4 New Funds Enter VR Ratings System

Value Research Fund Ratings (risk-adjusted rating) identifies the best funds in the Indian mutual fund universe, giving investors a superlative platform to launch their mutual fund investment voyage, saving both effort and time. The fund rating is a convenient composite measure of both risk and returns. It is purely quantitative and there is no subjective component to the rating system. Each category must have a minimum of 10 funds for it to be rated. A fund with less than Rs 5 crore of average assets under management (AAUM) over the past six months will not be eligible for rating. New Ratings Four new funds entered the Value Research Rating family in December. One fund in the Hybrid Debt-Oriented category, Birla Sun Life Asset Allocation Conservative, jumped straight into the elite category to a 4-star rating. This is the first time that it has been rated since January, 2009. Two of the remaining three, Reliance Long Term Equity and Tata Capital Builder (both in the Equity Diversified category), gained a 3-star rating. The remaining fund, Birla Sun Life Short Term Opportunities Ret (Liquid Plus category), gained a 1-star rating - this is the first time that both these funds got rated. Upgrades: Two funds made the biggest jump as they entered the elite category. IDFC Cash Plan C falling under the Ultra Short-term Institutional category raised its star quotient from 1- to 4-star. On the other hand, DBS Chola MIP, falling under the Hybrid Monthly Income category, leaped from a 3- to a 5-star rating.  Apart from these two, 27 other funds got upgraded by one notch, with four reaching the elite 5-star rating. 471 funds did not witness any change in their ratings from the previous month (November).  Upgrades Funds    Dec-09    Nov-09    Change IDFC Cash Plan C   4   1   3 DBS Chola MIP   5   3   2 Magnum MIP   2   1   1 HDFC Balanced   4   3   1 HDFC Children's Gift-Inv   3   2   1 DWS Tax Saving   3   2   1 ICICI Prudential Index Retail   5   4   1 Canara Robeco Infrastructure   5   4   1 Birla Sun Life Infrastructure Plan A   4   3   1 DSPBR Small and Mid Cap Reg   4   3   1 Fortis Dividend Yield   4   3   1 HDFC Premier Multi-Cap   4   3   1 UTI Contra   4   3   1 Birla Sun Life India GenNext   3   2   1 Magnum Global   3   2   1 Tata Select Equity   3   2   1 Principal Growth   2   1   1 Fortis Overnight Inst Plus   5   4   1 IDFC Cash Plan B   3   2   1 ICICI Prudential Liquid   3   2   1   Downgrades: 31 funds fell by a notch in December, of which 5 were earlier rated 5-star. Downgrades Funds    Dec-09    Nov-09    Change Kotak Contra   3   4   -1 Sundaram BNP Paribas Select Focus Reg   3   4   -1 IDFC Classic Equity Plan A   2   3   -1 Tata Growth   2   3   -1 Tata Service Industries   2   3   -1 Taurus Starshare   2   3   -1 ICICI Prudential Services Industries   1   2   -1 HDFC Liquid Premium   4   5   -1 DWS Insta Cash Plus Super Inst   3   4   -1 Religare Liquid Inst   2   3   -1 Templeton India TMA Inst   2   3   -1 Fidelity Cash Super Inst  

This article was originally published on January 05, 2010.