line
Use App
Home
Mutual FundsEquity FundsBest Focused Funds

Focused Mutual Funds

Average 3-Year Return

0.00 %

No. of Funds

0

Focused Funds are a type of Equity Funds that invests in a maximum of 30 stocks as per the guidelines of SEBI. These Funds focus on a select few stocks that they believe will outperform the market. While these are the best Focused Mutual Funds to invest in, you must know these 3 things before you start investing. Read More

Best Focused Funds to Invest in 2024

Returns on Focused Funds

Total Investment

₹ 0

Gain

₹ 0

Current Value

₹ 0

You have invested

Check the Returns of Your Investment in

About Focused Funds

Focused Funds have a more concentrated portfolio with a small number of carefully chosen stocks as compared to other Mutual Funds schemes. While mutual funds are well-known for providing diversification, the Focused Funds scheme has a more concentrated and focused approach. These funds are alternatively called as “under-diversified funds” or “concentrated funds”. The main characteristics of Focused Funds include:
  1. Focused Mutual Funds intentionally keep their portfolio to a maximum of 30 Stocks, contrary to other equity mutual funds that hold between 50 and 100 stocks.
  2. There is no restriction on the selection of companies in Focused Funds. The fund manager can choose to invest in stocks from companies from different industries and sectors, with a diverse range of market capitalizations.
  3. Focused Funds can result in better profits if the chosen stocks perform well. However, there are also risks associated with it because of the lower number of stocks. A fund manager's skill and judgment play a major role in how a Focus Fund performs.
Focused funds invest as per the theme of the fund. Investing in Focused Funds may offer the following benefits:

  1. Fund managers perform comprehensive research on stocks before investing in a particular sector based on the fund theme. This reduces the effort on your part to select stocks and yet you can earn good returns.
  2. Focused Funds have the option to invest in any market cap. Fund managers have the freedom to invest in large, mid, or small-cap companies as per the fund theme and performance. This flexibility enhances the overall performance of your portfolio.
  3. As Focused Funds are a part of equity funds, they can be a suitable option for your long-term goals. The portfolio may see some ups and downs due to the short-term market volatility, but long-term gains outweigh the downturns.
You need to understand that investing in Focused Funds carries a higher risk and that the selection of companies by fund managers determines the fund's performance. Thus, before investing, carefully consider the fund manager's background, expertise, investment philosophies, and acceptable degree of risk.
Your investment choices and risk tolerance are the two main factors in deciding if Focused Funds are a wise choice. The following factors should be taken into account when deciding whether Focused Funds fit into your investing plan:
  1. As Focused Funds invest in a limited number of stocks, there are high chances of increased volatility. If you are comfortable with market fluctuations and have a high-risk tolerance, then you can go for these funds.
  2. A Focused Fund can be suitable if you are willing to take on more risk and are looking for potentially bigger returns. If you have a low-risk profile, it’s better to avoid these funds.
  3. Focused Funds are a great option if your portfolio is well-diversified and includes stocks and other funds. You might not be able to achieve your long-term goals with Focused Funds alone due to their under-diversification feature.
It's essential to remember that there is no one-size that fits all. Before investing, you should do your homework and understand your financial condition and goals.
Not everyone would prefer to invest in Focused Funds due to their comparatively high risks profile. Here are some considerations to check if Focused Funds are appropriate for you:
  1. Focused Funds may outperform large-cap or index funds in a portfolio. However, you should never forget that higher returns equal greater risks.
  2. You would be able to realize the full potential of Focused Funds only after investing for the long term. If you wish to receive better returns, you need to stick to the longer time frame.
  3. Focused Funds can be ideal if you are an aggressive investor who can withstand market fluctuations. The fund manager makes stock selections with the expectation of earning substantial returns. However, these selections are risky in nature.
  4. When choosing a Focused Fund, you should be prepared to do extensive research or rely on the fund manager's performance record. It is important to understand the manager's approach, the investing strategy, and the logic behind the choice of stocks.
The main purpose of Focused Funds is that the fund manager invests in fewer, high-conviction stocks that they think will beat the market. If these stocks outperform, you can expect decent profits. You can attain your investment goals by conducting proper research and maintaining a long-term outlook.
Focused Funds have a more concentrated portfolio with a small number of carefully chosen stocks as compared to other Mutual Funds schemes. While mutual funds are well-known for providing diversification, the Focused Funds scheme has a more concentrated and focused approach. These funds are alternatively called as “under-diversified funds” or “concentrated funds”. The main characteristics of Focused Funds include:
  1. Focused Mutual Funds intentionally keep their portfolio to a maximum of 30 Stocks, contrary to other equity mutual funds that hold between 50 and 100 stocks.
  2. There is no restriction on the selection of companies in Focused Funds. The fund manager can choose to invest in stocks from companies from different industries and sectors, with a diverse range of market capitalizations.
  3. Focused Funds can result in better profits if the chosen stocks perform well. However, there are also risks associated with it because of the lower number of stocks. A fund manager's skill and judgment play a major role in how a Focus Fund performs.
Focused funds invest as per the theme of the fund. Investing in Focused Funds may offer the following benefits:

  1. Fund managers perform comprehensive research on stocks before investing in a particular sector based on the fund theme. This reduces the effort on your part to select stocks and yet you can earn good returns.
  2. Focused Funds have the option to invest in any market cap. Fund managers have the freedom to invest in large, mid, or small-cap companies as per the fund theme and performance. This flexibility enhances the overall performance of your portfolio.
  3. As Focused Funds are a part of equity funds, they can be a suitable option for your long-term goals. The portfolio may see some ups and downs due to the short-term market volatility, but long-term gains outweigh the downturns.
You need to understand that investing in Focused Funds carries a higher risk and that the selection of companies by fund managers determines the fund's performance. Thus, before investing, carefully consider the fund manager's background, expertise, investment philosophies, and acceptable degree of risk.
Your investment choices and risk tolerance are the two main factors in deciding if Focused Funds are a wise choice. The following factors should be taken into account when deciding whether Focused Funds fit into your investing plan:
  1. As Focused Funds invest in a limited number of stocks, there are high chances of increased volatility. If you are comfortable with market fluctuations and have a high-risk tolerance, then you can go for these funds.
  2. A Focused Fund can be suitable if you are willing to take on more risk and are looking for potentially bigger returns. If you have a low-risk profile, it’s better to avoid these funds.
  3. Focused Funds are a great option if your portfolio is well-diversified and includes stocks and other funds. You might not be able to achieve your long-term goals with Focused Funds alone due to their under-diversification feature.
It's essential to remember that there is no one-size that fits all. Before investing, you should do your homework and understand your financial condition and goals.
Not everyone would prefer to invest in Focused Funds due to their comparatively high risks profile. Here are some considerations to check if Focused Funds are appropriate for you:
  1. Focused Funds may outperform large-cap or index funds in a portfolio. However, you should never forget that higher returns equal greater risks.
  2. You would be able to realize the full potential of Focused Funds only after investing for the long term. If you wish to receive better returns, you need to stick to the longer time frame.
  3. Focused Funds can be ideal if you are an aggressive investor who can withstand market fluctuations. The fund manager makes stock selections with the expectation of earning substantial returns. However, these selections are risky in nature.
  4. When choosing a Focused Fund, you should be prepared to do extensive research or rely on the fund manager's performance record. It is important to understand the manager's approach, the investing strategy, and the logic behind the choice of stocks.
The main purpose of Focused Funds is that the fund manager invests in fewer, high-conviction stocks that they think will beat the market. If these stocks outperform, you can expect decent profits. You can attain your investment goals by conducting proper research and maintaining a long-term outlook.

Other Equity Funds

Large Cap Funds
Mid Cap Funds
Small Cap Funds
Large & Mid Cap Funds
Value Funds
Flexi Cap Funds
Multi Cap Funds
Contra Funds
Sectoral / Thematic Funds
Dividend Yield Funds
International Funds
Bluechip Funds

Explore Other Mutual Funds

Debt Fund

Debt Funds

Better Than FD

hybrid Fund

Hybrid Funds

Some Equity, Some Debt

Elss Fund

ELSS Funds

Save Tax in Section 80C

Elss Fund

Index Funds

Buy an Entire Index!

Frequently Asked Questions

Focused Funds operate by investing in a limited selection of stocks, allowing for a more concentrated investment strategy. The fund managers of these funds conduct thorough research and analysis to pick a small number of stocks (up to 30) they believe have high growth potential. This approach aims to achieve superior returns by investing in what are considered the best opportunities in the market.

Focused Funds can invest across various sectors and market capitalizations, including large, mid, and small-cap companies. The choice of stocks is based on the fund manager's research and conviction, aiming to include only those stocks that are expected to outperform. This means the investments can span diverse industries, offering a mix of stability from large caps and growth potential from mid and small caps.

While Focused Funds aim to maximize returns by investing in high-performing stocks, profits are not guaranteed. These funds have the potential to yield high returns due to their concentrated approach and selection of stocks that fund managers strongly believe in. However, the risks are also higher, and performance can vary significantly based on market conditions and the success of the selected stocks.

No, Focused Funds are not tax-free. The returns from these funds are subject to taxes similar to other equity mutual funds. Long-term capital gains over ₹1 lakh are taxed at 10% without indexation, and short-term capital gains are taxed at 15%.

The taxation of Focused Funds follows the standard equity mutual fund taxation rules in India. Long-term capital gains (LTCG) exceeding ₹1 lakh are taxed at 10%, and short-term capital gains (STCG) are taxed at 15%. It's important to consider these tax implications when calculating potential net returns from your investments.
Selecting the best Focused Fund requires considering several factors such as the fund manager's track record, the fund's performance history, investment strategy, and how well it aligns with your investment goals and risk tolerance. Additionally, looking at the expense ratio and the specific stocks included in the fund's portfolio can help you assess whether a particular fund is likely to meet your investment objectives.
No, you don't need a demat account to invest in Focused Funds. You can directly invest through mutual fund platforms or AMC websites without a demat account. Demat accounts are optional for mutual fund investments.
Choosing between lump sum and SIP in Focused Funds depends on your financial strategy and market outlook. SIP might be a safer bet for spreading out your investment over time, minimizing risk. Lump Sum could be advantageous if you anticipate a market upswing, but it requires more market insight.
To start an Focused Fund SIP online, follow these 4 steps:
  1. Open Demat Account
  2. Choose the Focused Fund you wish to invest in.
  3. Choose the SIP option, specifying the amount and SIP date
  4. Set up an auto-pay via bank account to automate the SIP payments
Yes, you can sell your Focused Fund investments at any time. These funds are typically open-ended, offering the flexibility to redeem units at the current Net Asset Value. However, consider potential exit loads or market conditions to optimize your returns.
Generally, Focused Funds don't have a lock-in period, giving you the freedom to enter and exit according to your investment strategy. This provides flexibility but always check for specific fund conditions or charges that might apply upon exit.
Focused Funds, by concentrating investments in a limited number of stocks, carry higher risk due to potential volatility in those selected investments. The success of these funds is heavily reliant on the performance of a few stocks, making them more susceptible to specific market or sector downturns.

No investment, even Focused Funds, is risk-free. While they offer the potential for high returns due to concentrated investments in carefully selected stocks, they also carry a higher risk level. Your investments are subject to market fluctuations, and there's always the possibility of not achieving the expected returns.





Invest in Direct Mutual Funds at

0% Commission!

Start with SIP or Lumpsum. Choose from 1000+ direct mutual funds.


border
logo

Join us on

community logo

Follow us on

twitter
telegram
Linkedin
youtube
instagram
facebook

built with love
for Indians who love to invest & trade

raise

We are part of Raise Financial Services

raise
raise

Explore  |  Sitemap


*All securities mentioned on this website are exemplary and not recommendatory.

We are bullish on India, we are bullish on India's prospects to be one of the largest economies in the world. We believe that the stock market provides a unique opportunity for all of India's traders and investors to participate in the growth story of the country.

Yet, most investing & trading platforms in India have remained more or less the same over the past decade. Times have changed and retail traders and investors have become smarter about managing their trades and money. Modern traders & investors require an online trading platform that helps them keep up with the technological advancements of our time.

That's why we're building Dhan - to help you trade, to help you invest, and to help you participate in India's growth stock via the stock market with awesome features and an incredible experience.

We are doing so by giving you access to not just one but 6 products within the Dhan ecosystem:


This means that with Dhan, you'll be able to start:


Lakhs of users already trust Dhan for their online stock trading and investing needs. Dhan is growing rapidly because of the love we receive from SuperTraders and Long-Term Investors who acknowledge that the platform is innovating for them, building super useful features that help them do everything from investing in stock market to trading F&O like a pro on the Tradingview charts and much more.

While we are growing, we will always remember why we started building in the first place - you. Our user-first approach will always be at the heart of our philosophy. Come join us on this incredible journey!

Try it out, you can close your account at anytime using this link.

©2021-2024 Moneylicious Securities Private Limited. All rights reserved. CIN - U74999WB2012PTC184187 Moneylicious Securities is part of Raise Financial Services.

SEBI Stock Broker Registration No: INZ000006031 | Depository Participant (CDSL) ID: IN-DP-289-2016
Exchange Membership No. : NSE: 90133 | BSE: 6593 | MCX: 56320
Registered Office: Office No. 14D, 4th Floor, Shri Krishna Chambers, 78, Bentick Street, Kolkata - 700001, West Bengal, India.
Corporate Office: A-302, The Western Edge I, Off Western Express Highway, Borivali East, Mumbai - 400066, Maharashtra, India. Customer Care: 9987761000.

Details of client bank account

For any query / feedback / clarifications, email at help@dhan.co.

In case of grievances for any of the services rendered by Moneylicious Securities Private Limited, please write to grievance@dhan.co (for NSE, BSE and MCX) or grievancedp@dhan.co (for Depository Participant). Please ensure that you carefully read the Risk Disclosure Document as prescribed by SEBI, our Terms of Use and Privacy Policy. Compliance Officer: Mr. Manish Garg and Mobile: 8655740961 Email: complianceofficer@dhan.co To lodge your complaints using SEBI SCORES, click here.


DHAN is a brand owned by Moneylicious Securities Private Limited. All DHAN clients are registered under Moneylicious Securities Private Limited. Clients are advised to refer to our company as Moneylicious Securities Private Limited when communicating with regulatory authorities.


Procedure to file a complaint on SEBI SCORES: Register on SCORES portal. Mandatory details for filing complaints on SCORES: Name, PAN, Address, Mobile Number, E-mail ID. Benefits: Effective Communication, Speedy redressal of the grievances


Disclaimer: Investment in the securities market are subject to market risks, read all the related documents carefully before investing. Brokerage will not exceed the SEBI prescribed limit


Attention investors:

  1. Stock brokers can accept securities as margins from clients only by way of pledge in the depository system w.e.f September 01, 2020.
  2. Update your e-mail and phone number with your stock broker / depository participant and receive OTP directly from depository on your e-mail and/or mobile number to create pledge.
  3. Check your securities / MF / bonds in the consolidated account statement issued by NSDL/CDSL every month.

Note: As a policy we do not give stock tips or recommendations and have not authorized anyone to give this on behalf of us. If you know anyone claiming to be a part of Dhan / Moneylicious / Raise or our associate companies or partners and offering such services, please report us on help@dhan.co. Important Information for Investors: To prevent unauthorized transactions in your trading / demat account, do not share your account details, credentials or any personal details with anyone. Keep your mobile number updated with your Stock Broker, Depository Participant and ensure that the same is registered with Stock Exchanges, Depository and KRAs. You will receive alerts and information on your registered mobile number / email for debit and other important transactions in your demat account directly from CDSL / Exchange on the same day. KYC is one time exercise while dealing in securities markets - once KYC is done through a SEBI registered intermediary (Stock Broker, DP, Mutual Fund, etc.), you need not undergo the same process again when you approach another intermediary. No need to issue cheques by investors while subscribing to IPO. Just write the bank account number and sign in the application form to authorise your bank to make payment in case of allotment. No worries for refund as the money remains in investor's account. This is issued in the interest of investors.


Moneylicious Securities Private Limited also known as Dhan is only an order collection platform that collects orders on behalf of clients and places them on BSE StarMF for execution. Client expressly agrees that Dhan is not liable or responsible and does not represent or warrant any damages regarding non- execution of orders or any incorrect execution of orders with regard to the funds chosen by the client or due to, but not being limited to, any link/system failure, delay in transfer of the funds on account of any unforeseen circumstances/issues in the banking system/payment aggregators or any other problems that may result in a delay in crediting the funds into the BSE Star MF's bank account.


Mutual fund investments are subject to market risks, read all scheme related documents carefully before investing. Dhan is not a distributor or agent of any mutual fund. Mutual Funds are not exchange-traded products. Any related disputes will not have access to the Exchange-investor redressal forum or arbitration mechanism. For other disclaimers please refer https://dhan.co/advertisement-disclaimer/


Download client registration documents (Rights & Obligations, Risk Disclosure Document, Do's & Don'ts) in vernacular language: BSE | NSE | MCX


Kindly, read the Advisory Guidelines of BSE | NSE | MCX for investors as prescribed by the exchange with reference to their circular dated 27th August, 2021 regarding investor awareness and safeguarding client's assets


Important Links: SEBI | BSE | NSE | MCX | CDSL | SCORES | ODR Portal | Investor Charter for Stock Brokers | Investor Charter for DP | UCC Advisory | e-Voting for Shareholders | NCL Client Collateral details |
MCXCCL Client Collateral details

Important Information: Terms of Usage | Disclaimers | Privacy Policy | Grievances | Risk Management Policy | Risk Disclosure | Advertisement Disclaimer | Saarthi 2.0 Mobile App for Investors