Top 10 best performing SIP mutual funds. All you need to know

Mutual funds have given exceptional performance over the period. Some investors just look for the returns irrespective of the risk and other parameters. So, here we have shortlisted the top-performing mutual funds with returns as a filter. Let’s dive into it.

Top 10 SIP mutual funds

S.No.	Fund Name	3-Yr Annualized Performance
1	Quant Small Cap Fund Growth Option Direct Plan	44.30 %
2	PGIM India Mid-cap Opportunities Fund Direct Plan-Growth	39.28 %
3	Canara Robeco Small Cap Fund Direct-Growth	38.83 %
4	Bank of India Small Cap Fund Direct-Growth	38.82 %
5	Quant Tax Plan Direct Option Growth Plan	36.88 %
6	Quant Infrastructure Fund Growth Option Direct Plan	36.47 %
7	Quant Mid Cap Fund-Growth Option Direct Plan	35.89 %
8	Kotak Small Cap Fund Direct-Growth	35.37 %
9	Quant Active Fund Growth Option Direct Plan	33.28 %
10	Quant Flexi Cap Fund Direct Plan Growth Option	32.25 %

1. Quant small cap fund direct plan-growth

Fund analysis:

The fund has delivered an exceptionally good performance. The fund is investing predominantly in small-cap companies. The fund is rated 5-star by Morningstar.

The risk grade is high, and the returns grade is high. The fund follows a blended style of investing. The risk is spread across companies with the top 10 holdings consisting of 38.96%. The fund has a high risk (measured by standard deviation) than the category average.

Pros	Cons
A top performer in its category. Fund captured the market well when it was rising.	Volatility is very high.

2. PGIM India mid-cap opportunities fund direct plan-growth

Fund analysis:

The fund has outperformed the category and the benchmark with good margins. The fund is investing predominantly in mid-cap companies. The fund is rated 5-star by morningstar. The risk grade is above average, and the returns grade is high.

The fund follows a growth style of investing. The risk is spread across companies with the top 10 holdings consisting of 35.25%. The fund has a high risk (measured by standard deviation) than the category average.

Pros	Cons
A top performer in its category. The fund captured the market well when it was rising and falling, better than the category average.	The minimum monthly SIP amount is Rs 1000/- thus marginal investors may not be able to take exposure

3. Canara Robeco small cap fund direct-growth

Fund analysis:

The fund has outperformed the benchmark over different horizons. The risk grade is average and the returns grade is high.

The fund has a well-diversified portfolio invested across market capitalization. The top 10 holdings consist of a total of 22.88%. The fund is rated 5-star by morningstar. The fund holds a good risk-to-reward ratio. The fund has low risk (measured in standard deviation) than the category average.

Pros	Cons
Fund captured the market well when it was rising. The fund captured the market well when it was falling.	Less exposure to small-cap stocks.

Read more: Top 5 Liquid mutual funds

4. Bank of India small cap fund direct growth

Fund analysis:

The fund is rated 5-star by morningstar. The risk grade is below average, and the returns grade is high.

The fund has a beta of 0.84 indicating that the movement of the fund is less relative to the market movement. The fund follows a growth style of investing. The fund has a low risk (measured by standard deviation) than the category average.

Pros	Cons
My risk grade is below average. Well-diversified portfolio.	The fund has a high expense ratio.

5. Quant tax plan direct option growth plan

Fund analysis:

The fund’s objective is to generate capital appreciation by investing predominantly in a well-diversified portfolio of equity shares with growth potential. The risk grade is high and the return grade is high.

The fund has a beta of 0.99 which means that the fund movement is very much relative to the market movement. The fund has a high risk (measured by standard deviation) than the category average.

Pros	Cons
Well-diversified portfolio.Tax benefit.	Highly volatile.

Read more: Top 5 divided paying mutual funds

6. Quant infrastructure fund growth option direct plan

Fund analysis:

The fund’s objective is to seek to generate capital appreciation & provide long-term growth opportunities by investing in a portfolio of infrastructure-focused companies. The risk and return grade of the fund is high.

The fund follows a blended style of investing, indicating the fund has both value and growth stocks. The fund has invested majorly in large-cap companies. The fund has outperformed the category average with good margins.

Pros	Cons
Fund has outperformed the category average over 1-Yr, 3-Yr & 5-Yr trailing returns. Fund has outperformed the category average when the market was falling.	Low Assets Under Management.

7. Quant mid-cap fund-growth option direct plan

Fund analysis:

The fund’s objective is to seek to generate capital appreciation & provide long-term growth opportunities by investing in a portfolio of mid-cap companies. The risk grade is below average, and the returns grade is high.

The fund has a beta of 0.85 indicating that the movement of the fund is less relative to the market movement. The fund has a concentrated portfolio of 34 stocks, investing in both value & growth stocks. The fund has low risk (measured by standard deviation) than the category average.

Pros	Cons
A consistent top performer in its category. The fund captured the market well when it was rising and falling, better than the category average.	Concentrated portfolio of 34 stocks.

8. Kotak small cap fund direct growth

Fund analysis:

The fund has outperformed the category average in terms of trailing returns over different horizons. The risk grade is above average and the returns grade is above average.

The fund has a beta of 0.95 indicating that the movement of the fund is quite closely relative to the movement of the market. The fund has a well-diversified portfolio of growth stocks consisting of 72 companies spread over different sectors and market-cap companies.

The fund has a high risk (measured in standard deviation) than the category average.

Pros	Cons
The fund has a favorable expense ratio. Fund captured the market well when it was falling.	Too much diversification may hamper the returns.

9. Quant active fund growth option direct plan

Fund analysis:

The fund’s primary objective is to generate capital appreciation & provide long-term growth opportunities by investing in a portfolio of large-cap, mid-cap, and small-cap companies. The risk grade is above average and the returns grade is high.

The fund is rated 5-star by morningstar. The fund has invested 59.45% in large-cap, 28.07% in mid-cap, and 12.48% in small-cap companies. The fund has outperformed the category average over 1-yr, 3-yr & 5-yr trailing returns.

Pros	Cons
The fund has a risk grade of above average, whereas the returns grade is high. Consistent performance over the period.	Fund has underperformed the category average over 5-Yr trailing returns.

10. Quant Flexi cap fund direct plan growth option

Fund analysis:

The fund’s objective is to seek to generate capital appreciation & provide long-term growth opportunities by investing in a portfolio of consumption-driven companies. The risk grade is above average high.

The fund has outperformed the category average and the benchmark with good margins over the long-term period. The fund has limited holdings of 36 stocks but is well-diversified across sectors.

Pros	Cons
Attractive risk-to-reward ratio. The fund captured the market well when it was rising & falling, better than the category average.	Exit load of 1.00%, if units redeem within 1 year.

Conclusion:

If one selects the right mutual fund then it can fetch you good returns over the period, but the selection criteria should not be based on the returns only. One should consider other factors also like risk, expense ratio, etc.

Consult an expert advisor to get the right plan