Investment Funds Capitalize as Stock Markets Rally

EghtesadOnline: The record monthly growth in the Iranian stock market last month (July 23-Aug. 22), with a 26% increase registered in Tehran Stock Exchange alone, led to the prosperity of investment funds.

News ID: ۷۸۳۸۳۶

29 August 2018

According to Financial Tribune's sister publication, Donya-e-Eqtesad, an analysis of the monthly performance of funds, including equity, fixed income and mixed, mutual and exchange-traded funds, shows that the highest rate of return belonged to equity funds, with the return rate exceeding 39%.

This is while only one equity fund did not follow suit and even for this fund, the loss rate was under 1%.

In comparison, the highest rate of return for mixed funds was around 20%. Among fixed-income funds, a return of more than 4% was recorded. Non-commodity exchange-traded funds had a similar trend to that of equity funds, with return rates standing at around 30%, Financial Tribune reported.

Commodity-based ETFs registered a return rate short of 15%.

Ganjineh Armaghan Almas Fund was the biggest winner among equity funds, as it registered a yield of 34.38%. The fund's quarterly return was over 49%, with a yield of 63.3% and 78% in the last six-month and one-year periods respectively. The fund used more than 92% of its portfolio to investing in stocks, most notably base metals that made up 31% of the fund's portfolio.

Khobregan equity fund was another big name on the list with a monthly growth of more than 36%.

Among mutual funds, Charisma, Tose'e Ta'avon Bank's fund and Yekom Exir Farabi were the most prominent, with monthly yields of 35.35%, 34.27% and 32.63%, respectively.

This is while Zanjireh Omid had the highest yield rate among fixed-income funds with 4.36%. Barakat-Tadbir had the highest yield among mixed income funds with a monthly return of 20.25% and a quarterly yield of 34.42%.

Sepehr Charisma was the most successful exchange-traded fund, as it registered a monthly yield of 30.47%, while its quarterly, six-month and annual yield rates were at 47.08%, 37.88% and 70.51%, respectively.