As per DIPAM there has been massive growth in mutual fund folio i.e. 6 folds in 10 years from Rs. 5.87 lakh crore as on March 31, 2012 to Rs. 37.57 lakh crore as of March 31, 2022. Also, there has been witnessed increase in equity allocation by retail investors via the mutual fund route which as of March 2022 has been at 56.3%.
Furthermore as even the heightened volatility in the equity space did not dented investor sentiment and this is infact appreciated as a step in the right direction to manage risk and volatility, here we list the top equity funds in the 4 chief equity fund categories i.e. large, mid-cap, small-cap and flexi-cap category based on 5-year returns.
Canara Robeco Bluechip Equity fund
This 4-Star Crisil and 5-Star Value Research rated fund tops the category with 5-year annualised return of 14.24%. The SIP returns of the fund in 5-years has been at 15.55%. The fund though in the last 1-year has underperformed the benchmark with returns at just 4.23%. Nevertheless, not to undermine, the value of these mutual funds, the SIP of Rs. 10000 in the fund started 5 years ago is valued at Rs. 8.4 lakh.
The fund is invested into bluechip stocks primarily RIL, ICICI Bank, HDFC Bank, Infosys, TCS, SBI, Axis Bank among others. Notably the AUM under the fund is at 6858 crore and expense ratio is at 0.35%.
Quant Mid cap Fund
The fund from the Quant Mutual Fund commands an AUM of Rs, 495.65 crore. The fund is a CRISIL and Value Research rated 5-Star fund. The fund’s 5-year return are at an annualised 19.91%, while its SIP annualised return is at 26.66%.
The fund’s mid cap investments are at over 44% and the top stock in the funds’ portfolio include some of the resilient stocks such as Sun TV, Oracle Financial Services and other stocks such as Ruchi Soya, Tata Communications and Reliance Industries among others.
The fund’s expense ratio is at 0.5% which is lower than the category average of 0.97%.
Also, a SIP started 5-year hence in the fund of Rs. 10000 per amount is now worth Rs. 10.92 lakh.
Quant Small Cap Fund
This fund commanding a fund size of Rs. 1822.46 crore is again CRISIL 5-Star rated fund with return of 20.55% in annualised returns in 5 years. The firm’s top holdings include Just Dial, EID Parry, Linde India, Arvind, Hindustan Copper etc.
Minimum investment required for starting SIP in the fund is Rs. 1000. Also, the fund in a 5-year span has more than doubled investors money. Say as per the data available SIP of Rs. 10000 started is worth Rs. 13.28 lakh now.
Parag Parikh Flexi Cap fund
In the flexi cap fund category, this fund from the house of PPFAS Mutual fund tops with a 5-star rating from Value Research and also has given the highest 5-year annualised return of 18.27%. Its SIP return are at 20.56%.
The fund’s holdings include even some of the foreign scrips such as Alphabet, Amazon and Microsoft among others. The other scrips in its portfolio include ITC, Bajaj Holdings, HDFC, Axis Bank and ICICI Bank among others.
While the funds mentioned above fare good on rating and long term returns, readers need to do their own analysis to analyse likely risk-reward.