Large-cap Mutual funds are almost always a preferential investment option for investors, for the simple fact that they carry lesser volatility.
But did you know that one of the best advice, when it comes to structuring portfolios, is that ideally, any portfolio should have 50% allocation to large-cap mutual funds. And this actually makes a lot of sense, more so in the light of the current time.
2018-19 was not a very good year for mutual funds as the majority of them saw a downgrade in terms of returns. While that is not something that should worry the investors, as over an extended period the losses will be offset by rupee cost averaging, still the slump did create a good amount of buzz in the market. And as a result, more investors and advisors alike started moving towards large-cap funds.
But that was 2018. What could you expect in 2019?
No one can say for sure if the market will again assume a negative outlook even this year. But for those who still want to play safe and look towards the non-volatile options, i.e., Large-cap Mutual funds, the following list should be helpful.
Table of Content
1. Aditya Birla Sunlife Focused Equity Fund (erstwhile Aditya Birla Sunlife Top 100)
Launched on Jan 1, 2013, Aditya Birla Sunlife is a moderately high risk, large-cap fund and has given returns of 13.66%, till date. The fund’s consistent and actually outperforming track record makes it one of the most attractive options. Mahesh Patil has been managing the fund from past 6 years. Over a 5 year period, the scheme has returned 15.97% (as on Jan 29, 2019), while Nifty 50 (its benchmark), has given 13.12% returns.
| Scheme Type | Open-Ended |
| Scheme Objective | To achieve long term capital appreciation by investing in up to 30 companies with long term sustainable competitive advantage and growth potential |
| Fund Manager | Mahesh Patil (since Jan 2013) |
| Class | Equity |
| Scheme Benchmark | IISL Nifty 50 Total Return |
| Asset Size (in crore) | 4043 (as on Dec 31, 2018) |
| Risk | Moderately High |
| Expense Ratio | 1.13% (as on Dec 31, 2018) |
| Exit Load | 1% (if redeemed within 365 days) |
2. Axis Bluechip Fund
Launched on Jan 1, 2013, Axis Bluechip is a moderately high risk, large-cap fund and has given returns of 14.81%, till date. Axis Bluechip was one of the surprise packages of 2018, even in a year when more than 70% of the mutual fund schemes fell behind in their respective 1-year return benchmarks. As of today (29th Jan, 2019), the fund has generated returns of 16.35%, over a 5-year period. The fund manager – Shreyas Devalkar, has been at the helm of the fund since November 2016 and even though he holds only a few stocks (24 at the moment), he’s a veteran when it comes to picking them.
| Scheme Type | Open-Ended |
| Scheme Objective | The scheme aims to generate long term capital growth by investing in a diversified portfolio predominantly consisting of equity & equity related instruments of large cap companies. |
| Fund Manager | Shreyas Devalkar (since Nov 2016) |
| Class | Equity |
| Scheme Benchmark | IISL Nifty 50 Total Return |
| Asset Size (in crore) | 3737 (as on Dec 31, 2018) |
| Risk | Moderately High |
| Expense Ratio | 0.89% (as on Dec 31, 2018) |
| Exit Load | 1% (if redeemed within 365 days) |
3. HDFC Top 100 Fund (erstwhile HDFC Top 200)
Launched on Jan 1, 2013, HDFC Top 100 Fund is a moderately high risk, large-cap fund and has given returns of 12.71%, till date. The assets under management of HDFC MF grew over 9 percent in the three months ended December to Rs 3.35 lakh crore and its largest exposure is to financials at 32.7 percent. Prashant Jain has been managing the fund from past 6 years and over a 5 year period, the scheme has returned 16.06% (as on Jan 29, 2019), while Nifty 100 (its benchmark), has given 14.02% returns.
| Scheme Type | Open-Ended |
| Scheme Objective | The scheme seeks to provide long-term capital appreciation/income by investing predominantly in Large-Cap companies. |
| Fund Manager | Prashant Jain (since Jan 2013) |
| Class | Equity |
| Scheme Benchmark | IISL Nifty 100 Total Return |
| Fund Size | 15,264 (as on Dec 31, 2018) |
| Risk | Moderately High |
| Expense Ratio | 1.41% (as on Dec 31, 2018) |
| Exit Load | 1% (if redeemed within 365 days) |
4. ICICI Prudential Bluechip Fund (erstwhile ICICI Prudential Focused Bluechip Equity)
Launched on May 23, 2008, ICICI Prudential Bluechip Fund is a moderately high risk, large-cap fund and has given returns of 13.59%, till date. The scheme is well suited for investors who expect reasonable returns. Besides consistency, the scheme is known to protect the downside in bear cycles, largely due to its focus on quality companies. Rajat Chandak has been managing the fund from past 1.5 years and over a 5 year period, the scheme has returned 14.84% (as on Jan 29, 2019), while Nifty 100 (its benchmark), has given 14.02% returns.
| Scheme Type | Open-Ended |
| Scheme Objective | The scheme seeks to generate long term capital appreciation and income distribution to investors from a portfolio that is predominantly invested in equity and equity related securities of large cap companies. |
| Fund Manager | Rajat Chandak (since July 2017) |
| Class | Equity |
| Scheme Benchmark | IISL Nifty 100 Total Return |
| Fund Size | 20,115 (as on Dec 31, 2018) |
| Risk | Moderately High |
| Expense Ratio | 1.21% (as on Dec 31, 2018) |
| Exit Load | 1% (if redeemed within 365 days) |
5. SBI Bluechip Fund
Launched on Feb 14, 2006, SBI Bluechip Fund is a moderately high risk, large-cap fund and has given returns of 10.32%, till date. This fund has a strong track record of outperformance but has recently seen a dip in its returns. Its average market-cap is much lower than the category average, which signifies that it is comfortable investing beyond the frontline stocks. The fund has also been a consistent top two quartile performer. Sohini Andani has been managing the fund from past 9 years and over a 5-year period, the scheme has returned 15.39% (as on Jan 29, 2019), while Nifty 100 (its benchmark), has given 14.02% returns.
| Scheme Type | Open-Ended |
| Scheme Objective | The scheme seeks to provide investors with opportunities for long-term growth in capital through active management of investments in a diversified basket of large-cap equity stocks (as specified by SEBI/AMFI from time to time). |
| Fund Manager | Sohini Andani (since Sep 2010) |
| Class | Equity |
| Scheme Benchmark | S&P BSE 100 Total Return |
| Fund Size | 20,610 (as on Dec 31, 2018) |
| Risk | Moderately High |
| Expense Ratio | 1.94% (as on Dec 31, 2018) |
| Exit Load | 1% (if redeemed within 365 days) |
