Technology funds on top, post 52.66% returns

Equity funds

1 week

1 year

Technology

4.06

52.66

Auto

3.09

51.71

Pharma

2.43

31.71

FMCG

2.26

65.22

Tax Planning

1.88

59.14

Index

1.59

39.44

Diversified

1.43

52.94

Petroleum

1.14

21.25

Banking

0.03

40.54

Debt funds

1 week

1 year

Monthly Income plans

0.29

10.45

Liquid funds

0.10

5.42

Floating rate funds

0.10

5.64

Income funds

0.09

4.99

Short term funds

0.08

5.88

Gilt - short term

0.07

4.40

Gilt - long term

0.07

4.86

Medium term funds

0.04

5.53

Source: www.mutualfundsindia.com

 Diversified fund returns were lower compared to that of the previous week. Their returns in the previous week amounted to 2.54 per cent, while last week, it fell to 1.43 per cent. The banking sector funds continued to be laggards, returning only 0.03 per cent for the week.  Equity category performances for the year were also good. The FMCG funds returned 65.22 per cent for the year to top the table. This was followed by the tax-planning funds at 59.14 per cent and the diversified funds at 52.94 per cent.  The technology sector funds posted a return of 52.66 per cent for the year. Petroleum and pharma sector funds were the worst performers on an annual basis. While the former returned 21.25 per cent, pharma fund returns amounted to 31.71 per cent.  With the market ruling at all-time high levels, fund managers advise caution going ahead. Says Dhawal Mehta, senior fund manager at HDFC Mutual Fund, "Markets are likely to witness volatility in the short-term. Though stock valuations are not looking cheap, they are not too expensive either."  According to Mehta, market returns are likely to be stable going forward. "Given an expected earnings growth rate of 15 per cent, average equity market returns should range between 15 to 20 per cent," says he.  In the debt category, MIPs continued to top the returns. The category returns for the past week amounted to 0.29 per cent, much better than the 0.10 per cent returns that were managed by the floating rate funds and liquid funds.  Income fund returns for the week amounted to 0.09 per cent, while medium term debt funds were the least impressive and could manage only 0.04 per cent.  On an yearly basis, MIP returns amounted to 10.45 per cent, followed by short-term funds at 5.88 per cent and floating rate funds at 5.64 per cent.  Short-term gilt funds returned 4.40 per cent on an annual basis to come in last.