7 Top-performing Large Cap Mutual Funds with High Returns on 5-Year SIP
August 23, 2023 Mutual Fund
Large Cap Mutual Fund is a sub-category of equity mutual funds that is known for its ability to generate stable returns across market phases. Like any other category of equity mutual funds, Large Cap Mutual Funds too are susceptible to market fluctuations. However, the risk is relatively lower compared to Mid Cap Mutual Funds and Small Cap Mutual Funds. Investors can consider the Systematic Investment Plan (SIP) mode while investing in Large Cap Mutual Funds to benefit from the magic of disciplined investing and compounding of wealth.
In the last 5 years, all Large Cap Mutual Funds generated double-digit SIP returns. Of these, 17 Large Cap Mutual Funds generated SIP returns of 15% or more. The top-performing SIP generated XIRR of 20.6% during this period.
[Read: 3 Best Large Cap Mutual Funds to Invest in 2023 – Top Performing Large Cap Mutual Funds in India]
What are Large Cap Mutual Funds?
The Securities and Exchange Board of India (SEBI) defines Large Cap Mutual Fund as ‘an open-ended equity mutual fund investing a minimum of 80% of its total assets in equity and equity-related instruments of large-cap companies’. The fund manager has the freedom to invest the remaining 20% corpus in stocks of mid and small-cap companies, overseas equities, and debt instruments, or simply hold the balance 20% in cash to take care of liquidity needs.
Large-cap companies, also known as bluechip companies, are the top 100 companies in terms of market capitalisation. These companies generally have a market capitalisation of more than Rs 20,000 crore.
With significant exposure to market leaders, Large Cap Mutual Funds are less likely to be impacted by an economic slowdown and market correction. During an economic slowdown, Large Cap Mutual Funds tend to offer stability and witness lower downside risk compared to Mid Cap Mutual Funds and Small Cap Mutual Funds. Thus, investors in Large Cap Mutual Funds benefit from the steady growth of capital over the long run without exposing the portfolio to high risk.
Therefore, these funds can ideally form part of the ‘Core’ equity portfolio of every investor. However, the actual allocation in the portfolio will depend on various factors such as investor’s financial goals, risk appetite, and investment horizon.
[Read: Are Large Cap Mutual Funds Falling Out of Favour?]
Large Cap Mutual Fund category average SIP returns over different time frames
Past performance is not an indicator of future returns.
Returns are XIRR in percentage as of August 20, 2023
Direct plan – Growth option considered
(Source: ACE MF, data collated by PersonalFN)
What is an SIP?
The SIP mode allows mutual fund investors to invest a certain fixed sum regularly over the long term in the scheme/s of their choice. This helps develop a financial discipline – the key to successful investing. It also enables averaging of investment costs as more units are added when the equity markets are trading low and fewer units when the markets are scaling up. This feature enhances the power of compounding, allowing the investors’ wealth to grow leaps and bounds over the long term. The tool used to calculate SIP returns is known as XIRR (Extended Internal Rate of Return).
[Read: 5 Key Benefits of Investing in Mutual Funds via SIP]
[Read: What is XIRR in Mutual Funds? And How to Calculate it?]https://www.youtube.com/embed/iWhtt1dinrs
In this article, we will look at the top-performing Large Cap Mutual Funds based on 5-year SIP returns.
Top-performing Large Cap Mutual Fund on 5-Year SIP Returns #1: Nippon India Large Cap Fund
Launched in August 2007, Nippon India Large Cap Fund currently has an AUM of Rs 15,583 crore. In the last 5 years, Nippon India Large Cap Fund grew at an XIRR of 20.6%. A monthly SIP of Rs 5,000 over a 5-year period (i.e. total investment of Rs 3,00,000) would now be valued at Rs 4,99,815. The fund’s top stock holdings include HDFC Bank, ICICI Bank, Reliance Industries, SBI, and L&T.
| Scheme Name | Total Amount Invested (Rs) | Present Value (Rs) | 5-Year XIRR (%) |
| Nippon India Large Cap Fund | 3,00,000 | 4,99,815 | 20.55 |
Past performance is not an indicator of future returns. The securities quoted are for illustration only and are not recommendatory.
Returns are XIRR in percentage as of August 20, 2023
Monthly SIP of Rs 5,000 over a 5-year period in Direct plan – Growth option considered
(Source: ACE MF, data collated by PersonalFN)
Top-performing Large Cap Mutual Fund on 5-Year SIP Returns #2: ICICI Pru Bluechip Fund
Launched in May 2008, ICICI Pru Bluechip Fund currently has an AUM of Rs 40,286 crore, making it the largest scheme in the Large Cap Mutual Fund category. In the last 5 years, ICICI Pru Bluechip Fund grew at an XIRR of 17.8%. A monthly SIP of Rs 5,000 over a 5-year period (i.e. total investment of Rs 3,00,000) would now be valued at Rs 4,67,203. The fund’s stock holdings include ICICI Bank, Reliance Industries, L&T, HDFC Bank, and Infosys.
| Scheme Name | Total Amount Invested (Rs) | Present Value (Rs) | 5-Year XIRR (%) |
| ICICI Pru Bluechip Fund | 3,00,000 | 4,67,203 | 17.77 |
Past performance is not an indicator of future returns. The securities quoted are for illustration only and are not recommendatory.
Returns are XIRR in percentage as of August 20, 2023
Monthly SIP of Rs 5,000 over a 5-year period in Direct plan – Growth option considered
(Source: ACE MF, data collated by PersonalFN)
Click here to read our detailed analysis of ICICI Pru Bluechip Fund.
Top-performing Large Cap Mutual Fund on 5-Year SIP Returns #3: HDFC Top 100 Fund
Launched in September 1996, HDFC Top 100 Fund is one of the oldest schemes in the Large Cap Mutual Fund, currently having an AUM of Rs 25,776 crore. In the last 5 years, HDFC Top 100 Fund grew at an XIRR of 17.8%. A monthly SIP of Rs 5,000 over a 5-year period (i.e. total investment of Rs 3,00,000) would now be valued at Rs 4,67,007. The fund’s stock holdings include HDFC Bank, ICICI Bank, Reliance Industries, ITC, and Infosys.
| Scheme Name | Total Amount Invested (Rs) | Present Value (Rs) | 5-Year XIRR (%) |
| HDFC Top 100 Fund | 3,00,000 | 4,67,007 | 17.76 |
Past performance is not an indicator of future returns. The securities quoted are for illustration only and are not recommendatory.
Returns are XIRR in percentage as of August 20, 2023
Monthly SIP of Rs 5,000 over a 5-year period in Direct plan – Growth option considered
(Source: ACE MF, data collated by PersonalFN)
Click here to read our detailed analysis of HDFC Top 100 Fund.
Top-performing Large Cap Mutual Fund on 5-Year SIP Returns #4: Edelweiss Large Cap Fund
Launched in May 2009, Edelweiss Large Cap Fund is a relatively small-sized scheme in the Large Cap Mutual Fund category, currently having an AUM of Rs 531 crore. In the last 5 years, Edelweiss Large Cap Fund grew at an XIRR of 17.3%. A monthly SIP of Rs 5,000 over a 5-year period (i.e. total investment of Rs 3,00,000) would now be valued at Rs 4,61,623. The fund’s stock holdings include HDFC Bank, Reliance Industries, ICICI Bank, ITC, and L&T.
| Scheme Name | Total Amount Invested (Rs) | Present Value (Rs) | 5-Year XIRR (%) |
| Edelweiss Large Cap Fund | 3,00,000 | 4,61,623 | 17.28 |
Past performance is not an indicator of future returns. The securities quoted are for illustration only and are not recommendatory.
Returns are XIRR in percentage as of August 20, 2023
Monthly SIP of Rs 5,000 over a 5-year period in Direct plan – Growth option considered
(Source: ACE MF, data collated by PersonalFN)
Top-performing Large Cap Mutual Fund on 5-Year SIP Returns #5: SBI Bluechip Fund
Launched in January 2006, SBI Bluechip Fund is the second largest scheme in the Large Cap Mutual Fund category, currently having an AUM of Rs 39,301 crore. In the last 5 years, SBI Bluechip Fund grew at an XIRR of about 17%. A monthly SIP of Rs 5,000 over a 5-year period (i.e. total investment of Rs 3,00,000) would now be valued at Rs 4,57,839. The fund’s stock holdings include HDFC Bank, ICICI Bank, ITC, L&T, and Infosys.
| Scheme Name | Total Amount Invested (Rs) | Present Value (Rs) | 5-Year XIRR (%) |
| SBI BlueChip Fund | 3,00,000 | 4,57,839 | 16.95 |
Past performance is not an indicator of future returns. The securities quoted are for illustration only and are not recommendatory.
Returns are XIRR in percentage as of August 20, 2023
Monthly SIP of Rs 5,000 over a 5-year period in Direct plan – Growth option considered
(Source: ACE MF, data collated by PersonalFN)
Click here to read our detailed analysis of SBI Bluechip Fund.
Top-performing Large Cap Mutual Fund on 5-Year SIP Returns #6: Kotak Bluechip Fund
Launched in February 2003, Kotak Bluechip Fund currently has an AUM of Rs 6,325 crore. In the last 5 years, Kotak Bluechip Fund grew at an XIRR of 16.8%. A monthly SIP of Rs 5,000 over a 5-year period (i.e. total investment of Rs 3,00,000) would now be valued at Rs 4,56,642. The fund’s stock holdings include HDFC Bank, ICICI Bank, Reliance Industries, Infosys, and L&T.
| Scheme Name | Total Amount Invested (Rs) | Present Value (Rs) | 5-Year XIRR (%) |
| Kotak Bluechip Fund | 3,00,000 | 4,56,642 | 16.84 |
Past performance is not an indicator of future returns. The securities quoted are for illustration only and are not recommendatory.
Returns are XIRR in percentage as of August 20, 2023
Monthly SIP of Rs 5,000 over a 5-year period in Direct plan – Growth option considered
(Source: ACE MF, data collated by PersonalFN)
Top-performing Large Cap Mutual Fund on 5-Year SIP Returns #7: Canara Robeco Bluechip Equity Fund
Launched in August 2010, Canara Robeco Bluechip Equity Fund currently has an AUM of Rs 10,202 crore. In the last 5 years, Canara Robeco Bluechip Equity Fund grew at an XIRR of 16.8%. A monthly SIP of Rs 5,000 over a 5-year period (i.e. total investment of Rs 3,00,000) would now be valued at Rs 4,56,474. The fund’s stock holdings include HDFC Bank, ICICI Bank, Reliance Industries, Infosys, and L&T.
| Scheme Name | Total Amount Invested (Rs) | Present Value (Rs) | 5-Year XIRR (%) |
| Canara Rob Bluechip Equity Fund | 3,00,000 | 4,56,474 | 16.82 |
Past performance is not an indicator of future returns. The securities quoted are for illustration only and are not recommendatory.
Returns are XIRR in percentage as of August 20, 2023
Monthly SIP of Rs 5,000 over a 5-year period in Direct plan – Growth option considered
(Source: ACE MF, data collated by PersonalFN)
Click here to read our detailed analysis of Canara Robeco Bluechip Equity Fund.
Do note that Large Cap Fund may not generate extraordinarily high returns because large-sized companies already hold significant market share, and therefore, they grow at a slower pace. Large Cap Mutual Funds are suitable for investors looking for steady growth of capital over the long run through equities but do not want to assume very high risk. It is preferable to have a long-term investment horizon of at least 3-5 years when investing in Large Cap Mutual Funds.
Related links:
Sensex at All-time High: Is It Time to Sell Your Equity Mutual Funds?
Market at All-time High: Is This a Good Time to Invest in Mid Cap and Small Cap Mutual Funds?
The Investment Strategy Mutual Fund Investors May Follow as Sensex, Nifty Touch Record Highs
Should You Kick-start Your SIPs Amid Market Highs? Find Out Now
Market at All-time High: How to Select the Best Mutual Funds for SIP Investment Now?
7 Top Performing Mutual Funds Based on 10-Year SIP Returns
7 Top-Performing Mid Cap Mutual Funds with High Returns on 10-Year SIP
7 Top-performing Small Cap Mutual Funds with High Returns on 10-Year SIP
Note: This write-up is for information purpose and does not constitute any kind of investment advice or a recommendation to Buy / Hold / Sell a fund. Returns mentioned herein are in no way a guarantee or promise of future returns. As an investor, you need to pick the right fund to meet your financial goals. If you are not sure about your risk appetite, do consult your investment consultant/advisor. Mutual Fund Investments are subject to market risks, read all scheme-related documents carefully.
This article first appeared on PersonalFN here
