Performance Review: Tata Resources and Energy Fund

Tata Mutual Fund came up with its energy sector dedicated fund in December 2015. In India energy sector is growing rapidly with an increase in demand. This fund pre-dominantly invests in the stocks of the companies operating in the energy and natural resources sector. The fund is an open-ended equity-oriented sectoral fund. In India currently, there are only two funds dedicated towards the energy and natural resources sector namely Tata Resources and Energy Fund and DSP Natural Resources and New Energy Fund.

Therefore, in this article, we will take a look at the performance of the Tata Resources and Energy Fund.

Source: Value Research

As it is evident from the above graph the fund is underperforming the S&P BSE Energy TRI since its launch in December 2015 till December 2020. after which the fund has started outperforming the index S&P BSE Energy TRI. The 1-year trailing return of the fund is 51.35 per cent against 25.95 per cent of S&P BSE Energy TRI. Moreover, the five-year trailing return of the fund and BSE Energy is 20.92 per cent and 23.10 per cent respectively.

Following are some details of the fund as per Tata Mutual Fund Product Note: