Stock markets were correcting in the last few weeks and then bounced back again now. Experts predict that Nifty50 would move towards 20,000 to 22,000 range. If you are investing in mutual funds, you might be wondering which mutual funds can outperform when Nifty50 or Sensex moving towards new high. There is no doubt that large cap funds can outperform if Nifty or Sensex reaches new high. In this case investing in large cap equity funds makes sense. What are large cap equity mutual funds? Which are the Top 5 Best Large Cap Mutual Funds to invest in 2022? How is the past performance of these large cap funds?
Also Read: Best Large and Midcap Mutual Funds in 2022
What are Large Cap Equity Mutual Funds?
Large Cap Equity Funds would invest in large cap companies that are majorly part of Nifty100 index. These funds would invest the majority of their portfolio in companies that has a large market capitalization.
Large Cap Funds would offer stable and sustainable returns in the medium to long term.
Who can invest in Large Cap Funds?
Large cap mutual funds are for moderate to high risk investors.
These large cap funds can perform well in the medium to long term.
Investors who are willing to take some risk and would like to invest for 5+ years can invest in large cap mutual funds.
These funds have historically generated 10% to 12% returns. While past performance is just an indication, it can provide how well such funds can perform in various market cycles in the future.
5 Best Large Cap Mutual Funds to invest in 2022
Here is the list of consistent performing large cap mutual funds to invest in India.
#1 – Axis Blue Chip Fund
This fund invests in equity and related instruments in large cap companies in India.
This fund generated 14% annualized returns in the last 5 years.
This fund generated SIP returns of 11% in the last 3 years and 12% in the last 5 years.
This fund has a low beta of 0.8. Beta refers to the volatility of the fund compared to its benchmark. Any fund that has a beta of lower than 1 can be considered as less volatile compared to the benchmark.
This fund has an alpha of 0.13. Alpha is excess returns earned over the benchmark. Any fund that has alpha of more than zero can provide higher returns compared to benchmark.
In terms of rolling returns consistency, this fund generated 12%+ returns for 75% of the times and over 8% returns for 20% of the times. It has not provided any negative returns.
Considering all these factors, Axis Blue Chip Fund is one of the best large cap mutual funds to invest in 2022.
| Performance & Risk Metrics | Axis Bluechip Fund |
|---|---|
| Value Research Rating | 5 Star |
| Crisil Rank | 2 |
| 3 Years – SIP Returns | 11% |
| 5 Years – SIP Returns | 12% |
| 5 Years – Annualised Returns | 14% |
| AUM – Crores | 32,322 |
| Expense Ratio | 0.48% |
| Risk Grade | Low |
| Return Grade | High |
| Beta | 0.8 |
| Alpha | 0.13 |
#2 – Canara Robeco Blue Chip Equity Fund
This fund is named as Canara Robeco blue chip fund+ which invests in top 150 companies based on market capitalization.
This fund generated 14% annualized returns in the last 5 years.
This fund generated highest SIP returns of 16% in the last 3 years and 15% in the last 5 years.
This fund has a low beta of 0.86. Beta refers to the volatility of the fund compared to its benchmark (which is 1). Any fund that has a beta of lower than 1 can be considered as less volatile compared to the benchmark.
This fund has an alpha of 3.5. Alpha is excess returns earned over the benchmark. Any fund that has alpha of more than zero can provide higher returns compared to benchmark.
In terms of rolling returns consistency, this fund generated 12%+ returns for 62% of the times and over 8% returns for 30% of the times. It has not provided any negative returns.
Considering all these factors, it is one of the best large cap fund in India in 2022.
| Performance & Risk Metrics | Canara Robeco Bluechip Equity Fund |
|---|---|
| Value Research Rating | 5 Star |
| Crisil Rank | 5 |
| 3 Years – SIP Returns | 16% |
| 5 Years – SIP Returns | 15% |
| 5 Years – Annualised Returns | 21% |
| AUM – Crores | 6,824 |
| Expense Ratio | 0.34% |
| Risk Grade | Low |
| Return Grade | High |
| Beta | 0.86 |
| Alpha | 3.5 |
#3 – Mirae Asset Large Cap Fund
This fund invests in opportunities in large cap companies that would arise in India economic growth and its structural shifts.
This fund generated 13% annualized returns in the last 5 years.
This fund generated highest SIP returns of 28% in the last 3 years and 20% in the last 5 years.
This fund has a beta of 0.97. Beta refers to the volatility of the fund compared to its benchmark (which is 1). Any fund that has a beta of lower than 1 can be considered as less volatile compared to the benchmark.
This fund has an alpha of 0.4. Alpha is excess returns earned over the benchmark. Any fund that has alpha of more than zero can provide higher returns compared to benchmark.
In terms of rolling returns consistency, this fund generated 12%+ returns for 75% of the times and over 8% returns for 18% of the times. It has not provided any negative returns.
Considering all these factors, it is one of the best large cap funds to invest now in 2022.
| Performance & Risk Metrics | Mirae Asset Large Cap Fund |
|---|---|
| Value Research Rating | 4 Star |
| Crisil Rank | 3 |
| 3 Years – SIP Returns | 17% |
| 5 Years – SIP Returns | 14% |
| 5 Years – Annualised Returns | 13% |
| AUM – Crores | 30,299 |
| Expense Ratio | 0.57% |
| Risk Grade | Below Average |
| Return Grade | High |
| Beta | 0.97 |
| Alpha | 0.4 |
#4 – BNP Paribas Large Cap Fund
This fund invests in large cap stocks in India.
This fund generated 12% annualized returns in the last 5 years.
This fund generated highest SIP returns of 15% in the last 3 years and 14% in the last 5 years.
This fund has a low beta of 0.83. Beta refers to the volatility of the fund compared to its benchmark (which is 1). Any fund that has a beta of lower than 1 can be considered as less volatile compared to the benchmark.
This fund has an alpha of 1.87. Alpha is excess returns earned over the benchmark. Any fund that has alpha of more than zero can provide higher returns compared to benchmark.
In terms of rolling returns consistency, this fund generated 12%+ returns for 58% of the times and over 8% returns for 20% of the times. It has provided negative returns for 0.13% of the times.
Considering all these factors, it is one of the Top large cap mutual funds to invest in 2022.
| Performance & Risk Metrics | BNP Paribas Large Cap Fund |
|---|---|
| Value Research Rating | 5 Star |
| Crisil Rank | 2 |
| 3 Years – SIP Returns | 15% |
| 5 Years – SIP Returns | 14% |
| 5 Years – Annualised Returns | 12% |
| AUM – Crores | 1,205 |
| Expense Ratio | 0.98% |
| Risk Grade | Low |
| Return Grade | Above Average |
| Beta | 0.84 |
| Alpha | 1.87 |
#5 – Kotak Blue Chip Fund
This fund invests predominantly in large cap companies in India.
This fund generated 12% annualized returns in the last 5 years.
This fund generated SIP returns of 17% in the last 3 years and 14% in the last 5 years.
This fund has a low beta of 0.95. Beta refers to the volatility of the fund compared to its benchmark (which is 1). Any fund that has a beta of lower than 1 can be considered as less volatile compared to the benchmark.
This fund has an alpha of 2.91. Alpha is excess returns earned over the benchmark. Any fund that has alpha of more than zero can provide higher returns compared to benchmark.
In terms of rolling returns consistency, this fund generated 12%+ returns for 56% of the times and over 8% returns for 21% of the times. It has provided negative returns for 0.25% of the times.
Considering all these factors, it is one of the Top 5 large cap mutual funds for 2022.
| Performance & Risk Metrics | Kotak Bluechip Fund |
|---|---|
| Value Research Rating | 4 Star |
| Crisil Rank | 5 |
| 3 Years – SIP Returns | 17% |
| 5 Years – SIP Returns | 14% |
| 5 Years – Annualised Returns | 12% |
| AUM – Crores | 4,217 |
| Expense Ratio | 0.78% |
| Risk Grade | Below Average |
| Return Grade | High |
| Beta | 0.95 |
| Alpha | 1.92 |
Also Read: This Mutual Fund invests in Recently Listed IPOs or Upcoming IPOs
List of Top 5 Large Cap Mutual Funds – Annualised returns
*Returns are annualised
| Mutual Fund Name | 1 Year | 3 Years | 5 Years |
|---|---|---|---|
| Axis Bluechip Fund | -2% | 13% | 14% |
| Canara Robeco Bluechip Equity Fund | 2% | 17% | 14% |
| Mirae Asset Large Cap Fund | 4% | 14% | 12% |
| BNP Paribas Large Cap Fund | 5% | 15% | 12% |
| Kotak Bluechip Fund | 3% | 16% | 12% |
FAQs on Large Cap Mutual Funds
Which mutual fund is best in largecap ?
Mutual Funds tend to perform differently in various market cycles. One should always invest in consistent performing equity mutual funds. Axis Bluechip Fund and Canara Robeco Bluechip Fund are consistent performers that generated over 20% annualised returns.
Is it good time to invest in largecap fund?
Stock markets can correct in short term. However in long run, stock markets are always expected to go up. It is always good to invest in largecap fund through SIP and add additional lumpsum investments during stock market corrections.
Which are the 5 Top Performing Mutual Funds?
If we look at consistent performance, below are top 5 performing mutual funds over long term.
- Axis Bluechip Fund
- Canara Robeco Bluechip Equity Fund
- Mirae Asset Large Cap Fund
- BNP Paribas Large Cap Fund
- Kotak Bluechip Fund
Which are the best performing large cap mutual funds in last 5 years?
Below are the top performing mutual funds in last 1 years.
- Canara Robeco blue chip fund
- Axis blue chip fund
- Mirae Asset largecap fund
- Sundaram large cap fund
- Edelweiss large cap fund
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Hi Suresh,
Please provide your review on below funds.
1. Axis growth opportunities fund (Large and Midcap)
2. Canara Robeco small cap fund
3. Kotak Nasdaq 100 FOF
4. UTI Nifty index fund
Yes, you can continue these funds
Dear Sir,
All above funds are actively managed funds and have high management fees as compared to Nippon India ETF NV20. This fund is less volatile, has superior returns across 1Y/3Y/5Y timeframe and has performed consistently.
Any reasons for excluding such funds ?
Largecap universe is top 100 stocks by market capitalization. Your are comparing this top 100 stocks with Nifty NV20 stocks which is incorrect. Both have different objectives. Since investors are already moving towards direct plans, the management fees / expense ratio would be lower anyways. If investors are still investing in regular plans, they need to pay high expense ratio.
I really appreciate your analysis mutual fund but still I’m confused to invest in the mutual funds sip.where to invest and how to invest in the sip. There is any app to go through the apps or through the AMC.plz guide me thank you
You can invest directly from AMC website. you can also use MF platforms like Kuvera, Groww or ET money