Why diversified mutual funds offer stability as IT stocks fall

Market experts say diversified mutual funds help manage risk better than thematic funds during volatility.

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Why diversified mutual funds offer stability as IT stocks fall

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Why diversified mutual funds offer stability as IT stocks fall
Market experts say diversified mutual funds help manage risk better than thematic funds during volatility.
IT stocks continued to slide amid global uncertainty, prompting advisers to highlight diversified mutual funds as safer options than thematic bets. Experts said diversified funds spread risk across sectors, cushioning volatility when single themes underperform. Thematic funds may deliver sharp gains but also sharper drawdowns. Retail investors are advised to prioritise asset allocation, staggered investments, and long-term discipline over short-term sector trends during market stress.
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