It works! How SIPs in MC30 equity schemes have outperformed
A Moneycontrol study reveals that investments in MC30 equity-oriented schemes have largely delivered better returns than the category and the benchmark returns over five-year periods. This also means that five years is the bare minimum that people should stay invested for
Systematic investment plans (SIP) in mutual funds have been a powerful tool in helping investors generate better returns over the long run. But what is the evidence? Moneycontrol has taken a look at returns from equity funds that belong to MC30, Moneycontrol’s curated portfolio of 30 investment-worthy mutual fund (MF) schemes. We looked at their rolling five-year SIP returns, going over the last 10 years. In most of the five-year time frames, the study shows that MC30 equity schemes have outperformed their category averages and their respective benchmarks most of the time. Like rolling returns, the rolling SIP returns, too, explain how the schemes delivered consistently over the period. Remember, though, that past performance does not guarantee future performance. Data source: ACEMF.
2/16
Scheme name: Mirae Asset Largecap Fund Category: Largecap Fund manager: Gaurav Misra and Gaurav Khandelwal Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 14.2% Average 5-year SIP return (XIRR) of the large-cap category over the last 10 years: 11% The recent period saw largecap funds as a category underperforming the benchmark due to a tighter investment universe and relatively higher expense ratio. However, Mirae Asset Large Cap Fund managed to outperform its peers consistently.
3/16
Canara Robeco Bluechip Equity Fund Category: Largecap Fund manager: Shridatta Bhandwaldar and Vishal Mishra Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 13.5% Average 5-year SIP return (XIRR) of largecap category over the last 10 years: 11% The performance of Canara Robeco Bluechip Equity Fund has been impressive as it managed to outperform both the category and the benchmark.
4/16
Kotak Flexicap Fund Category: Flexicap Fund manager: Harsha Upadhyaya Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 13.3% Average 5-year SIP return (XIRR) of flexicap category over the last 10 years: 12% Over the past year, Kotak Flexicap underperformed its peers and the benchmark due to a lower level of participation in the recent mid- and smallcap rallies due to its larger corpus.
Parag Parikh Flexi Cap Fund Category: Flexicap Fund manager: Rajeev Thakkar, Rukun Tarachandani and Raunak Onkar Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 16.5% Average 5-year SIP return (XIRR) of flexicap category over the last 10 years: 12% Parag Parikh Flexi Cap Fund has managed to deliver better returns than its peers since its launch in May 2013.
6/16
UTI Flexi Cap Fund Category: Flexicap Fund manager: Ajay Tyagi Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 14% Average 5-year SIP return (XIRR) of the flexicap category over the last 10 years: 12% UTI Flexi Cap Fund demonstrated relatively better performance than its peers in most of the period under review.
7/16
Axis Midcap Fund Category: Midcap Fund manager: Shreyash Devalkar and Hitesh Das Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 16.6% Average 5-year SIP return (XIRR) of the midcap category over the last 10 years: 13.8% Axis Midcap Fund has been an above-average performer in most parts of the time frame.
8/16
DSP Midcap Fund Category: Midcap Fund manager: Vinit Sambre, Resham Jain and Abhishek Ghosh Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 14.5% Average 5-year SIP return (XIRR) of the midcap category over the last 10 years: 13.8% A larger corpus in the midcap segment has been one of the deterrent factors for DSP Midcap Fund delivering relatively better returns over the last year.
Invesco India Midcap Fund Category: Midcap Fund manager: Pranav Gokhale Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 15% Average 5-year SIP return (XIRR) of the midcap category over the last 10 years: 13.8% Invesco India Midcap Fund has been a decent performer in most of the equity market cycles.
10/16
Kotak Emerging Equity Fund Category: Midcap Fund manager: Pankaj Tibrewal Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 16% Average 5-year SIP return (XIRR) of the midcap category over the last 10 years: 13.8% Kotak Emerging Equity Fund managed to outperform its peers and benchmarks in most of the time frames in the past.
11/16
Axis Small Cap Fund Category: Smallcap Fund manager: Anupam Tiwari and Hitesh Das Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 16.6% Average 5-year SIP return (XIRR) of the smallcap category over the last 10 years: 14.5% Axis Small Cap Fund managed to deliver better returns than others since its launch in November 2013.
12/16
SBI Small Cap Fund Category: Smallcap Fund manager: R Srinivasan Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 20.5% Average 5-year SIP return (XIRR) of the smallcap category over the last 10 years: 14.5% The SBI fund’s long-term performance has been impressive since its launch. It managed to outperform its peers and benchmark by a significant margin.
13/16
Canara Robeco Equity Tax Saver Fund Category: ELSS Fund manager: Shridatta Bhandwaldar and Vishal Mishra Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 14% Average 5-year SIP return (XIRR) of the ELSS category over the last 10 years: 12% The scheme’s recent performance has been impressive due to the fund managers’ efficient stocks and sectors bets.
14/16
Kotak Tax Saver Fund Category: ELSS Fund manager: Harsha Upadhyaya Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 13% Average 5-year SIP return (XIRR) of the ELSS category over the last 10 years: 12% The fund has been a decent performer in most of the equity market cycles.
15/16
Axis Focused 25 Fund Category: Focused equity Fund manager: Jinesh Gopani and Hitesh Das Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 14.8% Average 5-year SIP return (XIRR) of the focused category over the last 10 years: 12.4% Its higher allocation to largecaps has led to relative underperformance in the last year.
16/16
SBI Focused Equity Fund Category: Focused equity Fund manager: R Srinivasan Average 5-year SIP return (XIRR) of the scheme over the last 10 years: 15% Average 5-year SIP return (XIRR) of the focused category over the last 10 years: 12.4% SBI Focused Equity Fund has had a notable track record since its launch.
