These mutual funds never turned negative in 5- & 7-yr periods since inception
Since rolling returns are calculated on a series of data, there is a very high probability of decent performance from these schemes.
ETMutualFunds.com plumbed the data to take out equity mutual fund schemes which have fared well in all kind of markets in the five and seven year periods. We have chosen these tenures as five year is considered to be the minimum suitable time period if you want to invest in equities.
How did we check the consistency? We used rolling returns instead of trailing returns. Rolling return is the average of a series of returns given by a scheme over a long period of time. To understand the concept better, you can read: Is rolling return the best way to measure performance of mutual funds?
Make sure you have understood ‘rolling returns’ before moving further. For our study, we have used five and seven year rolling returns rolled on a daily basis since the schemes’ inception.
Next, we filtered out those schemes which have given minimum returns of 15 per cent in both the five- and seven-year periods. In order to get the strongest schemes out of these filtered consistent performers, we removed those schemes which have given negative returns in any of the five or seven year periods in their entire life, that is, since their inception.
We call these schemes the sturdiest as they have managed deliver in different market conditions. And the good news is there are quite a lot of schemes that have managed this feat.
Look at the table below for the list of sturdiest equity mutual fund schemes.
|Scheme Name||5-yr min. return||5-yr mean return*||7-yr min. return||7-yr mean return*|
|Large cap schemes|
|Franklin India Bluechip Fund||3.57||22.13||7.87||21.83|
|HDFC Top 100 Fund||5.11||21.73||9.33||22.58|
|Tata Large Cap Fund||1.24||21.01||6.04||20.61|
|Aditya Birla SL Frontline Equity Fund||3.73||18.79||9.19||17.89|
|Mirae Asset Large Cap Fund||10.11||18.47||13.34||18.04|
|DSP Top 100 Equity Fund||2.59||15.88||6.83||15.30|
|ICICI Pru Bluechip Fund||7.68||15.72||11.76||15.26|
|Mid cap schemes|
|Nippon India Growth Fund||0.76||26.07||6.13||26.51|
|Sundaram Mid Cap Fund||2.26||24.70||8.34||21.86|
|HDFC Mid-Cap Opportunities Fund||7.13||20.91||14.79||21.02|
|Axis Midcap Fund||9.32||20.22||17.21||19.23|
|Aditya Birla SL Midcap Fund||0.18||19.69||7.45||18.38|
|Invesco India Midcap Fund||1.37||18.87||10.37||19.09|
|DSP Midcap Fund||4.18||17.85||8.41||17.86|
|UTI Mid Cap Fund||0.59||17.31||2.78||16.72|
|Large & mid cap schemes|
|Mirae Asset Emerging Bluechip||14.81||26.92||21.73||24.12|
|Principal Emerging Bluechip Fund||10.34||22.47||14.90||20.75|
|Canara Robeco Emerging Equities Fund||1.13||19.26||5.24||18.39|
|ICICI Pru Large & Mid Cap Fund||1.70||18.66||7.66||18.39|
|Multi cap schemes|
|HDFC Equity Fund||4.95||24.11||8.92||24.10|
|Franklin India Equity Fund||3.24||22.94||6.81||22.58|
|Invesco India Multicap Fund||7.45||21.53||15.82||20.98|
|IDFC Multi Cap Fund||6.69||18.98||13.19||18.50|
|Kotak Standard Multicap Fund||10.53||17.86||12.39||16.09|
|Nippon India Multi Cap Fund||5.11||16.79||10.11||16.24|
|Canara Robeco Equity Diversified Fund||4.44||15.00||8.34||15.01|
|Small cap schemes|
|Nippon India Small Cap Fund||9.94||27.33||18.99||23.49|
|SBI Small Cap Fund||15.01||27.30||18.14||23.63|
|DSP Small Cap Fund||1.28||22.94||11.81||22.47|
|HDFC Small Cap Fund||6.80||17.25||11.34||16.83|
|ICICI Pru LT Equity Fund||3.67||23.01||5.75||21.13|
|Franklin India Taxshield||3.72||21.78||8.89||20.68|
|HDFC Long Term Adv Fund||2.20||21.75||6.86||19.16|
|Axis Long Term Equity Fund||10.35||21.02||16.67||18.94|
|IDFC Tax Advt(ELSS) Fund||7.90||17.49||11.88||16.18|
|Aditya Birla SL Tax Relief '96||1.93||16.42||10.39||15.92|
|Invesco India Tax Plan||3.40||16.09||10.05||16.25|
|Nippon India Tax Saver (ELSS) Fund||1.88||15.57||6.21||15.18|
|L&T India Value Fund||9.22||21.26||16.01||18.63|
|Aditya Birla SL Pure Value Fund||4.91||21.07||14.33||20.28|
|ICICI Pru Value Discovery Fund||5.64||19.39||9.76||18.44|
|IDFC Sterling Value Fund||5.92||17.98||11.67||17.52|
|Tata Equity P/E Fund||1.22||17.06||8.56||15.56|
Source: Ace MF
We considered large cap, mid cap, large & mid cap, small cap, multi cap, value-oriented and ELSS or tax-saving schemes for this study.
Investors must note that this study was performed on the past data which does not give us any assurance that the same superior performance will repeat in future. However, since rolling returns are calculated on a series of data, there is a very high probability of decent performance from these schemes going forward.
Also, we might have missed some good schemes like Parag Parikh Long Term Equity Fund and Motilal Oswal Multicap 35 Fund. This is because these schemes have not completed seven years yet.