Mutual funds remain a popular investment avenue for individuals seeking to grow wealth with diversification and professional management. Among the number of funds available, a few standout performers have delivered exceptional returns, crossing the 25% mark. These funds, including the HDFC Small Cap Fund and Canara Robeco Infrastructure Fund, have not only outperformed benchmarks but also provided lucrative opportunities for investors. Focused on strategic stock selection and emerging growth sectors, these top mutual funds highlight the potential of disciplined investing in today's market. Explore how these funds have achieved remarkable success and why they are attracting attention from seasoned and new investors alike.
5-Year Return: 29.36%
NET Asset Value: ₹150.89 on October 25, 2024
Expense Ratio: 0.68%
Assets Under Management: ₹33,963 crore
Minimum Investment: ₹100
SIP Performance: ₹51,06,142 over the last 11 years by starting an SIP from ₹10,000. The Annualized Return is at 22.67% over this period.
HDFC Small Cap Fund HDFC Small Cap Fund is an equity fund that offers its investors the exposure to small-cap stocks, including high-growth potential. With well-chosen stocks and good market scenario for the small-cap category, this fund has garnered strong returns over time.
5-Year Return: 29.73%
NAV: ₹200.81 (on 25 October, 2024)
Expense Ratio: 0.72%
AUM: ₹77,683 crore
Minimum Investment: ₹100
SIP Performance: A ₹10,000 SIP has turned into about ₹51,02,124 with a compounded annualised return of 22.65% in 11 years.
This fund invests in mid-cap companies, which are expected to grow even more, benefitting from market trends and economic cycles to get good returns.
5-Year Return: 25.91%
NAV: ₹50.72 (as on October 25, 2024)
Expense Ratio: 1.10%
AUM: ₹2,607 crore
Minimum Investment: ₹100
SIP Returns: An SIP of ₹10,000 has collected about ₹38,72,960 with an annualized return of 18.14% in 11 years.
It is mainly investing in infrastructure-based sectors and earning profits from the money it spends through the government and other developments that take place within the economy.
4. HDFC Retirement Savings Fund – Equity Plan – Direct Plan
5-Year Return: 25.72%
NAV: ₹55.59 (as of October 25, 2024)
Expense Ratio: 0.66%
AUM: ₹6,168 crore
Minimum Investment: ₹100
SIP Performance: An SIP of ₹ 10,000 has grown to around ₹24,75,385 with an annualised return of 22.48 percent over eight years.
It is a long-term retirement-oriented scheme investing in a diversified equity portfolio.
5-Year Return: 32.05%
The fund concentrates on the infrastructure sector and companies that are likely to gain through improved spending of infrastructure upgradation in India.
Several other mutual funds have also provided good annualized returns:
Focuses primarily on growth stocks with a sound growth trajectory.
Performance indicators show enormous returns over a period of five years.
The fund is aggressive in its investments in mid-cap stocks.
It has delivered substantial returns since it essentially invested in quality companies.
Mutual funds with a returns of more than 25% have been proved to be a viable investment avenue. HDFC Small Cap Fund and HDFC Mid-Cap Opportunities Fund specifically demonstrate that with efficient management along with market conditions, handsome returns for the investors can be generated.
However, with every type of investment, the potential investor should determine the risk background and goals of the investment before committing the funds and surely seek expert advice from an advisor too.
Using this best performing mutual funds, the investor will position himself for significant financial growth over the next few years and also benefit from professional management and diversification embedded in mutual fund investment.