Volatility Measure

It is common knowledge that mutual funds are benchmarked against particular market indices. In general, diversified funds are benchmarked against Sensex or Nifty, while sectoral funds are benchmarked against their particular sector index. It is fair to then assume that the ups and downs of any index will affect the funds that are benchmarked against it. In other words, if the Sensex falls, you can expect a diversified fund like HDFC Equity (which is benchmarked against the Sensex) to fall as well. But while some funds might be affected more by an index's volatility, others might not. So, then how does an investor get an id

This article was originally published on August 01, 2008.