5 Best Mutual Funds with solid and consistent returns

Best Mutual Funds with solid and consistent returns in long run5 Best Mutual Funds with solid and consistent returns in long run

Generally I analyze, Best Mutual Funds to invest in India based on 5 years performance, ranking, investment objectives and several other parameters. However investors would keep asking me about the best mutual funds to invest which have been consistently performing over 10 years or in long run. This provides high confidence that such mutual funds would continue to perform well in the long run of 10 to 15 years. I have analyzed 5 best mutual funds to invest for long term which yielded consistent returns of over 19% per annum since inception of these mutual funds. These mutual funds have been launched more than 10 years back.

Also Read: Best Diversified mutual funds to invest in India

Do we need to choose mutual funds based on its returns?

The primary criterion is not that we should choose mutual funds based on its returns. However, if I would tell you to invest based on ranking or investment objective, you would just ignore my advice. Finally, every investor boils down to returns when he finally makes a call whether to buy a mutual fund or not.

How we filtered these Best Mutual funds with solid and consistent returns?

  • Mutual funds were picked from Largcap, Diverisifed and Hybrid category.
  • Assets under management (AUM) is more than Rs 3000 Crores. This indicates that it gained investor confidence and more and more investors are investing in these mutual funds
  • Crisil rated these mutual funds from 1 to 3 rankings
  • Value Research Online rated these mutual funds from 3-Star to 5-Star
  • Mutual funds which provided annualized Returns of more than 19% since inception have been picked. Minimum annualized returns in the last 5 years are 13%.

Best Mutual Funds with solid and consistent returns in long run

1) Birla Sun Life Frontline Equity Fund (Large cap)

  • This mutual fund is from large cap category which invests majority in large cap stocks. This mutual fund was launched in 2002.
  • It consistently provided annualized returns of over 14% in the last 5 years and 23.59% since inception (11 years).
  • Crisil rated as Rank-2 and Value Research Online rated as 4-Star

2) HDFC Top-200 Fund (Large cap)

  • This mutual fund is also from large cap category which invests majority in large cap stocks. This mutual fund was launched in 1996.
  • It consistently provided annualized returns of over 13% in the last 5 years and 21.56% since inception (17 years).
  • Crisil rated as Rank-3 and Value Research Online rated as 4-Star
  • It invested heavily in SBI where it underperformed and took beating on returns in 2011. However it was able to recover soon.

3) Franklin India Blue chip Fund (Large cap)

  • This mutual fund is also from large cap category which invests majority in large cap stocks. This mutual fund was launched in 1993.
  • It consistently provided annualized returns of over 13% in the last 5 years and 22.71% since inception (20 years).
  • Crisil rated as Rank-3 and Value Research Online rated as 5-Star

4) ICICI Prudential Dynamic Plan (Diversified)

  • This mutual fund is from diversified category which invests majority in large cap stocks of various sectors. This mutual fund was launched in 2002.
  • It consistently provided annualized returns of over 12% in the last 5 years and 25.36% since inception (11 years).
  • Crisil rated as Rank-2 and Value Research Online rated as 3-Star

5) HDFC Prudence Fund (Hybrid-Balanced category)

  • This is a hybrid mutual fund i.e. balanced mutual fund which invests up to 70% in Crisil rated large cap stocks and up to 30% in debt related investments. Due to this investment strategy, the risk would be lower compared to other equity mutual funds. This mutual fund was launched in 1994.
  • It consistently provided annualized returns of over 15% in the last 5 years and 19.3% since inception (19 years).
  • Crisil rated as Rank-3 and Value Research Online rated as 4-Star

Also read: Direct Plan Vs Regular Plan for mutual funds – Which is better

Performance of these Best Mutual Funds since Inception

5 Best Mutual Funds with solid and consistent returns in long run

Conclusion:  If you plan to invest in consistent performers, invest in these best mutual funds which provided solid returns in long run. Since these have been performing well in long run, you can invest for 10 to 15 years to get high yield.

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Suresh
5 Best Mutual Funds with solid and consistent returns in long run

Suresh KP

62 comments

  1. Hi Suresh

    Your arcticle is very good. I was investing in share market in stocks for last 3 years but did not make any money. now i want to invest in Mutual funds. i did a research for 2 weeks for this and finally shortlisted bellow funds. i want to invest 10K PM for period of atlest 10 years. i have heard that we should put 60% of money in Large fund and 40 % money in Small and mid cap company. according i have made bellow portfolio. there are 4 large funds for 1500 rs pm invest ment and 2 small mid cap fund to invest 2000 rs each. this way i will be investing 6000 + 4000. I have selected top rated fundes from money control.com and valueresearch.com,

    your comment on this pls. also pls suggest if i should change any fund in this ,

    Large cap
    HDFCBalancedFund
    ICICI prutop 100fund
    BNP Paribas Eqfund G
    ICICI Pru focused bluechip G

    small and mid cap 
    FranklinSmallercos
    Reliance Small capfund

     

    thanks 

    anupam sahu

    mumbai 

     

     

  2. Hi,

    I have invested Rs. One Lac in IDFC Dynamic Bond Fund – Regular Plan (G) on 30/5/2013. This fund is not performing well. Should i stay invested or suggest me the another fund in same category.My investment period will be another one/two years.

    Thanks

  3. Hi suresh ,

    I want to start investing in SIP. Am looking for medium to low risk. But want to go for a long run. And can shift to high risk high gain later. Can you recommend me any particular fund. I would like to invest 1500 per month.

  4. Hi Suresh,

    Since there has been a hike in Stock Market,, I am afraid if this is the right time to invest, but I would like to invest in SIP because of the good returns it provides.
    I am a moderate risk taker and would like to know from you how much and where i should invest considering the market is at all time high at the moment.
    FYI…Maximum amount that I can invest every month considering I am totally new to investing is 10K

    1. Hi Anisha, Investment thru SIP’s would help you to overcome such market fluctuations. Start investing in mutual funds that too in large cap funds segment.

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