Stocks struggle, but these multi-asset funds score big: What’s driving returns?
Multi-asset allocation funds have outperformed the Nifty over one and three years, helped by strong gold, REIT and InvIT returns. Their diversified portfolios provide flexibility across equities, fixed income, precious metals and alternatives, with Quant, Nippon India, WhiteOak, ABSL and UTI among top three-year performers.
Multi-asset funds have outperformed the Nifty over the past one- and three-year periods, delivering average returns of 11.44% and 14.45%, respectively, according to The Economic Times. These funds invest across equities, fixed income, precious metals, REITs, InvITs, and overseas equities, with some allocating 65-70% to unhedged equities and the rest to fixed income, precious metals, REITs, and InvITs.
Strong returns from asset classes outside equities, particularly precious metals, have aided this outperformance, with domestic gold prices rising around 45% over the past year and 150-160% over three years, translating into annualised returns of roughly 36-38% over the three years.
Brief written by urgent.news from The Economic Times - Top News's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
