Funds To Buy
ICICI Pru Bluechip is the best performer (by a margin) on almost all the parameters. Still it finds itself ranked 5th. The main reason is that the fund manager has changed recently.
Mr. Manish Gunwani, who was managing this fund quit and the fund is now under a new manager. The stellar performance of this fund was entirely attributable to Mr. Gunwani.
We do not completely filter it out from our list because the near-term performance continues to be strong despite the change. But, we would still wait for this fund to deliver for some more time before we can place our bets on it.
HDFC Top 100 goes above SBI Bluechip because of
Better downside deviation (4.8% vs 5.9%) indicating better risk management
Solid performance during 2008 crash (the best in the category)
A more comfortable AUM of ₹ 15.3K cr as against ₹ 20.6K cr for SBI Bluechip
Finally, Reliance Large Cap edges past Aditya Birla Frontline Equity for 3 main reasons:
Far better near-term rank of 21.5% vs 56.4% (Near-term percentile rank column)
A much more comfortable AUM of ₹ 11.7K cr as against ₹ 21.2K cr.
And the most important reason being that Mr. Gunwani (mentioned above) has joined Reliance AMC as the CIO. Manager of the best large cap fund for past 13 years becoming CIO makes us extremely confident on the prospects of Reliance Large Cap fund.
Best multi cap mutual funds
Before we show the list of best multi cap funds, it is important to note that the category itself has shrunk in size after SEBI’s re-categorisation of schemes. Under the new categories, a lot of erstwhile multi cap funds have now moved to Value and Focused categories. In our rankings, we treat these as 3 separate categories as this is how it will be going forward.
So here is the list of top-4 multi cap funds to invest in 2019:
And here are 2 funds that had to be filtered out for qualitative reasons:
Rationale:
Apart from the 2 funds that have been filtered out (we will discuss them next), Mirae Asset India Equity fund is by far the best multi cap fund on all counts. Undisputed number 1 in our ranking.
Had this been mid cap or small cap category, we would have to rethink Kotak Standard Multi Cap fund owing to its bloated asset size of ₹ 21,719 cr. We however keep it in
our list because the performance record is way better than the next 2 funds on the list.
Invesco India Multi Cap fund has far superior track record than any other funds in this category. But it had to be filtered out as it failed all our subjective criteria.
Asset size of ₹ 727 cr too small for our liking, especially in the multi-cap category
The fund was previously known as Invesco India Mid and Small Cap fund. And now it’s a multi cap fund (a different mandate). The reason why it has such a superior performance than all other multi cap funds is because all its performance came as a small & mid cap fund during a bull run. But when it comes to downside deviation, it is almost the worst in the list. This also highlights the problem with comparing funds across categories.
The fund has had a recent change in management.
IDFC Multi Cap fund was a rock-star fund till 2016. However, the manager (Mr. Kenneth Andrade) left and since then the fund has been managed by a new manager. Change in manager has also impacted the near-term performance of the fund (see Near-term percentile rank). Hence, the fund has been filtered out from out top-4 list.
Best mid cap mutual funds
Here is the list of top-3 mid cap funds to invest in 2019:
Rationale:
HDFC Mid-Cap Opportunities Fund, despite being the top performer by a margin, is placed second simply because of its bloated AUM (₹ 21,085 cr). Something that is a cause of concern in the mid cap category.
However, the fund performance has been so good that we could not push it down any further.
L&T Midcap Fund as the top fund is a surprise entry here. In terms of pure historical performance, the fund is actually worse than the other 2 in the list. However, there’s a big subjective factor that tips the scale in its favour.
L&T Mid Cap has been in existence since Aug 2004. However, the current fund manager Mr. SN Lahiri took over the fund only in June 2013. Mr. Lahiri comes with a great track record of managing the small and mid cap space in DSP Blackrock.
Therefore, we decided to look at the performance of this fund from Jun 2013. Interestingly, since June 2013, this fund has a percentile rank of 9.6% and has been in top-25 percentile a staggering 89% of times. No other mid cap fund comes close to this performance. And that’s why we keep it as our top pick in the mid cap category.
Invesco India Multi Cap fund has far superior track record than any other funds in this category. But it had to be filtered out as it failed all our subjective criteria.
Asset size of ₹ 727 cr too small for our liking, especially in the multi-cap category
The fund was previously known as Invesco India Mid and Small Cap fund. And now it’s a multi cap fund (a different mandate). The reason why it has such a superior performance than all other multi cap funds is because all its performance came as a small & mid cap fund during a bull run. But when it comes to downside deviation, it is almost the worst in the list. This also highlights the problem with comparing funds across categories.
The fund has had a recent change in management.
IDFC Multi Cap fund was a rock-star fund till 2016. However, the manager (Mr. Kenneth Andrade) left and since then the fund has been managed by a new manager. Change in manager has also impacted the near-term performance of the fund (see Near-term percentile rank). Hence, the fund has been filtered out from out top-4 list.
Best mid cap mutual funds
Here is the list of top-3 mid cap funds to invest in 2019:
Rationale:
HDFC Mid-Cap Opportunities Fund, despite being the top performer by a margin, is placed second simply because of its bloated AUM (₹ 21,085 cr). Something that is a cause of concern in the mid cap category.
However, the fund performance has been so good that we could not push it down any further.
L&T Midcap Fund as the top fund is a surprise entry here. In terms of pure historical performance, the fund is actually worse than the other 2 in the list. However, there’s a big subjective factor that tips the scale in its favour.
L&T Mid Cap has been in existence since Aug 2004. However, the current fund manager Mr. SN Lahiri took over the fund only in June 2013. Mr. Lahiri comes with a great track record of managing the small and mid cap space in DSP Blackrock.
Therefore, we decided to look at the performance of this fund from Jun 2013. Interestingly, since June 2013, this fund has a percentile rank of 9.6% and has been in top-25 percentile a staggering 89% of times. No other mid cap fund comes close to this performance. And that’s why we keep it as our top pick in the mid cap category.
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