Cnbc Awaaz Your Money Mutual Fund 2012

The Rise of Mutual Funds: CNBC Awaaz's Guide to Maximizing Your Money in 2012

**Introduction**

Maximizing Your Investments: A Look Back at CNBC Awaaz's Top Mutual Funds of 2012

When it comes to investing, knowledge is power. In the world of mutual funds, staying informed about market trends and top-performing funds is crucial. In 2012, CNBC Awaaz created a comprehensive list of the best mutual funds for Indian investors, based on expert analysis and industry insights. Now, almost a decade later, let's take a look back at these top mutual funds and see how they have performed over time.

**Understanding Mutual Funds**

Demystifying Mutual Funds: What They Are and How They Work

Before we dive into the top mutual funds of 2012, let's first understand what mutual funds are and how they work. A mutual fund is a professionally managed investment fund that pools money from multiple investors to purchase a diversified portfolio of securities, such as stocks, bonds, or a combination of both. This diversification helps mitigate risk and allows investors to access a variety of investment opportunities without having to manage them individually.

In simpler terms, mutual funds act as a bridge between investors and the stock market, making it easier for regular investors to enter the market without having to navigate it alone. They are also a convenient way to make investments as they offer the option of investing through a lump sum or systematic investment plan (SIP), where a fixed amount is invested at regular intervals.

**The Top Mutual Funds of 2012**

Examining CNBC Awaaz's Picks: A Detailed Analysis

In 2012, CNBC Awaaz's team of experts identified and recommended 10 mutual funds for Indian investors. These funds were selected based on their consistent performance, low risk, and ability to generate long-term wealth. Let's take a closer look at each of these mutual funds and see how they have fared over time.

Birla Sunlife Ethical Plan-Growth

This mutual fund has consistently delivered strong returns in the past decade, with an annualized return of 18.54% since its launch in 2005. It invests in companies that adhere to ethical, social, and governance principles, making it an attractive option for investors who want to align their investments with their values.

Franklin India Taxshield-Growth

This tax-saving mutual fund has also performed well over the years, with an annualized return of 12.69% since its inception in 1999. It primarily invests in equity and equity-related securities, making it a suitable option for long-term wealth creation and tax-saving purposes.

HDFC Long Term Advantage Fund-Growth Option

This fund has consistently outperformed its benchmark, delivering an annualized return of 18.18% since its launch in 2001. It invests in a mix of large-cap and mid-cap companies, providing a balanced portfolio for investors.

ICICI Prudential FMCG Fund-Growth

As the name suggests, this mutual fund mainly invests in the fast-moving consumer goods (FMCG) sector. It has delivered an annualized return of 21.23% since its launch in 1999, making it a top performer in its category.

ICICI Prudential Infrastructure Fund-Growth

This infrastructure fund has delivered an annualized return of 10.73% since its inception in 2005, outperforming its benchmark index. It invests in companies that operate in the infrastructure sector, such as construction, power, and transportation, offering investors exposure to this rapidly growing industry.

Reliance Vision Fund-Growth

This diversified equity fund has delivered an annualized return of 18.77% since its launch in 1995. It focuses on investing in companies that have the potential to generate long-term wealth, making it a suitable option for investors with a high-risk appetite.

SBI Magnum Sector Fund Contra-Growth

This fund follows a contrarian investment approach, investing in sectors that are currently out of favor but have the potential to perform well in the long run. It has delivered an annualized return of 12.45% since its inception in 2005.

Tata Ethical Fund-Growth

Similar to Birla Sunlife Ethical Plan, this mutual fund also invests in companies that follow ethical, social, and governance principles. It has delivered an annualized return of 15.56% since its launch in 1996.

UTI Mastershare Unit Scheme-Growth

This mutual fund invests in a mix of large-cap and mid-cap companies, providing a balanced portfolio for long-term wealth creation. It has delivered an annualized return of 20.27% since its inception in 1986.

UTI Pharma & Healthcare Fund-Growth

This sector-specific fund invests in companies in the pharmaceutical and healthcare sector. It has delivered an annualized return of 18.93% since its launch in 2005, making it a top performer in its category.

**Key Takeaways**

Learning from the Past: What 2012's Top Mutual Funds Can Teach Us

After analyzing these top-performing mutual funds of 2012, a few key takeaways emerge. Firstly, it is essential to have a diverse portfolio that includes a mix of various types of mutual funds, such as equity, debt, and sector-specific funds, to mitigate risk. Additionally, it is crucial to stay invested for the long term to benefit from the power of compounding and ride out market fluctuations.

Furthermore, it is essential to conduct thorough research and consult with financial experts before investing in mutual funds. Past performance is not a guarantee of future results, and it is crucial to understand the fund's investment objective, risk profile, and fees before making any investment decisions.

**Conclusion**

The Power of Informed Investing: A Final Word

In conclusion, CNBC Awaaz's top mutual funds of 2012 have shown consistent and impressive performance over the past decade. They serve as a testament to the power of informed investing and the importance of staying updated with market trends. As we move into the future, it is crucial to continue educating ourselves about the world of mutual funds to make well-informed investment decisions and maximize our returns.