- Date : 08/09/2023
- Read: 2 mins
A type of equity mutual fund, thematic funds invest in stocks representing a particular theme, like infrastructure, ESG, etc. While most mutual fund houses offer thematic funds, some have outperformed their peers. Here are 4 such funds.
If you want to invest in a particular theme and want a diversified portfolio, thematic mutual funds can be a good choice. Thematic funds are equity mutual funds that invest in companies associated with a selected theme. For instance, a fund with an infrastructure theme will invest in companies engaged in the power, cement, construction, steel, etc. sectors. Thematic funds help in portfolio diversification and, being equity-oriented can deliver good returns. In 2023, four thematic funds have stood out, given their performance. Look at these top funds, which can be a good pick for your portfolio.
Also Read – Here are some things to know before investing in thematic funds
Highlights
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Thematic mutual funds are equity-oriented funds investing in a particular theme.
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While multiple thematic funds are in the market, four funds stood out based on their performance.
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The top 4 funds include the SBI Magnum COMMA Fund, UTI Transportations and Logistics Fund, Tata Ethical Fund, and ICICI Prudential Exports and Services Fund
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You can invest in one or more of these funds to enhance your portfolio’s return potential
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The Bottom Line
Assess these funds before investing in them. Check their past performance, associated risks, and the consistency in returns, then make an informed decision.
Also Read – Check out which stocks are popular among thematic funds
Disclaimer: This article is intended for general information purposes only and should not be construed as insurance or investment or tax or legal advice. You should separately obtain independent advice when making decisions in these areas.
