know how you can make best use of focused funds

Focused funds on an average hold 20-30 stocks

FOCUSSED FUNDS can  invest in maximum of 30 stocks

If we compare the risk between focused , portfolio management services and flexi cap funds .

The risk due to concentrated portfolio in PMS is higher than in focused fund more diversified flexi cap funds invest in 50-60 stocks thereby reducing the risk of concentration

Biggest advantage of focused fund compared to PMS is in taxation. In PMS every sell transaction is taxed and its also subject to advance tax payment and reporting

taxation on focused funds is similar to other equity funds. In case you hold your investments for more than a year, the gains you will earn will be classified as Long-Term Capital Gains (LTCG) and will be taxed at the rate of 10 per cent.

Top 4 focused funds are IIFL Focused Equity Fund Quant Focused Fund Sundaram Focused Fund SBI Focused Equity Fund

Return generated by top focussed funds IIFL Focused Equity Fund 15.8 % Quant Focused Fund   15.6 % Sundaram Focused Fund 14% SBI Focused Equity Fund 13%