Mutual fund investments are gaining popularity among investors due to high returns they offer compared to other traditional investment avenues. Many large-cap mutual funds have offered between 14 and 20 per cent return so far this year.
The large-cap mutual funds invest the majority of their assets under management (AUM) in the equity shares of the companies with largest market capitalisations. As compared to Nifty 50 benchmark index, so far this year large-cap mutual funds have given significant returns. The Nifty 50 benchmark index, which lists the 50 largest Indian companies listed on the National Stock Exchange (NSE), has gained 7.86 per cent so far this year.
The large-cap funds could be a good option for the investors looking for higher return in a horizon of 3 to 4 years. However, it’s important to note that the large-cap mutual funds are exposed to moderate to high risk.
Top performing Large-cap mutual funds in 2023
Nippon India Large Cap Fund - Direct Plan - Growth
The Nippon India Large Cap Fund invests 64.72 per cent of its funds in large-cap equities, 11.33 per cent in mid-cap and 2.94 per cent in small-cap stocks. Its year-to-date return stands at 20.04 per cent. In addition, the 1-year returns stand at 28.21 per cent. The fund's AUM is Rs 15,855 crore currently.
HDFC Top 100 Fund - Direct Plan - Growth
The HDFC Top 100 Fund invests 72.95 per cent of its AUM under large-cap stocks and 7.99 per cent in mid-cap stocks. The fund has given a 16 per cent return so far this year. In the last one year the mutual fund has given a return of 26.5 per cent. Currently, its AUM stands at Rs 25,422.81 crore.
Edelweiss Large Cap Fund - Direct Plan - Growth
The Edelweiss Large Cap Fund primarily invests 94.79 per cent of its assets in domestic equities. It invests 67.08 per cent of its funds in large-cap companies, 12.45 per cent in mid-cap equity shares and 2.06 per cent in small-cap stocks. So far this year, the fund has given 14.89 per cent return to investors. In the last one year the investors have gained 23.37 per cent on their investments in Edelweiss Large Cap Fund - Direct Plan – Growth mutual fund. The total AUM of the mutual fund stands at Rs 530.97 crore.
DSP Top 100 Equity Fund - Direct Plan - Growth
The DSP Top 100 Equity Fund predominantly uses 92.91 per cent of its assets to invest in domestic equities. Out of this, 65.61 per cent is directed towards large-cap stocks, 7.95 per cent is invested in mid-cap stocks, and 0.98 per cent in small-cap stocks. The fund has given 14.62 per cent return year-to-date and its 1-year return stands at 20.40 per cent. The fund’s current AUM is Rs 2,975 crore.
Invesco India Large Cap Fund - Direct Plan - Growth
The Invesco India Large Cap Fund allocates 98.4 per cent of its investment to domestic equities. It uses 56.92 per cent of funds to invest in large-cap stocks, 14.58 per cent is invested in mid-cap stocks and 8.32 per cent in small-cap stocks. The fund's year-to-date return stands at 14.46 per cent while 1-year return stands at 19.65 per cent. Currently, its AUM is Rs 797.13 crore.
