7 Equity Funds Beat 20% SIP Returns: Your Investment Guide

By ThePip Desk7 Equity Funds Beat 20% SIP Returns: Your Investment Guide

Discover the 7 top-performing equity funds that delivered over 20% annualized SIP returns in a decade. Small and mid-cap funds lead the pack. Learn what it means for your investments.

If you’re looking for impressive long-term returns, only seven diversified equity mutual funds in India have managed to deliver over 20% annualised SIP returns in the past decade, excluding sectoral and thematic schemes.

A consistent monthly investment of ₹10,000 into these top-performing schemes could have grown into a significant corpus for you.

Understanding the Key Numbers

  • A ₹10,000 monthly SIP in these funds could have grown to between ₹34.8 lakh and ₹38.8 lakh.
  • The list of high-performing funds is dominated by small-cap and mid-cap schemes.
  • Specifically, four mid-cap funds and three small-cap funds made the cut.
  • No large-cap, flexi-cap, multi-cap, focused, or value-oriented equity funds achieved this 20% annualised SIP return threshold.

The Top Performers You Should Know

Nippon India Small Cap Fund stands out as the leading performer, delivering a 22.21% annualised SIP return over 10 years.

This performance would have turned your ₹10,000 monthly SIP into approximately ₹38.8 lakh.

  • Invesco India Mid Cap Fund: 21.97% return, ₹38.3 lakh corpus.
  • Edelweiss Mid Cap Fund: 21.52% return, ₹37.4 lakh corpus.
  • Nippon India Growth Mid Cap Fund: 20.95% return, ₹36.2 lakh corpus.
  • Axis Small Cap Fund: 20.66% return, ₹35.7 lakh corpus.
  • Union Small Cap Fund: 20.28% return, ₹34.9 lakh corpus.
  • HDFC Mid Cap Fund: 20.21% return, ₹34.8 lakh corpus.

These impressive funds also maintained relatively low base expense ratios, ranging from 0.41% to 0.79%.

Funds That Nearly Hit the Mark

While only seven funds crossed the 20% mark, several others came close, showing strong performance over the decade.

  • ICICI Prudential Midcap Fund recorded a 10-year annualised SIP return of 19.39%.
  • HSBC Midcap Fund achieved 19.24%.
  • Invesco India Large & Mid Cap Fund: 19.03% annualised SIP return.
  • Baroda BNP Paribas Midcap Fund: 18.83% annualised SIP return.
  • HDFC Flexi Cap Fund: 17.75% annualised SIP return.
  • Parag Parikh Flexi Cap Fund: 17.65% annualised SIP return.

This data gives you a clear picture of how different fund categories have performed in the long run, especially if you’re planning your own SIP journey.

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