Categories of Best Mutual Funds
(1)Equity Funds: Equity funds are a type of Best mutual fund or exchange-traded fund (ETF) that primarily invests in stocks or equities.
(2) Debt Funds: Lower risk with stable returns, ideal for conservative investors looking for income or short-term goals.
(3) Hybrid Funds: Combine equity , offering a balanced risk-return profile.
(4) Index Funds:Index funds aren’t limited to broad market indexes like the S&P 500. They can track various asset classes, sectors, regions, or investment strategies:&P 500 or Nifty 50.
(5) Sector/Thematic Funds: High-risk funds focusing on specific sectors like IT, healthcare, or themes like ESG.
(6) Tax-Saving Funds (ELSS): Equity-linked savings schemes offering tax benefits under Section 80C of the Income Tax Act (India).
Top Equity Best Mutual Funds (High Risk, Long-Term Growth)
(1) Large Cap Funds:
- SBI Bluechip Fund (India) – Focuses on large, established companies with stable performance.
- Vanguard 500 Index Fund (US) – Tracks the S&P 500, offering broad market exposure.
(2) Mid-Cap Funds:
- Axis Midcap Fund (India) – Known for strong performance in the mid-cap space.
- Fidelity Mid-Cap Stock Fund (US) – Offers growth opportunities in mid-sized companies.
(3) Small Cap Funds:
- Nippon India Small Cap Fund (India) – Focuses on high-growth small-cap companies
- Schwab Small-Cap Index Fund (US) – Low-cost exposure to small-cap stocks.
(4) ELSS (Tax-Saving Funds – India):
- Axis Long-Term Equity Fund – Consistent long-term performance
- Mirae Asset Tax Saver Fund – High-growth potential and tax benefits.
Top Debt Best Mutual Funds (Low Risk, Stable Returns)
(1) Short-Term Debt Funds:
- HDFC Short Term Debt Fund (India) – Ideal for conservative investors.
- PIMCO Short-Term Fund (US) – A reliable option for steady returns.
(2) Corporate Bond Funds:
- Schwab Intermediate-Term Bond Fund (US) – Balanced risk and returns.
- Franklin India Corporate Debt Fund – Focuses on high-quality corporate bonds.
(3) Liquid Funds (For Parking Short-Term Funds):
Fidelity Treasury Only Fund (US) – Government-backed securities for low risk.
ICICI Prudential Liquid Fund (India) – Safe and highly liquid.
Top Hybrid Best Mutual Funds (Balanced Risk-Reward)
(1) Aggressive Hybrid Funds:
- Vanguard Balanced Index Fund (US) – Offers a 60/40 equity-to-bond allocation.
- ICICI Prudential Balanced Advantage Fund (India) – Combines equity and debt dynamically.
(2) Conservative Hybrid Funds:
- American Funds Income Fund of America (US) – Income-focused hybrid fund.
- HDFC Hybrid Debt Fund (India) – Higher debt exposure with modest equity.
Top Index Best Mutual Funds (Low Cost, Passive Investing)
- Vanguard Total Stock Market Index Fund (US) – Tracks the entire US stock market.
- UTI Nifty Index Fund (India) – Mirrors Nifty 50 performance.
- Schwab International Index Fund (US) – For global market exposure.
(1) Equity Best Mutual Funds (For High Growth Potential)
-> Ideal for long-term investment (5+ years) with higher risk.
=> Large-Cap Funds
SBI Bluechip Fund
- 5-Year Return: ~12.5%
- Expense Ratio: ~1.0%
- Risk: Moderate
Axis Bluechip Fund
- 5-Year Return: ~13.8%
- Expense Ratio: ~0.94%
- Risk: Moderate
=> Mid-Cap Funds
Nippon India Growth Fund
- 5-Year Return: ~19.5%
- Expense Ratio: ~1.24%
- Risk: High
Kotak Emerging Equity Fund
- 5-Year Return: ~18.6%
- Expense Ratio: ~0.95%
- Risk: High
=> Small-Cap
SBI Small Cap Fund
- 5-Year Return: ~23.4%
- Expense Ratio: ~1.12%
- Risk: High
Axis Small Cap Fund
- 5-Year Return: ~22.9%
- Expense Ratio: ~0.92%
- Risk: High
(2) Debt Best Mutual Funds (For Stability and Low Risk)
-> Suitable for short to medium-term goals.
=>Liquid Funds
HDFC Liquid Fund
- 3-Year Return: ~4.4%
- Expense Ratio: ~0.2%
Aditya Birla Sun Life Liquid Fund
- 3-Year Return: ~4.5%
- Expense Ratio: ~0.25%
=> Short-Term Debt Funds
ICICI Prudential Short Term Fund
- 3-Year Return: ~6.2%
- Expense Ratio: ~0.45%
Axis Short Term Fund
- 3-Year Return: ~6.1%
- Expense Ratio: ~0.37%
-> Know – How to invest in SIP?
-> Know – How to invest in Mutual Fund ?
Disclaimer: The content on this website is intended for informational purposes only and should not be interpreted as financial or investment advice. Engaging in stock market activities involves inherent risks, and outcomes can be unpredictable. While we strive to provide accurate and up-to-date information, we do not make any guarantees regarding the completeness or reliability of the content. Any investment decisions you make should be based on your own research and consultation with a qualified financial professional. We are not responsible for any financial gains or losses resulting from actions taken based on the information provided here. Always invest wisely and at your own risk.
