Ides of March for MF equity schemes

The performance of equity schemes of mutual funds suffered in March 2005 following the correction in the equity market, according to Crisil FundServices' monthly risk adjusted return ranking.

The Bombay Stock Exchange Sensex, after touching its all-time high in February, underwent a correction in March

Krishnan Sitaraman, head-financial sector, Crisil, said, "Foreign institutional investors pumped in nearly $4 billion in the three months period to March 2005, which is half the investments by them during the calendar year 2004."

According to the study, gilt funds ended the month in positive territory, with the Crisil MF-Gilt Index generating a monthly return of 0.16 per cent.

Reliance Gilt Securities Fund "" Long-Term Plan, topped the chart, followed by UTI Gilt Advantage Fund-Long Term Plan and Prudential ICICI Gilt-Investment. Crisil said the liquid fund category generated annualised monthly returns of 4.91 per cent in March 2005. The top performers in this category were Alliance Cash Manager, JM High Liquidity Fund and Sundaram Money Fund.

The balanced fund category ended the month in negative territory as a result of the slump in the equity segment.

The Crisil Fund-bX generated a negative monthly return of 1.27 per cent.

Sundaram Balanced Fund topped the chart and Tata Balanced Fund and Prudential ICICI Balance Fund followed.

The CRISIL MIPEX, the benchmark for monthly-income plan schemes, generated negative monthly returns of 0.22 per cent. In the MIP category, the top performers were DSP Merrill Lynch Savings Plus Fund-Moderate, Prudential ICICI MIP Plan-Cumulative and FT India Monthly Income Plan.

In the Floating Rate fund category, HDFC Floating Rate Income Fund-Short Term Plan, Grindlays Floating Rate Fund, and JM Floater Fund-Short Term Plan were the top performers.