Amid the gloom cast by Covid-19 last year, healthcare mutual funds made a strong comeback. These thematic funds gave 29.31 percent returns in the quarter ended June 2020. As the economy opened up later, especially this year, savvy investors gradually shifted to the so-called cyclical sectors (those influenced by macro factors). Pharmaceutical and healthcare funds lost their sheen; they lost 1.74 percent in the quarter ended March 31, 2021. Should you still hold them? Investors still love them. The corpus managed by this category grew, partly due to the launch of four new funds in the past year. Experts say the best of this sector might just be behind us, though a measured exposure is fine. Just do not get swayed by the past performance.