This Large-Cap Mutual Fund Recorded Upto 102% Return, Rated 4 Star By Crisil: Check Portfolio

Large-cap mutual fund SIPs are well suited for investors who are new to the equity field. Here, the portfolio of a large-cap mutual fund SIP, which was rated by Crisil, has been discussed.

Large-Cap mutual fund investment rationale

A large-cap mutual fund will invest mostly in bluechip companies, that have a market capitalization of Rs. 20,000 crore or more. These are the top 100 companies, listed in the equity market. In addition to that, the fund house will also invest in some mid and small-cap companies. Bluechip stocks are more secured than small-cap funds, in terms of liquidity, and established in the market. In the near term, however, these funds do not have much potential to develop to give massive returns. If you are investing in this kind of mutual fund SIP, you should hold the portfolio for around 4 years.

LIC MF Large Cap Fund - Direct Plan

LIC MF Large Cap Fund - Direct Plan is a popular SIP investment tool, that invests money into large-cap companies. LIC MF Large Cap Fund - Direct Plan's NAV stood at Rs. 45.18. However, the fund size is Rs. 645.5 crore, while the Expense Ratio (ER) is 1.29%; while the category average is 1.12%. The ER is not much higher than the category average. The Expense Ratio (ER) is the percentage, the fund house will use your money for its official management expenses.

This mutual fund SIP has been rated with 4 Star by renowned rating agency Crisil.

Absolute and annualized returns

LIC MF Large Cap Fund - Direct Plan's SIP's absolute returns are attractive in the long term. In the last 1-year SIP return stood at 9.97%, in the last 2 years it has fetched 32.36% returns, in the last 3 years it has given a 41.43% returns, and in the last 5 years, it has fetched 56.37% returns. Annualized returns of this fund's SIP were 29.44% in the past 2 years, and 23.78% in the past 3 years.

LIC MF Large Cap Fund - Direct Plan's absolute mutual fund returns are highest in 5 years terms. In the last 1 year return stood at 19.53%, in the last 2 years it has fetched 40.74% returns, in the last 3 years it has given 70.24% returns, and in the last 5 years, it has given 102.49% returns. Additionally, in the past 1 year, the LIC MF Large Cap Fund - Direct Plan's annualized returns stood at 19.53%, beating the category average which is 18.65%.

Portfolio

LIC MF Large Cap Fund - Direct Plan's equity holding is 97.08%, and the fund invests 2.92% in other sectors. The Fund's Large Cap Investments are 81.91%, Mid Cap Investments are 7.41%, and 7.76% investments are allocated in other funds, among total of 44 stocks.

The top 10 equity holdings of the LIC MF Large Cap Fund - Direct Plan's are, Infosys Ltd., ICICI Bank, HDFC Bank, Tata Consultancy Services Ltd., Reliance Industries Ltd., Avenue Supermarts Ltd., Bajaj Finance Ltd., Axis Bank, Bajaj Finserv Ltd., and Housing Development Finance Corporation Ltd.

Other funds under this category are, IDBI India Top 100 Equity Fund - Direct Plan, Invesco India Large-cap Fund - Direct Plan, UTI Mastershare Unit Scheme - Direct Plan, etc.

(Also read:  This Flexi-Cap Mutual Fund Ticked Return Upto 68% Return: Crisil Rated)

Disclaimer

Investing in equities/mutual funds/SIPs poses a risk of financial losses. Investors must therefore exercise due caution. Greynium Information Technologies, and the author are not liable for any losses caused as a result of decisions based on the article.

(Data mentioned as on February 10, 2022)