These 2 Contra Funds SIP Has Given 43% Returns in 3 Years: Should You Invest?

The term 'contra' derives from the word 'contrarian,' which means to go against the grain. Contra mutual funds, which are primarily equities in nature, invest in non-performing themes and firms that have depreciated in value but have good underlying merits. These two contra funds from two big AMCs of the country offered decent returns on 3 years and 5 year lock-in period SIP.

Kotak India EQ Contra Fund - Direct Plan-Growth

Kotak India EQ Contra Fund Direct-Growth is a Value-Oriented equity mutual fund scheme from the house of Kotak Mahindra Mutual Fund. It is a medium-sized fund of its category, launched on 01 January 2013. Fund's NAV of direct Growth scheme IS Rs 91,446 as on 24 February 2022. As of 31 January 2022, under the Direct-Growth scheme of the fund, it has Rs 1,236 Crores worth of assets under management (AUM). The fund's expense ratio is 0.99%, which is close to its category average expense ratio, and what most other Value-Oriented funds charge.

The fund is rated 2 stars by the rating agency CRISIL. Its return performance is below average among its peers. The fund is highly risky. Investors are advised to do research before making any investment decision. The fund is managed by Shibani Kurian.

 Kotak India EQ Contra Fund Direct-Growth scheme has given 18.19% annualized returns in 1 year, and 21.30% in 2 years. The fund outperformed in 5 year investment period, where it offered 17.08% annualized returns, which is better than its category average of 16.70%. In the last 3 years, it has given 71.36% absolute returns and 287.24% since the scheme launch. The minimum SIP amount to invest in this scheme is Rs 1000. It has offered good absolute returns on SIP, almost 43.88% on 3 years and 60% on 5 years, 

Invesco India Contra Fund - Direct Plan-Growth

Invesco India Contra Fund Direct-Growth is a Value-Oriented Equity mutual fund scheme from Invesco Mutual Fund. It is a medium-sized fund of its category, launched on 01 Jan 2013. As of 31 January 2022, it has Rs 8,560.01 Crores worth of AUM or fund size, and as of 24 February 2022, its declared NAV is Rs 83.670. The fund has an expense ratio of 0.55%, which is less than its 0.95% category average.

The fund is rated 2 stars by the rating agency CRISIL. Despite the good ratings, its performance is below average among its peers. The fund is moderately high risk when it comes to investing. The fund is currently managed by Taher Badshah and Dhimant Kothari.

Invesco India Contra Fund Direct-Growth scheme return performance in last 1 year is 18.06%, less than its category average. In the last 3 years, it has given 73.52% absolute returns and 376.48% since the scheme launch. The fund has offered good annualized returns since its inception, better than the annual category average. You can start SIP with a minimum investment of Rs 500.

Disclaimer

Mutual fund investments are subject to market risk. Read all scheme-related documents, and Terms and Conditions carefully before investing. The above-mentioned information is purely informational and doesn't guarantee any return. The Greynium Information Technologies and the Author are not liable for any losses caused as a result of a decision based on the article.