Not many mutual fund houses managed to deliver impressively high returns i.e., more than 20 percent in the past one year under the mid-cap category. However, there are two fund schemes – Motilal Oswal Midcap 30 Fund and Quant Mid Cap Fund — that posted high returns in the year ending May 20, 2022.
Three-year returns
At the same time, when we evaluate past three-year returns, the number of fund schemes that delivered annualised returns higher than 20 percent per annum were nearly a dozen. And two schemes gave as high as 30 percent returns which are PGIM India Midcap Opportunities Fund and Quant Mid Cap Fund .
What are mid cap funds
These are the funds that invest predominantly in in mid cap stocks. Mid cap stocks refer to the 101st to 250th company in terms of full-market capitalisation.
Fund schemes that gave higher than 20 percent in past one year
Fund Scheme | Return (%) |
Motilal Oswal Midcap 30 Fund | 30.16 |
Quant Mid Cap Fund | 22.76 |
(Source: AMFI data as on May 20, 2022 )
About Motilal Oswal Midcap 30 Fund: The investment objective of the scheme is to achieve long term capital appreciation by investing in a maximum of 30 quality midcap companies having long-term competitive advantages and potential for growth. However, there can be no assurance or guarantee.
The top 10 holdings in the portfolio as on March 31, 2022 are Tube Investments of India, Gujarat Gas, Phoenix Mills, CG Power and Industrial Solutions, VIP Industries, Max Financial Services, and others as shown in the image below.
About Quant Mid Cap Fund: The primary investment objective of the scheme is to seek to generate capital appreciation and provide long-term growth opportunities by investing in a portfolio of Mid Cap companies. But the fund house, in its scheme information document, mentions that there is no assurance that the scheme will realise its investment objective.
To achieve the investment objective, the scheme invests primarily in equity and equity linked instruments of Mid Cap companies as defined by SEBI, states the scheme information document.
The underlying theme driving the relative allocation will be qMML research’s ability to identify cross asset, cross market inflexion points.
Funds that gave higher than 20 percent return in three years
Fund scheme | Return (%) |
PGIM India Midcap Opportunities Fund | 32.36 |
Quant Mid Cap Fund | 32.55 |
SBI Magnum Midcap Fund | 23.48 |
Edelweiss Mid Cap Fund | 23.21 |
Kotak Emerging Equity Fund | 22.69 |
Mahindra Manulife Mid Cap Unnati Yojana | 22.63 |
Baroda BNP Paribas Midcap Fund | 21.69 |
Axis Midcap | 21.00 |
Invesco India Mid Cap Fund | 20.26 |
(Source: AMFI data as on May 20, 2022)
As we can see the maximum returns were given by PGIM India Midcap Opportunities Fund and Quant Mid Cap Fund of 32.36 percent and 32.55 percent, respectively.
Other fund schemes gave more than 20 percent returns at 23.48 percent by SBI Magnum Midcap Fund and 23.21 percent by Edelweiss Mid Cap Fund.
Also, Kotak Emerging Equity Fund gave a return of 22.69 percent and Mahindra Manulife Mid Cap Unnati Yojana gave a return of 22.63 percent. UTI Mid Cap Fund gave a return of 20.38 percent and Nippon India Growth Fund gave a return of 20.11 percent.