When it comes to generating good returns, equity funds are always recommended for long-term investments as they have long-term assets to build and invest at least 65 per cent of their portfolio in equity and equity-linked securities. has capacity. Equity mutual funds are a great investment option for capital appreciation and considering the uncertain nature of the stock market, long-term investors should hold equity mutual funds for at least five years to get better returns from the market. However, you need to be extremely aware of your risk tolerance, time frame and goals while investing in equity funds. Since long-term investment in equity mutual funds is always important, we have chosen two equity mutual funds as examples below that have converted into monthly SIPs. 10,000 overs 6 lakh in just three years.
PGIM India Midcap Opportunities Fund – Direct Plan
The fund was launched on 02-Dec-2013 and currently, the fund has a 5-star rating from Value Research. As on June 30, 2022, PGIM India Midcap Opportunities Fund Direct-Growth had assets under management (AUM) 5168.64 crore, and as on August 2, 2022, the fund’s NAV was 48.28. The fund’s 0.45% expense ratio is lower than most other funds in the same category. Since its inception, PGIM India Midcap Opportunities Fund Direct-Growth has given an average return of 19.91 per cent per annum and 10.96 per cent during the previous year.
One Monthly SIP 10,000 which was started three years ago would have increased to approx. 6.24 lakh thanks to the fund’s 41.76 per cent return in the last three years. One Monthly SIP 10,000 which started 5 years ago has now increased 12.21 lakh thanks to the fund’s 19.92 per cent return in the last 5 years. One Monthly SIP 10,000 would have grown to 19.29 lakh now due to the fund’s 16.42 per cent return over the last seven years.
The fund’s top sector allocation is diversified across financial, capital goods, automobile, healthcare, materials industries. TVS Motor Company Limited, ABB Limited, Timken India Limited, HDFC Bank Limited and Varun Beverages Limited are the top 5 holdings of the fund. The fund invests 91.44% of its assets in domestic equities, of which 11.02% are large-cap companies, 61.64% are mid-cap stocks, and 19.28% are small-cap stocks.
Quant Infrastructure Fund
The fund was introduced on August 31, 2007, and Value Research currently rates it as 5 stars. As on June 30, 2022, Quant Infrastructure Fund Direct-Growth has assets under management (AUM) of Rs. 539.75 crores. As on August 2, 2022, the fund’s NAV will be Rs. 22.76. The fund has an expense ratio of 0.64 per cent, which is lower than the expense ratio of most funds in its category.
Quant Infrastructure Fund direct-growth returns have been 21.95 per cent in the last one year and have given an average annualized return of 16.50% since its inception. One Monthly SIP The 10,000 that was started three years ago has now grown to almost . would have been 6.78 lakhs due to 38.00 per cent returns of the fund in the last three years. One Monthly SIP 10,000 started 5 years ago would have grown now 12.73 lakh thanks to the fund’s 21.61 per cent return in the last 5 years.
Since the fund has given 17.15% return in the last seven years, the monthly SIP 10,000 will now cost approx 20.25 lakhs. One Monthly SIP 10,000 that started 10 years ago would have grown to approx. 35.40 lakhs due to the fund’s 15.68 per cent returns in the last 10 years. The fund has top sector allocations in services, construction, financial, metals and mining, energy industries and Larsen & Toubro Ltd., State Bank of India, Adani Enterprises Ltd., Ambuja Cements Ltd., Adani Ports and Special Economic Zone Ltd. The fund’s 5 holdings. The fund invests 98% of its assets in domestic equities, of which 59.22% are large-cap companies, 19.47% are mid-cap companies, and 20.13% are small-cap companies.
catch all business News, market news, today’s fresh news events and breaking news Updates on Live Mint. download mint news app To get daily market updates.