Investors are shifting from smallcap to largecap funds due to better valuations and higher earnings growth expectations in large caps. Large cap schemes like Quant Large Cap Fund and Bank of India Bluechip Fund delivered high returns in FY24.
Quant Large Cap Fund-Reg(G) performed well in Q1, with a 9.53% gain. It adjusted holdings in various stocks, including RIL and Tata Power, to outperform the benchmark index and category returns
Large cap schemes are benchmarked against NIFTY 100 - TRI, and S&P BSE 100 - TRI. The benchmarks offered 4.68%, and 4.15% respectively in the January-March quarter in 2024.
Among these seven categories, three categories were sectoral funds. These three categories topped the return chart and offered more than 50% returns in FY24.
Investing in mutual funds is popular for long-term growth and diversification. Factors like reputation, scheme category, and market performance influence investors decisions. Here are top-performing mutual funds based on one-year returns.