Analyzing the Performance of 5 India-Focused Mutual Funds
ETF composition
The Wasatch Emerging India Fund (WAINX) invests primarily in small-cap and mid-cap companies. The fund invests with the aim of long-term capital appreciation of the portfolio. As of September 30, 2015, the fund had a total of 76 holdings in its portfolio. The fund invests in portfolios of diversified sectors. The following chart shows the sector-wise composition of the portfolio.
The top ten holdings of the WAINX include stocks such as Glenmark Pharmaceuticals, Cognizant Technology Solutions- Class A, HCL Technologies, and MakeMyTrip (MMYT). Dr. Reddy’s Laboratories (RDY) is a key competitor of Glenmark Pharmaceuticals. Infosys (INFY) is a key competitor of Cognizant Technology Solutions and HCL Technologies. Axis Bank is also one of the top ten holdings of the fund. HDFC Bank (HDB) and ICICI Bank (IBN) are key competitors of Axis Bank.
WAINX is a relatively new fund as compared to the Matthews India Fund (MINDX) and the ALPS Kotak India Growth Fund (INDAX). The WAINX was launched on April 26, 2011.
Comparing the returns to the benchmark
Now, let’s look at the average annual return of the fund as of August 31, 2015. The benchmark index for the WAINX is the MSCI India IMI. We will analyze the returns of the fund in comparison to the benchmark index. Over the three-year period, the fund has consistently outperformed the benchmark index. The following chart is a snapshot of the performance.
2014 proved to be the best year for WAINX. The average annual return of the fund was 45.4%. In the next article, we will discuss another India-focused fund, the Eaton Vance Greater India Fund Class A (ETGIX).
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