Worthy equity mutual fund considerations for SIP
Nothing beats establishing a SIP in equity mutual funds right now, when markets are turbulent. In this post, we will discuss the best equity funds for SIP.
Although the markets are exhibiting indications of improvement, the India VIX (volatility index) remains over 18. However, the Nifty 50 has broken beyond its critical resistance level of 16,400. Concerns remain as a result of the current economic scenario in India and internationally, with domestic quarterly earnings being a mixed bag.
However, nothing beats beginning a Systematic Investment Plan (SIP) in equity mutual funds. In the current environment, investing in equity mutual funds via SIP makes more sense since you may accumulate more units at lower Net Asset Values (NAVs). If you currently have an ongoing SIP in equity mutual funds, increasing those SIPs now will be very helpful in the long term.
|
Equity MF Category
|
Returns (%) *
|
|
Large Cap
|
-2.5
|
|
Large & MidCap
|
-3.1
|
|
Flexi Cap
|
-3.6
|
|
Multi-Cap
|
-2.8
|
|
Mid Cap
|
-2.7
|
|
Small-Cap
|
-3.9
|
|
Value-Oriented
|
-1.8
|
|
ELSS
|
-3.0
|
|
Sectoral - Banking
|
-2.5
|
|
Sectoral - Infrastructure
|
-0.8
|
|
Sectoral - Pharma
|
-2.7
|
|
Sectoral - Technology
|
-12.8
|
|
Thematic
|
-1.2
|
|
Thematic - Consumption
|
0.0
|
|
Thematic - Dividend Yield
|
-1.9
|
|
Thematic - Energy
|
-1.9
|
|
Thematic - ESG
|
-4.3
|
|
Thematic - MNC
|
-3.3
|
|
Thematic - PSU
|
3.1
|
|
International
|
-5.2
|
|
* Trailing 3-Month returns
|
The standard SIP plan would provide you with average returns owing to rupee cost averaging, but increasing SIPs during such uncertain periods would always have an advantage over the standard SIP approach. As a result, we will present the best equity mutual funds for SIP in this post.
|
Trailing SIP Returns (%)
|
3-Year
|
5-Year
|
10-Year
|
15-Year
|
20-Year
|
|
SBI Contra Fund
|
31.98
|
20.27
|
15.20
|
12.99
|
17.46
|
|
Nippon India Growth Fund
|
23.78
|
17.19
|
15.90
|
14.49
|
19.14
|
|
Taurus Discovery (Midcap) Fund
|
16.77
|
12.84
|
15.02
|
13.67
|
13.63
|
|
UTI Flexi Cap Fund - Regular Plan
|
15.04
|
13.91
|
14.06
|
14.02
|
16.01
|
|
ICICI Prudential Value Discovery Fund
|
26.61
|
18.11
|
16.14
|
17.06
|
-
|
|
SBI Large & Midcap Fund
|
20.94
|
15.40
|
15.14
|
14.34
|
18.18
|
|
JM Large Cap Fund
|
11.70
|
9.88
|
10.03
|
8.87
|
10.35
|
|
Tata Young Citizens Fund
|
16.95
|
12.37
|
10.70
|
10.47
|
11.25
|
|
Sundaram Multi-Cap Fund
|
19.99
|
13.94
|
14.75
|
13.48
|
14.30
|
|
Kotak Small Cap Fund
|
35.69
|
23.96
|
20.18
|
17.99
|
-
|