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9 equity mutual funds offer over 20% in five, seven, 10-year horizons



Nine equity mutual fund schemes have offered more than 20% returns in five, seven, and 10-year horizons, an analysis by ETMutualFunds showed. We looked at the trailing returns of 146 equity schemes that have been in the market for 10 years.

These nine equity schemes were from ELSS, flexi cap, mid cap, multi cap, and small cap categories. Around five small cap schemes offered more than 20% in all three horizons. A flexi cap, mid cap, multi cap, and an ELSS scheme also managed to offer over 20% in all three horizons.


Top four schemes from the small cap category based on assets managed offered more than 20% in five, seven, and 10-year horizons. Nippon India Small Cap Fund, the largest scheme in the small cap category based on assets managed, offered more than 20% in all three horizons. The scheme manages assets of Rs 43,815.60 crore.
Quant Small Cap Fund offered the highest return in five and seven year horizons. The scheme offered around 36.47% and 24.90% in five and seven year horizons respectively.

Maximum schemes in the list were from Quant Mutual Fund. Four schemes from the fund house gave more than 20% in all three horizons. Nippon India Mutual Fund had around two schemes in the list.

ETMutualFunds also compared the performance of these nine schemes with their respective benchmarks in all three horizons. Except for HDFC Small Cap Fund, all schemes managed to beat their respective benchmarks in the five year horizon. In the seven year horizon, all schemes except for Nippon India Growth Fund managed to beat their respective benchmarks. In the 10 year horizon, apart from Nippon India Growth Fund and Quant Small Cap Fund all schemes have managed to beat their respective benchmarks. We did not include the multi cap scheme in this comparison as the data for the benchmark was not available.
Nippon India Growth Fund, the only mid cap scheme in the list, failed to beat its respective benchmark in a seven and 10 year period. Nippon India Growth Fund offered 20.07% and 21.27% in seven and 10 year periods respectively while its benchmark (Nifty Midcap 150 – TRI) offered 20.31% and 23.18% in the same period. Quant Small Cap Fund failed to beat its benchmark in the 10 year horizon. The scheme offered 20.29% in the 10 year horizon, compared to 21.36% by its benchmark (Nifty Smallcap 250 – TRI). HDFC Small Cap Fund underperformed against its benchmark in the five year period. The scheme offered 23.87% compared to 24.82% by its benchmark (S&P BSE 250 Small Cap – TRI).
Multi cap schemes are benchmarked against Nifty500 Multicap 50:25:25 – TRI. The data for Nifty500 Multicap 50:25:25 – TRI was not available for comparison.

We considered all equity categories such as large cap, small cap, mid cap, large & mid cap, flexi cap, focused fund, multi cap, ELSS, value and contra fund categories. We considered trailing returns. We considered only regular and growth options.

Note, the above exercise is not a recommendation. The main purpose of the exercise was to find out how equity schemes performed in five, seven, and 10-year horizons. Note, we have taken schemes that have offered more than 20% in all these three horizons.

One should not make investment or redemption decisions based on the above exercise. One should always consider risk appetite, investment horizon, and goal before making any investment decisions. Past performance does not guarantee future returns.

If you are looking for recommendations, see:
Best tax saving mutual funds or ELSS to invest in 2024
Best flexi cap mutual funds to invest in 2024
Best mid cap mutual funds to invest in 2024
Best small cap mutual funds to invest in 2024



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