Performance review: Mirae Asset Healthcare Fund
Mirae Asset Mutual Fund had come up with its pharma sector dedicated fund in July 2018. In fact, the launch timing was quite accurate as the pharma sector was on the verge of a major upside reversal. And now, as it’s been over two years since its launch, it makes complete sense to review its performance. Hence, in this article, we are going to review the performance of Mirae Asset Healthcare Fund.
Source: Value Research
The above graph clearly shows that it is outperforming S&P BSE Healthcare TRI since the scheme’s inception. Having said, it also makes more sense to compare the performance with its peers. As of now, there are only nine funds in this space. The table below compares the performance of the scheme in relation to its peers.
|
Trailing Returns (per cent)
|
|
Fund Name
|
1-Year
|
3-Year
|
5-Year
|
|
Aditya Birla Sun Life Pharma & Healthcare Fund
|
51.07
|
-
|
-
|
|
DSP Healthcare Fund - Direct Plan
|
76.02
|
-
|
-
|
|
ICICI Prudential Pharma Healthcare and Diagnostics (PHD) Fund
|
66.98
|
-
|
-
|
|
IDBI Healthcare Fund
|
55.27
|
-
|
-
|
|
Mirae Asset Healthcare Fund
|
69.87
|
-
|
-
|
|
Nippon India Pharma Fund
|
61.63
|
22.03
|
11.84
|
|
SBI Healthcare Opportunities Fund
|
60.78
|
15.82
|
6.49
|
|
Tata India Pharma & HealthCare Fund
|
57.88
|
21.31
|
-
|
|
UTI Healthcare Fund
|
62.11
|
18.10
|
9.09
|
As you can see, there are only four funds out of nine that have a minimum net asset value (NAV) history of three years or more. However, if we look at the 1-year performance, we would find that DSP Healthcare Fund gave returns of 76 per cent, followed by Mirae Asset Healthcare Fund, which gave returns of around 70 per cent.
Although, investors should bear in mind that sectoral funds are tactical calls and should not be allocated to any of their financial goals apart from wealth creation. Besides, investors with an above moderate risk appetite can also consider investing in them.
Getting back to the performance of Mirae Asset Healthcare Fund, it has indeed performed well since its launch. However, it would be much interesting to see how it performs during the complete market cycle.