Top 5 Performing Mutual Funds in India in Last 5 Years

Investing has become increasingly popular among Indian investors seeking financial growth and diversification. As the financial landscape evolves, choosing the right investment instrument becomes crucial. There are plenty of investment instruments available to choose from. You can invest in stocks, futures, options, or mutual funds. 

One of the investment instruments becoming highly popular these days is mutual funds. Mutual funds offer instant diversification by investing in various assets (such as stocks, bonds, and more). This helps lower risk compared to investing in individual stocks or sectors.

For investors considering investing in mutual funds, we have explored India’s top 5 best-performing mutual funds over the past five years. Further, using the best mutual fund app in India can help you with real-time tracking and provide regular market updates to make informed decisions. 

Let’s start with a brief overview of how to invest in mutual funds: 

1. Set your investment goals and budget:

Clarify your financial objectives, time horizon, and risk tolerance. Decide how much you can invest regularly. You can also invest in gold along with mutual funds for long term wealth creation. For gold investment always check gold rate forecast before taking decision for better profit results.

2. Choose an online brokerage account:

Research online platforms that offer mutual fund investments. To choose the best stockbroker in India you can consider factors such as ease of use, fees, and customer support.

3. Open an investment account:
   
   Sign up with the chosen brokerage platform. Then complete the necessary Know Your Customer (KYC) process.
4. Select the right mutual fund

Understand different types of mutual funds (equity, debt, hybrid, etc.). Evaluate past performance, expense ratios, and investment objectives to choose the right mutual fund.

4. Place orders

Choose a Systematic Investment Plan (SIP) or lump sum to invest in mutual funds. Monitor your investments periodically to make necessary adjustments.

Top 5 Performing Mutual Funds in India in Last 5 Years

1. Quant Infrastructure Fund Direct-Growth

As of March 31, 2024, Quant Infrastructure Fund Direct-Growth manages ₹2,498.18 crores in assets under management (AUM) with an expense ratio of 0.66%. It allocates 90.72% of its assets to equities. This includes 25.78% in large-cap stocks, 23.72% in mid-cap stocks, and 23.56% in small-cap stocks. Additionally, 5.4% of its investments are in debt. Its important holdings include Reliance Industries Limited, Kalyani Steels Limited, JIO Financial Services Limited, Adani Power Limited, NCC, and Tata Steel Limited.

2. Quant Small Cap Fund Direct Plan-Growth

The fund’s AUM is ₹17,348.95 crores as of March 31, 2024, with an expense ratio of 0.64%. It invests 93.2% of its assets in equities, distributing 16.14% to large-cap stocks, 6.52% to mid-cap stocks, and a significant 42.46% to small-cap stocks. Additionally, 1.46% of its portfolio is in debt. Further, its key holdings include Hindustan Copper Limited, Reliance Industries Limited, Bikaji Foods International Limited, IRB Infrastructure Developers Limited, and RBL Bank.

3. Aditya Birla Sun Life Medium Term Plan Direct-Growth

With an AUM of ₹1,863.18 crores, this fund has an expense ratio of 0.85% as of March 31, 2024. It primarily allocates 93.98% of its assets to debts, including 46.21% in government securities and 44.01% in low-risk securities. Notable holdings include Shriram City Union Finance Limited, National Bank for Agriculture & Rural Development, LIC Housing Finance Limited, and Kotak Mahindra Bank.

4. DSP Government Securities Direct Plan-Growth

As of March 31, 2024, this fund manages ₹755.19 crores in AUM, with an expense ratio of 0.55%. It focuses on debt investments, allocating 97.45% of its assets to government securities. The fund’s primary holdings include investments in the Government of India (GOI), Karnataka State, and Maharashtra State.

5. Quant Multi Asset Fund Direct-Growth

The fund’s AUM is ₹1,829.08 crores as of March 31, 2024, with an expense ratio of 0.76%. It invests 65.84% of its assets in equities, distributing 19.77% to large-cap stocks, 17.03% to mid-cap stocks, and 8.23% to small-cap stocks. Additionally, 6.89% of its portfolio is in debt, including 4.2% in government securities and 2.69% in low-risk securities. Its major holdings include Reliance Industries Limited, Adani Power Limited, Orchid Pharma Limited, Bharat Highways InvIT, Housing and Urban Development Corporation Limited, and GAIL (India).

Conclusion

Mutual funds are a compelling investment avenue for seasoned investors and beginners. Diversification, professional management, and liquidity benefits make them an attractive choice. Further, one must also consider the best mutual fund apps to explore exciting and real-time opportunities in the stock market.