New investors can invest with an amount of Rs 5000 and any amount thereafter while for existing investors, Rs 1,000 and any amount thereafter is allowed. For Systematic Investment Plan (SIP), the minimum amount is Rs 1,000 and in multiples of Re 1 thereafter.
Investors need to be aware that sectoral funds can make them vulnerable to market fluctuations, and poor sectoral performance can result in suboptimal returns. It s crucial to recognize that the high potential returns come with an equally high level of risk, requiring a balanced and informed investment approach.
AMCs are already under pressure from changes in taxation for debt mutual funds and the new proposal by Securities and Exchange Board of India to bring a uniform total expense ratio (TER) will impact profits by 13 percent, according to a Jefferies report released on May 19.