Top Performing Multi Cap Mutual Funds to Invest in 2022
Multi Cap Funds are those mutual funds that invest across different market capitalization categories. They are not obligated to invest a certain proportion of their assets in any particular category.
Market Capitalization is defined as the market value of all outstanding shares and is achieved by multiplying the total number of shares outstanding by the market price per share.
Some of the characteristics of a multi cap fund are as follows:
- They provide a diversification since they invest across large caps, mid caps and small caps
- Lower expected volatility
- Suitable for investors with medium investment horizon
- Suitable for investors with medium risk appetite
- Fund manager has the leeway to increase allocation to a particular category based on market view
Top Rated Multi-Cap Funds
The following are the top-rated multi cap funds as per Zfunds scoring for the quarter ended 30th June 2020. The funds with the highest ZF Score (refer methodology here) are ranked at the top. A complete list of funds can be seen in the Annexure at the end of this article.
|Fund Name||ZF Score||AUM (in Rs. Crores)||1-Year Return||3-Year Return||5-Year Return|
|ICICI Prudential Multicap Fund Growth||7.13||5,355||-4.76%||1.84%||4.80%|
|Kotak Standard Multicap Fund||6.63||29,361||1.88%||3.96%||7.82%|
|HDFC Equity Fund Growth||7.67||19,150||-7.59%||0.40%||4.33%|
Returns as of 12 August 2020
ICICI Prudential Multicap Fund Growth
The fund has been ranked top due to its potential to provide capital appreciation over the long term. Though the fund has not performed consistently but given its high valuation score, it has been placed at the top. Also, the fund has decent scores in parameters of concentration & consistency in generating alpha in the last 5 years.
A good choice for long term investments.
- Rs. 10,000 invested in August 2015 would have been approx. Rs.12,600.
- Rs. 1,000 invested in monthly SIP since September 2015 would have been approx. Rs. 63,834.
Kotak Standard Multi-Cap Fund
The fund has ranked highest in terms of consistency (i.e generating alpha in the last 5 years) among the others in the category. Moreover, it is one of the highest rankers in the parameter of volatility as per our ZFunds Ratings.
Kotak Standard Multi cap has the largest AUM in the Multi-Cap Category. The fund has been able to consistently outperform its benchmark as well as category average returns over the long periods.
A good option for long term investments.
- Rs. 10,000 invested in August 2015 would have been approx. Rs.14,600.
- Rs. 1,000 invested in monthly SIP since September 2015 would have been approx. Rs. 70,433.
HDFC Equity Fund
Though not a top-performing fund in the category, the fund has the highest valuation score in the category. Also, the fund has one of the highest scores in the parameter of volatility as per our ZFunds Ratings.
- Rs. 10,000 invested in August 2015 would have been approx. Rs.12,400.
- Rs. 1,000 invested in monthly SIP since September 2015 would have been approx. Rs. 63,483.