Best Mutual Funds that gave highest returns in 10 years

Best Mutual funds that gave the highest returns in 10 yearsBest Mutual Funds that gave highest returns in 10 years


One question that readers of this blog, keep asking is which are the best mutual funds where I can invest for 10, 15 and 20 years. What if such top mutual funds perform well now, but under-perform after 10 years. Even, I keep thinking that what happens to my financial plan where I want to accumulate a specific amount by retirement or specific financial goal for my child's education. Can we depend on mutual fund investments for our long term financial goals? I have analyzed some of the mutual funds where they gave the highest returns in last 10 years and who should be investing in such funds.

Best Mutual Funds that gave highest returns in 10 years


These 10 best mutual funds to invest in India have been analyzed and shortlisted based on below key parameters.

  • Picked based on highest returns received in the last 10 years across various sectors and across segments like large cap, mid-cap, small-cap, balanced.
  • These funds not just related to large cap, but it includes sector funds too which are very high risk. One has to keep an eye on the sector and in case of any downturn in this sector, one should exit.
  • Some of the funds like sector based funds and not ranked by Crisil or valueresearchonline.
  • AUMs (Assets under management) > 100 Crores. This proves investor confidence among these top mutual funds.

1) Reliance Pharma Fund


This has been my favorite fund all along and it has contributed in my overall investment growth in becoming Crorepathi. This fund gave over 21.5% annualized returns in last 10 years. Pharma is evergreen sector, hence I feel, this mutual fund would continue to do well on a long term. This is a sector fund, hence one should not invest more than 20% of their portfolio in sector based funds.

2) Birla Sun Life MNC Fund


Due to the expanding growth story in India in the last couple of years, many MNC companies are setting up their facilities and expanding their existing business. This mutual fund invests in MNC companies which are listed in India. This fund has given over 18% annualized returns in 10 years. One of the top mutual fund to invest now.

Also: How does ZIPSIP Mutual Fund platform work?

3) SBI FMCG Fund


Like Pharma, even the FMCG sector is evergreen. However, the margins are under tremendous pressure. Owing to the business model, they are tend to get lower margins. This fund invests in FMCG stocks. SBI FMCG Mutual fund gave over 17.9% annualized returns in last 10 years. While FMCG companies margins would continue to be under pressure, one can invest in this fund from a long term perspective.

4) UTI MNC Fund


Like I indicated in the Birla MNC Fund analysis above, even this fund invests in MNC companies in India. This fund has given over 16% annualized returns in 10 years. One of the good mutual fund to invest. You can invest in one of the MNC fund among these two funds.

5) UTI Transports and Logistics


This too is one of my favorite funds in the sector based mutual funds. This gave amazing 16% annualized returns in 10 years. The good part is, this fund has been performing well in last 3 and 5 years too. The means, even for the medium term, this fund was able to deliver good returns. One should have this mutual fund in their portfolio.

6) Birla Sun Life Frontline Equity Fund


In my top 10 mutual funds, I have indicated this as one of the best large cap mutual funds to invest. This fund invests in large cap stocks and has been  performing well for over 10 years. It gave annualized returns of 15% in last 10 years. The best part is while many equity funds are running with negative returns in last 1 year due to market volatility, this fund was able to zero down negative returns(1% positive returns). If you are looking for stability in your portfolio, you should invest in this fund.

7) Can Robecco Emerging Equity Funds


This is a new entrant in my best mutual funds which I have been recommending. This invests in small cap stocks and very high risk. This fund gave 14.7% annualized returns in last 10 years. This is slowly catching the attention of investors as it invests in small companies. One can invest a small portion of their amount in such mutual funds.

8) Sundaram S.M.I.L.E. Fund


This fund lagged behind for some time. However, it managed to provide over 14.7% annualized returns in last 10 years. Even this too invests in mid-cap and small cap stocks which are high risk. One can invest small amounts as part of their mutual fund's portfolio.

9) HDFC Balanced fund


HDFC Balanced fund invests up to 65% in equity stocks  and the balance in debt and debt related instruments. Hence such balanced / hybrid funds are less volatile compared to equity funds. If you want to invest in mutual funds, however, wish to take less risk, one can invest in such funds. This fund gave over 14.6% annualized returns in last 10 years.

10) Quantum Long Term Equity Fund


This mutual fund invests in BSE 200 stocks which are attractively priced. In my opinion, this fund would perform at a medium pace and provide stable returns in the long term. This is not aggressive fund where you cannot expect abnormal returns like you may get in mid-cap/small cap funds. This fund strategy helped to get 14.5% annualized returns in last 10 years. One should also invest in such funds.

List of Best Mutual funds that gave the highest returns in 10 years

You might be wondering that I have not discussed some of the mutual funds where you are investing for some time. These 10 mutual funds I have indicated gave over 14.5% annualized returns and they are across various segments like large cap, mid-cap/small cap, balanced and sector based funds. These are several best funds that gave over 12% annualized returns which are not listed above. Your mutual fund might be part of that portfolio.

Conclusion: As indicated in my previous articles, I would like to invest for long term in mutual funds. I would keep analyzing various funds that gave the highest returns in last 10 years and keep adding more funds in my portfolio. This creates confidence in me to invest in mutual funds for long term for over 10 years or 15 years or even for over 20 years.

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Suresh
Best Mutual Funds that gave the highest returns in 10 years

Suresh KP

18 comments

  1. all your annualized 10 year returns are after the 2008 crash. go back 15 years and lets see the r o r

  2. Please suggest to me, long time 5 to 10 years of best return in sip mutual funds plans. Immediate please.

  3. Awesome recommendation.
    Can please suggest some liquid scheme for parking emergency fund and also for investing in debt funds for 2 year horizon.
    Pravin Chandwadkar

  4. Hi Suresh,

    Which is the best way to invest in these funds? Lumpsum or SIP?

    Thanks,
    Ramakrishna

  5. Very interesting article. I was not surprised to see Reliance and Birla funds at the top of the list as they have given good returns. One suggestion – you can also provide some basic details about the fund such as type in the table so this can help someone making decision on which fund to invest in. Thanks.

  6. hi Suresh ,

    Have invested in long term sips for the below funds – HDFC top 200, UTI OPPURTUNITIES ,Reliance Phrama, SBI Pharma, ICICI Prudential focussed blue chip, Franklin india blue chip funds .
    Should i modify this portfolio by including /removing any other funds from long term perspective ..( 8-10 years) .Please advise

  7. Thanks a lot for posting great articles like this, and your articles are helping me a lot in my financial planning, I really appreciate you.

  8. Hi Suresh,

    I am a regular follower of your blog.Many thnaks for your guidance. I am having a query regarding Purchase of Flat that is puzzling in my mind from past 1 year. Infact many people have the same. My doubt is which is better option
    1).Purchasing a flat -costing around 40L (DownPayment 10L remaining 30L bank Loan)
    2).Staying in rent house 12K( and Investing 20k-25K in Mutual Funds/ SIP in Shares)
    3).Purchasing Plot(Land which is somewhat far from the city and of low value 15L for 125 Square Yards.So that in future I can construct the house.)

    Option 1 – I am very much opposite to this option. I feel that there will be great depreiciation since it is Flat(Not independent house).However some people say that by the end of the Loan tenure suppose if you pay over all amount as 70L then the land which will be alloted to you(Example 60 Square) will be of same worth. However I don’t feel this will be good idea.

    Please show us some light on the 3 Options.

    Thanks,
    venkat

    Thanks,
    venkat

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