Most mutual fund managers and advisers are betting on large-cap mutual fund schemes these days.

According to them, large-cap stocks are better placed than mid cap and small cap stocks, and they would fare better in the prevailing market conditions.

Large-cap, mid-cap, small-cap – do you know the difference?

A large-cap fund invests in big, well-established companies of the equity market. These companies are strong, reputable and trustworthy. Large-cap companies generally are top 100 companies in a market.

Large-cap funds may give you good returns over the long-term.

These are ideal for investors with a low-risk appetite. An investor needs to be patient while investing in such funds. Let’s look at the best 5 large-cap funds you can invest in 2018.

Also, read the 5 reasons why you should opt for mutual funds to save tax

5 Best Large-cap funds to invest in 2019 - At a Glance
Fund Name1Y3Y5YCategoryRisk
SBI Bluechip Fund - Direct - Growth-1.3%11.48%17.39%Equity
(Large Cap)
Moderately High
Reliance Large Cap Fund - Direct - Growth2.31%14.33%19.07%Equity
(Large Cap)
Moderately High
Axis Bluechip Fund - Direct - Growth11.06%15.36%16.58%Equity
(Large Cap)
Moderately High
Aditya Birla Sun Life Frontline Equity Fund - Direct - Growth0.43%12.93%16.42%Equity
(Large Cap)
Moderately High
ICICI Prudential Bluechip Equity Fund - Direct - Growth2.07%14.38%16.2%Equity
(Large Cap)
Moderately High

5 Best Large-cap funds to invest in 2019 – Details

1. SBI Bluechip Fund

This is a Large Cap Equity Oriented Mutual Fund launched on January 1, 2013. It is a fund with moderately high risk and has given a return of 18.03% since its launch.

Invest in SBI Bluechip Fund Now

Rating by Groww4 star
AUM (Fund Size)₹19,097 Cr
Minimum SIP₹500
Performance w.r.t its BenchmarkHas consistently outperformed its benchmark BSE S&P 100 since its launch.
Age of the fund5 years old
Expense Ratio1.35 %

Despite its name, the fund tilts towards a multi-cap approach in its allocations.

It invests in the top 100 companies in terms of market capitalization, with the flexibility to invest up to 20% in mid-cap stocks. This fund is one of the most popular large-cap funds available in the market.

Holding

2. Reliance Large Cap Fund

This is a Large Cap Equity Oriented Mutual Fund launched on January 1, 2013. It is a fund with moderately high risk and have given a return of 16.91% since its launch.

Invest in Reliance Large Cap Fund Now

Rating by Groww5 star
AUM (Fund Size)₹11,070
Minimum SIP₹100
Performance w.r.t its BenchmarkHas consistently outperformed its benchmark BSE S&P BSE 200 Fund since its launch.
Age of the fund5 years old
Expense Ratio1.26%

The scheme will invest in equity or equity related instruments of companies whose market capitalization is within the range of highest and lowest market capitalization of BSE 200 index.

Read why you should invest in equity funds

This large cap oriented fund invests in companies whose market capitalization is within the range of the highest and lowest market capitalization of BSE 200 index. The fund attempts to have allocations to market leaders of smaller industries, apart from these exposures.

Currently, over 80% of the fund’s assets are invested in the top 100 companies by market capitalization.

SBI Bluechip vs Reliance Large Cap – Which is the better fund?

Holding

3.Axis Bluechip Fund

This is a Large Cap Equity Oriented Mutual Fund launched on January 1, 2013. It is a fund with moderately high risk and has given a return of 16.55% since its launch.

Invest in Axis Bluechip Fund

Rating by Groww5 star
AUM (Fund Size)₹2,927 Cr
Minimum SIP₹1,000
Performance w.r.t its BenchmarkNIFTY 50 Total Return
Age of the fund10 years old
Expense Ratio0.91%

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

Holding

Also, check out the 5 best small-cap funds you can consider investing in 2019

4. Aditya Birla Sun Life Frontline Equity Fund 

This is a Large Cap Equity Oriented Mutual Fund launched on January 1, 2013. It is a fund with moderately high risk and has given a return of 16.67% since its launch.

Invest in Aditya Birla Sun Life Frontline Equity Fund Now 

Rating by Groww4 star
AUM (Fund Size)₹20,702
Minimum SIP₹1,000
Performance w.r.t its BenchmarkHas consistently outperformed its benchmark S&P BSE 200 since its launch.
Age of the fund5 years old
Expense Ratio1.29%

The scheme aims to generate long-term growth of capital through a portfolio with a target allocation of 100% equity by aiming at being as diversified across various industries and or sectors as its chosen benchmark index.

The fund usually maintains a large-cap allocation of 80 to 90%, with a mid-cap allocation of 10-20%.

In the last few months, the mid-cap weights have been pegged up, resulting in an overweight position relative to the category.

Holding

5. ICICI Prudential Bluechip Equity Fund

This is a Large Cap Equity Oriented Mutual Fund launched on January 1, 2013. It is a fund with moderately high risk and has given a return of 16.52% since its launch.

Invest in ICICI Prudential Bluechip Equity Fund Now

Rating by Groww4 star
AUM (Fund Size)₹16,539
Minimum SIP₹1,000
Performance w.r.t its BenchmarkHas consistently outperformed its benchmark NIFTY 50 Total Return since its launch.
Age of the fund5 years old
Expense Ratio1.26%

ICICI Prudential Bluechip Equity Fund – Review

The fund has consistently beaten its benchmark and peers, though the margins of out-performance haven’t been large. It is a good fund for conservative investors.

The fund’s investment strategy will be to invest in 20 large cap companies from the top 200 stocks listed on the NSE on the basis of market capitalization.

Holding

Also, read about the 10 best fund managers of 2018 – The factor that holds the key to a successful investment

Things to Remember

Don’t just run for returns from investment for investing in mutual funds. There are a lot of factors you should look into before selecting a fund which will match your investment goals.

Following the 3 things you should always remember before investing in Mutual Funds :

  • Higher rates: don’t blindly invest in the fund with the highest returns. Invest based on the duration you want to invest for.
  • Every person’s financial condition is different. Evaluate the funds you invest in yourself – don’t invest in a fund because of its popularity.
  • Review your investment from time to time but not too often. Once a few weeks is good enough.

Also know 10 tips on investing in Mutual Funds

To look at some of the best performing funds from every category of mutual funds, check out best mutual funds to invest in 2019

Happy Investing!

Disclaimer: the views expressed here are of the author and do not reflect those of Groww.