Best Mutual Funds For Lumpsum Investment India

The table below shows the Best Mutual Funds for Lump-sum Investment in India based on AUM, NAV, and minimum SIP.

Content: 

• What are the Lumpsum Investments in Mutual Funds?
• Mutual Funds For Lumpsum Investment
• Best Mutual Funds For Lumpsum Investment Long Term India
• List Of Top Mutual Funds For Lumpsum Investments
• Top Mutual Funds For Lumpsum Investment
• Who Should Invest In Lumpsum Mutual Fund?
• How To Invest In Lumpsum Investment In Mutual Funds?
• Performance Metrics Of Lumpsum Mutual Fund 
• Benefits of Lumpsum Mutual Fund
• Challenges Of Investing In Lumpsum Mutual Fund
• Introduction to Best Mutual Funds For Lumpsum Investment India
• Mutual Funds For Lumpsum Investment – FAQ

What are the Lumpsum Investments in Mutual Funds?

Lumpsum investments in mutual funds involve investing a single, substantial amount of money into a mutual fund scheme at once, as opposed to systematic investments made through SIPs. Investors typically opt for lump sum investments when they have a significant sum of money available for investment or during market timing opportunities.

Mutual Funds For Lumpsum Investment

The table below shows Mutual Funds For Lumpsum Investment based on Highest 5Y CAGR. 

Best Mutual Funds For Lumpsum Investment Long Term India

The table below shows Best Mutual Funds For Lumpsum Investment Long Term India based on exit load i.e. the fee that the AMC charges investors at the time of exiting or redeeming their fund units.

List Of Top Mutual Funds For Lumpsum Investments

The below table shows a List Of Top Mutual Funds for Lump-sum Investments based on Absolute 1 Year Return and AMC. 

Top Mutual Funds For Lumpsum Investment

The below table shows the Top Mutual Funds For Lumpsum Investment based on Absolute 6-month Return and AMC. 

Who Should Invest In Lumpsum Mutual Fund?

Investing in lump sum mutual funds may be suitable for investors with a lump sum of money available for investment, such as inheritances or bonuses, and those who can tolerate market volatility. It’s also beneficial for investors who believe in market timing opportunities or have specific short-term investment goals in mind.

How To Invest In Lumpsum Investment In Mutual Funds?

To invest in lump sum mutual funds, Choose a mutual fund scheme aligned with your investment goals and risk tolerance. Open an account with a mutual fund distributor or directly with the fund house. Transfer the lump sum amount into the chosen scheme’s account. Monitor the investment regularly and consider diversifying across multiple mutual fund schemes for risk management.

Performance Metrics Of Lumpsum Mutual Fund

The Main Performance Metrics Of Lumpsum Mutual Funds encompass Absolute Returns, which indicate the actual return earned by the investment during a designated timeframe. They quantify the absolute profit or loss incurred by the investment over the specified period.

1. Annualized Returns: Reflects the compounded annual growth rate (CAGR) of the investment.

2. Volatility: Indicates the fluctuations in the investment’s returns, representing its risk level.

3. Rolling Returns: Analyzes the investment’s performance over various rolling periods.

4. Benchmark Comparison: Compares the investment’s performance against relevant market indices or peer group funds.

5. Expense Ratio: Represents the percentage of assets deducted annually as fees by the mutual fund, impacting overall returns.

These metrics help investors assess the effectiveness of their lump sum mutual fund investments and make informed decisions regarding portfolio management.

Benefits of Lumpsum Mutual Fund

The primary advantage of Lumpsum Mutual Fund investments lies in their potential for greater returns relative to systematic investments, particularly during market upswings. This strategy can yield higher profits over time, especially when markets are experiencing growth phases.

1. Immediate Deployment: Lump sum investments allow investors to deploy a large sum of money immediately, potentially capturing market opportunities.

2. Simplified Investment Process: Investing a lump sum requires a one-time decision and eliminates the need for regular contributions, simplifying the investment process.

3. Flexibility: Investors can choose to invest lump sums at their convenience, based on market conditions or personal financial circumstances.

4. Cost Efficiency: Lump sum investments may be cost-effective compared to systematic investments, as they incur fewer transaction costs over time.

Overall, lump sum mutual fund investments offer convenience, flexibility, and potential for higher returns, making them an attractive option for investors with a significant amount of capital available for investment.

Challenges Of Investing In Lumpsum Mutual Fund

Challenges of investing in Lumpsum Mutual Funds include reduced flexibility after the initial investment, as adjusting or reallocating funds may prove difficult. This contrasts with systematic investments, which offer more flexibility in managing investments over time.

1. Market Timing Risk: Investing a large sum at once exposes investors to the risk of mistiming the market, potentially purchasing assets at unfavorable prices.

2. Volatility Impact: Lump sum investments may be more susceptible to market volatility, leading to short-term fluctuations in portfolio value.

3. Psychological Pressure: The psychological pressure of investing a significant amount in one go may lead to emotional decision-making or anxiety during market downturns.

4. Uncertainty in Returns: Lump sum investments may result in uncertain returns, especially if market conditions deteriorate shortly after the investment is made.

Introduction to Best Mutual Funds For Lumpsum Investment India

Best Mutual Funds For Lumpsum Investment India – AUM, NAV

Nippon India Small Cap Fund

The Nippon India Small Cap Fund is a mutual fund scheme focused on small-cap investments managed by Nippon India Mutual Fund. This fund has a track record of 11 years and 4 months since its launch on January 1, 2013.

The Nippon India Small Cap Fund imposes a 1.0% exit load and has an expense ratio of 0.79. Despite its very high-risk level, the fund has shown robust performance over the past five years, boasting a Compound Annual Growth Rate (CAGR) of 30.54%. Moreover, it manages a significant amount of assets, with Assets Under Management (AUM) totaling ₹ 45,749.06 crore.

The shareholding pattern of Nippon India Small Cap Fund indicates that 4.45% of its holdings are in cash and equivalents, while the remaining 95.55% are in equity.

SBI Contra Fund

The SBI Contra Direct is a mutual fund scheme specializing in contra investments, managed by SBI Mutual Fund. This fund has a tenure of 11 years and 4 months since its inception on January 1, 2013.

The SBI Contra Fund applies a 1.0% exit load and has an expense ratio of 0.65. Despite its very high-risk level, the fund has demonstrated strong performance over the past 5 years, achieving a Compound Annual Growth Rate (CAGR) of 26.0%. Furthermore, it manages a substantial amount of assets, with Assets Under Management (AUM) totaling ₹ 26,776.87 crore.

The shareholding pattern of SBI Contra Fund shows that 0.82% of its holdings are in REITs & InvIT, 0.84% in Rights, 6.72% in Treasury Bills, 9.38% in cash & equivalents, and 82.25% in equity.

SBI Small Cap Fund

The SBI Small Cap Fund is a mutual fund scheme focusing on small-cap investments, managed by SBI Mutual Fund. This fund has a history of 11 years and 4 months since its launch on January 1, 2013.

The SBI Small Cap Fund imposes a 1.0% exit load and maintains an expense ratio of 0.69. Despite its high-risk nature, the fund has exhibited strong performance over the past 5 years, achieving a Compound Annual Growth Rate (CAGR) of 25.81%. Moreover, it oversees a significant amount of assets, with Assets Under Management (AUM) amounting to ₹ 25,524.56 crore.

The shareholding pattern of SBI Small Cap Fund indicates that 0.06% of its holdings are in preference shares, while 13.60% are in cash & equivalents, and 86.34% are in equity.

Mutual Funds For Lumpsum Investment – 5Y CAGR

Quant Small Cap Fund

The Quant Small Cap Fund is a mutual fund scheme concentrating on small-cap investments, administered by Quant Mutual Fund. This fund has a tenure of 11 years and 4 months, commencing from its inception on January 1, 2013.

The Quant Small Cap Fund has an exit load of 1.00% and an expense ratio of 0.70. Despite its very high-risk level, the fund has demonstrated impressive performance over the past 5 years, achieving a Compound Annual Growth Rate (CAGR) of 38.4%. Moreover, it manages a significant amount of assets, with its Assets Under Management (AUM) totaling ₹ 17,193.09 crore.

The shareholding pattern of Quant Small Cap Fund reveals that 0.00% of its holdings are in mutual funds, 1.50% in treasury bills, 2.24% in futures & options, 4.75% in cash & equivalents, and 91.50% in equity.

Canara Rob Small Cap Fund

The Canara Robeco Small Cap Fund is a mutual fund scheme specializing in small-cap investments, managed by Canara Robeco Mutual Fund. This fund has a track record of 5 years and 3 months since its inception on January 25, 2019.

The Canara Rob Small Cap Fund has a 1.00% exit load and an expense ratio of 0.51. Despite its very high-risk level, the fund has shown strong performance over the past 5 years, with a Compound Annual Growth Rate (CAGR) of 28.63%. Furthermore, it manages a significant amount of assets, with its Assets Under Management (AUM) totaling ₹ 9,594.98 crore.

The shareholding pattern of Canara Rob Small Cap Fund shows that 3.22% of its holdings are in cash & equivalents, while 96.78% are in equity.

Axis Small Cap Fund

The Axis Small Cap Fund is a mutual fund scheme focused on small-cap investments, managed by Axis Mutual Fund. This fund has a tenure of 10 years and 6 months since its launch on November 11, 2013.

The Axis Small Cap Fund carries a 1.0% exit load and maintains an expense ratio of 0.52. Despite its high-risk profile, the fund has demonstrated robust performance over the past 5 years, achieving a Compound Annual Growth Rate (CAGR) of 27.77%. Additionally, it oversees a significant amount of assets, with Assets Under Management (AUM) totaling ₹ 19,606.42 crore.

The shareholding pattern of Axis Small Cap Fund indicates that 0.92% of its holdings are in treasury bills, 1.88% in futures & options, 8.62% in cash & equivalents, and 88.58% in equity.

Best Mutual Funds For Lumpsum Investment Long Term India – Exit Load

Nippon India Growth Fund

The Nippon India Growth Fund is a mutual fund scheme specializing in mid-cap investments, managed by Nippon India Mutual Fund. This fund has a tenure of 11 years and 4 months since its inception on January 1, 2013.

The Nippon India Growth Fund applies a 1.00% exit load and maintains an expense ratio of 0.81. Despite its very high-risk level, the fund has shown strong performance over the past 5 years, with a Compound Annual Growth Rate (CAGR) of 25.05%. Additionally, it manages a substantial amount of assets, with its Assets Under Management (AUM) totaling ₹ 24,796.0 crore.

The shareholding pattern of Nippon India Growth Fund shows that 0.61% of its holdings are in cash & equivalents, while 99.39% are in equity.

HSBC Small Cap Fund

The HSBC Small Cap Fund is a mutual fund scheme focusing on small-cap investments managed by HSBC Mutual Fund. This fund has a history of 10 years since its launch on April 22, 2014.

The HSBC Small Cap Fund imposes a 1.00% exit load and maintains an expense ratio of 0.70. Despite its very high-risk level, the fund has exhibited strong performance over the past 5 years, achieving a Compound Annual Growth Rate (CAGR) of 25.22%. Additionally, it manages a significant amount of assets, with Assets Under Management (AUM) totaling ₹ 13,401.24 crore.

The shareholding pattern of HSBC Small Cap Fund reveals that 0.02% of its holdings are in rights, 1.90% in cash & equivalents, and 98.08% in equity.

List Of Top Mutual Funds For Lumpsum Investments – Absolute 1-Year Return

DSP Small Cap Fund

The DSP Small Cap is a mutual fund scheme specializing in small-cap investments, managed by DSP Mutual Fund. This fund has a tenure of 11 years and 4 months since its inception on January 1, 2013.

The DSP Small Cap Fund applies a 1.00% exit load and maintains an expense ratio of 1.02. Despite its very high-risk level, the fund has demonstrated strong performance over the past 5 years, achieving a Compound Annual Growth Rate (CAGR) of 25.26%. Additionally, it manages a substantial amount of assets, with Assets Under Management (AUM) totaling ₹ 13,038.55 crore.

The shareholding pattern of DSP Small Cap Fund indicates that 0.02% of its holdings are in rights, 6.86% in cash & equivalents, and 93.13% in equity.

Mutual Funds For Lumpsum Investment – FAQ

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Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.