Equity mutual funds can give you good results over a long period of time. However, as it is with any investment, the higher the return, the higher is the risk. Among different types of equity mutual funds, the least risky are large cap mutual funds. Unlike mid cap funds and small cap funds, large cap funds usually invest in large cap companies. In India, large cap companies are usually very stable and can weather tough economic conditions far better than smaller companies. Therefore, when you invest in the best large cap mutual funds, your money gets invested in stable companies. You can take advantage of the growth of the Indian economy while exposing yourself to as little risk as possible.

 

Best Large Cap Mutual Funds

 

Below is a list of seven large cap mutual funds (in no particular order) that have the best ratings and are most popular.

 

1. Mirae Asset India Opportunities Fund

(See detailed information about Mirae Asset India Opportunities Fund)

Best large cap funds 1 Mirae

Mirae Asset India Opportunities Fund

 

Returns: This large cap fund was launched in April 2008 and has since returned an annualized rate of 17.42%. Return in the last 5 years has been a healthy 22.73%, in the last 3 years 18.94%, and in the last year, an exemplary 24.78%. Though not as old SBI Blue Chip Fund or a few others, Mirae Asset India Opportunities Fund has shown really good performance leading to it being referred to as one of India’s best large cap mutual funds.

Minimum SIP Amount:  ₹1000

Holding:  Similar to other mutual funds on this list, the major part of this large cap fund’s allocation is in the financial sector (33.1%) and automobile sector (10.7%). Energy, consumer goods, metals, IT, and a few others comprise rest of the holdings.

AUM:  ₹4,000 Cr. This amount is very healthy as there is a lot of room for expansion. It will be a long while before the size becomes a problem for this fund.

Risk: Moderately High

 

2. Birla Sun Life Frontline Equity Fund

(See detailed information about this large cap fund here.)

Best large cap funds 2 birla sun life

Birla Sun Life Frontline Equity Fund

 

Returns: Launched in August 2002, this large cap mutual fund has returned an annualized rate of 22.70% since inception. Being more than 10 years old, this fund has also earned itself the reputation of being a long term performer. More recently, this large cap fund has returned 20.21% in the last 5 years, 15.64% in the last 3 years, and 18.68% in the last 1 year.

Minimum SIP Amount:  ₹1000

Holding:  This large cap fund has primarily invested in financial services sector (35.5%) and consumer goods sector (13.8%). Automobile, IT, pharma, energy, and metals are also a part of the fund’s holdings in smaller percentages.

AUM:  ₹17,770 Cr. This number is a bit big. Usually, an AUM this big results in people staying away from the fund. However, this large cap fund continues to perform well and is the reason why it is on this list.

Risk:  Moderately High

 

3. SBI Blue Chip Fund

(See detailed information about this large cap fund here.)

Best large cap funds 3 SBI blue chip

SBI Blue Chip Fund

 

Returns: Launched in February 2006, this large cap mutual fund has given a return of 12.03% since inception. Though the rate of return since inception of this fund isn’t as high as that of Birla Sun Life Equity Fund, it still has shown very consistent performance ever since it was launched. Return in the last 5 years was 21.01%, in 3 years 17.30%, and in the last year 15.67%.

Minimum SIP Amount:  ₹500 (paperless SIP not supported)

Holding: 32.2% of this large cap fund’s allocation is in the financial services sector. The automobile sector takes the second largest portion of this fund’s allocation. IT, consumer goods, energy, pharma are other sectors where this fund has invested.

AUM:  ₹14267Cr. The AUM is leaning towards the upper limit but this large cap fund continues to perform well earning it a position in this ‘best large cap funds’ list.

Risk: Moderately High

 

4. Motilal Oswal MOSt Focused 25 Fund

(See detailed information about this large cap fund here.)

Best large cap funds 4 Motilal Oswal MOSt

Motilal Oswal MOSt Focused 25 Fund

 

Returns: This large cap fund is the youngest among all mutual funds on this list. It was launched in May 2013. It has given a return of 17.92% in the last 3 years and an astounding 24.16% in the last year. That coupled with a rating for 4, this fund manages to make it to our list of best large cap funds to invest in.

Minimum SIP Amount:  ₹1000

Holding: This large cap fund has nearly half (48.3%) of its AUM invested in the financial services sector. Like other large cap funds on this list, the second sector to get most investments from this fund is the automobile sector (19.3%). Consumer goods, energy, and a few others form the rest of this fund’s portfolio.

AUM:  ₹631 Cr. Being a young fund, this large cap fund has an AUM that would be considered low for a large cap fund. There is a lot of room for growth in this fund.

Risk: Moderately High

 

5. ICICI Prudential Focused Bluechip Equity Fund

(See detailed information about this large cap fund here.)

Best large cap funds 5 ICICI Prudential

ICICI Prudential Focused Bluechip Equity Fund

 

Returns: This large cap mutual fund was launched during very turbulent times (May 2008), this large cap fund has endured tough times well managing to return an annualized return of 15.58% since inception. In the last 5 years, this fund has managed to give a return of 18.58%. The last 3 year’s return was 14.38% and the returns in the last year were 19.75%.

Minimum SIP Amount:  ₹1000

Holding: Again, similar to the others here, this large cap fund has 38.8% of its AUM invested in the financial services sector. The other sectors where this fund has invested in are automobile sector, consumer goods sector, pharma sector, and a few more.

AUM:  ₹13,497 Cr. The relatively large size of this fund’s AUM does not affect its performance as this large cap fund has clearly been performing well over the years.

Risk: Moderately High

 

6. Reliance Top 200 Fund

(See detailed information about this large cap fund here.)

Best large cap funds 6 Reliance Top 200

Reliance Top 200 Fund

 

Returns: Launched during really rough times (Aug 2007), this large cap mutual fund has weathered really bad economic storms and managed to return an annualized return of 11.92% since launch. In the last 5 years, it returned a rate of 19.77%, in the last 3 years 16.38%, and in the last year 24.63%.

Minimum SIP Amount:  ₹500

Holding: This fund’s only large holding is in the financial services sector (32.8%). The rest of its holding is split in the consumer goods sector, automobile sector, IT sector, and a few more.

AUM:  ₹2,578 Cr. This is a very healthy AUM for a large cap fund. This AUM which allows for a lot of room for expansion coupled with a rating of 5 ensures this well-weathered fund makes it into our list of best large cap funds.

Risk: Moderately High

 

7. DSP BlackRock Focus 25 Fund

(See detailed information about this large cap fund here.)

Best large cap funds 7 DSP BlackRock

DSP BlackRock Focus 25 Fund

 

Returns: Since its launch in June 2010, this large cap fund has returned an annualized return of 11.81%. It has returned 19.30% in the last 5 years, 17.04% in the last 3 years, and 16.99% in the last year.

Minimum SIP Amount:  ₹500

Holding: Again, like many others here, financial services get most (34.3%) of this fund’s investments. 13.6% of the AUM is in the automobile sector and the rest is in consumer goods, metals, and a few more.

AUM: ₹2,121 Cr. This is neither too low or too high an AUM for a large cap fund. It also allows this fund a lot of room to grow in the future.

Risk: High

 

 

This Isn’t All

The best large cap funds listed here might not be all you need.

Every financial situation is different and unique. Depending on your financial goals and risk appetite, there might be funds that suit you more than the ones listed above.

However, you might want to invest your money without putting in too much effort in research. In that case, this list of best large cap funds might be a good place to start!

You can start investing in mutual funds in no time by registering on groww.in