Top 10 Diversified Multicap Mutual Funds to invest in India in 2018

Top 10 Diversified Multicap Mutual Funds to invest in India in 2018-minTop 10 Diversified Multicap Mutual Funds to invest in India in 2018


Diversified or Multicap mutual funds would help in portfolio diversification as they invest in large cap, midcap and small cap companies. In case you are thinking that investing in too many mutual funds is confusing for you, you can choose investing in some of the top 10 best diversified Multicap mutual funds in India in 2018. What are diversified Multicap mutual funds? How do these diversified mutual funds perform better compared to investing in large cap or midcap/small cap funds? Which are the Top 10 Best Diversified Multicap mutual funds to invest in India in 2018? How do these top 10 diversified multicap mutual funds performing in the last 5 years and since inception of the mutual fund?

Also Read: Top 10 Best Mutual Funds to invest through SIP in 2018-2019

What are Diversified Multicap Mutual Funds?


If you aware about diversified funds, you can skip this section.

Diversified multi-cap mutual funds are those which invest in all categories of market cap like large cap stocks, mid-cap stocks and small cap stocks. Diversified fund’s investment objective is not restricted to single categorization. Such funds strategy would help in exploring numerous opportunities in various segments and one can expect higher returns when stock markets are fluctuating.

Who can invest in Diversified Multicap Mutual Funds?


You migh be investing in various mutual fund schemes. However every fund is pertaining a particular category like largecap or midcap or small cap or balanced fund. However, some segments would perform well in some market cycles. Diversified multicap funds invests in all these category of funds. Hence if you are thinking about investing in mutual funds which are not refrained to particular segment and looking for diversified portfolio of funds that can give you between 12% to 18% annualised returns, you should invest in these mutual funds. One can pick-up 2-3 funds from this category as part of their mutual fund portfolio. 

How we filtered Top 10 Diversified Multicap Mutual Funds to invest in India in 2018


Some of the key parameters used to filter these top 10 mutual funds.

1) Investment objective and its performance in various market cycles are preference.

2) Top 10 Mutual Funds picked from the bunch of mutual funds that has generated high returns since the inception of the mutual fund.

3) These mutual funds are picked based on highest returns received in the last 5 years.

4) Funds that have limited downside in last 3 months to 1 year have been given preference.

5) Funds that gave highest returns with SIP option are given preference. Since most of the investors invest through SIP, accumulating highest value of the fund is the key goal here.

6) Funds that are rated by Crisil as Rank-1, Rank-2, Rank-3 and Rank-4 which indicates top performance across various market cycles.

7) Value research Online (VRO) rated these funds as 5 star, 4 star and 3 star indicating strong fundamentals in the mutual fund scheme.

8) AUM (Assets under management) > 500 Crores. This proves investor confidence among these top mutual funds.

9) Direct plans are ignored.

10) Some of these mutual funds might be a repetition from my earlier recommendation.

Top#1 – Franklin India High Growth Cos Mutual Fund


Franklin India High Growth Cos Mutual Fund-Top 10 diversified multicap funds for 2018-min

Fund Objective:  This mutual fund objective is to provide capital appreciation through investments in Indian companies/sectors with high growth rates or potential. This fund would focus on companies offering the best trade-off between growth, risk and valuation.

Why to invest:  This fund has been performing well compared to its peers in Multicap funds and stood in first place. This fund gave 23% annualized returns in the last 5 years, 14% annualized returns in the last 3 years and 32% annualized returns in the last 1 year. If an investor invested Rs 5,000 per month through SIP for 5 years, the investment would have been Rs 60,000 and your investment value would have now grown to Rs 107,000. This fund risk grade is “above average” and return grade is “above average”. This fund is rated by Crisil as Rank-4 and VRO as 4 Star. This fund gave 14.5% annualized returns since inception of this mutual fund, making this as one of the best diversified Multicap mutual funds to invest in 2018.

Top#2 – Tata Equity P/E Mutual Fund


tata equity PE Fund-Top 10 Diversified Multicap Mutual Funds to invest in India in 2018-min

Fund Objective:  This mutual fund aims provide capital appreciation by investing 70% in stocks having a trailing P/E ratio less than that of the BSE Sensex.

Why to invest:  This fund has been performing well compared to its peers in Multicap funds. This fund gave 22% annualized returns in the last 5 years, 18% annualized returns in the last 3 years and 34% annualized returns in the last 1 year. If an investor invested Rs 5,000 per month through SIP for 5 years, the investment would have been Rs 60,000 and your investment value would have now grown to Rs 112,000. This fund risk grade is “above average” and return grade is “above average”. This fund is rated by Crisil as Rank-1 and VRO as 3 Star. This fund gave 21% annualized returns since inception of this mutual fund making this as one of the top 10 diversified Multicap mutual funds to invest in 2018.

Top#3  – Aditya Birla Sunlife Advantage Fund


Aditya Birla Sunlife Advantage Fund-Top 10 diversified multicap funds to invest in 2018-min

Fund Objective:  The MF scheme aims to achieve long-term growth at relatively moderate levels of risk through a diversified investment approach.

Why to invest:  This fund has been performing well compared to its peers in Multicap funds and stood on 3rd place. This fund gave 22% annualized returns in the last 5 years, 18% annualized returns in the last 3 years and 38% annualized returns in the last 1 year. If an investor invested Rs 5,000 per month through SIP for 5 years, the investment would have been Rs 60,000 and your investment value would have now grown to Rs 110,000. This fund risk grade is “average” and return grade is “high”. This fund is rated by Crisil as Rank-1 and VRO as 5 Star. This fund gave 19% annualized returns since inception of this mutual fund making this as one of the top diversified Multicap mutual funds to invest in 2018.

You may like: Which are the best Tax Saving Mutual Funds to invest in 2018-2019?

Top#4  – Invesco India Contra Fund


Invesco India Contra Fund-Top 10 diversified multicap funds to invest in 2018 in india-min

Fund Objective:  The mutual fund scheme aims to generate capital appreciation through contrarian investing. It intends to identify potentially undervalued stocks across sectors utilizing both top down and bottom up approach and then incubating such stocks for a while before they find favor with rest of the market.

Why to invest:  This fund has been performing well compared to its peers in diversified funds. This fund gave 22% annualized returns in the last 5 years, 17% annualized returns in the last 3 years and 39% annualized returns in the last 1 year. If an investor invested Rs 5,000 per month through SIP for 5 years, the investment would have been Rs 60,000 and your investment value would have now grown to Rs 108,000. This fund risk grade is “average” and return grade is “above average”. This fund is rated by Crisil as Rank-3 and VRO as 4 Star. This fund gave 15% annualized returns since inception of this mutual fund making this as one of the best diversified Multicap mutual fund to invest in 2018 in India.

Top#5 – Aditya Birla Sunlife Equity Mutual Fund


Aditya Birla Sunlife Equity Mutual Fund-Top 10 diversified multicap funds to invest in 2018 in india-min

Fund Objective:  This mutual fund seeks long term growth of capital and regular income through 90% investment in equities and balance in debt and money market instruments. The scheme would adopt top-down & bottom-up approach of investing and it invests in IPO’s and emerging sectors.

Why to invest:  This fund gave 21% annualized returns in the last 5 years, 16% annualized returns in the last 3 years and 30% annualized returns in the last 1 year. If an investor invested Rs 5,000 per month through SIP for 5 years, the investment would have been Rs 60,000 and your investment value would have now grown to Rs 108,000. This fund risk grade is “below average” and return grade is “above average”. This fund is rated by Crisil as Rank-2 and VRO as 4 Star. This fund gave 25% annualized returns since inception of this mutual fund making this as one of the top 10 diversified Multicap mutual funds to invest in India in 2018.

Top#6  – SBI Magnum Multicap Fund


SBI Magnum Multicap Fund-Top 10 diversified multicap funds to invest in 2018 in india-min

Fund Objective:  The MF scheme invests in equities / equity related instruments of companies spanning the entire market capitalization spectrum. The fund will invest 50% to 90% in large-cap stocks, 10% to 40% in mid-cap stocks and up to 10% in small-cap stocks.

Why to invest:  This fund has been performing well compared to its peers in Multicap funds and stood in first place. This fund gave 21% annualized returns in the last 5 years, 17% annualized returns in the last 3 years and 32% annualized returns in the last 1 year. If an investor invested Rs 5,000 per month through SIP for 5 years, the investment would have been Rs 60,000 and your investment value would have now grown to Rs 105,000. This fund risk grade is “below average” and return grade is “above average”. This fund is rated by Crisil as Rank-2 and VRO as 5 Star. This fund gave 14% annualized returns since inception of this mutual fund making this as one of the 10 top diversified Multicap mutual funds to invest in 2018.

Top#7 – Principal Growth Fund


Principal Growth Fund-Top 10 diversified multicap funds to invest in 2018 in india-min

Fund Objective:  The fund aims to generate long-term capital appreciation through investment primarily in equities of multiple capitalization.

Why to invest:  This fund gave 21% annualized returns in the last 5 years, 17% annualized returns in the last 3 years and 44% annualized returns in the last 1 year. If an investor invested Rs 5,000 per month through SIP for 5 years, the investment would have been Rs 60,000 and your investment value would have now grown to Rs 108,000. This fund risk grade is “above average” and return grade is “above average”. This fund is rated by Crisil as Rank-2 and VRO as 4 Star. This fund gave 17% annualized returns since inception of this mutual fund making this as one of the good diversified Multicap mutual funds to invest in 2018 in India.

Top#8  – HDFC Capital Builder Fund


HDFC Capital Builder Fund-Top 10 diversified multicap funds to invest in 2018-min

Fund Objective:  The fund aims to invest in companies that are priced below their fair value thereby generating capital appreciation in the long-term.

Why to invest:  This fund gave 20% annualized returns in the last 5 years, 15% annualized returns in the last 3 years and 38% annualized returns in the last 1 year. If an investor invested Rs 5,000 per month through SIP for 5 years, the investment would have been Rs 60,000 and your investment value would have now grown to Rs 103,000. This fund risk grade is “average” and return grade is “average”. This fund is rated by Crisil as Rank-3 and VRO as 3 Star. This fund gave 15% annualized returns since inception of this mutual fund making this as one of the best diversified mutual funds to invest in 2018.

Top#9  – DSP Blackrock Opportunities Fund


DSP Blackrock Opportunities Fund-Top 10 diversified multicap funds to invest in 2018-min

Fund Objective:  The MF scheme main objective is to generate long term appreciation and other objective is for income generation and the distribution of dividend from a portfolio constituted of equity and equity related securities concentrating on the investment focus of the scheme. The aim of this scheme is to strongly outperform plain vanilla equity funds which are far more diversified in their portfolio weightage, to minimize risk.

Why to invest:  This fund has been performing well compared to its peers in Multicap funds and stood in first place. This fund gave 20% annualized returns in the last 5 years, 18% annualized returns in the last 3 years and 35% annualized returns in the last 1 year. If an investor invested Rs 5,000 per month through SIP for 5 years, the investment would have been Rs 60,000 and your investment value would have now grown to Rs 105,000. This fund risk grade is “average” and return grade is “above average”. This fund is rated by Crisil as Rank-3 and VRO as 4 Star. This fund gave 19% annualized returns since inception of this mutual fund making this as one of the best Multicap mutual funds to invest in 2018 in India.

Top#10  – SBI Magnum Multiplier Fund


SBI Magnum Multiplier Fund-Top 10 diversified multicap funds to invest in 2018-min

Fund Objective:  The fund seeks capital appreciation through investments primarily in equities in diversified portfolios.

Why to invest:  This fund has been performing well compared to its peers in Multicap funds and stood in first place. This fund gave 20% annualized returns in the last 5 years, 16% annualized returns in the last 3 years and 34% annualized returns in the last 1 year. If an investor invested Rs 5,000 per month through SIP for 5 years, the investment would have been Rs 60,000 and your investment value would have now grown to Rs 105,000. This fund risk grade is “below average” and return grade is “above average”. This fund is rated by Crisil as Rank-3 and VRO as 4 Star. This fund gave 15% annualized returns since inception of this mutual fund making this as one of the good Multicap mutual fund to invest in India in 2018.

Also Read: Best High Return – Low Risk Mutual Funds to invest in India

Consolidated list of Top 10 Diversified Multicap Mutual Funds to invest in India in 2018


Consolidated list of Top 10 Diversified Multicap Mutual Funds to invest in India in 2018-min

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Suresh

Top 10 Diversified Multicap Mutual Funds to invest in India in 2018

30 comments

  • Sumitava Chowdhury

    I am planning to start investing in the following for my post-retirement needs.
    1. ABSL frontline equity fund 1000/pm
    2. Tata equity P/E fund 1000/pm
    3. Mirae asset india equity 1000/pm
    4. Kotak standard multicap 1000/pm
    5. L&T Midcap fund 1000/pm.

    my investment horizon is 18-20 years. have i made a wise choice of funds? should i add a small cap?

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