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Tech, Index Funds Sizzle

Funds toed the equity markets' northern march in the week ended April 21, 2006. Indian bourses were back in action after ending the previous week on a weak note. Technology and index funds gave the best returns during the week

Funds toed the equity markets' northern march in the week ended April 21, 2006. Indian bourses were back in action after ending the previous week on a weak note. As the Sensex zoomed 7.06 per cent to end the week above 12,000 levels, technology and index funds staged the best returns during the week.

Diversified Equity Funds
In the week that saw the Sensex touching the 12,000-mark, Deutsche Alpha Equity generated the fattest return in the category of diversified equity funds. The fund recorded a gain of 8.37 per cent against a category average return of 4.57 per cent.

Top-5 equity diversified funds: Deutsche Alpha Equity (8.37 per cent), Prudential ICICI Dynamic (7.41 per cent), Sundaram Select Focus (7.36 per cent), Standard Chartered Classic Equity (7.17 per cent), Reliance Regular Savings Equity (7.08 per cent).

Bottom-5 Equity Diversified Funds: UTI PSU (1.11 per cent), BoB Growth (1.15 per cent), UTI MNC (1.22 per cent), Canemerging Equities (1.46 per cent), Quantum Long Term Equity (1.85 per cent).

Tax Planning Equity Funds
The category reported a gain of 4.69 per cent during the week ended April 21.

Top-5 Tax Planning Funds: ABN AMRO Tax Advantage Plan (8.79%), Franklin India Index Tax (6.72), Deutsche Tax Saving (6.11%), Tata Tax Saving (5.77%), LICMF Tax Plan (5.74%).

Bottom-5 Tax Planning Funds: Libra Taxshield '96 (2.22 per cent), Birla Sun Life Tax Relief '96 (2.93 per cent), HDFC Long Term Advantage (2.94 per cent), HDFC Taxsaver (3.31 per cent), Birla Equity Plan (3.52 per cent).

Technology Funds
Technology funds stole the show on the back of hectic buying in IT stocks with a category return of 6.96 per cent. UTI Software clocked the best gain of 8.81 per cent among the seven funds in the market. The BSE IT Index posted a gain of 7.38 per cent.

Index Funds

The gains in the indices were mirrored by the index funds with the category recording a gain of 6.44 per cent during the week. In fact, the top four performers in this category of 22 funds bettered the Sensex return of 7.06 per cent during the week.

Top-5 Index Funds: LICMF Index Nifty (9.18 per cent), LICMF Index Sensex (8.37 per cent), Reliance Index Sensex (7.14 per cent), UTI Master Index (7.09 per cent) & Prudential ICICI SPIcE (7.03 per cent).

Bottom-5 Index Funds: Banking BeES (2.86 per cent), Nifty Junior BeES (3.36 per cent), Reliance Index Nifty (4.20 per cent), HDFC Index Nifty (5.79 per cent) & Birla Index (6.33 per cent).

Equity-Oriented Hybrid Funds
The category of equity-oriented hybrid funds gained 3.45 per cent during the week.

Top-5 Equity-Oriented Funds: JM Balanced (5.34 per cent), LICMF ULIS (4.84 per cent), FT India Balanced (4.76 per cent), Templeton India CAP Gift Plan (4.70 per cent), Prudential ICICI Advisor-Aggressive (4.48 per cent).

Bottom-5 Equity-Oriented Funds: HDFC Prudence (1.51 per cent), HDFC Children's Gift-Inv (1.55 per cent), BoB Balance (1.99 per cent), Principal Child Benefit (2.14 per cent), Sundaram Balanced (2.34 per cent).

Debt Funds
The RBI, in its policy review announced on April 18, kept the short-term rates unchanged. The central bank kept the Reverse Repo Rate unchanged at 5.5 per cent. Bank Rate, Repo Rate and Cash Reserve Ratio were not touched too. This has a positive impact on the bond markets.

Medium-Term Debt Funds: The category mustered a gain of 0.25 per cent during the week.

Top-5 Medium-Term Debt Funds: Principal Income (0.45 per cent), HDFC Income (0.40 per cent), Templeton India Income Builder (0.39 per cent), HDFC High Interest (0.38 per cent), Birla Income Plus (0.33 per cent).

Bottom-5 Medium-Term Debt Funds: BoB Income (0.06 per cent), Reliance Regular Savings Debt (0.06 per cent), Tata Income Plus (0.07 per cent), Tata Income Plus HI (0.07 per cent), BoB NRI Long-term (0.07 per cent).

The category of ultra-short term debt funds generated a return of 0.12 per cent during the week under study.