Markets have been volatile lately. Many investors have exited the market due to fear of losing all their money. However, the ones who have stayed and remain confident in their investments are sure to benefit in the long run.

But there are still many who have not entered the market or might be looking for suitable avenues to invest in.

If you are a seasoned investor, you have probably tried your hand in the equity market and you are well versed with the volatile scenario it operates in. Equity funds have sub-categories like large, mid, small, multi cap fund, etc.

In this context, let us see have a look at the best equity funds of 2019.

Best Equity Funds 2019 - At a Glance
Fund Name 1Y 3Y 5Y Expense Ratio Turnover Ratio Category Risk
Canara Robeco Emerging Equities Fund Direct Growth -7.02% 9.76% 13.1% 0.69% NA Equity
(Large & Mid Cap)
Moderately High
SBI Small Cap Fund Direct Growth -7.91% 13% 16.81% 1.12% NA Equity
(Small Cap)
Moderately High
Mirae Asset Large Cap Fund Direct Growth 1.16% 11.57% 11.73% 0.63% 22% Equity
(Large Cap)
Moderately High
Aditya Birla Sun Life Tax Relief 96 Direct Growth -8.9% 8.73% 11.38% 0.99% 1% Equity
(ELSS)
Moderately High
Kotak Emerging Equity Scheme Direct Growth -3.37% 7.33% 12.71% 0.82% 19% Equity
(Mid Cap)
Moderately High
Axis Bluechip Fund Direct Plan Growth 6.6% 13.81% 11.14% 0.83% 41% Equity
(Large Cap)
Moderately High

Let us begin!

Best Equity Funds to Invest in 2019 – Details

Here are the 6 best equity funds that you should consider investing in 2019

1.Canara Robeco Emerging Equities-Direct

Launched in 02-Jan-2013, this fund has been one of the favourites of the investors and invests primarily in large and mid-caps.

Key Information

Launch Date 02-Jan-2013
NAV (13-Dec-2018) 93.9
Plan Type Direct
Rating by Groww 4 Star
AUM (Fund Size) 3,937 crores
Riskometer Moderately High
Minimum SIP 1000
Performance w.r.t. its Benchmark Has beaten the benchmark NIFTY 200 TRI if we compare the long-term returns
Age of the Fund 5 years old
Expense Ratio 0.96%
Exit Load If withdrawal takes place between 0 to 1 year, then exit load is 1%
Type Open Ended
Fund Manager Ravi Gopalakrishnan, Kartik Mehta

Investment Objective

The main objective of the fund is to generate capital appreciation by investing in diversified mid cap stocks.

Holding Analysis

Factors such as decent AUM size, low expense ratio and consistent returns against the benchmark NIFTY 200 TRI make this fund a great performing one.

Also, most investments of these funds are in the large-cap space, followed by mid-caps; therefore we see a potential for growth going forward, provided the investors hold this fund for a long term.

2.SBI Small Cap Fund-Direct

Launched in 02-Jan-2013, this fund is a small-cap fund which has given a return of 32.3% over a period of five years.

Key Information

Launch Date 02-Jan-2013
NAV (13-Dec-2018) 53.0
Plan Type Direct
Rating by Groww 4 Star
AUM (Fund Size) 1,141 crores
Riskometer Moderately High
Minimum SIP 500
Performance w.r.t. its Benchmark Has beaten the benchmark NIFTY 250 TRI over all the time periods
Age of the Fund 5 years old
Expense Ratio 1.47%
Exit Load If withdrawal takes place between 0 to 1 year, then exit load is 1%
Type Open Ended
Fund Manager Rama Iyer Srinivasan

Investment Objective

The primary objective of the fund is to generate long-term capital appreciation by investing primarily in a diversified basket of equity and equity-related securities which are identified as leaders in the particular industry.

Holding Analysis

Consistent returns as compared to the benchmark, betting on trusted names in the small and mid-cap space and low AUM size provides a great opportunity for long-term investors to invest in this particular scheme.

3.Mirae Asset India Equity Fund-Direct

Launched in 01-Jan-2013, this multi-cap fund has provided great returns over the last few years.

Key Information

Launch Date 01-Jan-2013
NAV (13-Dec-2018) 50.4
Plan Type Direct
Rating by Groww 5 Star
AUM (Fund Size) 9,033 crores
Riskometer Moderately High
Minimum SIP 1000
Performance w.r.t. its Benchmark Has beaten the benchmark NIFTY 200 TRI over all the time periods
Age of the Fund 5 years old
Expense Ratio 0.79%
Exit Load If withdrawal takes place between 0 to 1 year, then exit load is 1%
Type Open Ended
Fund Manager Neelesh Surana, Harshad Borawake

Investment Objective

The fund tries to capitalize on potential investment opportunities through predominantly investing in equity and equity related securities and hence generate long-term capital appreciation.

Holding Analysis

Though a multi-cap fund, major portions of the holdings are in large-cap equities (roughly 85%) in marquee names such as HDFC Bank Ltd., Reliance Industries Ltd., ICICI Bank Ltd., TCS, L&T Ltd. Also, the expense ratio for the fund is one of the lowest in the industry.

4.Aditya Birla Sun Life Tax Relief 96 – Direct 

This fund was launched on 02-Jan-2013, and falls under the ELSS domain thereby providing both capital appreciation as well as a deduction under section 80C for investing in such securities.

Key Information

Launch Date 01-Jan-2013
NAV (13-Dec-2018) 32.4
Plan Type Equity-ELSS
Rating by Groww 5 Star
AUM (Fund Size) 6,480 crores
Riskometer Moderately High
Minimum SIP 500
Performance w.r.t. its Benchmark Has beaten the benchmark NIFTY 200 TRI over all the time periods
Age of the Fund 5 years old
Expense Ratio 1.07%
Exit Load NIL
Type Open Ended
Fund Manager Ajay Garg

Investment Objective

This scheme has a two-fold investment objective:

  • Providing long-term capital appreciation to investors;
  • Providing income tax exemption for the investor upto 1.5 lakhs under section 80C for a lock in period of 3 years;

Holding Analysis

Past performance, good mix of large-cap names (HDFC Bank Ltd., RIL, HDFC Ltd.) and mid-caps (Bayer CropScience, Pfizer Ltd., Thomas Cook Ltd, Sundaram Clayton Ltd) and also the income tax benefits that an investor enjoys, makes this fund one of the best ELSS to invest in.

5.Kotak Emerging Equity Scheme – Direct

This mid-cap fund launched on 01-Jan-2013 has beaten its benchmark index for all the periods under consideration.

Key Information

Launch Date 01-Jan-2013
NAV (13-Dec-2018) 39.2
Plan Type Direct
Rating by Groww 4 Star
AUM (Fund Size) 3,140 crores
Riskometer Moderately High
Minimum SIP 1000
Performance w.r.t. its Benchmark Has beaten the benchmark NIFTY Midcap 100 TRI over all the time periods
Age of the Fund 5 years old
Expense Ratio 0.80%
Exit Load If withdrawal takes place between 0 to 1 year, then exit load is 1%
Type Open Ended
Fund Manager Pankaj Tibrewal

Investment Objective

The fund targets mainly the small and mid-cap space (investing primarily in equity and equity-related securities) wherein it hunts for companies that can generate long-term capital appreciation.

Holding Analysis

The fund has performed exceptionally well due to its diversification in betting for stocks in the mid-cap space (such as Bharat Financial Inclusion, RBL Bank Ltd, Atul Ltd, The Ramco Cements etc.).

Also, for investors given the low expense ratio and smaller fund size, the fund has huge potential going forward.

6.Axis Bluechip Fund – Direct 

Launched in 01-Jan-2013, this large-cap fund invests not just in equities but also derivatives.

Key Information

Launch Date 01-Jan-2013
NAV (13-Dec-2018) 28.9
Plan Type Direct
Rating by Groww 5 Star
AUM (Fund Size) 2,927 crores
Riskometer Moderately High
Minimum SIP 1000
Performance w.r.t. its Benchmark Has beaten the benchmark NIFTY 50 TRI over all the time periods
Age of the Fund 5 years old
Expense Ratio 0.91%
Exit Load If withdrawal takes place between 0 to 1 year, then exit load is 1%
Type Open Ended
Fund Manager Shreyash Devalkar

Investment Objective

The objective of the scheme is similar to others of capital appreciation by investing in a diversified basket of equity and equity-related securities.

However, the key differentiator for this fund is that it can invest in derivatives as well.

Though it ventures into investing in derivatives, most of its top holdings are in marquee names such as Maruti Suzuki Ltd., Kotak Mahindra Bank Ltd., HDFC Bank Ltd., TCS, ICICI Bank Ltd., HDFC Ltd., etc.

Holding Analysis

Consistent performance (highlighted by strong returns in the last one year itself of 11.2% when the markets have been so volatile) coupled with benefits of investing in derivatives and low expense ratio, makes this fund a suitable investment for long-term investors.

What are the Benefits of Investing in Equity Funds?

These are the main benefits of investing in an equity fund

1.Availability of expert management

As the money is managed by expert professionals, we as investors need not worry much about our investments. However, we must see once in a while the performance of our fund and charges deducted for the same;

2.Low Cost

The fees and exit load of most equity mutual funds are capped by SEBI and AMFI, therefore, the investors need not worry much about stocks;

3.Diversification

We also enjoy the benefits of diversification as money is invested in a wide gamut of securities;

4.Systematic Investment Plans

Availability of SIPs is also a great advantage as it is not necessary to have a lump sum for investment but a small amount every month would suffice. This also helps us in rupee-cost averaging;

Liquidity: Investors can easily withdraw the invested amount without any hassle. This is one of the most convenient features of mutual funds.

On the basis of needs that may arise for a particular, we have identified six equity mutual funds that they can invest for a longer-term horizon in order to meet the goals.

Conclusion

Considering factors such as risk appetite, duration of investments, return expectations, tax advantage an investor can select any or more equity mutual funds as highlighted above.

But let us remember that we can reap the actual returns of these investments only if we hold it for a longer term horizon.

Happy Investing!