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Updated by Arundhati Sen on May 02, 2021
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What is Equity Mutual Fund?

Equity mutual funds are mutual fund schemes that invest predominantly in the shares and the stocks of companies


Equity Mutual Fund

Equity Mutual Fund

If you don’t know what equity mutual funds? Please note that equity mutual funds are mutual fund schemes that invest predominantly in the shares and the stocks of companies. These mutual funds can be described as growth funds. Fund managers manage these funds, and they are trained and experienced personnel that survey the market and pick out the best stocks to invest in with extensive research. This helps regular investors have the ability to invest in stocks and shares of good potentiality without having to do the research themselves. It also helps investors diversify their investment portfolio.


What is the best equity mutual fund for you?

Now that you know what equity mutual funds are, you must choose a mutual fund for investing. A tata-focused equity fund is one of the best options available in the market. The Tata equity savings fund is an actively managed mutual fund that focuses on value investing. This means the company believes in buying good stocks at reasonable/affordable prices instead of buying cheap stocks. This mutual fund is also one of the best options for an investor’s core investment portfolio.


Who can benefit the best from investing in this fund?

The fund size of the tata equity fund is 4,549.61 cr with a monthly average sum of 4,601.08 cr.
This mutual fund is ideal for investors that are looking to gain a long-term appreciation of their investment. This is also an excellent option for people that are interested in investing in equity, with a minimum of 70% of their investment being made to equity or related instruments.


In which sectors does the fund invest?

The tata equity fund invests in a variety of industries to provide you with a diversified investment portfolio. The exact percentage of investment in different sectors as of March 2021 are:


List of sectors to invest

• Financial Services: 31.38%
• IT Sector: 15.92%
• Consumer Goods: 13.35%
• Petroleum Industry (Oil & Gas): 9.51%
• Pharmaceutical Industry: 5.61%
• Power and Electricity Industry: 3.46%
• Cement & Cement Products: 3.25%
• Service Industry: 2.74%
• Media and Entertainment Industry: 1.88%


Products of TATA Mutual Funds

Products of TATA Mutual Funds

There are many available products of the TATA mutual funds; two of them will be mentioned in this article, they are:


• Tata hybrid equity fund:

This is an aggressive hybrid fund with a moderately high-risk factor. This fund predominantly invests in Indian stocks, with up to 77% of their stocks dedicated to Indian companies. The investment is divided among large, medium, and small-cap stocks. Some parts are also invested in government securities and very low-risk securities. The *tata hybrid equity fund* monthly dividend stands at 0.44% currently.


• Tata pe equity plan direct

The tata pe equity plan direct growth is a value fund with a very high-risk factor. This fund invests heavily in Indian stocks, with 97% of its investments being made on Indian stocks and shares. The investment is divided among large-cap, medium-cap, and small-cap stocks. This fund is for investors that have advanced knowledge of the market and can read macro market trends



As always, it should be mentioned; that mutual funds are subject to market risks. For choosing the right mutual fund for your investments, you must study the goals of each fund and check if they are in line with your investment goals.