Here are the favourite mid-cap and small-cap stocks of sectoral mutual funds
Since the performance of these funds are cyclical in nature, their portfolios are constructed in a way that that not only to capitalize the opportunities when the sectors or theme perform well but also contain the loss well when they undergo rough paces
Sector and thematic mutual funds have relatively a concentrated investment portfolio. While the sector funds have a narrow investment approach of betting on a single sector, thematic funds are semi-diversified funds allocating to a few sectors that are associated with a particular theme. Since the performance of these funds are cyclical in nature, their portfolios are built in a way that that not only to capitalize the opportunities when the sectors or theme perform well but also contain the loss well when they undergo rough paces. Over the last one year, the sectors and thematic funds that performed well were including PSU related funds, auto and consumption funds. Meanwhile, technology and pharma funds were the laggards delivered negative return. Here are the popular mid and smallcap stocks among the actively managed sector and thematic fund categories. Value as of November 2022. Source: ACEMF
2/11
Last one-year category return: 19.5% No. of active schemes in the category: 4 Schemes with larger corpus within the category: ICICI Pru PSU Equity and Aditya Birla SL PSU Equity Fund
3/11
Auto sector funds Last one-year category return: 15% No. of active schemes in the category: 3 Schemes with larger corpus within the category: UTI Transportation & Logistics Fund
4/11
Banks & Financial Services funds Last one-year category return: 14.7% No. of active schemes in the category: 15 Schemes with larger corpus within the category: ICICI Pru Banking & Fin Serv, Nippon India Banking & Financial Services and SBI Banking & Financial Services Fund
5/11
Infrastructure funds Last one-year category return: 9.5% No. of active schemes in the category: 18 Schemes with larger corpus within the category: ICICI Pru Infrastructure, DSP India T.I.G.E.R and UTI Infrastructure Fund
6/11
Consumption funds Last one-year category return: 8% No. of active schemes in the category: 12 Schemes with larger corpus within the category: Aditya Birla SL India GenNext, Mirae Asset Great Consumer and ICICI Pru Bharat Consumption Fund
7/11
Business Cycle Fund Last one-year category return: 5% No. of active schemes in the category: 7 Schemes with larger corpus within the category: ICICI Pru Business Cycle and Aditya Birla SL Business Cycle Fund
8/11
MNC funds Last one-year category return: -3% No. of active schemes in the category: 4 Schemes with larger corpus within the category: SBI Magnum Global and Aditya Birla SL MNC Fund
9/11
ESG funds Last one-year category return: -4.2% No. of active schemes in the category: 7 Schemes with larger corpus within the category: SBI Magnum Equity ESG and Axis ESG Equity Fund
10/11
Pharma & Health Care funds Last one-year category return: -9% No. of active schemes in the category: 10 Schemes with larger corpus within the category: Nippon India Pharma, ICICI Pru Pharma Healthcare & Diagnostics (P.H.D) and SBI Healthcare Opp Fund
11/11
Technology funds Last one-year category return: -21% No. of active schemes in the category: 5 Schemes with larger corpus within the category: ICICI Pru Technology, Tata Digital India and Aditya Birla SL Digital India Fund
