Diversify helps to take away risk for your investment portfolio. And it reduces when market is ups and downs. But this is reason financial experts suggest to diversify your portfolio to various investment options. Therefore you can see best ELSS and Midcap funds. Hence, you can check its returns with the benchmark.
Top 5 Diversified Mutual Funds
Diversify equity mutual funds are spread their investments across sectors. And they diversify their investments most of sectors. So they minimize risk in any one particular sector. Over long term, diversified equity funds have best returns track record. Hence, for more details see top rated equity diversified funds.
Similarly, here are few parameters to select fund. Therefore you need to see fund returns in last five years. In addition, like fund past performance compare to benchmark index. And try to choose CRISIL 1 to 2 ranks mutual fund. Moreover, view Classification of Diversified Equity Mutual funds
Now let’s see top 5 best diversified mutual funds in India. Below is overall description of top mutual fund. Hence, for better understand see comparison of Top Diversified Mutual Funds in India. However, let’s see each diversified mutual funds in details.
Principal Emerging Blue chip Fund (G)
Principal Emerging Fund launch in November 2008. And it has given excellent returns. Because, fund has Rs.563 crore of AUM (Asset under management. Moreover, expense ratio of Principal emerging fund is 2.61% regular and 1.76% (Direct Plan). Therefore fund is suitable for planning to make investments for long term. Like wealth creation, children education, retirement planning etc.
However, from last 1 year fund has managed to keep 1st rank. As another fund it is open for both dividend and growth options. Therefore you need to invest in direct plan to get more returns in long term. Moreover, fund has focus in mid cap companies. In addition, fund invests 75 % in midcap and 14% in small cap funds.
Similarly, it diversifies in three sectors. Like Banking, Pharmaceuticals and industrial products. And these three sectors make massive 30% returns to overall portfolio. Because, Principal Emerging Blue chip Fund has excellent returns from short to medium term. Hence, annual returns in last 3 and five years are 31.2% and 26.0%.
Further, fund invests in top 5 companies like Eicher Motors. In addition, like Amara Raja Batteries, Motherson Sumi, Gabriel India and Dynamatic Technologies. Hence, check list of diversified sector companies in NSE and BSE exchange
Franklin High Growth Companies Fund
However, Franklin High Growth Fund is another best performing fund in diversified company. And this fund invests in High growth companies that have expanded their sales. In addition, they want to earn in high rate. But these companies tend to grow earning at fast pace. Moreover, they have high value (P/E- Price to earnings ratio).
And, this fund launched on July 26, 2007. Both of these fund managers are manage several other funds from this AMC. They have an excellent track record of giving good returns. Probably, AUM of this fund is Rs.4470 cr. But in last 5 years annual returns are 26.8% and 23.0%.
In addition, this Diversified mutual fund does not charge any entry load. But, it charges 1% exit load if units are redeemed within two years of investment. Hence, see how to invest in mutual fund online through SIP.
UTI MNC Fund
Therefore UTI MNC Fund has been always ranked as Rank 1 from CRISIL. Because, under diversified mutual fund’s Equity category. And it has launch in May 1998. But, this fund aims to create value for investor. Therefore mainly it invests in large cap and mid cap equity across diverse sectors.
Annual returns over last 3 and five years are 23.5% and 19.8%. Similar to Franklin India this fund does not charge any entry load. Moreover, expense ratio for this fund is 2.27% for Regular Plan. And expense ratio for Direct Plan is 1.39% (as on 31st October 2016).
L&T India Value Fund
However, L&T India Fund started in January 2010. But L&T India Value Fund has right to mix various sectors across In addition, it invested 39.10 percent in large cap, 35.37 percent in mid-cap. And also invest 28.53 percent in small cap. Because, they have 27.53 percent returns in Banking/Finance sector. Hence, it is best performing sector currently.
Furthermore, they invest in major stocks like HPCL, SBI, Manappuram Finance and ICICI Bank etc. As above, this fund has beaten from last 1, 2, 3 and 5-year. And annual returns from last 3 and five years are 31.5% and 24.8%. Similar to other funds does not charge any entry load. Hence, you can also see 5 best small cap and mid cap mutual funds.
ICICI Prudential Value Discovery Fund
ICICI Prudential Discovery Fund is classified under diversified mutual fund’s category. Moreover, this fund is launch in August 2004. And for last 3-5 years CRISIL rank-1. And ICICI Prudential Value Discovery Fund has given 22.39% returns. Because, CRISIL has ranked this fund number 1 in diversified mutual fund category in the quarter end.
Hence, see diversified mutual fund portfolio examples. Furthermore, it diversifies into top 5 companies. Like HDFC Bank, Wipro, Larsen, ICICI Bank and Infosys. Probably, fund has outperformed in both bull and bear market. But in terms of returns this fund is rank 1 in 10 years.
Finally, you are looking for long term capital can consider investing in diversify through SIP. Furthermore, you shall note that midcap funds more risky than large cap fund. But they will give high returns in long term. Therefore see five years comparison of top diversified mutual funds in India.