Even as pure equity funds have borne the brunt of sharp correction in markets, sectoral funds have managed to give double-digit returns over a one-year period. Returns of thematic funds, such as public sector undertaking (PSU), infrastructure, consumption, and information technology (IT), fare well, compared to the large-cap fund category.
In the past year, thematic PSU funds on average have given returns of 17.75 per cent — the highest among all funds — reveals the data from Value Research.
Infrastructure funds and consumption funds have given returns of 14.21 per cent and 12.22 per cent, respectively.
Pure equity funds, such as large-cap equity