1. Parag Parikh Flexi Cap Fund (Direct, Growth)
~ ≈ 19.0% per annum
One of the consistent flexi-cap options; mixes large, mid, small cap and foreign equities, helps in diversification.
2. hdfc Flexi Cap Fund (Direct, Growth)
Slightly below Parag Parikh in 10-yr returns but very close and with large Fund AUM
Strong AMC, good history, lower expense ratio compared to many smaller flexi/mid cap schemes.
3. sbi Large Cap Fund / ICICI Prudential Large Cap / Mirae Asset Large Cap (Large-Cap Funds)
Typically in the range of ~15-17%+ annually, depending on fund & plan
Large-cap funds are generally less volatile than small or mid cap; good for stability plus growth over long term.
4. Small Cap / Mid Cap Leaders (e.g. Nippon india Small Cap, sbi Small Cap, etc.)
Often 20-25%+ (or more) per annum over long durations, though with higher risk
If you can tolerate higher volatility and have at least 7-10 years horizon, these have delivered very strong compounding.
5. Value / Thematic / Balanced Funds (e.g. Value Funds, ELSS with good past returns)
Slightly lower than the top large/small cap ones but decent (often ~14-18%)
These offer the dual benefit of upside with somewhat lesser drawdown in bad times. Good as a part of a diversified SIP portfolio.
*Returns are approximate annualised returns over ~10 years for direct growth plans, based on available data. Actual return for a given SIP will depend on start date, SIP amount, market phases etc.
🧐 Why These Funds Stand Out
Consistency over cycles: They’ve delivered strong returns not just during bull markets but also shown resilience in downturns.
Good management and track record: Reputed AMCs and experienced fund managers help.
Diversification in portfolio: Flexi-cap and mid/small cap funds that spread risk across sectors tend to do better over long periods.
Reasonable expense ratios: High fees can eat into returns over 10 years; these funds manage to balance fees vs performance.
⚠️ Things to Check Before Picking a SIP Fund
1. Direct vs Regular Plan – Direct plans have lower fees, so better returns net of costs.
2. Fund Category vs Your Risk Appetite – Small/mid cap offer higher returns but higher risk. Large cap or balanced funds are less volatile.
3. Expense Ratio / TER – Lower expenses help over long durations.
4. Fund Size / AUM – Very small funds may run into liquidity or management issues; very large ones may lose nimbleness.
5. Consistent Track Record – Look at performance over multiple time periods: 3 yrs, 5 yrs, 10 yrs. Also see how the fund handled market downturns.
6. Exit Load / Tax Treatment / Lock-in (if applicable) – These affect your final return.
Disclaimer:
The views and opinions expressed in this article are those of the author and do not necessarily reflect the official policy or position of any agency, organization, employer, or company. All information provided is for general informational purposes only. While every effort has been made to ensure accuracy, we make no representations or warranties of any kind, express or implied, about the completeness, reliability, or suitability of the information contained herein. Readers are advised to verify facts and seek professional advice where necessary. Any reliance placed on such information is strictly at the reader’s own risk.
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