Best Multi Cap Mutual Funds

Multicap mutual funds are investment options that deal with stocks of large, mid, and small-cap stocks in a specific proportion, instead of investing in a particular type all at once. These are ideal for investors with a low-risk appetite, as the best multi-cap mutual funds of 2019 are less risky compared to pure mid-cap or small-cap funds.

Based on such end-usage benefits, these funds are considered ‘market capitalization agnostic.’ This feature is one of several which makes these schemes more sought after. Recently, SEBI has re-categorized most MFs in the domestic market. A lot of stress has shifted from the long and mid-cap segments, leaving multi-cap MFs in the green.

Most multicap funds perform well due to the varied investment opportunities provided. Unlike other categories, all of the best multicap mutual funds can be invested across sectors. These schemes can easily be switched across diverse industry segments and market capitalizations.

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Top 10 Multi Cap Mutual Funds

Fund NameCategoryRisk1Y ReturnsRatingFund Size(in Cr)
IIFL Focused Equity FundEquityModerately High6.5%5star930
Parag Parikh Long Term Equity FundEquityModerately High19.8%5star4,508
Kotak Standard Multi Cap FundEquityModerately High-3.0%4star29,714
Edelweiss Multi Cap FundEquityModerately High-2.4%4star560
Mahindra Badhat YojanaEquityModerately High3.6%4star340
ICICI Prudential Retirement FundEquityModerately High-5.1%4star69
DSP Equity FundEquityModerately High-2.3%4star3,726
UTI Equity FundEquityModerately High6.8%4star10,983
PGIM India Diversified Equity FundEquityModerately High16.9%4star226
JM Multi Cap FundEquityModerately High-10.8%4star131
Aditya Birla Sun Life Retirement FundEquityModerately High3.7%4star150
Axis Multicap FundEquityModerately High-1.7%4star6,434
Canara Robeco Equity DiversifiedEquityModerately High7.1%4star2,280
Mirae Asset Focused FundEquityModerately High7.9%4star3,414
Motilal Oswal Nifty 500 FundEquityModerately High-1.4%4star55
View All Top 10 Multi Cap Mutual Funds

Features of Multi-Cap Mutual Fund

Like all investment options, the purpose of these funds is to create an alternate source of income and help reach an individual’s financial goal.

The following are the primary purposes and features which make multicap mutual funds special.

  • Enables retail and wholesale investors to put significant sums in large, medium and small market capitalization industries. The best multicap funds of 2019 allow an investor to distribute their wealth over a diverse portfolio to lower the risk.
  • These schemes do not run for as long as large-cap Funds; neither do they have the characteristic time constraints of Small Cap Fund options. Multicap funds are ideal for new investors as it invests across a diverse portfolio to lower market risks.
  • It allows risk-averse investors to enter the market thanks to its relatively low financial risk. Investors can retain the value of their investment for a significantly longer time if they invest in multicap mutual funds along with Flexi-cap and small-cap mutual funds.

Taxability

SEBI’s recent moves to expand the inflow of investments have led to some confusion on the taxation issues that bind Mutual Funds. Some MFs have merged with each other to form bigger funds. However, that does not alter the taxation issues in the schemes per se.

A specific ‘grandfathering’ clause has been added in the Union Budget this year (2019) which prevents any taxation on gains made on Mutual Funds till 31 January, 2018. All wealth made before this deadline is exempt from LTCG (Long Term Capital Gains) Tax.

However, all gains made post January 31 is liable to be taxed. All gains up to Rs 1 Lakh are tax-exempt. The remaining amount will be subject to a 10% tax.

Who Are These Funds Suited For?

While all retail consumers can choose their individual best Multicap Mutual Funds to invest in 2019 according to their necessities and criteria, the following categories of investors must pay special attention.

  • Those who are averse to high-risk investments in Mutual Funds. Note that while risk and returns are often co-linked, having a high-yielding MF does not automatically translate into a high risk one.
  • Those investors who are looking to pour in significant sums in Large Cap schemes in the long run but do not have a financial plan in place currently.
  • Those who may not like to invest in Short Term MFs but are not looking for long-time financial commitments.

Major Advantages

The following are the major plus points these schemes carry.

  • Reduces the element of risk which prevents many retail customers from entering the Mutual Funds niche.
  • Sustainable returns for up to 7 years. This gives enough time for long term financial planning.
  • Helps in portfolio diversification.
  • Creates more investment opportunities across many market segments since the best Multicap Mutual Funds are spread out regardless of market capitalisation.

Let's have a closer look

Now let us jump and check about these top 10 mutual fund schemes.

IIFL Focused Equity Fund Direct Growth

Fund Performance: This fund has given 9.21% annualized returns in the last three years. In the last year, its returns were 6.52%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing 6.52% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹5,000. Minimum SIP investment amount required for this scheme is ₹1,000.

Min Investment Amt₹5,000
AUM930Cr
1Y Returns6.5%

Parag Parikh Long Term Equity Fund Direct Growth

Fund Performance: This fund has given 12.63% annualized returns in the last three years. In the last year, its returns were 19.76%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing 19.76% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹1,000. Minimum SIP investment amount required for this scheme is ₹1,000.

Min Investment Amt₹1,000
AUM4,508Cr
1Y Returns19.8%

Kotak Standard Multicap Fund Direct Growth

Fund Performance: This fund has given 3.82% annualized returns in the last three years. In the last year, its returns were -2.98%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing -2.98% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹5,000. Minimum SIP investment amount required for this scheme is ₹500.

Min Investment Amt₹5,000
AUM29,714Cr
1Y Returns-3.0%

Edelweiss Multi Cap Fund Direct Growth

Fund Performance: This fund has given 4.23% annualized returns in the last three years. In the last year, its returns were -2.43%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing -2.43% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹5,000. Minimum SIP investment amount required for this scheme is ₹1,000.

Min Investment Amt₹5,000
AUM560Cr
1Y Returns-2.4%

Mahindra Manulife Multi Cap Badhat Yojana Direct Growth

Fund Performance: This fund has given 4.53% annualized returns in the last three years. In the last year, its returns were 3.65%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing 3.65% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹1,000. Minimum SIP investment amount required for this scheme is ₹500.

Min Investment Amt₹1,000
AUM340Cr
1Y Returns3.6%

ICICI Prudential Retirement Fund Pure Equity Plan Direct Growth

Fund Performance: In the last year, its returns were -5.11%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing -5.11% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹5,000. Minimum SIP investment amount required for this scheme is ₹100.

Min Investment Amt₹5,000
AUM69Cr
1Y Returns-5.1%

DSP Equity Direct Plan Growth

Fund Performance: This fund has given 4.85% annualized returns in the last three years. In the last year, its returns were -2.34%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing -2.34% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹500. Minimum SIP investment amount required for this scheme is ₹500.

Min Investment Amt₹500
AUM3,726Cr
1Y Returns-2.3%

UTI Equity Fund Direct Growth

Fund Performance: This fund has given 8.03% annualized returns in the last three years. In the last year, its returns were 6.83%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing 6.83% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹5,000. Minimum SIP investment amount required for this scheme is ₹500.

Min Investment Amt₹5,000
AUM10,983Cr
1Y Returns6.8%

PGIM India Diversified Equity Fund Direct Growth

Fund Performance: This fund has given 8.23% annualized returns in the last three years. In the last year, its returns were 16.93%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing 16.93% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹100. Minimum SIP investment amount required for this scheme is ₹100.

Min Investment Amt₹100
AUM226Cr
1Y Returns16.9%

JM Multicap Fund Direct Plan Growth

Fund Performance: This fund has given 0.57% annualized returns in the last three years. In the last year, its returns were -10.83%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing -10.83% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹5,000. Minimum SIP investment amount required for this scheme is ₹500.

Min Investment Amt₹5,000
AUM131Cr
1Y Returns-10.8%

Aditya Birla Sun Life Retirement Fund The 30s Plan Direct Growth

Fund Performance: In the last year, its returns were 3.66%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing 3.66% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹1,000. Minimum SIP investment amount required for this scheme is ₹500.

Min Investment Amt₹1,000
AUM150Cr
1Y Returns3.7%

Axis Multicap Fund Direct Growth

Fund Performance: In the last year, its returns were -1.73%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing -1.73% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹5,000. Minimum SIP investment amount required for this scheme is ₹500.

Min Investment Amt₹5,000
AUM6,434Cr
1Y Returns-1.7%

Canara Robeco Equity Diversified Fund Direct Growth

Fund Performance: This fund has given 7.85% annualized returns in the last three years. In the last year, its returns were 7.11%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing 7.11% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹5,000. Minimum SIP investment amount required for this scheme is ₹1,000.

Min Investment Amt₹5,000
AUM2,280Cr
1Y Returns7.1%

Mirae Asset Focused Fund Direct Growth

Fund Performance: In the last year, its returns were 7.91%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing 7.91% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹5,000. Minimum SIP investment amount required for this scheme is ₹1,000.

Min Investment Amt₹5,000
AUM3,414Cr
1Y Returns7.9%

Motilal Oswal Nifty 500 Fund Direct Growth

Fund Performance: In the last year, its returns were -1.43%. It has continually hit its benchmark in the Equity segment.

Why to invest: It is one of the most remarkable Equity mutual funds in India. This fund has constantly outperformed other similar funds, providing -1.43% returns in the last one year. Minimum lump sum investment amount required to invest in this scheme is ₹500. Minimum SIP investment amount required for this scheme is ₹500.

Min Investment Amt₹500
AUM55Cr
1Y Returns-1.4%

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