolios favoring companies in that segment. The Major Technology Sector Funds are:
DSP-BR Technology.com Fund
ICICI Pru Technology Fund
SBI Magnum IT Fund
Franklin Infotech Fund
Birla S L New Millenium Fund
Prospects for the Technology sector:
The firms hardly come out of the USA's subprime crisis, Europe has taken its steam the industry with hardening Re once again. However it is understood that firms are re-working costs, exploring SME world domestically and May 2010 hear about recruitments picking up and companies looking forward to a better tomorrow.
You buy a shirt, when you really like it or when you really need it. With investments, you have to look the way you look at the purchase of your first house itself every time. Not like a consumer product.
Technology Sector Funds is just one of the Several class of Sectoral funds available today in India. as they are normally high risk, asset allocation of more than 20-30% of your equity portfolio is not advisable.Theoretically, if you posses all the sectors in the economy in your portfolio of Funds, then you reach the completeness level of diversification. You get benefits from the sector that is having market today. All seasons bring you benefits one by one. But you should have deep pockets to make that kind of allocation to reap reasonable levels of revenue and or capital appreciation.
Sectoral Funds by their objective, are permitted to have skewed portfolios favoring companies in that segment. The Major Technology Sector Funds are:
DSP-BR Technology.com Fund
ICICI Pru Technology Fund
SBI Magnum IT Fund
Franklin Infotech Fund
Birla S L New Millenium Fund
Prospects for the Technology sector:
The firms hardly come out of the USA's subprime crisis, Europe has taken its steam the industry with hardening Re once again. However it is understood that firms are re-working costs, exploring SME world domestically and May 2010 hear about recruitments picking up and companies looking forward to a better tomorrow.
You buy a shirt, when you really like it or when you really need it. With investments, you have to look the way you look at the purchase of your first house itself every time. Not like a consumer product.
Subscribe to:
Posts (Atom)