Contra mutual fund

Tue, 12 May 2026 00:00:00 +0000

A contra mutual fund in India is an open-ended equity scheme that must follow a contrarian investment strategy – investing in stocks and sectors that are currently out of favour with the broader market, on the thesis that the market has over-discounted bad news and that mean reversion will generate superior returns. SEBI ’s October 2017 scheme categorisation circular defined contra funds as a distinct category, requiring each AMC that wishes to offer either a contrarian strategy or a value strategy to choose one: an AMC may not operate both a value fund and a contra fund simultaneously.

Contra Fund on WebNotes

Contra mutual fund