Tata Mutual Funds: Best Equity Schemes for a High Long Term Growth
Tata, a well-known name not just in India, but across the country. Since a very long time, this company has been a part of the growth story of India, and now also it is working towards the betterment of the country with each passing day. The firm has products in all the major sectors such as telecom, energy, automobile, etc, and every single one of them is best in their respective fields. One such arm of the company that has been making a huge name is Tata Mutual Fund. The AMC has shown quite a performance since its launch and has become a well known player of the MF industry. Now, to make sure that each and every person get the full benefits from this AMC, the best equity schemes of the fund house will be discussed from which the best fit can be chosen.
Tata Retirement Savings Fund- Progressive Plan (G)
Retirement planning is one of the most important things in the financial planning plan of a person, so the very first scheme in the list is the retirement fund of Tata MF. A multi cap scheme which has the flexibility to invest across the market capitalization to provide optimal growth to the investors. Following the best investment strategies, this scheme has provided investors with annualized returns of more than 15% and has beaten the benchmark as well as the category average with a good margin. Now, one feature that makes this scheme best is its auto switch, as per which the plan will automatically switch to a less risky plan as the investor reach a particular age.
Tata Equity P/E Fund (G)
Tata Equity PE Fund is one of the most popular schemes of Tata Mutual Fund and the AUM of Rs, 5,464 crore (As on Apr 30, 2019) is the proof of that. The scheme follows the objective of providing high capital appreciation to investors by investing 70% of the total investments in instruments with a high PE ratio. As of now, the scheme is investing majorly in the large cap space, but considerable investment is also there in the mid cap & small cap. As for sector allocation, Finance is the most preferred and the other sectors that hold a good allocation are energy, automobile, technology, and construction. In the portfolio, big players such as HDFC, Reliance Industries, HDFC Bank, ITC, and Tech Mahindra holds the major allocation and will help the scheme in providing high growth to investors.
Tata India Tax Savings Fund (G)
Tax savings with mutual fund has been gaining huge popularity and Tax Saving scheme of Tata Mutual Fund is a perfect choice for enjoying the benefit. The scheme has provided investors with optimal growth and tax saving benefits over the years. It is currently following a large cap (80.89%) oriented allocation style, with a considerable allocation in the mid cap (12.96%) and small cap (6.15%) space. The stock picking is partially focused and the scheme currently has investments in 39 stocks. As for the sector allocation, finance holds the most investments and a considerable allocation can be seen in the FMCG, technology, and construction sector, which will help the scheme to generate great returns in the coming years.
Tata Digital India Fund (G)
A technology sector fund from Tata MF which gained huge popularity in 2018 by providing returns of around 60% in just one year. The scheme invests only in the stocks of top companies from the technology sector and currently has investments in just 14 stocks. The market cap allocation of this scheme too is large cap (71.36%) oriented with considerable allocation in the mid cap (18.80%) and small cap (9.84%) space. In the portfolio, the big names in the technology sector, such as Infosys, TCS, Tech Mahindra, Wipro, L&T Infotech, etc can be seen, which will surely aid the scheme to generate exceptional returns in the future as well. But, before investing remember that the scheme has a high risk associated, so make your investment accordingly.
Tata India Pharma & Healthcare Fund (G)
One other sectoral fund from Tata Mutual Fund that follows the objective of providing high growth to investors by investing in health care and pharmaceutical companies. Currently, the scheme is investing in 16 healthcare and pharma companies, all of which are big players in the healthcare sector. The market cap allocation is large cap (63.11%) and mid cap (35.34%), with a considerable allocation in small caps (11.55%). The scheme is a great choice for investors who want to enjoy the growth from healthcare and pharma space and have the capability to take high risk.
These were the top schemes of Tata Mutual Fund in which you can invest for great growth in the coming years. From the above list, you can either choose a single scheme or can also pick multiple funds to make a portfolio. Just make sure whichever scheme you choose matches your risk appetite, otherwise, complications can be seen in the future.