What is a Mutual Fund Tracker? How to Use & Track Your MFs?
Investing in mutual funds has gained popularity in recent years due to the dynamic market environment. Selecting the right mutual fund is crucial for maximizing returns. However, it’s not sufficient to just invest in suitable funds. Periodically monitoring their performance is essential. Despite the complexity of mutual fund investment, tracking your investments is the key to ensuring your plans unfold as intended. Thus, we’ve compiled a comprehensive guide on Mutual Fund Trackers for your convenience!
What is a Mutual Fund Tracker?
Mutual fund trackers are tools or platforms that actively monitor and display the performance of mutual funds. They provide real-time or periodic updates on the fund’s net asset value (NAV), portfolio composition, and overall returns. These trackers help investors stay informed about their investments, enabling them to make data-driven decisions and assess the success of their mutual fund holdings. We will explore the different ways in which you can track your mutual fund performance.
Why Should You Track Your Mutual Fund Performance?
Mutual funds, as marketable securities, exhibit varying performance in response to market conditions. Regularly monitoring their performance is crucial for several reasons:
- Goal Tracking: Investing with specific goals in mind becomes more manageable by monitoring your mutual fund’s performance. This allows you to assess whether your returns align with your financial objectives, enabling adjustments to your portfolio if necessary.
- Informed Decision-Making: Active tracking by a mutual fund portfolio tracker empowers you to make informed decisions. Adjusting your investment in a fund becomes more strategic as you respond to its performance, whether by increasing or decreasing your stake.
- Rebalancing MF Portfolio: Market volatility can alter the asset allocation of your portfolio. Keeping a close eye on its performance allows you to promptly rebalance it to maintain the desired asset allocation, adapting to changing market conditions.
How to Track Your Mutual Fund Performance Using Mutual Fund Tracker?
Explore various methods to monitor your mutual fund investments effectively. Here are some popular approaches to an MF portfolio tracker:
Online Portfolio Trackers
Utilize free online portfolio trackers for comprehensive mutual fund tracking. This free tool assesses your investments, compares portfolio performance with the NIFTY 50 index, and provides insights on sector allocation, equity mix, hidden fees, underperforming funds, and high-risk exposure.
Mutual Fund Fact Sheet
Access monthly fact sheets released by Asset Management Companies (AMCs) for a quick overview of your mutual fund’s health. These one-page documents include key scheme details, portfolio data, volatility measures, and fund performance against benchmarks.
Investment Advisor
If you’ve enlisted an investment advisor, leverage their expertise to monitor and optimize your mutual fund portfolio.
Consolidated Account Statement (CAS)
Obtain a consolidated statement of all monthly financial transactions across fund houses and folios through CAS, sent by CDSL or NSDL to your registered email. Easily access it online through the CAMS website.
Asset Management Company Website or Mobile App
Check the performance of your mutual funds by logging into the respective fund house’s website or one of the best app to track mutual funds. However, for a more efficient overview of investments across multiple AMCs, consider using an online portfolio tracker.
By employing these methods and using them as your personalized Mutual Fund Trackers, you can stay informed about your mutual fund portfolio’s progress and make informed decisions.
How to Use a Fund Sheet as a Mutual Fund Tracker?
The Mutual Fund (MF) Fact Sheet is a concise, monthly report that acts as a scheme report card. It provides vital information for both potential and existing investors, thereby acting as a mutual fund performance tracker. Here’s what it covers:
Key Scheme Information
- Scheme Name
- Investment Objective
- Type of Scheme
- Fund Manager‘s Name and Experience
- Date of Initial Allotment post NFO
- Average and Latest Assets Under Management (AUM)
- Latest Net Asset Value (NAV) per unit
- Load Information
- Benchmark
- Expense Ratio
- Total Expense Ratio (TER) for Regular and Direct Plans
- Dividend History
Portfolio Data
- Investment in Securities
- Sector Allocation for Equities
- Asset and Rating-Class Allocation for Debt
Quantitative/Volatility Measures
- Standard Deviation, Beta, Sharpe Ratio for Equity Fund
- Portfolio Turnover for Equity Fund
- Modified Duration, Average Maturity, Portfolio Yield, Tracking Error (for Index Fund/EF) for Debt Fund
Fund Performance/Returns
- Reflect Returns for Liquid and Non-Liquid Funds
- SIP Returns
The fact sheet serves as a crucial tool for investors in assessing:
- TER Analysis: Before investing, it’s essential to understand the Total Expense Ratio (TER) impact on returns.
- Risk Assessment: The fact sheet reveals the fund’s risk level, aiding investors in aligning it with their risk tolerance.
- Returns Overview: Historical performance over various periods helps investors understand the fund’s trajectory and history.
Remember, accessing the fact sheet is easy. It’s available on the mutual fund’s website, and you can also request a copy to be mailed to you. This MF performance tracker empowers investors to make informed decisions based on the fund’s past, present, and potential future performance.
To Wrap It Up…
Monitoring your mutual funds doesn’t require market expertise. For those incorporating investing into their lives, learning is essential. Start with Mutual Fund Trackers, specifically fact sheets, for valuable insights. Periodically consult these documents to gauge your investment performance. We have also provided other possible ways to track you mutual fund investments including using AMCs and other online portfolio mutual fund NAV trackers. These tracking methods would eventually help you stay on top of your investment game as you would be making informed choices based on your fund’s performance.
FAQs
Tracking multiple mutual fund investments can be challenging. Simplify the process with a mutual fund tracker, consolidating external investment information in one place for easy monitoring.
Mutual Fund Trackers keep tabs on your investments, assets, expenses, and profit/loss statements, providing a comprehensive overview of your financial portfolio.
A mutual fund SIP portfolio tracker helps you by monitoring and providing real-time updates on your investments, assets, expenses, and profit/loss statements. It offers a comprehensive view of your financial portfolio, aiding you in making informed decisions and staying on top of your investment performance.
You are free to explore diverse methods to track all mutual funds in one place, such as Online Portfolio Trackers, Mutual Fund Fact Sheets, Investment Advisors, Consolidated Account Statements (CAS), and Asset Management Company Websites or Mutual Fund Tracking Apps.
Mutual Fund Trackers help you stay informed about your investments with ease by closely analyzing them.
