ING Midcap Fund is an open-ended Mid cap oriented fund with an highest exposure in the Banking sector. Investors with high risk taking capacity can consider investing in this fund, reckons financial advisor Arnav Pandya.
Nature: Small & Mid cap
Inception: May 2005
Assets under Management: Rs 30 crore at the end of June 2012
Fund Manager: Jasmina Parekh
This is a mid cap fund that seeks the benefits of investing in mid cap stocks but with a controlled amount of risk. At the end of June 2010, the fund had the highest exposure to banks at 18 per cent of the portfolio followed by consumer non durables at 14 per cent and Pharma. The fund was conservative in its approach and the top company in the portfolio Aditya Birla Nuvo had an exposure of just 4 per cent. Andhra Bank, Crompton Greaves, Exide Industries, and Tata Chemicals were some of the other top holdings in the portfolio. The fund had a portfolio turnover ratio of 200 per cent and its benchmark was the CNX Midcap Index. The fund was underperforming the benchmark over the one, three, and five year time periods. Six months later there was a slight change in the pecking order of the sectors in the fund as consumer non durables was now the top sector with 20 per cent exposure. This was followed by Banks, Pharma, and Finance. Titan Industries was now the top holding and some of the other companies with high holdings were Asian Paints, Tata Chemicals, J&K Bank, and Lupin. The fund remained an underperformer over the one, three, and five year time periods. The change in the sectors continued to play out with Banks once again being at the top of the list at the end of June 2011 with an exposure of nearly one fourth of the total portfolio. Consumer non-durables, Pharma, and software were the other sectors with a high exposure. The portfolio turnover ratio had dipped slightly to 160 per cent. In terms of the individual stocks Coromandel International was the top holding followed by