MySIPonline Blog
March 26, 2019

Which Multi-Cap Funds are Experts’ Top Pick For Long Term Investment in 2019?

In the uncertain market conditions of 2019, many investors are preferring multi-caps over mid and small-caps to gain high returns. As the multi-cap funds have a mixed portfolio of various equities, these are considered beneficial during the volatile market. The experts at MySIPonline have done extensive analysis throughout all the available multi-cap schemes in India to select the best schemes which can be chosen for long term investment in 2019.

Motilal Oswal Multi Cap 35 Fund

This fund has maintained consistency in performance through a focused portfolio. The fund manager invests in 30 stocks of multiple size and sector. Over diversifying the portfolio might limit the growth which is the reason the fund manager prefers a focused portfolio in the multi-cap category. It is a top performer and can be chosen for long term investment in 2019.

Kotak Standard Multi Cap Fund

It is the most chosen multi-cap scheme due to the remarkable performance in the past. It has maintained consistent returns in the past without taking high risk in the mid and small cap stocks. Nearly 20% of the corpus is invested in mid and small-cap stocks while the rest is invested in large caps with a growth-oriented strategy. The AUM of this scheme is highest in the category of multi-cap funds.

ICICI Prudential Multi Cap Fund

It is one of the oldest multi-cap funds which is also a consistent performer in the category. The fund possesses low risk due to higher allocation in the large-cap stocks but the returns have been impressive for the long term. Compared to the peers, it charges a higher expense ratio but is among the top performers in the category due to low volatility and consistent outputs.

Invesco India Multi Cap Fund

This fund was previously known as mid and small cap fund but later became a multi-cap fund however the portfolio is still inclined towards small and mid-cap stocks to gather high returns. It has delivered the highest returns among all the multi-cap funds for long terms but possesses high risk due to the aggressive portfolio. The fund is most suitable for aggressive investors.

Mirae Asset India Equity Fund 

This fund has been an excellent performer and has the upper hand over every other multi-cap scheme if overall performance is considered. The risk involved in this scheme is minimal in the category while the returns generated over the long term are among the best in the category. Nearly 90% of the corpus is invested in large-cap stocks through which annualised returns of more than 23% have been maintained. It charges a low expense ratio compared to other scheme and is one of the best multi-cap funds in India.

Multi-cap funds are chosen for long term capital appreciation through a diversified equity portfolio to control the volatility. However, different multi-cap funds have different risk associated and suit different investment objectives as the investment strategy is different for every scheme. It is essential to choose a scheme which is most suitable for the investor considering risk, consistency, tenure, and other aspects of mutual funds. To know which multi-cap fund will be most suitable for you, connect with the professionals at MySIPonline and gain better through your mutual fund investments.