MUTUAL FUNDS 

WHY LOGISTICS MUTUAL FUNDS SHOULD BE IN YOUR PORTFOLIO

Published By MintGenie Team | 19 Mar, 2024

Growth Potential

Driven by factors like e-commerce demand, infrastructure development, and government initiatives, India's logistics sector is poised for rapid expansion, projected to reach a market size of USD 215 billion by 2025.
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Investment Opportunity

Investors can capitalize on the growth potential of the logistics sector by opting for logistics mutual funds, which focus on companies involved in or benefiting from this industry.
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Here are some advantages of logistics mutual fund:
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Professional Management

Logistics mutual funds are overseen by experienced fund managers skilled in selecting top-performing stocks within the logistics sector, ensuring effective portfolio management and timely adjustments.
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Diversification

These funds offer diversification by investing in a range of stocks across different segments and sub-segments of the logistics industry, minimizing concentration risk and providing exposure to various growth drivers.

Convenience

Investing in logistics mutual funds is hassle-free and cost-effective, allowing investors to start with small amounts and benefit from compounding over time. Additionally, investors can utilize features like SIPs, STPs, SWPs, DRIPs, etc., for added convenience.
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Tax Efficiency

Logistics mutual funds are taxed as equity-oriented funds, subjecting long-term capital gains exceeding 1 lakh in a financial year to a 10% tax (plus surcharge and cess), while short-term capital gains are taxed at 15% (plus surcharge and cess).
Credit : PIXABAY