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Glossary Mutual Fund / Term

Sectoral Funds

Sectors Funds are mutual funds (or sometimes ETFs) which invest their corpus in businesses belonging to a particular sector or industry. These funds let investors take targeted bets on the yield potential of a particular industry or sector. As the portfolio of such funds is restricted to only a specific sector and is not diversified, they are considered to higher on the risk meter.

Examples of sectoral funds are Banking Funds, Technology Funds, Pharma Funds, FMCG Funds, etc.

Permanent link Sectoral Funds - Creation date 2020-05-23


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