Top 10 Best Mutual Funds 2020 – Best SIP Plans in India

Top 10 Best SIP Mutual Fund Plans to invest in 2020-minTop 10 Best Performing Mutual Funds 2020 – Best SIP Plans in India


In the last two years, there has been few trends that gave direction to the mutual fund schemes. It could be SEBI re-categorization of mutual fund schemes, the down trend in midcap and small cap funds to name a few. Mutual Funds through SIP has always rewarded investors in the medium to long term in spite of several such changes. There are several benefits of investing through SIP in mutual fund schemes. Like every year, even this year, we are providing Top 10 Best SIP Mutual Fund Plans to invest in India in 2020.

Also Read: Best SIP Plans for 5 years to invest in India

What are SIPs in Mutual Funds?


If you are already familiar about SIPs in MFs, you can skip this section.

Mutual funds pool money from investors and invest in equity and debt instruments based on the investment object. Systematic Investment Plan (SIP) in mutual funds is where one can invest small amounts at periodic intervals and accumulate wealth over a period of time. Mutual Funds can be invested either daily or weekly or fortnightly or monthly or quarterly. Most favorable one is monthly SIP.

How does SIP Mutual Funds Work?


Investing in SIP Mutual Funds are simple. Once you choose Best SIP Plans to invest through a mutual fund platform, your money would be automatically debited in your bank account and invested in buying units of a mutual fund which you have opted on a the specific date chosen by you. The number of MF units would be allocated to you based on the NAV of the mutual fund on the date of purchase. NAV would fluctuate based on the underlying stocks invested by the mutual fund scheme.

What are the benefits of SIP / Why to invest in SIP Mutual Funds?


Here are the major benefits and reasons to invest in SIP mutual funds.

1) Rupee Cost Averaraging – It benefits from Rupee Cost Averaging. If the stock markets are low, the NAV of your mutual fund scheme would be low, but you would get higher number of MF units. On the other hand, if stock markets are high, the NAV of your mutual fund scheme could be high and you would get a lower number of MF units.

2) Power of Compounding Returns – When you invest in mutual fund through SIP, you would get returns every year based on the underlying stocks invested. Such returns would get compounded year on year and you can create more wealth due to compounding power.

3) You would cultivate with disciplined savings.

4) SIP in mutual funds provides flexibility about investing and taking out money. However, one should invest in mutual funds for long term to reap the benefits.

5) Mutual Funds SIPs provide higher returns compared to FD or RD. While FD/RDs provide 6% to 7.5% annualized returns, SIP mutual funds can earn between 12% to 18% annualized returns.

What is the methodology we considered in picking up these mutual funds?


Below is the methodology we have used to pick-up Best SIP Mutual Fund Plans to invest in 2020.

1) Mutual Fund schemes that have performed well in the last 5-10 years are considered here.

2) Mutual Fund schemes that have performed well in various stock market cycles are further filtered.

3) 2-3 Mutual Fund schemes from various mutual fund categories like large cap, midcap, smallcap, hybrid have been selected.

4) Funds that are rated 5 star, 4 star, 3 star by value research online are considered.

5) Majority of these funds are already recommended by us, hence if you have already invested, it could be repetition for you.

Top 10 Best SIP Mutual Fund Plans to invest in 2020


Here is the list of Top 10 Mutual Funds to invest through SIP in 2020.

#1 – Mirae Asset Large Cap Fund

#2 – Axis Bluechip Fund

#3 – SBI Bluechip Fund

#4 – Mirae Asset Emerging Bluechip Fund

#5 – SBI Small Cap Fund

#6 – Kotak Emerging Equity Fund Regular Plan

#7 – Kotak Standard Multicap Fund Regular Plan

#8 – Franklin India Focused Equity Fund

#9 – SBI Equity Hybrid Fund

#10 – HDFC Hybrid Equity Fund

Now let us jump into an individual mutual fund scheme about their performance and their ratios.

Top and Best Largecap SIP Mutual Fund Plans to invest in 2020


In the large cap segment we are recommending 3 mutual fund schemes that can be invested through Systematic Investment Plan (SIP).

#1 – Mirae Asset Large Cap Fund

Investment Objective: The scheme aims to maximize long term capital appreciation by finding investment opportunities resulting from Indian economic growth and its structural shifts through investing in equity and equity related securities.

Performance and Ratios of the fund

FundMirae Asset Large Cap Fund
CategoryLargecap
Returns in 3mth1.3%
Returns in 1 year15.6%
Annualised Returns in 3 years12.1%
Annualised Returns in 5 years10.4%
Annualised Returns in 10 years15.0%
Exp Ratio5 Star
Net Assets (AUM) Rs Crs17,140
1 Lakh invested 3 years back is now1.41 Lakhs
1 Lakh invested 5 years back is now1.64 Lakhs
1 Lakh invested 10 years back is now4.05 Lakhs
Standard Deviation12.77
Sharpe Ratio0.53
Sortino Ratio0.83
Beta0.95
Alpha-1.20
R-Squared0.92

#2 – Axis Bluechip Fund

Investment Objective: The scheme aims to generate long term capital growth by investing in a diversified portfolio predominantly consisting of equity & equity related instruments of large cap companies.

Performance and Ratios of the fund

FundAxis Bluechip Fund
CategoryLargecap
Returns in 3mth6.2%
Returns in 1 year25.0%
Annualised Returns in 3 years18.4%
Annualised Returns in 5 years10.8%
Annualised Returns in 10 years13.1%
Exp Ratio5 Star
Net Assets (AUM) Rs Crs11,077
1 Lakh invested 3 years back is now1.66 Lakhs
1 Lakh invested 5 years back is now1.67 Lakhs
1 Lakh invested 10 years back is nowNA
Standard Deviation12.72
Sharpe Ratio0.76
Sortino Ratio1.02
Beta0.86
Alpha2.50
R-Squared0.75

#3 – SBI Bluechip Fund

Investment Objective: The scheme seeks to provide investors with opportunities for long-term growth in capital through an active management of investments in a diversified basket of large cap equity stocks (as specified by SEBI/AMFI from time to time).

Performance and Ratios of the fund

FundSBI Bluechip Fund
CategoryLargecap
Returns in 3mth0.8%
Returns in 1 year16.7%
Annualised Returns in 3 years8.7%
Annualised Returns in 5 years7.8%
Annualised Returns in 10 years12.1%
Exp Ratio4 Star
Net Assets (AUM) Rs Crs23,625
1 Lakh invested 3 years back is now1.28 Lakhs
1 Lakh invested 5 years back is now1.46 Lakhs
1 Lakh invested 10 years back is now3.14 Lakhs
Standard Deviation12.91
Sharpe Ratio0.24
Sortino Ratio0.37
Beta0.91
Alpha-4.50
R-Squared0.82

Top & Best Midcap/Smallcap SIP Mutual Fund Plans to invest in 2020


Here we are recommending 3 Best mutual fund schemes from Midcap and Smallcap segment that can be invested through Systematic Investment Plan (SIP). 

#4 – Mirae Asset Emerging Bluechip Fund

Investment Objective: To generate income and capital appreciation from a diversified portfolio predominantly investing in Indian equities and equity related securities of large cap and midcap companies at the time of investment.

Performance and Ratios of the fund

FundMirae Asset Emerging Bluechip Fund
CategoryMidcap
Returns in 3mth4.9%
Returns in 1 year23.4%
Annualised Returns in 3 years13.7%
Annualised Returns in 5 years15.1%
Annualised Returns in 10 years-
Exp Ratio5 Star
Net Assets (AUM) Rs Crs9,806
1 Lakh invested 3 years back is now1.47 Lakhs
1 Lakh invested 5 years back is now2.02 Lakhs
1 Lakh invested 10 years back is nowNA
Standard Deviation14.68
Sharpe Ratio0.49
Sortino Ratio0.79
Beta1.03
Alpha1.34
R-Squared0.88

#5 – SBI Small Cap Fund

Investment Objective: The scheme seeks to provide investors with opportunities for long-term growth in capital along with the liquidity of an open-ended scheme by investing predominantly in a well diversified basket of equity stocks of small cap companies.

Performance and Ratios of the fund

FundSBI Small Cap Fund
CategorySmallcap
Returns in 3mth7.5%
Returns in 1 year22.0%
Annualised Returns in 3 years13.6%
Annualised Returns in 5 years13.8%
Annualised Returns in 10 years19.1%
Exp Ratio5 Star
Net Assets (AUM) Rs Crs3,493
1 Lakh invested 3 years back is now1.47 Lakhs
1 Lakh invested 5 years back is now1.91 Lakhs
1 Lakh invested 10 years back is now5.76 Lakhs
Standard Deviation19.49
Sharpe Ratio0.32
Sortino Ratio0.53
Beta0.86
Alpha9.69
R-Squared0.83

#6 – Kotak Emerging Equity Fund Regular Plan

Investment Objective: The scheme seeks to generate long-term capital appreciation from a portfolio of equity and equity related securities, by investing predominantly in mid companies.

Performance and Ratios of the fund

FundKotak Emerging Equity Fund Regular Plan
CategoryMidcap
Returns in 3mth9.8%
Returns in 1 year25.1%
Annualised Returns in 3 years9.8%
Annualised Returns in 5 years11.1%
Annualised Returns in 10 years15.6%
Exp Ratio5 Star
Net Assets (AUM) Rs Crs6,733
1 Lakh invested 3 years back is now1.32 Lakhs
1 Lakh invested 5 years back is now1.69 Lakhs
1 Lakh invested 10 years back is now4.27 Lakhs
Standard Deviation15.65
Sharpe Ratio0.11
Sortino Ratio0.16
Beta0.85
Alpha0.54
R-Squared0.95

Top Multicap SIP Mutual Fund Plans to invest in 2020


In Multicap / diversified mutual fund segment we are recommending 2 SIP Mutual Fund Schemes.

#7 – Kotak Standard Multicap Fund Regular Plan

Investment Objective:  The scheme seeks to generate longterm capital appreciation from a portfolio of equity and equity related securities, generally focused on a few selected sectors.

Performance and Ratios of the fund

FundKotak Standard Multicap Fund Regular Plan
CategoryMulticap
Returns in 3mth3.0%
Returns in 1 year18.9%
Annualised Returns in 3 years11.4%
Annualised Returns in 5 years10.2%
Annualised Returns in 10 years14.3%
Exp Ratio4 Star
Net Assets (AUM) Rs Crs30,546
1 Lakh invested 3 years back is now1.38 Lakhs
1 Lakh invested 5 years back is now1.62 Lakhs
1 Lakh invested 10 years back is now3.81 Lakhs
Standard Deviation14.74
Sharpe Ratio0.22
Sortino Ratio0.37
Beta0.98
Alpha-1.72
R-Squared0.84

#8 – Franklin India Focused Equity Fund

Investment Objective:  The scheme seeks to achieve capital appreciation through investing predominantly in Indian companies/sectors with high growth rates or potential.

Performance and Ratios of the fund

FundFranklin India Focused Equity Fund
CategoryMulticap
Returns in 3mth-0.1%
Returns in 1 year14.7%
Annualised Returns in 3 years7.7%
Annualised Returns in 5 years7.0%
Annualised Returns in 10 years14.1%
Exp Ratio3 Star
Net Assets (AUM) Rs Crs8,932
1 Lakh invested 3 years back is now1.25 Lakhs
1 Lakh invested 5 years back is now1.4 Lakhs
1 Lakh invested 10 years back is now3.74 Lakhs
Standard Deviation14.74
Sharpe Ratio0.22
Sortino Ratio0.37
Beta0.98
Alpha-1.72
R-Squared0.84

Best Hybrid / Balanced SIP Mutual Fund Plans to invest in 2020


In Hybrid / Balanced mutual fund segment we are recommending 2 Mutual Fund Plans to invest through SIP.

#9 – SBI Equity Hybrid Fund

Investment Objective:  The scheme seeks to provide investors long-term capital appreciation along with the liquidity of an open-ended scheme 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.

Performance and Ratios of the fund

FundSBI Equity Hybrid Fund
CategoryAggressive Hybrid
Returns in 3mth4.1%
Returns in 1 year20.3%
Annualised Returns in 3 years12.0%
Annualised Returns in 5 years9.5%
Annualised Returns in 10 years12.6%
Exp Ratio5 Star
Net Assets (AUM) Rs Crs32,585
1 Lakh invested 3 years back is now1.4 Lakhs
1 Lakh invested 5 years back is now1.57 Lakhs
1 Lakh invested 10 years back is now3.28 Lakhs
Standard Deviation9.74
Sharpe Ratio0.40
Sortino Ratio0.70
Beta0.82
Alpha-0.76
R-Squared0.79

#10 – HDFC Hybrid Equity Fund

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

Performance and Ratios of the fund

FundHDFC Hybrid Equity Fund
CategoryAggressive Hybrid
Returns in 3mth1.4%
Returns in 1 year10.7%
Annualised Returns in 3 years8.0%
Annualised Returns in 5 years8.0%
Annualised Returns in 10 years13.5%
Exp Ratio3 Star
Net Assets (AUM) Rs Crs20,228
1 Lakh invested 3 years back is now1.26 Lakhs
1 Lakh invested 5 years back is now1.47 Lakhs
1 Lakh invested 10 years back is now3.56 Lakhs
Standard Deviation9.86
Sharpe Ratio0.22
Sortino Ratio0.40
Beta0.85
Alpha-2.67
R-Squared0.83

You may like: Top Performing Mutual Funds in 20 years

Top 10 Best SIP Mutual Funds for 2020 – 3 months to 10 year performance


List of Top 10 Best SIP Mutual Fund Plans to invest in 2020

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Suresh KP

Top 10 Best SIP Mutual Fund Plans to invest in 2020

57 comments

  • shashi

    Please suggest and recommend on my Portfolio. i HAVE SIP on
    1. Axis bluechip- 1000/Month
    2. Mirae Asset emerging business fund- 2000/ Month
    3.Mirae Asset Focused Fund Direct Plan- 1000/Month
    4. Motilal Oswal Nasdaq 100 Fund of Fund – Direct Plan Growth-2000/mONTH

    My investment tenure is more than 5 years and i am an moderate risktaker

    • I responded on your email. 2 to 4 are for high risk investors. If you are moderate risk taker, you need to invest in hybrid/balanced funds indicated in the mail.

  • Gaurav

    Hello, following is my comment

    1. I’m central government employee. My monthly salary is approximately 1.32 lac and remittance is approx ₹95000 after TDS, PF contribution (₹9000) & insurance premium (₹5000). I am the sole earner in my family. i hv six dependents (mother,father, sister, wife, son n daughter).

    2. I shall be receiving increased salary from Mar/Apr which will result in approx increase of ₹24700 . I aim to invest at least 15000 from this increased portion of salary.

    3. I already have a life insurance of 75 lacs fr which I am paying premium of Rs5000. It’s mandatory fr us to pay this premium and I can’t stop this.

    4. Presently I have following investment in PF, mutual funds and shares. I have planned these investments in mutual funds for long term (18-20years) for my kids (son-4.5 years & daughter – 1month).

    (a) HDFC MID CAP OPPORTUNITIES FUND – 30000 (LUMSUM)

    (b) RELIANCE SMALL CAP FUND GROWTH -35311 (LUMSUM)

    (c) L&T EMERGING BUSINESS FUND GROWTH – 93000 (5500 SIP)

    (d) SBI BLUE CHIP FUND REG PLAN GROWTH – 96000 (3500 SIP)

    (e) SBI FOCUSED EQUITY FUND REG GROWTH – 45000 (LUMSUM)

    (f) Provident Fund – 9.44lac

    (g) RD – 1.88 (4000 PER MONTH) planning to keep till Feb 2021.

    (h) FD – 75000.

    4. Also I would like to inform you that I shall be financing my sister’s marriage probably in 2024-25. Though I have a car (2014 model) but I may have to buy new one after few years due to increased family strength.

    5. Also I have a 2bhk ground floor house in builder floor in meerut. But m contemplating to sell it and buy independent 2/3bhk in meerut. For present house, I am servicing a loan of 15.38 lac fr 20 years resulting in EMI of 16000.

    6. So please advise me which mutual funds/ any other instrument should I invest in and for what duration fr maximum returns.

    7. I HV demat account with SBI linked with salary account.

    8. Also I would like to know how can I buy mutual funds on my own through my Demat account and revise the SIPs annually to an amount of my convenience. Presently I have to visit my home branch and submit cheques of new amount for existing MUTUAL FUND SIPs.

    please do reply.

    REGARDS

    • good to hear about you. Here are few comments 1) Pls review your insurance requirement. You may need to take 10-12 years of your annual income or 15 years of your annual expenditure minimum. The funds what you are investing are high risk + focused fund which is also high risk. You need to balance your portfolio with largecap and multicap funds too. Pls invest in some of these category of funds which I have recommended in this article. To invest in mutual funds you may directly visit mutual fund website and invest it or open a mutual fund account with 3rd party broker like icicidirect or fundsindia etc.,

    • sarada

      If you dont mind asking, what is the job you are in central government which is giving such a nice salary package?

  • Kumar

    Dear Suresh,

    Thanks for the blog and sharing your knowledge.

    Last year I have stopped all my mutual funds investment as my “Resident” status changed to “NRI” and have opened a new investments with “NRI” status.

    Since its already been one year of investment in below funds so I am seeking your review/advice on these funds invested in three different portfolio below:

    Portfolio#1: Kid Education
    1. SBI BlueChip Fund-Reg(G) – 7000 (monthly)
    2. Mirae Asset India Equity Fund-Reg(G) – 10000 (monthly)
    3. Franklin India Prima Fund(G) – 7000 (monthly)
    4. HDFC Hybrid Equity Fund(G) – 6000 (monthly)

    Portfolio#2: Kid Marriage
    1. Aditya Birla SL Frontline Equity Fund(G) – 5000 (monthly)
    2. SBI Magnum Multicap Fund(G) – 7000 (monthly)
    3. Mirae Asset Emerging Bluechip-Reg(G) – 8000 (monthly)
    4. HDFC Small Cap Fund-Reg(G) – 5000 (monthly)
    5. ICICI Pru Equity & Debt Fund(G) – 5000 (monthly)

    Portfolio#3: Retirement
    1. ICICI Pru Bluechip Fund(G) – 9000 (monthly)
    2. Parag Parikh Long term Equity Fund(G) – 10000 (monthly)
    3. HDFC Mid-Cap Opportunities Fund (G) – 8000 (monthly)
    4. Franklin India Smaller Cos Fund(G) – 5000 (monthly)
    5. Aditya Birla SL FRF-Long Term Plan (G) – 8000 (monthly)

    Note:
    1. All these investments are for long term (more than 8 years)
    2. Apart from this I have few FDs for emergency fund and PPF investment for Debt side.

    Few Questions:
    1. Do you see any change required or any improvement area in my all three portfolio, any switching or reshuffling in fund or SIP amount required?
    2. As I have mentioned above, my previous mutual funds investments with “Resident” status is stopped but I have not redeemed it
    since I am not in a need of money for now. Is it okay to keep it until not required or should I redeem it and re-invest in my new MF portfolio with “NRI” status?

    I shall be grateful for your prompt suggestions/response.

    Thanks in advance,
    Kumar!

    • Kumar

      Hi Suresh

      Could you please share your advice on this?

      BR,
      Kumar!

      • Hello Kumar

        1) Portfolio is good. Since you are investing for 8-10 years, midcap/smallcap funds in your portfolio is good to continue too
        2) You can continue them

        • Kumar

          Hi Suresh,

          My debt portion is 40% of my portfolio (with 60:40 Equity~Debt allocation), apart from yearly PPF investment, which options is good for long term Debt investment (8+ years) among:

          1) FD or RD
          2) Hybrid funds (e.g HDFC Hybrid fund)
          3) Debt mutual fund, which one you recommend for long term investment?
          4) Any other option for long term?

          Please advice.

          BR,
          Kumar!

  • Arun

    Hello sir
    I wish to invest 5k for my newly born daughter’s marriage and education please suggest best 2-3 funds

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