Best SIP Plans in Mutual Funds for 2019 – Low Risk and High Returns

Best SIP Plans in Mutual Funds to invest in India in 2019Best SIP Plans in Mutual Funds for 2019 for low risk investors


There are several SIP Mutual Funds in India. Some SIP plans are high risk and provide good returns. Some SIP Mutual funds are high risk, but one need to wait for a long time to get good returns. You may find it difficult to identify a high return mutual fund scheme if you are moderate to low risk taker. We have filtered some of the Best SIP Plans in Mutual funds for such investors in this article. Which are the Best SIP Plans that are low risk and provide high returns? Which are the Top SIP Plans in Mutual Funds for moderate to low risk taker?

SIP Plans for Moderate to low risk takers – What we meant here?


First of all, let us understand that Mutual funds does not eliminate risk at all. Even debt funds have become risky after IL&FS scam. However, if you can invest in mutual funds that invests partly in equity and partly in debt, you can reduce your risk. You can pick-up some of these low risk, high return mutual funds if you are a conservative investor or moderate to low risk taker. You can expect 15% to 20% annualized returns if you can invest for 10-20 years time frame.

Who should not invest in this Low risk and High Returns Funds?


Here are some of the investors who can stay away from these mutual fund schemes.

1) If you are thinking to make quick money in the stock market, these mutual funds are not for you.

2) If you are a high risk taker and willing to invest in midcap/small cap funds, then you can ignore this article.

3) If you are thinking that SENSEX would grow in coming years and expect to get returns similar to that of SENSEX or any Index, you may skip these SIP plans.

How we analyzed these Best SIP Plans in Mutual Funds for 2019  that are Low Risk and provide High Returns?


We have filtered these low risk, high return MFs based on some of these key parameters.

1) Mutual fund scheme whose strategy is to invest in equity + debt instruments. These are hybrid in nature.

2) Mutual Fund schemes that have performed well in 1 year, 3 years, 5 years and 10 years time frame when invested through SIP.

3) Mutual Fund Schemes that have overcome losses in the last 1 year as stock market being volatile these days.

4) Funds that have good rating by Value Research Online

5) Funds that have good rating by Crisil.

6) Mutual Funds that have AUM of over Rs 500 Crores which gives confidence to investors.

Some of these hybrid MFs have not performed well in the last 1 year as stock market being volatile. You need to keep this aspect aside, as your goal is to invest for long term of over 10 years.

5 Best SIP Plans in Mutual Funds for 2019 – Low Risk and High Returns


Let us jump into these Best Mutual Funds to invest through SIPs.

Top#1 – ICICI Prudential Equity & Debt Fund


Best SIP Plans in Mutual Funds - ICICI Pru equity and Debt fund

What is its investment Strategy?

The mutual fund aims to generate capital appreciation by investing in a portfolio that is invested in equities and related securities as well as fixed income and money market securities. The approximate allocation to equity would be in the range of 60% to 80% with a minimum of 51%, and the approximate debt allocation is 40% to 49%, with a minimum of 20%.

How is the Performance of fund in case of SIP investment?

If you would have invested Rs 1,000 per month through SIP for 10 years, the invested value would have been Rs 120,000 (Rs 1,000 x 120 months) and the value of the fund would have now grown to Rs 2.6 Lakhs. 

If you would have invested Rs 1,000 per month through SIP for 5 years, the invested value would have been Rs 60,000 (Rs 1,000 x 60 months) and the value of the fund would have now grown to Rs 78,000. 

If you would have invested Rs 1,000 per month through SIP for 3 years, the invested value would have been Rs 36,000 (Rs 1,000 x 36 months) and the value of the fund would have now grown to Rs 40,000.

How is the Performance of fund in case of lump sum investment?

This mutual fund scheme gave 15% annualized returns in the last 5 years and 17% annualized returns in the last 10 years. If you would have invested Rs 1 Lakh 5 years back, your investment would have grown to Rs 2.1 Lakhs. If you would have invested Rs 1 Lakh 10 years back, your investment would have now grown to Rs 4.8 Lakhs.

Why to invest?

This fund has been performing well in the last 10-20 years. This fund gave highest SIP returns in this segment. Since inception (last 20 years), this fund has given 14% annualized returns. VRO rated this as 4 Star. This is one of the Best SIP Plans in India in 2019 which is low risk and can provide the highest returns in the next 10-20 years.

Top#2 – HDFC Hybrid Equity Fund


Best SIP Plans in Mutual Funds - HDFC Hybrid equity fund

What is its investment Strategy?

The Scheme seeks to generate capital appreciation / income from a portfolio, predominantly of equity & equity related instruments.

How is the Performance of fund in case of SIP investment?

If you would have invested Rs 1,000 per month through SIP for 10 years, the invested value would have been Rs 120,000 (Rs 1,000 x 120 months) and the value of the fund would have now grown to Rs 2 Lakhs. 

If you would have invested Rs 1,000 per month through SIP for 5 years, the invested value would have been Rs 60,000 (Rs 1,000 x 60 months) and the value of the fund would have now grown to Rs 70,000. 

If you would have invested Rs 1,000 per month through SIP for 3 years, the invested value would have been Rs 36,000 (Rs 1,000 x 36 months) and the value of the fund would have now grown to Rs 38,000.

How is the Performance of fund in case of lump sum investment?

This mutual fund scheme gave 16% annualized returns in the last 5 years and 19% annualized returns in the last 10 years. If you would have invested Rs 1 Lakh 5 years back, your investment would have grown to Rs 2.1 Lakhs. If you would have invested Rs 1 Lakh 10 years back, your investment would have now grown to Rs 5.7 Lakhs.

Why to invest?

This fund has been performing well compared to its peers in the low risk high return segment. This fund gave good SIP returns in this hybrid segment. Since inception (last 13 years), this fund has given 16% annualized returns. VRO rated this as 4 Star.  This is one of the Top SIP Plans for 2019 to invest in India for the long term.

Top#3 – SBI Equity Hybrid Fund


Best SIP Plans in Mutual Funds - SBI equity hybrid fund

What is its investment Strategy?

The mutual fund scheme aims to provide investor capital appreciation along with the liquidity by investing in a mix of debt and equity. The scheme will invest in a diversified portfolio of equities of high growth companies and balance the risk through investing the rest in fixed income securities.

How is the Performance of fund in case of SIP investment?

If you would have invested Rs 1,000 per month through SIP for 10 years, the invested value would have been Rs 120,000 (Rs 1,000 x 120 months) and the value of the fund would have now grown to Rs 2.4 Lakhs. 

If you would have invested Rs 1,000 per month through SIP for 5 years, the invested value would have been Rs 60,000 (Rs 1,000 x 60 months) and the value of the fund would have now grown to Rs 76,000. 

If you would have invested Rs 1,000 per month through SIP for 3 years, the invested value would have been Rs 36,000 (Rs 1,000 x 36 months) and the value of the fund would have now grown to Rs 42,000.

How is the Performance of fund in case of lump sum investment?

This mutual fund scheme gave 15% annualized returns in the last 5 years and 16% annualized returns in the last 10 years. If you would have invested Rs 1 Lakh 5 years back, your investment would have grown to Rs 2 Lakhs. If you would have invested Rs 1 Lakh 10 years back, your investment would have now grown to Rs 4.4 Lakhs.

Why to invest?

This fund too gave highest SIP returns in this hybrid segment. Since inception (last 23 years), this fund has given 16% annualized returns. VRO rated this as 4 Star.  This is one of the Best SIP Plans in India that has been consistently performing in the last 20 years.

Top#4 – L&T Hybrid Equity Fund


Best SIP Plans in Mutual Funds - L&T hybrid Fund

What is its investment Strategy?

The MF scheme aims to generate long-term capital appreciation from a diversified portfolio of predominantly equity and equity related securities.

How is the Performance of fund in case of SIP investment?

This fund came 7.5+ years back (94 months), hence let us compare equivalent performance. If you would have invested Rs 1,000 per month through SIP for 94 months, the invested value would have been Rs 94,000 (Rs 1,000 x 94 months) and the value of the fund would have now grown to Rs 1.55 Lakhs. 

If you would have invested Rs 1,000 per month through SIP for 5 years, the invested value would have been Rs 60,000 (Rs 1,000 x 60 months) and the value of the fund would have now grown to Rs 76,000. 

If you would have invested Rs 1,000 per month through SIP for 3 years, the invested value would have been Rs 36,000 (Rs 1,000 x 36 months) and the value of the fund would have now grown to Rs 40,000.

How is the Performance of fund in case of lump sum investment?

This mutual fund scheme gave 15% annualized returns in the last 5 years and 12% annualized returns in the last 7.5 years. If you would have invested Rs 1 Lakh 5 years back, your investment would have grown to Rs 2 Lakhs.

Why to invest?

This is one of the consistent performing SIP mutual funds in the last 8 years that gave 12% annualized return since inception. VRO rated this as 4 Star.  This is one of the good SIP Plans for 2019 that can be invested for next 8-10 years.

Top#5 – Franklin India Equity Hybrid Fund


Best SIP Plans in Mutual Funds - Franklin India equity Hybrid fund

What is its investment Strategy?

The mutual fund seeks to get long-term capital appreciation with stability of investment and current income from a balanced portfolio of high quality equity and fixed-income securities.

How is the Performance of fund in case of SIP investment?

If you would have invested Rs 1,000 per month through SIP for 10 years, the invested value would have been Rs 120,000 (Rs 1,000 x 120 months) and the value of the fund would have now grown to Rs 2.2 Lakhs. 

If you would have invested Rs 1,000 per month through SIP for 5 years, the invested value would have been Rs 60,000 (Rs 1,000 x 60 months) and the value of the fund would have now grown to Rs 74,000. 

If you would have invested Rs 1,000 per month through SIP for 3 years, the invested value would have been Rs 36,000 (Rs 1,000 x 36 months) and the value of the fund would have now grown to Rs 40,000.

How is the Performance of fund in case of lump sum investment?

This mutual fund scheme gave 14% annualized returns in the last 5 years and 15% annualized returns in the last the last 10 years. If you would have invested Rs 1 Lakh 5 years back, your investment would have grown to Rs 1.9 Lakhs. If you would have invested Rs 1 Lakh 10 years back, your investment would have now grown to Rs 3.9 Lakhs.

Why to invest?

This is one of the consistent performing mutual funds in the last 21 years that gave 14% annualized return since inception. VRO rated this as 3 Star.  This is one of the Best SIP Plans to invest in India for long term of 10-15 years.

Summary of Best SIP Plans in India for 2019 is here


List of Best SIP Plans in Mutual Funds - Low risk and High Return-2019

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Suresh

Best SIP Plans in Mutual Funds for 2019 – Low Risk and High Returns

29 comments

  • Suresh

    Hi Suresh,
    I have the below SIPs in my portfolio and both going negative, please suggest what should i do in this case?
    DSP Small CAP Fund- Regular Plan- Growth
    Franklin India Smaller Companies Fund Growth
    Thanks,
    Suresh

    • Hi Suresh, Both are good funds. However due to down trend in small cap and midcap stocks, you are seeing such negative returns in these small cap funds. Thats I I always advice to invest in a portfolio that has largecap, diversified, midcap, small cap and balanced funds. This way if any down trend in one particular fund would not impact you much in your MF portfolio

      • Suresh

        Thanks Suresh. I do have investments in other below funds. Hope my overall portfolio is good. Please suggest, is there anything i have to do.

        Franklin India Focused Equity Fund GROWTH
        ADITYA BIRLA SUN LIFE FRONTLINE EQUITY FUND – GROWTH
        ICICI PRUDENTIAL BLUECHIP FUND – GROWTH
        SBI BLUE CHIP FUND – REGULAR PLAN – GROWTH
        L and T MIDCAP FUND – GROWTH
        ICICI PRUDENTIAL VALUE DISCOVERY FUND – GROWTH
        HDFC BALANCED FUND – REGULAR PLAN – GROWTH
        HDFC HYBRID EQUITY FUND – REGULAR PLAN – GROWTH

        Thank you very much for your review and suggestion,
        Jey Suresh

  • RAJENDRA KUMAR CHAKRAVARTY

    After the Budget AND DHFL scam
    1) would you like to give NEW & latest choices of best MFs / SIP Funds list for low risk high return And All other recommendations which you made before 1st Feb 2019
    A NEW survey in view of the above SCAMS IL&SL & DHFL .
    These things are making things confusing & difficult to follow by senior citizen of my age of 72 years plus

    • Hello Rajendra, The way you and me are thinking, even fund managers are thinking of such risks. You can leave that to fund managers. There would not be any change in our portfolio recommendations as these risks would continue in future too

  • Hitender

    Thanks Boss..

  • Hitender

    Dear Mr. Suresh
    Good day, Can i invest in Escort Mid cap / Miare Blue chip / Kotak Midcap , can you suggest wich one is good to invest from the same..

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