When it comes to equity mutual funds, investors have multiple options to choose from like largecap, midcap, smallcap, multicap, sectoral or thematic, focused and dividend yield funds. Investors should make their investment decisions based on their financial goals and risk-taking capacity.
Among all these funds, largecap equity mutual funds are more stable than others as investor funds get parked in the stocks of those companies with stable financials and low volatility.
Largecap equity funds invest a large portion of their corpus in companies with large market capitalization. This type of fund is known to offer stability and sustainable returns, over a period of time. These funds are generally very stable and dominate their industry.
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Largecap stocks tend to hold up better in recessions, but they also tend to underperform smallcap stocks when the economy emerges from a recession. Largecap stocks tend to be less volatile than midcap and smallcap stocks and are less risky.
Following are top 5 largecap equity mutual funds over 10 years with return up to 20.44%:
Quant Focussed Fund – Direct Plan
The fund looks to provide capital appreciation through investment in a focused portfolio of ‘bluechip’ companies.
Nav – Rs 97.81
Return over 10 years – 20.62% annualised
Absolute return in 10 years – 553%
Nippon India Large Cap Fund – Direct Plan
The fund looks to generate long-term capital appreciation by investing mainly into equity and equity related instruments of largecap companies.
NAV – Rs 93.04
Return over 10 years – 17% annualised
Absolute return – 382%
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Nippon India ETF Nifty Next 50 Junior BeES
The fund aims to provide returns that mirrors to the returns of securities as represented by the Nifty Next 50 Index.
NAV – Rs 769
Return over 10 years – 17% annualised
Absolute return – NA
ICICI Prudential Nifty Next 50 Index Fund – Direct Plan
The fund invests in companies whose securities are included in Nifty Next 50 Index.
NAV – Rs 66.77
Return over 10 years – 16.75%
Absolute return – 358%
LIC MF Nifty Next 50 Index Fund – Direct Plan
The scheme seeks to invest only in and all the stocks comprising the Nifty Next 50 Index in the same weights of these stocks as in the Index with the objective to replicate the performance of the Total Returns Index of Nifty Next 50 Index.
NAV – Rs 58.37
Return over 10 years – 16.62%
Absolute return – 364%
Disclaimer: The above content is for informational purposes only. Mutual Fund investments are subject to market risks. Please consult your financial advisor before investing.
