Sensex Scaled High Record, However Mutual Funds Return Are Moderate Despite of the fall in crude oil prices and firm global cues, Sensex hits a high record of 36,492.49 on July 12, 2018. But, returns from mutual funds are just moderate. S&P BSE Sensex moved 161 points up at 36,424.23 and reached its new high record of 36,492.49 in the early trade on July 12. Manish Gunwani, CIO-Equity, Reliance Mutual Fund, said that Sensex has made “all-time high” record in spite of all the issues. But, the wider market has substantially “underperformed the Sensex,” over the past six months, he added. The 2017 GDP ranking by the World Bank that places India ahead of France inspired the market. According to the report, India is ranked as the world’s sixth-biggest economy. But, many mutual fund schemes excluding the large-cap mutual funds have seen negative returns in the past one month. “The extent of underperformance of the mid- and small-cap indices is near extreme,” said Gunwani. Fund managers feel that the “market is bi-polar” during this period and that it is an infrequent situation. At present, the market is favourable for some stocks with high quality growth, such as, Reliance, HDFC Bank, Bajaj Finance, and TCS, said Gautam Sinha Roy, Senior VP/Fund Manager, Motilal Oswal Asset Management. Roy also added that only these stocks with high quality growth have performed well and not the total market. He further added that the market is scaling up as these stocks hold a heavy weight in the index. Hence, most of the mutual fund schemes are not performing impressively, he said. The stocks that have seen higher earnings growth or that expecting higher earnings growth are most preferred in the market at present. Mostly, the large-cap stocks are performing better right now. The large-cap mutual fund category is placed high in the “return chart in one year with 11.17 percent.” But, MF experts feel that all large-cap fund schemes might not perform well. MF managers remain positive and feel that the mutual funds market should improve. The broader market should improve due to increased “earnings performance,” when the recent issues begins to reduce, feels Gunwani of Reliance Mutual Fund, reported The Economic Times. The post Sensex Scaled High Record, However Mutual Funds Return Are Moderate appeared first on OWLT Market.

Despite of the fall in crude oil prices and firm global cues, Sensex hits a high record of 36,492.49 on July 12, 2018. But, returns from mutual funds are just moderate.

S&P BSE Sensex moved 161 points up at 36,424.23 and reached its new high record of 36,492.49 in the early trade on July 12.

Manish Gunwani, CIO-Equity, Reliance Mutual Fund, said that Sensex has made “all-time high” record in spite of all the issues. But, the wider market has substantially “underperformed the Sensex,” over the past six months, he added.

The 2017 GDP ranking by the World Bank that places India ahead of France inspired the market. According to the report, India is ranked as the world’s sixth-biggest economy. But, many mutual fund schemes excluding the large-cap mutual funds have seen negative returns in the past one month.

“The extent of underperformance of the mid- and small-cap indices is near extreme,” said Gunwani.

Fund managers feel that the “market is bi-polar” during this period and that it is an infrequent situation.

At present, the market is favourable for some stocks with high quality growth, such as, Reliance, HDFC Bank, Bajaj Finance, and TCS, said Gautam Sinha Roy, Senior VP/Fund Manager, Motilal Oswal Asset Management.

Roy also added that only these stocks with high quality growth have performed well and not the total market. He further added that the market is scaling up as these stocks hold a heavy weight in the index. Hence, most of the mutual fund schemes are not performing impressively, he said.

The stocks that have seen higher earnings growth or that expecting higher earnings growth are most preferred in the market at present. Mostly, the large-cap stocks are performing better right now. The large-cap mutual fund category is placed high in the “return chart in one year with 11.17 percent.” But, MF experts feel that all large-cap fund schemes might not perform well.

MF managers remain positive and feel that the mutual funds market should improve. The broader market should improve due to increased “earnings performance,” when the recent issues begins to reduce, feels Gunwani of Reliance Mutual Fund, reported The Economic Times.

The post Sensex Scaled High Record, However Mutual Funds Return Are Moderate appeared first on OWLT Market.

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