Investors often rely on the healthcare sector to safeguard their investments. This is because healthcare services do not see their demand varying too much with respect to market conditions and thus offer sufficient protection to the capital invested. Many pharmaceutical companies also offer regular dividends. Companies that consistently pay out dividends are financially stable and generate steady cash flows, irrespective of market conditions. Mutual funds are the perfect choice for investors looking to enter this sector since they possess the advantages of wide diversification and analytical insight.

Below, we share with you three top-ranked Healthcare mutual funds, namely Franklin Biotechnology Discovery Fund FBDIX, Fidelity Select Pharmaceuticals Portfolio FPHAX and Fidelity Select Biotechnology Portfolio FBIOX. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) and is expected to outperform its peers in the future. Investors can click here to see the complete list of funds.

Originally published on zacks.com, part of the BLOX Digital Content Exchange.

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