mutual fund scheme, investors often weigh a slew of factors such as the category it belongs to, the fund house that runs it, scheme’s asset size, its constituent stocks and sectors, and importantly – the returns it has delivered in the recent past. Although the past returns do not guarantee consistent future returns, they still hold a lot of importance compared to most of the other factors. Here, we give a lowdown on one of the top-performing mutual funds i.e., Tata Digital India Mutual Fund that has an asset size of ₹9,272 crore.
The scheme was launched on Dec 28, 2015. Its benchmark index is Nifty IT TRI. In the past one year, the fund has delivered a return of 31.90 percent while the past three-year’s CAGR return is 20.89 percent, the AMFI data reveals.
This means if someone had invested ₹1 lakh one year ago, they would have grown the investment to ₹1,31,900. And if you had invested the same amount three years ago, the sum would have grown to ₹1,76,670. (Source: AMFI, returns as on Dec 29, 2023) If you had invested ₹10,000 every month via SIP (systematic investment plan) in this scheme, it would have grown to ₹1,42,897 in one year by making an investment of ₹1,20,000.
(Based on CAGR returns given above) Additionally, if you had invested ₹10,000 every month for three continuous years via SIP, the investment would have grown to ₹5,03,411 by investing a total of ₹3,60,000. The scheme seeks to achieve its investment objective by investing a minimum of 80 percent of its net assets in stocks of IT companies in India or abroad. This eight-year fund has an expense ratio of 0.33 percent The top five constituent stocks of the fund are Infosys, TCS, Tech Mahindra, HCL Technologies and LTIMindtree.
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