The 258-point fall in the BSE Sensex yesterday (14th April 2000) to 5,169 points dealt a hard knock to most mutual fund NAVs (net asset values), particularly sectoral funds.

With large scale dumping of software (Satyam, Infosys, Wipro, SSI) and telecom (HFCL, Global Tele) stocks, IT/technology funds are back where they were last week when the Sensex was on a roller-coaster after IT counters witnessed heavy sales. The only difference is that yesterday the markets witnessed decline even in the old economy stocks, which were picking up smartly earlier.

Significantly, FMCG (HLL, Tata Tea, ITC, Dabur, Nestle) and Pharma (Ranbaxy, Wockhardt, Hoechst Marion, Sun Pharma) stocks gave IT stocks company on their downward journey.

So all sectoral funds - IT, Pharma and FMCG witnessed a fall in NAVs. Investors who invested in these schemes in the good old days when these sectors formed the golden triangle, are now waking up to some harsh realities.

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