2020 ends in positive for mutual funds
Most of the year, equities, except for a few sectors remained hurt due to pandemic coronavirus. Equity mutual funds disappointed the investors, who in panic, preferred to redeem their money. Equity mutual funds saw record breaking monthly outflows this year as investors started to lose hope after over two years of under performance by the equity schemes. However, as we came closer to the end of this year, positive news about development of covid vaccines cheered equities soon. In fact the major stock market indices broke their records to reach all time high levels in 2020.
Mid and small cap mutual funds which were laggards at the beginning of the year, bounced back to become the best performing categories across equity mutual funds at the end of the year. Some analysts believe the next year, 2021 will be the year for mid and small caps to outshine the stock markets.
Mutual fund investors who showed patience and continued with their investments, earned decent returns as the stock markets soared. 86% of the equity schemes ended the year with double digit returns. Equity mutual funds rose as high as up to 76% in the year about to end soon. Quant Small Cap Fund topped the chart with 76% returns in 2020, followed by BOI AXA Small Cap Fund (52%) and PGIM India Midcap Opportunities (49%).
Here is a list of top three mutual funds which were one year toppers in large cap, mid cap, small cap, large & mid cap, multi cap and tax saving or ELSS fund categories. Schemes holding assets below Rs. 100 crore were not considered.
Fund Name, 1-Yr Return, Net Assets (Rs. crore)
Large Cap Funds
Canara Robeco Bluechip Equity Fund, 20.74%, 1,122
Axis Bluechip Fund, 17.11%, 20,480
UTI Mastershare Fund, 16.49%, 7,008
Large & Mid Cap Funds
Canara Robeco Emerging Equities Fund, 23.44%, 6,880
Axis Growth Opportunities Fund, 22.87%, 1,907
Union Large & Midcap Fund, 21.85%, 209
Mid Cap Funds
PGIM India Midcap Opportunities Fund, 49.13%, 471
UTI Mid Cap Fund, 32.50%, 4,491
SBI Magnum Midcap Fund, 28.92%, 4,113
Small Cap Funds
Canara Robeco Small Cap Fund, 40.79%, 572
Principal Small Cap Fund, 37.02%, 238
Edelweiss Small Cap Fund, 34.44%, 585
Multi Cap Funds
PGIM India Diversified Equity Fund, 34.52%, 398
Parag Parikh Long Term Equity Fund, 30.51%, 5,757
UTI Equity Fund, 29.28%, 13,546
Tax Saving or ELSS Funds
BOI AXA Tax Advantage Fund, 30.01%, 351
Canara Robeco Equity Tax Saver Fund, 24.75%, 1,333
Mirae Asset Tax Saver Fund, 19.83%, 5,044