What Makes TATA Digital India Fund One of the Best Options in the Market?
The world is rotating on the axis of technology. From daily routine things to complex professional activities, everything is powered by internet and computer technology. So, it'd be apt to make a statement that technology, and not human beings, is the supreme power of the world. What was logically & virtually impossible (e-mail for instance) about 50 years ago, has now become as clichéd as brushing teeth in the morning.
Hence, investing in the technological sector would surely give a wealth blast in the long run. And TATA Digital India Fund is the pathway that leads to this treasure. The fund, though new to the market, is on a rampage that has performed in an unearthly manner in the past couple of years since its inception. It stands shoulder to shoulder with other successful funds in the market which are working for a decade or so.
Down here, some of the most engaging facts have been penned down by the experts of MySIPonline, after exhausting hours and putting in their heartiest efforts. So, skim through the article and find out if, and how, you should invest in TATA Digital India Fund (G).
The Performance
TATA Digital India (Growth) stands as one of the fastest growing and flourishing funds of the Indian market. It has yielded a mammoth figure of 49.68% returns in the one-year investment. Further, the average yield spread over the two and half year's period since inception stands at 16.05%. This is a ground-breaking performance given by any fund till date in the history of Indian mutual funds.
The Portfolio
TATA Digital India - Regular Plan (Growth) spends the majority of its assets in buying the stocks of highly successful technology companies. The fund hasn't included any other industries apart from Technology, except for a modest inclusion of Engineering stocks that amount to 3.85%.
The following table represents the companies in which TATA Digital India Fund has placed its assets:
The Risk
While the numbers look solid, one must not forget that greater the rewards, greater is the risk, and that there are no free lunches in the mutual fund market. Since TATA Digital India Fund - Regular Plan (G) is a pure equity fund that leverages on a single industry, Technology, where it parks about 93% of its wealth, the risk factor is modestly high. So, if you are planning an investment in TATA Digital India Fund (G), or for that matter any sector-oriented fund, then you must be ready to take some tough blows from the market.
The Precaution
One of the things to be bore in mind while investing in TATA Digital India Fund is the exit load. The fund doesn't permit an early redemption (before the expiry of 90 days from the date of investment). Hence, if you are planning an investment in this fund, then plan for long-term in order to capture the maximum benefits of investing in this fund.
The Investment Method
If you want to make a cohesive plan of investment that doesn't hurt much and also provides good returns, then you must invest through MySIPonline by buying an SIP plan in TATA Digital India Fund. Since the fund allows an easy SIP instalment that starts from Rs. 500, you can instantly start an investment in this fund. So, why wait? Call your financial advisor today, or take the assistance of MySIPonline's expert team for making a strong investment plan.