Tata Infrastructure Fund Direct Plan Payout of Inc Dist cum Cap Wdrl INF277K01PO3

Tata Infrastructure earns an Average Process Pillar rating.

The leading factor in the rating is the experience of the management team, which averages 13 years at this fund. The stability of the management team also supports the rating. Specifically, the fund has not seen a manager change in the last four years. However, the process is limited by the parent firm's five-year risk-adjusted success ratio of 42%. The measure indicates the percentage of a firm's funds that have outperformed their respective category's median return for the period. The parent's subpar success ratio suggests that the firm could do better across its fund lineup.

This strategy tends to hold smaller, higher-growth companies than its average peer in the Equity - Infrastructure Morningstar Category. Examining additional factor exposure, this strategy has consistently had a defensive tilt owing to its exposure to high-quality stocks over the past few years. Though it may trail peers during an economic boom, this orientation contributes to helping it weather periods of economic stress better. In recent months, the strategy was more exposed to the Quality factor compared with its Morningstar Category peers as well. The managers have also tended to underweight yield compared with peers during recent years. Its preference for stocks with lower yields may well lead to a growthier portfolio. However, growth stocks court additional risks if their forecasts do not come to fruition and are often more volatile than companies with stable dividends. Similarly, in recent months, the strategy also had less exposure to the Yield factor than peers. Additionally, the strategy had less exposure to high-momentum stocks compared with Morningstar Category peers in recent months. Momentum investors tend to expect stocks that have done well recently to continue to do so in the short term. Momentum approaches can entail higher turnover and trading costs since the top stocks can often change. More information on a fund and its respective category's factor exposure can be found in the Factor Profile module within the Portfolio section.

The portfolio is overweight in industrials and real estate relative to the category average by 11.7 and 5.4 percentage points, respectively. The sectors with low exposure compared with category peers are financial services and energy, underweight the average by 9.9 and 7.5 percentage points of assets, respectively. The portfolio has 68 holdings and is about as top-heavy as the category average, with 28.2% of assets in the top 10 holdings.