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An analysis on 5-year CAGR of equity funds done by Cafemutual shows that small cap, mid and contra funds are the top three fund categories that delivered the highest returns over the past 5 years ending on September 2023.
Small cap funds have delivered CAGR of little over 22% in 5-year period. The category has also generated 2% alpha compared to its benchmark.
While mid cap funds generated the second highest CAGR of 19% in 5 years, the category underperformed its benchmark by 2%.
Contra funds delivered 17.48% CAGR in 5 years and handsomely outperformed its benchmark by 2.5% over 5-year period.
Further, multi cap fund is not far behind contra funds with CAGR of 17.46% in 5 years. The category also generated alpha for investors.
Sectoral/thematic and large and mid cap funds were the next two equity fund categories which delivered healthy returns in 5-year time frame. Let us look at the table to know more:
|
Equity Funds Category |
Return 5 Year (%) Regular Average |
Return 5 Year (%) Benchmark |
Alpha |
|
Small Cap Fund |
22.05 |
19.97 |
2.08 |
|
Mid Cap Fund |
18.76 |
20.85 |
-2.09 |
|
Contra Fund |
17.48 |
15.03 |
2.45 |
|
Multi-Cap Fund |
17.46 |
17.01 |
0.45 |
|
Sectoral and Thematic Fund |
15.88 |
14.75 |
1.13 |
|
Large and Mid Cap Fund |
15.70 |
16.98 |
-1.28 |
|
Dividend Yield Fund |
15.45 |
14.89 |
0.56 |
|
Value Fund |
14.90 |
14.94 |
-0.04 |
|
Flexi Cap Fund |
14.74 |
14.95 |
-0.21 |
|
ELSS Fund |
14.56 |
14.96 |
-0.4 |
|
Focused Fund |
14.20 |
14.97 |
-0.77 |
|
Large Cap Fund |
12.86 |
13.55 |
-0.69 |
