UTI Pharma & Healthcare Fund

UTI Pharma & Healthcare Fund is managed by Mr. Lalit Nambiar. UTI Pharma & Healthcare Fund is an open-ended fund which exclusively invests in the equities of the Pharma & Healthcare sector companies. This fund is one of the growth sector funds aiming to invest in companies engaged in business of manufacturing and marketing of bulk drug, formulations and healthcare products and services.

Where does UTI Pharma & Healthcare Fund invest your money?

UTI Pharma & Healthcare Fund is a diversified sector fund which means most of your money will be invested in stocks of pharmaceutical companies. Large cap companies tend to be stable compared to mid cap and small cap companies. And just to give kicker returns the fund has exposure in mid cap companies as well. UTI Pharma & Healthcare Fund has 62.48% exposure to large sized companies and 29.12% exposure to mid sized companies and 8.39% exposure to small sized companies.

Suitable for what?
  • Creating wealth
  • Lifestyle needs
Not suitable for what?
  • Child’s education
  • Child’s Marriage
  • Planning for retirement
  • Home Purchase
How has UTI Pharma & Healthcare Fund performed in the past?

If you had invested Rs 1 lakh when the fund was launched in June 1999, your value of investments would be around Rs 4.5 lakhs. If you invested Rs. 1 lakh 5 years back, your value of investment would be around Rs.2.07 Lakhs. The fund's performance has been similar to that of other funds in this category. It has been giving around 16% returns to investors those who have stayed invested for 5 years.

Assume you had invested Rs 10,000 every month in UTI Pharma & Healthcare Fund through SIP for 5 years today you would have around Rs 9.74 lakhs. 

How will UTI Pharma & Healthcare Fund perform in the future?

Needless to say no one can predict the future of markets. We have firm belief in the future prospects of the Indian economy. If the Indian economy grows at 9% then the leading companies tend to do well. When the companies do well their stock prices follow their performance. So if you expect the economy to grow at 8% then you can expect top performing mutual funds to give you returns in excess of 14%.

Mutual fund schemes that have exposure to mid sized companies tend to show results when their bet on few companies comes true. We advise you to avoid too much of star gazing and future prediction. Be reminded that equities are one of the asset classes that have the potential to beat inflation. Your aim for core portfolio should be to beat inflation.

Our recommendation for fresh investment
Not Recommended
Our recommendation for existing investment
When to exit?

Withdraw when your goals are close to achievement. Do not remove the money when the markets go up or down. Do not panic. Stick to your goals.

How frequently you need to monitor the performance?

Once you invest in the fund do not get into the habit of checking the NAV daily or monthly. Review the performance once a year. Too much attention is not good.

What are the charges applicable?

Exit load of 1% is charged if units are redeemed within a year from the date of allotment. No exit load applies for units withdrawn post one year. Expense ratio of UTI Pharma & Healthcare Fund is 2.50%. This is charged to recover the fund management company’s expenses on securities’ transactions, commissions, registrar fees, etc. Your mutual fund returns will be total returns less expense ratio.

What are the tax implications?

The returns in an equity mutual fund are absolutely tax free, provided you do not withdraw within 1 year.

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