Friday, May 9, 2025

Special Equity MF Report: Detailed Short Term Return Analysis of Equity Funds by Sub-Type as on May 02, 2025


Commentary:

1. Context of this report:

Last time this report was taken on March 07, 2025 when the equities were bottoming out. Since then, though there is recovery, there is volatility in the overall market and across sectors. So, the market is not settled as on now, but some sectors like Banking did stand out.

There is uncertainity ahead for the next two months, given India-Pak war, US tariff situation, US stagflaiton, and other international situations pertaining China, Russia-Ukraine war, war surrounding Israel etc.

2. How to carefully read this report?

2.1. Familiarise yourself with the different sections of the summary report shown above, then you can find this report quite useful and easy to understand.

2.2. Top left portion is the overall equity mutual funds universe summary across approx. 1020 equity mutual funds, with return percentages for various timelines 1W, 1M, 3M, 6M, and 1Y. These returns will act as a benchmark for us to compare each mutual subtype returns by various timeline.

2.3. Below this top portion, you will see 20 mutual fund subtypes listed with indication as to how many equity mutual funds are there in each sub-type. These sub-types are listed in the order of overall performance ranking across all the timelines. Will explain soon as to how such a ranking is arrived.  One can see the return averages of these sub-types, in the color green or red. The color green is assigned if the sub-type return for the specific timeline is equal to or higher than the average return of the entire equity mutual fund universe for the same timeline (marked in amber). The color is assigned red otherwise. So, it makes sense that the sub-types tend to have more red colored returns as we go down the list.

2.4. After the columns of the actual returns by timeline, the overall return rank of the sub-type is also computed by timeline to the right. These ranks, are marked to be 1 to 20, 1 being the highest rank. Each rank is marked with a specific rank, so that one can look for a specific rank within a timeline across all sub-types.

2.5. Then overall rank of the sub-type is assigned. This is computed by taking the average of all the ranks across all the timelines from 1W thru 1Y. The sub-types are then sorted with lowest average rank score at top. It is possible that two or more sub-types can have same rank, in which case all are assigned the same rank number.  For example, Banking and Energy sub-types have the same rank of 3, therefore rank 4 is skipped, the next rank for the Large Cap is marked as 5, as the rank 4 had to be skipped due to repetition of rank 3.

2.6. Overall rank of each sub-type from the previous report as on March 07, 2025 is also noted next.  With this, Ranking gain is computed, as the difference between the last report ranking and the ranking in this report.  Positive ranking difference is good, negative ranking difference is bad for the specific sub-type this time.

The ranking difference is grouped in different colors as follows:

2.6.1. Positive rank upgrade beyond 10 ranks

    None

2.6.2. Positive rank upgrade between 6-10 ranks

   Flexi Cap

   Consumption

   Large & Mid Cap

2.6.3. Positive rank upgrade up to 5 ranks

   Banking

   Large Cap

  ESG

  ELSS

  Thematic General

  PSU

  Mid Cap

2.6.4. No ranking change at all

    None 

2.6.5. Ranking slippage up to 5 ranks

  International

  Energy

  Value Oriented

  Technology

  MNC

  Infrastructure

  Small Cap

2.6.6. Ranking slippage between 6-10 ranks

   Pharma

   Multi Cap

   Dividend Yield

2.6.7. Ranking slippage beyond 10 ranks

  None


3. Key inferences for investment decisions.

3.1. Be wary of investments into the fund categories which have slipped in the ranking.

3.2. One should get into the detailed report of these sub-types and look for consistent performers marked in Green or Amber. The rules for Green and Amber are the same as in the weekly reports, however the color in itself is not an indication for investment, just the relative superiority within the list.

3.3. It is possible that there can be an exceptional performer shining bright in any sub-type though it is ranked lower. So, please browse across all 20 sub-types for such a winner, if any. 


4. Detailed reports by Sub-Type

Please note that when a sub-type has more than 50 funds, only the Top 50 funds are shown. Please note that all the funds are sorted based on 1M return.

4.1. Banking



4.2. Large Cap



4.3. ESG



4.4. Flexi Cap



4.5. International



4.6. Consumption



4.7. ELSS



4.8. Pharma



4.9. Energy



4.10. Large & Mid Cap



4.11. Thematic General



4.12. PSU



4.13. Value Oriented



4.14. Multi Cap



4.15. Dividend Yield



4.16. Mid Cap



4.17. Technology



4.18. MNC



4.19. Infrastructure



4.20. Small Cap


5. Whether it is a weekly Top 50 MF report or special MF report, these are availble in the blog indicated below. 

Blog: NatsFunCorner! on Blogger

https://natsfuncorner.blogspot.com/

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Disclaimer:

- This is not a solicitation for mutual fund investment nor an advice. It is only an insight to help investment decisions based on the free MF performance data downloaded from Value Research. Investment decisions are only yours to make.

- Mutual fund investments are subjected to market risk. Read the propsectus of a mutual fund for all the risk information associated prior to investment.

- The author can not be responsible for the ommissions or errors in the data from Value Research or the data processing errors if any by the author.

- All your investment decisions need to be based on your decision finally, with no blame to anyone else later.

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