Chapter :Top 10 best performers

These top 10 best performing mutual funds to invest through SIP in India have been analysed
and shortlisted based on several key parameters. These top mutual funds to invest is suitable
based on risk appetite. These are picked based on highest returns received in the last 5 years.
Care has been taken to see that such funds gave superior returns when you invest through SIP
and not just a lump sum amount. Mutual Funds that are rated by Crisil as Rank-1, Rank-2,
Rank-3 and Rank-4 which indicates top performance across various market cycles.
Value research (VRO) rated these mutual funds as 5 star and 4 star. AUM (Assets under
management) > 100 Crores. This is the amount invesed by investors till now which
proves investor confidence among these top 10 best performing mutual funds. Some of the
funds might be a repetition from my earlier recommendation. Mutual funds SIP returns are
also considered while ranking these funds. You can check SIP calculator on value research
online for more info.

Top#1: UTI Equity Fund

Fund Objective: This mutual fund objective is to invest at least 80% of its funds in equity
and equity related instruments with medium to high risk and balance 20% in debt instruments
with low to medium risk profile.

Fund Performance: This fund has beaten its peers and provided 12% annualised returns in
last 5 years. If you have invested in this fund for Rs 1,000 per month through SIP for 5 years,
your total investment would have been Rs 60,000 and your investment value would have
been Rs 94,900 now. I had recommended this fund last year and it continues to be another
best fund to invest for long term of 10-20 years.

Why to invest: The fund has provided low volatility returns through a difficult period in
equity markets. The strategy is clearly articulated and has delivered exactly what it
promised. This fund has provided 12% annualised returns in last 5 years compared to S&P
BSE 100 returns of 5.8%. This has given 15.5% returns in last 10 yars compared to S&P BSE
100 returns of 12.2%. This is one of the oldest fund of 22 years of history and performed well
even in bear markets and Best Mutual fund 2016.
Top#2: ICICI Pru Focussed Blue Chip Fund

Fund Objective: This mutual fund objective is to invest in 20 large cap companies from the
top 200 stocks listed on the NSE on the basis of market capitalization. This fund’s objective
would get altered if assets cross more than 1,000 Crores (which we are seeing now) where it
would invest beyond 200 stocks listed in the NSE.

Fund Performance: This fund has beaten all its peers and provided 11% annualised returns
in last 5 years. If you have invested in this fund for Rs 1,000 per month through SIP for 5
years, your total investment would have been Rs 60,000 and your investment value would
have been Rs 89,200 now. Recently this fund has lagged in performance compared to its
peers, however, I still believe this is one of the best performing mutual fund to invest for long
term of 10-20 years.

Why to invest: This fund has a clear strategy and consistently performing in the long run.
This fund beats all its peers and provided 11% annualised returns in the last 5 years
comparing to CNX Nifty returns of 6.05% in a similar period. This makes this as a unique
fund among its peers. This was part of best sip plans 2015 too. Hence, this is one of the top
mutual funds to invest. One can consider this as one of the best sip plans for children
education too.
Top#3: Birla SL Frontline Equity Fund

Fund Objective: This fund aims to generate long term growth of capital by diversifying
across various industries/sectors in BSE 200.

Fund Performance: This fund has beaten its peers and provided 11.2% annualised returns in
last 5 years. As per SIP calculator at Value search online, if you have invested in this fund for
Rs 1,000 per month through SIP for 5 years, your total investment would have been Rs
60,000 and your investment value would have been Rs 94,040 now. This is another top fund
to invest for long term of 10+ years.

Why to invest: This MF scheme is a consistent performer. In long run of 10 years, it has
given 17.8% annualized returns against S&P BSE 200 which just gave 12% annualized
returns. This has never lagged in last 10 years and winner in various investment cycles. This
is one of the consistent top performing mutual fund to invest in 2016 as it has performed well
in various market cycles over a decade. Since this is large cap fund, you can consider
this too as one of the best sip plans for children education or child marriage.
Top#4: Franklin India Smaller Companies Fund

Fund Objective: This fund’s objective is to generate long-term capital appreciation from a
portfolio of midcap and small-cap companies. It invests upto 75% in smaller companies.

Fund Performance: This fund has beaten its benchmark and provided 19% annualised
returns in last 5 years. If you have invested in this fund for Rs 1,000 per month through SIP
for 5 years, your total investment would have been Rs 60,000 and your investment value
would have been Rs 130,650 now. This is one of the best performing funds to invest for long
term of 8-10 years. This is one of the higest return mutual fund which provided 30%
annualised returns in last 3 years.

Why to invest: This fund differentiates itself from market cap orientation. This fund invests
smaller portion in large cap and invests a sizeable amount in small companies, hence it can be
termed as smaller stock fund. This fund performed excellent in last 5 years and given 19%
annualised return comparing to CNX Midcap benchmark of 7.1%. In my personal view, this
is one of the top mutual funds to invest in mid-cap/small-cap segment. I have recommended
this as part of best sip plans 2015 last year and I have been getting good returns.
Top#5: Mirae Asset Equities Blue Chip Fund

Fund Objective: This fund aims to generate income and capital appreciation from a
diversified portfolio predominantly investing in Indian equities and equity related securities
of companies which are not part of the top 100 stocks by market capitalization and have
market capitalization of atleast Rs.100 Crores at the time of investment.

Fund Performance: This is new entrant in to my top 10 best performing funds. This fund
has beaten its benchmark and provided 22% annualised returns in last 5 years. If you have
invested in this fund for Rs 1,000 per month through SIP for 5 years, your total investment
would have been Rs 60,000 and your investment value would have been Rs 128,500 now.
This is one of the good funds to invest for long term of 8-10 years.

Why to invest: This fund performed well in last 5 years and given 22% annualised return
comparing to CNX Midcap benchmark of 7.1% and overall category average of 13.8%.
Top#6: UTI Mid Cap Fund

Fund Objective: This mutual fund scheme objective is to provide ‘Capital appreciation’ by
investing primarily in mid cap stocks.

Fund Performance: This fund has beaten its benchmark and provided 17.8% annualised
returns in last 5 years. If you have invested in this fund for Rs 1,000 per month through SIP
for 5 years, your total investment would have been Rs 60,000 and your investment value
would have been Rs 126,700 now. This is one of the best midcap Funds to invest for long
term of 8-10 years.This Is one of the best performing mutual funds which gave 19%
annualised returns in last 2years.

Why to invest: This fund invests majority in mid-cap funds which outperforms in shorter
duration if one invests in the right mid-cap stocks. This fund performed excellent in last 5
years and given 17.8% annualised return comparing to CNX Midcap benchmark of 7%. High
risk investors can invest in best performing mid-cap funds through SIP.
Top#7: ICICI Pru Value Discovery Fund

Fund Objective: This fund aims to invest in a well-diversified portfolio of value stocks
which are having attractive valuations in relation to earnings or book value or current and/or
future dividends.

Fund Performance: This fund has beaten its benchmark and provided 17% annualised
returns in last 5 years. As per SIP calculator, if you have invested in this fund for Rs 1,000
per month through SIP for 5 years, your total investment would have been Rs 60,000 and
your investment value would have been Rs 114,400 now. This is one of the top performing
funds to invest in India for long term of 8-10 years.

Why to invest: ICICI Pru Value Discovery is actually a market-cap agnostic fund that
practises classic value investing. The fund beaten records when the markets have reversed
directions unexpectedly. This fund performed excellent in last 5 years and given 17%
annualised return comparing to CNX Midcap benchmark of 7.1%. Even in last 10 years it
generated 19.3% annualized returns compared to its CNX Mid-cap bnenchmark of
13%. If you want to play safe and reduce losses in a downturn and make the most in bull run,
you should own this mutual fund scheme.
Top#8: Franklin (I) High Growth Cos fund

Fund Objective: The fund invests in Indian companies/sectors with high growth rates or
potential. It will focus on companies offering the best trade-off between growth, risk and
valuation.

Fund Performance: This fund has beaten its benchmark and provided 15.4% annualised
returns in last 5 years. If you have invested in this fund for Rs 1,000 per month through SIP
for 5 years, your total investment would have been Rs 60,000 and your investment value
would have been Rs 114,700 now. This is one of the best funds to invest for long term of 8-
10 years. This is another good highest return mutual fund that provided over 30% returns in
last 3 years.

Why to invest: This fund performed well in last 5 years and given 15% annualised return
comparing to CNX 500 benchmark of 6.29% and overall category average of 9%. This
invests in various sectors and hence this multicap is expected to perform well in future too.
Top#9: HDFC Balanced Fund

Fund Objective: This mutual fund scheme aims to generate capital appreciation from a
combined portfolio of equity and debt instruments. This scheme invests up to 60% in equity
and balance in debt related instruments.

Fund Performance: This fund has beaten its benchmark and provided 14.1% annualised
returns in last 5 years. If you have invested in this fund for Rs 1,000 per month through SIP
for 5 years, your total investment would have been Rs 60,000 and your investment value
would have been Rs 96,900 now.

Why to invest: This fund performed well in last 10 years and given 16.3% annualised return
comparing to balanced fund category of 10.8%. Equity centric balanced funds limit volatility
by keeping part of investments in fixed income and regularly rebalancing the portfolio. This
fund re-balances its portfolio with an aggressive equity part. While large cap is good for
higher returns, balanced fund can help you to balance your portfolio which would be useful
and can be considered as one of the best sip plans for children education or marriage.
Top#10: ICICI Balanced Fund

Fund Objective: The scheme invests in equities and related securities as well as fixed
income and money market securities. It invests 60% minimum in equity and balance in debt
related instruments.

Fund Performance: This fund has beaten its benchmark and provided 14.5% annualised
returns in last 5 years. If you have invested in this fund for Rs 1,000 per month through SIP
for 5 years, your total investment would have been Rs 60,000 and your investment value
would have been Rs 95,600 now.

Why to invest: This fund performed well in last 10 years and given 14.5% annualised return
comparing to balanced fund category of 6.3%. It would reduce risk by investing part of the
investment in debt instruments.