Invest in Best Pharma Sector Mutual Funds in India for 2026
Explore the list of top-performing pharma sector mutual funds schemes curated by our experts
Best Pharma Sector Mutual Funds
Pharma and Healthcare Mutual Funds represent strategic investment opportunities in India's growing healthcare sector. These sector-specific schemes invest in pharmaceutical manufacturers, hospital chains, diagnostic centers, and healthcare technology firms. With India's growing healthcare infrastructure and increasing focus on medical innovation, these funds offer investors a unique combination of defensive stability and growth potential through carefully selected portfolios of healthcare sector companies.
You would have got
Total Investment
₹ 1200
Expected Returns
₹ -3
Total Value
₹ 1197
Past performance doesn’t assure future results; actual outcome may vary due to market dynamics.
Your Investment Amount
- 1
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per annum
Understanding Pharma and Healthcare Funds
How Do Pharma and Healthcare Mutual Funds Work?
Pharma and Healthcare Mutual Funds pool investments from multiple investors to create a diversified portfolio within the healthcare sector. Professional fund managers analyse industry trends, regulatory environments, and company fundamentals to select stocks with strong growth potential. These funds typically maintain 80% of their assets in healthcare and pharmaceutical companies, balancing established manufacturers with emerging healthcare technology firms.
The sector's essential nature and continuous innovation provide stability and growth opportunities. This combination of defensive characteristics and innovation-driven growth makes healthcare funds in India particularly valuable for investors seeking sector-specific exposure with long-term potential.
Pharma and Healthcare Mutual Funds FAQs
Pharma mutual funds can be valuable investments for those seeking sector-specific exposure. They offer potential for growth through healthcare innovation while maintaining defensive characteristics during market volatility.
Healthcare and pharma funds have delivered returns ranging from 12-15% annually over the long term. However, past performance doesn't guarantee future returns, and results can vary based on market conditions.
Healthcare mutual funds provide targeted exposure to a growing sector with strong fundamentals. They can be suitable for investors seeking diversification and long-term growth potential in their portfolios.
Through Choice's platform, you can compare and invest in top-performing healthcare funds based on factors like returns, risk metrics, and fund management quality. The 'best' fund depends on your specific investment goals and risk tolerance.
Financial experts typically recommend limiting sector-specific investments to 10-15% of your overall portfolio for proper diversification. Consult with Choice investment experts for personalized assistance.
The pharmaceutical sector's essential nature and focus on innovation make it attractive for long-term investors. However, maintain proper portfolio diversification and consider your risk tolerance.
Pharma sector mutual funds offer focused exposure to India's pharmaceutical and healthcare industries. Their unique defensive characteristics come from the essential nature of healthcare services and medicines, making them relatively resilient during economic downturns.
Healthcare funds in India typically demonstrate lower volatility compared to other sector funds. Their defensive nature often helps them maintain stability during market uncertainties, though returns can vary based on sector-specific factors and broader market conditions.
While both fall under the same category, pharma mutual funds primarily focus on pharmaceutical companies, while healthcare mutual funds have a broader portfolio including hospitals, medical equipment manufacturers, and healthcare technology firms. This diversification can offer different risk-return profiles.
When selecting the best pharma mutual funds, consider factors such as: Historical performance across market cycles, Fund manager's expertise in the healthcare sector, Portfolio composition and diversification, Expense ratio and fund size, Risk-adjusted returns metrics.
Key growth drivers include: Increasing healthcare spending in India, Growing medical tourism sector, Rising chronic disease prevalence, Government initiatives supporting healthcare infrastructure, Innovation in pharmaceutical research and development.
Yes, Choice offers expert research and recommendations for pharma and healthcare fund selection, helping you make informed investment decisions based on your goals.
You can start investing in pharma and healthcare funds through Choice with SIPs as low as ₹ 500 per month, making it accessible for all investor types.
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