The markets have appreciated a fair bit over the last month. Net asset values (NAVs) of growth fund have reflected this growth.

Over the month, the markets have witnessed significant buying with old economy very much in the forefront. After a long time, we have seen stocks like L&T, ACC outperform their infotech peers  Infosys, Satyam. The decline in technology, media, telecom (TMT) is linked to the meltdown on the NASDAQ.

Open-ended, Growth Funds	NAV (Rs)	Last week	Last month	Last year	*CAGR Since inception
BSE-30	-	1.9%	3.4%	-18.8%	-
S&P CNX Nifty	-	1.6%	3.5%	-12.3%	-
CRISIL-500	-	2.4%	6.0%	-16.0%	-
K P Prima Fund (Gr)	20.3	3.7%	6.7%	-30.6%	10.7%
Zurich (I) Top 200(Gr)	13.4	3.6%	6.9%	-19.3%	16.2%
Grandmaster 1993	9.9	3.1%	2.2%	-33.0%	-1.2%
Magnum Equity Fund	13.4	2.7%	2.0%	-20.9%	14.4%
Mastergrowth 1993	17.2	2.3%	5.8%	-17.4%	8.2%
Magnum Multiplier Plus 1993	16.1	2.2%	0.4%	-34.6%	7.7%
ING Growth (Gr)	15.7	2.1%	2.7%	-1.4%	34.8%
UGS 10000	11.1	2.1%	5.2%	-17.3%	5.4%
Primary Equity Fund	14.9	2.1%	3.5%	-19.7%	7.3%
Birla MNC Fund (Gr)	30.0	2.0%	1.6%	-9.4%	19.7%
Sun F & C Value (Gr)	20.2	2.0%	5.1%	-15.4%	27.0%

*CAGR=Compounded Annual Growth Rate

However not most funds could benefit from the revival in old economy. That is because most funds did not see the revival coming and were still over-weight on TMT. Quite a few funds missed the bus. Some funds are now re-allocating assets in favour of old economy stocks. As the nervousness pervading dotcoms escalates, we could see a lot more of this re-allocation in future. Investors meanwhile would do well to keep an eye on old economy and TMT allocations of growth funds in the coming weeks.

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