Glossary· Portfolio
What is P/E ratio?
Also known as Price to earnings
The weighted-average P/E of the fund's equity holdings.
Roughly, what the portfolio costs per rupee of the underlying companies' earnings. Only meaningful against funds in the same category — a small-cap fund and a large-cap fund carry structurally different P/Es. Shown only where we have enough holdings coverage to compute it honestly.
For the formula and the constants behind this figure, see Methodology.
Guides that use P/E ratio
3 guides put this term to work.
- Value vs growth: which style actually wins over the long run?Two different bets with two different failure modes — the value trap and multiple compression — and leadership cycles long enough to exhaust anyone's patience.
- Infrastructure and PSU funds: riding the government capex cycleA leveraged bet on capex and policy, with a specific trap: cyclicals look cheapest exactly when earnings have peaked, which is also when the schemes get launched.
- Consumption and FMCG funds: the defensive play that isn't always defensiveThe steadiest earnings in the market, already priced as such — plus a rural and input-cost macro exposure most buyers of a 'defensive' fund never notice.
More on portfolio
What the fund actually holds, aggregated from its published holdings.
- AUM
- The total money the scheme currently manages.
- P/B ratio
- The weighted-average price-to-book of the fund's equity holdings.
- Average market cap
- The weighted-average size of the companies the fund holds.
- Large / mid / small cap split
- How the equity portfolio divides across the three SEBI size bands.
- ASM
- An NSE flag on a stock showing unusual price or volume activity.