We present the April 2012 issue of the Morningstar FundInvestor.
This Issue Includes
No ‘Star Managers’ Please, We’re Indians!
Why do Indian fund companies try to underplay the key man-risk associated with funds, by declaring that they don't have star managers?
Fund Manager’s View:
Tata Mutual Fund
Mr Bhupinder Sethi, Head of Equities discusses stocks, earnings and the overall macro environment.
Morningstar Analyst Rating:
Birla Sun Life Frontline Equity Fund
Investors in the fund benefit from a competent manager and a well-executed investment approach.
Indian Equity Markets
Domestic stock markets remained weak and volatile in April due to a host of domestic and global factors.
Global Equity Markets
Stocks were mostly weak globally due to the negative developments in Euro zone and some weak economic indicators.
Indian Debt Markets
Downgrade of Indian economy by Standard & Poor’s, and fear that the 10 year benchmark bond would become illiquid as it reached its unofficial issuance limit of Rs 700 bn, pushed bond yields up during the month.
Mutual Fund Update
Fund Flows & Asset Trends
After witnessing a dip in the previous month, mutual fund assets soared by 16% as flows returned from banks and financial institutions.
Fund Category Performance
Defensives continued to remain in favour in April, and mid-cap funds outperformed their large-cap cousins. With bond yields turning volatile, shorter tenure bond funds outperformed in April.
Portfolio Analysis of Diversified Equity Funds
In March, cash levels of diversified equity funds fell to record lows of 4.5%. Exposure to mid-cap stocks rose considerably. Fund managers cut exposure to financials, technology and energy sectors during the month.
Mutual Fund News
Get an update on what’s happening in the mutual fund industry.
Top Rated Funds
List of Morningstar top rated funds over 3 years
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