Skip to main content

UTI Equity

 

UTI Equity Fund - Invest Online

 

You may be quite familiar with UTI Opportunities and UTI Dividend Yield, the popular funds from the UTI stable. But UTI Equity may not strike a chord. This fund is not a topper in the performance chart, but has consistently maintained its position in the top quartile of the performance chart of equity funds.
 
Earlier known as UTI Mastergain, the fund beat peers such as HDFC Equity, DSPBR Equity and ICICI Pru Top 100 over the last three years. It also outperformed its benchmark by a good 6 percentage points over this period (see chart for returns).
 
Suitability
If you are a conservative investor looking for limited volatility, content with a predominant basket of large-cap stocks and have moderate return expectations, then UTI Equity may fit your bill. The fund contained declines well both in 2008 and 2011 suggesting that it is a good option to hold in down markets. But you may not witness equally good performance in rallies. While it comfortably beat its benchmark as well as the equity category average by 3-8 percentage points in the 2007, 2009 and 2010 rallies, funds such as HDFC Equity did a better job in delivering returns in swift market run-ups.
 
Invest in the fund, if you already hold top schemes such as ICICI Pru Bluechip and Quantum Long Term Equity. Hold with a minimum five-year horizon and use the SIP route. Investments through SIPs in the past five years delivered an internal rate of return of 14.3 per cent, twice as much as the returns through lump sum investment; as a result of opportunity to average in 2008.
 
Performance 
UTI Equity's consistency is demonstrated in its rolling returns. We calculated the fund's one year returns on a daily basis and compared the same with the fund's benchmark returns. Over a three-year period, UTI Equity's rolling returns beat its benchmark a good 87-percent of the times. This suggests that your chance of outperforming the benchmark is very high, irrespective of when you enter the fund. A similar record for HDFC Equity, with its own benchmark CNX 500, stood at 79 per cent.
 
UTI Equity's returns too, does not deviate much from its average (measured by standard deviation) compared with peer funds including the likes of DSPBR Equity and Fidelity Equity. But as mentioned earlier, that also means that the fund will not swing too far from its average in case of market rallies. Therefore, expect consistency, not chart topping returns from this fund.
Portfolio
UTI Equity has a diversified portfolio of about 70 stocks. But with well over four fifth of its assets in large-cap stocks with market capitalisation of over Rs 10,000 crore, its portfolio is not particularly exciting.
 
Yet, the fund took tactical calls in sectors over the past year and also held a few niche picks in the small-cap segment. Like most funds, it increased exposure to the financial sector in the last one year. But even as peers pruned their consumer goods holding, the fund increased it. Top stock in this space, ITC, delivered well for the fund.Compared with its benchmark, the fund had higher exposure to stocks such as Cairn India, Bosch and Nestle and afforded lower weights to stocks of Tata Motors, HDFC and Reliance Industries. Some of the smaller stocks in the portfolio include WABCO, Divis Laboratories and Tube Investments of India.
The fund is managed by Anoop Bhaskar.

Best Tax Saver Mutual Funds or ELSS Mutual Funds for 2015

1.ICICI Prudential Tax Plan

2.Reliance Tax Saver (ELSS) Fund

3.HDFC TaxSaver

4.DSP BlackRock Tax Saver Fund

5.Religare Tax Plan

6.Franklin India TaxShield

7.Canara Robeco Equity Tax Saver

8.IDFC Tax Advantage (ELSS) Fund

9.Axis Tax Saver Fund

10.BNP Paribas Long Term Equity Fund

You can invest Rs 1,50,000 and Save Tax under Section 80C by investing in Mutual Funds

Invest in Tax Saver Mutual Funds Online -

Invest Online

Download Application Forms

For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call

---------------------------------------------

Leave your comment with mail ID and we will answer them

OR

You can write to us at

PrajnaCapital [at] Gmail [dot] Com

OR

Leave a missed Call on 94 8300 8300

---------------------------------------------

Invest Mutual Funds Online

Invest Any Mutual Fund Online

Download Mutual Fund Application Forms from all AMCs

Download Mutual Any Fund Application Forms

Popular posts from this blog

Equity investors should track market developments

The stock markets have been volatile over the last few days. They are in a sideways movement and trying to find the bottom after a fall of 20 percent a week ago. The market sentiments are not very positive at the moment and the recent developments are expected to dampen them further. Globally, governments and central banks are trying to cut rates and announce packages to improve business sentiments. These are some of the major developments in the markets last few month: A) Global On the global front, another large US bank went into a financial crisis. The US government took quick measures to avoid the spread negative sentiments in the markets. The US government announced a bail-out package and agreed to shoulder the losses on the bank's risky assets. China announced a large cut in interest rates and reserve ratio to boost the investor sentiments in the markets. Recently, the World Bank announced China's growth rate next year will come down to 7.5 percent. The European ...
Read more

Banks tweak ATM strategies

Unrestricted usage of third-party ATMs ends on Thursday The era of free ATM usage will come to an end on Thursday, October 15. Every transaction carried out on another bank’s ATM could cost an account holder as much as Rs 20 and withdrawals will face a limit of Rs 10,000, the Indian Bank’s Association has said in its guidelines. According to the guidelines, banks can offer savings-account holders five free thirdparty withdrawals every month —they can be charged from the sixth transaction onwards. Current account holders can be charged the fees, which ranges from Rs 18 to Rs 20, from the very first transaction. Most banks are convinced that charging current account and no-frill account customers from the word go is a good idea. It suggests that the usage of ATMs by current-account holders is price-insensitive. For others, banks have decided to frame their charges depending on the profile of the customer. For instance, HDFC Bank is allowing its salary account and premium customers an unl...
Read more

TDS Rate and Personal Account Number(PAN)

    The TDS rate doubles to 20% from 10% if you fail to mention your Personal Account Number   IF you run a glance through your pay slip, you will come across something called TDS, which is tax deduction at source. In most cases, the employer deducts this amount at the time of payment of salary itself and pays the total tax amount to the government on behalf of all the employees. If you are a self- employed or practicing professional s, you have to pay this amount yourself.    Tax deducted at source is one of the modes of income tax collection by the government. Under the income-tax laws, income tax at specified rates is required to be deducted while making certain payments.    The rate of deduction of tax at source on interest and rent payment is 10%. For salary payments, the employers deduct income tax at source on a monthly basis after computing income tax liability on estimated annual taxable income of the employee. Tax benefits on housing loan, investments, etc are consid...
Read more

Fortis Mutual Fund

Fortis Mutual Fund, a relatively new player, it is still to prove its case and define its position in the industry. In September 2004, it came onto the scene with a bang - three debt schemes, one MIP and one diversified equity scheme. And investors flocked to it. Going by the standards at that time, it had a great start in terms of garnering money. Mopping up over Rs 2,000 crore in five schemes was not bad at all. The fund house has not been too successful in the equity arena, in terms of assets. Though it has seven equity schemes, it is debt and cash funds that corner the major portion of the assets. Most of the schemes are pretty new, and the two that have been around for a while have a 3-star rating each. The last two were Fortis Sustainable Development (April 2007), which received a rather poor response, and Fortis China India (October 2007). Fortis Flexi Debt has been one of the better performing funds, after a dismal performance in 2005. It currently has a 5-star rating. None ...
Read more

Women need to plan for Retirement

Plan for Retirement Online       Higher life expectancy, lower pay and fewer work years necessitate thorough planning.   Women have raced ahead of men in various fields but, when it comes to retirement planning, they tend to lag behind. Despite saving a higher proportion of their salary, compared to men, women generally do not take retirement planning seriously. Below are some of the reasons why they should: According to the United Nations Department of Economic and Social Affairs, in India, the life expectancy of women is 69 years and, of men, it's 66 years. Due to this, a woman will need an additional `55 lakh to manage her living expenses (see table).Besides, usually, women work fewer years compared to men to take care of children and family.Further, a recent study by Korn Ferry Hay Group shows that women in India earn 18.8% less than men. Not to mention, a higher life expectancy can also mean higher medical expenses as the likelihood of health ailments such as diabetes, high...
Read more
Related Posts Plugin for WordPress, Blogger...
Invest in Tax Saving Mutual Funds Download Any Applications
Transact Mutual Funds Online Invest Online
Buy Gold Mutual Funds Invest Now