Gold ETFs have posted
their best September quarter performance; shorter tenure bond funds have fared
better while large cap fund category have posted their worst quarterly
performance since the quarter ended December 2008, according to a Morningstar
study.
In
the September quarter, the India markets declined 13% due to a host of domestic
and global factors. During this period, large cap fund category made an average
loss of 9.6%, their worst quarterly performance since the quarter ended
December 2008 (down 22%). Mid caps category performed better than large cap
category across various periods.
Gold
ETFs posted their best quarterly performance of an average 16.9% return with
the August return itself being 15.2%! Of late, gold prices have been under
pressure resulting in a decline of 4% in September.
Shorter tenure bond funds have fared better than longer tenure bond funds and gilt funds during the September 2011 quarter. Short term bond funds and ultra-short term bond funds have delivered the highest average return of 2.2% and 2.1% respectively during the quarter. According to Morningstar, bond yields gained momentum especially in the end of September 2011, following Indian government’s announcement that it will borrow 32% more than planned in the second half of the fiscal year.
|
|
Avg
Return (As on September 2011) |
|||
|
Fund
Category |
3-months |
YTD |
1
year |
3
years |
|
Gold ETF |
16.90% |
23.90% |
32.60% |
22.50% |
|
Short-term Bond |
2.20% |
6.20% |
7.40% |
7.40% |
|
Ultra-short Bond |
2.10% |
6.20% |
7.90% |
6.20% |
|
Liquid |
2.00% |
5.90% |
7.60% |
5.90% |
|
Floating Ultrashort Bond |
2.00% |
5.80% |
7.50% |
6.60% |
|
Intermediate Bond |
2.00% |
5.50% |
6.50% |
7.60% |
|
Short Government |
1.80% |
4.00% |
5.20% |
4.50% |
|
Long Government |
1.50% |
3.60% |
5.40% |
6.90% |
|
Intermediate Government |
1.30% |
3.70% |
4.90% |
6.40% |
|
Small/Mid-cap |
-7.50% |
-14.60% |
-16.10% |
14.70% |
|
Large-cap |
-9.60% |
-16.90% |
-17.20% |
10.30% |
|
Source: Morningstar |
||||
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