14 Equity Mutual Funds Lost Over 5% Since Last Diwali — What It Signals
The Economic Times reports 14 equity mutual funds lost over 5% since last Diwali, while NDTV Profit weighs FDs, mutual funds and cash as children's Diwali gifts. Our read: product choice should match time horizon.
A one-year decline in a small group of equity funds is a reminder of volatility, not a reason to abandon a strategy.
- 14 equity mutual funds lost over 5% since last Diwali, per The Economic Times.
- NDTV Profit's Diwali-gift article said parents seeking a steady choice could consider an FD for their children.
- NDTV Profit compared fixed deposits, mutual funds and cash as Diwali gift options for children.
The Economic Times reported that 14 equity mutual funds have lost over 5% since last Diwali. Separately, NDTV Profit examined Diwali gifts for children, weighing fixed deposits, mutual funds and cash, and noted that parents seeking a comparatively steady choice could consider an FD. (Source: The Economic Times)
What happened
Over the past year, 14 equity mutual funds declined by more than 5%, according to The Economic Times. The NDTV Profit article on Diwali gifts for children said a fixed deposit may suit parents who want a relatively stable option. (Source: The Economic Times)
Our analysis
Equity funds can swing over a year, and a 5% drop in some schemes is a reminder that returns are not linear. For a child's Diwali gift, the trade-off is usually between growth potential and predictability: equity funds can be volatile, while fixed deposits offer a known return but typically less upside. (Source: The Economic Times)
This matters because many investors gift investments around festivals. If the goal is long-term growth for a child, a short-term dip may be less relevant; if the goal is capital protection, an FD's stability may be more attractive. The choice depends on time horizon and risk tolerance.
What this could mean for you
- Equity mutual fund investors holding one of these 14 schemes may have seen losses of over 5% since last Diwali. (Source: The Economic Times)
- Parents planning a child's Diwali gift could weigh an FD for steadiness against equity funds for potential long-term growth.
- SIP investors in equity funds may notice that some funds have declined over the year, though regular investing can smooth out entry points.
What to watch next
- Whether these equity funds recover in the coming months.
- How interest rates on fixed deposits change, which affects the attractiveness of FDs as gifts.
Bottom line
A one-year loss in a small set of equity funds highlights volatility, while the Diwali-gift question is about matching the product to the child's time horizon. We read this as a prompt to review why a fund is held rather than a broad market signal.
Price projections mentioned above are third-party views reported by The Economic Times. They are not MF Analyser's forecast or a recommendation; markets can move either way.
Source: The Economic Times — These 14 equity mutual funds lost over 5% since last Diwali. Were they part of your portfolio?. This story was written by the MF Analyser News Desk with AI assistance and its figures were checked automatically against the original report. It is for education only and is not investment advice. Mutual fund investments are subject to market risks.
