If you are investing in mutual funds, you may have heard that some investors find it difficult to choose mutual funds and choose funds based on simple rules of thumb. Some investors make noises saying that their mutual fund portfolios are showing negative returns despite doing proper research. There are hundreds of mutual fund schemes, but only a few hundred outperform their benchmarks.Did you know that there is 20 Equity Mutual Fund Schemes that have delivered positive returns every year in the last 10 years.? This article describes such a scheme in detail.?
How did we filter these mutual fund schemes?
We used a simple filter for mutual funds that produced positive returns each year (January 1 to December 31). For example, if a fund generated positive returns every year from his 2014 to his 2023, this fund will be considered here.
When we applied this filter to all equity funds, including sector funds, we obtained 20 mutual fund schemes.
List of 20 stock mutual funds with positive returns every year over the past 10 years
Below is a list of 20 mutual funds that have generated positive returns every year over a 10-year period and their annual returns.
| funds | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 |
|---|---|---|---|---|---|---|---|---|---|---|
| Canara Robeco Blue Chip Equity Fund | 37% | 1% | 3% | 33% | Five% | 17% | twenty five% | 27% | 2% | twenty four% |
| Edelweiss Large Cap Fund | 38% | 2% | 1% | 35% | 3% | 13% | 19% | twenty five% | Five% | 28% |
| Groww Large Cap Fund | 30% | Five% | 6% | 36% | 0% | 14% | Ten% | 19% | 6% | twenty four% |
| ICICI Prudential Blue Chip Fund | 42% | 1% | 9% | 34% | 0% | 11% | 14% | 30% | 8% | 28% |
| JM Large Cap Fund | 46% | 0% | Four% | twenty two% | 2% | 6% | 19% | twenty five% | Four% | 31% |
| LIC MF Large Cap Fund | 42% | 0% | 3% | 28% | 0% | 16% | 16% | 27% | 1% | 19% |
| Mirai Asset Large Cap Fund | 54% | Five% | 9% | 40% | 0% | 14% | 15% | 29% | 3% | 20% |
| Japan India Large Cap Fund | 56% | 2% | 3% | 40% | 1% | 8% | 6% | 33% | 12% | 33% |
| Invesco India Large-Mid Cap Fund | 46% | 6% | Five% | 42% | 1% | 12% | 15% | 31% | 1% | 33% |
| Kotak Flexicap Fund | 59% | Four% | 11% | 36% | 0% | 13% | 13% | 27% | 6% | twenty five% |
| ICICI Prudential Passive Strategy Fund (FOF) | 30% | 2% | 12% | 20% | Four% | 7% | 11% | 31% | Five% | 30% |
| ICICI Prudential Multicap Fund | 51% | Four% | 11% | 30% | 1% | 7% | Ten% | 38% | 6% | 36% |
| ICICI Prudential Global Stable Equity Fund (FOF) | 13% | 6% | 8% | 8% | 0% | twenty four% | Four% | twenty one% | 3% | 12% |
| Taurus ELSS Tax Savings Fund | 36% | 3% | Five% | 39% | 1% | 8% | 15% | twenty one% | 7% | 30% |
| Canara Robeco ELSS Tax Savings Fund | 46% | 1% | 1% | 33% | Four% | 12% | 29% | 37% | 1% | twenty five% |
| ICICI Prudential ELSS Tax Saver | 52% | Five% | Five% | 28% | 2% | Ten% | 14% | 35% | 3% | twenty four% |
| LIC MF ELSS Tax Saver | 66% | 2% | 2% | 38% | 0% | 9% | Ten% | 28% | 1% | 27% |
| Canara Robeco Consumer Trend Fund | 57% | 3% | Four% | 43% | 3% | 14% | twenty two% | 32% | 8% | 28% |
| ICICI Prudential FMCG Fund | 33% | 6% | 2% | 36% | 8% | 6% | Ten% | 20% | 19% | twenty four% |
| Mirai Asset Great Consumer Fund | 44% | Five% | 3% | 53% | 3% | Ten% | 13% | 35% | 9% | 35% |
20 Stock Mutual Funds with Positive Returns Every Year in the Past 10 Years – Details
#1 – 8 large-cap funds – with positive returns every year for the past 10 years
Below are eight large-cap funds and their annual returns over the past three, five, and 10 years.
| Fund name | 3 years | 5 years | 10 years |
|---|---|---|---|
| Japan India Large Cap Fund | 24.1% | 19.7% | 18.8% |
| Mirai Asset Large Cap Fund | 14.8% | 16.3% | 17.8% |
| ICICI Prudential Blue Chip Fund | 21.3% | 19.7% | 17.6% |
| Canara Robeco Blue Chip Equity Fund | 16.7% | 19.8% | 17.2% |
| Edelweiss Large Cap Fund | 19.0% | 19.1% | 16.8% |
| JM Large Cap Fund | 21.2% | 18.6% | 16.2% |
| Groww Large Cap Fund | 17.2% | 15.9% | 15.1% |
| LIC MF Large Cap Fund | 15.0% | 16.4% | 14.6% |
- Returns range from 14.6% to 24.1%, with an average return of 17.9%.
- Please note that Groww MF has acquired the Indiabulls MF business and merged Nifty 50 ETFs and arbitrage funds into Groww Largecap Fund, so it may not reflect the performance of a single fund.
- Investors with moderate risk-taking and willingness to invest for medium to long term of five years or more can invest in such funds.
#2 – 1 large-mid cap fund – with positive returns every year for the past 10 years
Only one large-midcap fund has generated positive returns every year over the past decade. The annualized returns for the past 3, 5, and 10 years are as follows:
| Fund name | 3 years | 5 years | 10 years |
|---|---|---|---|
| Invesco India Large-Mid Cap Fund | 20.9% | 19.8% | 19.0% |
- The fund also invests in the mid-cap segment, making it a high-risk fund. If you are a high risk taker and willing to invest for medium to long term for 8 to 10 years, you can invest in such funds.
#3 – 2 Flexicap funds – positive returns every year for the past 10 years
Below are two flexi cap funds and their annual returns over the past 3, 5, and 10 years.
| funds | 3 years | 5 years | 10 years |
|---|---|---|---|
| Kotak Flexicap Fund | 17.2% | 17.6% | 18.7% |
| ICICI Prudential Passive Strategy Fund | 19.4% | 17.6% | 15.0% |
- Returns range from 15% to 19.4%, with an average return of 17.6%.
- Please note that ICICI Pru Passive Strategy Fund is a fund of funds that invests in ICICI MF’s Nifty ETFs related to Nifty Bank ETF, Nifty Healthcare ETF, Nifty IT ETF etc. So it’s more like an index fund. Active flexi-cap fund. Investors should consider this before investing in such funds.
- If you are a high risk taker and are willing to invest for medium to long term of 5 years or more, you can invest in such funds.
#4 – One Multi-Cap Fund – Achieved positive returns every year for the past 10 years.
Only one multi-cap fund has generated positive returns every year over the past 10 years. The annualized returns for the past 3, 5, and 10 years are as follows:
| Fund name | 3 years | 5 years | 10 years |
|---|---|---|---|
| ICICI Prudential Multicap Fund | 23.7% | 20.5% | 19.2% |
- This fund also invests in mid-cap and small-cap stocks, making it a high-risk fund. I’m not against multi-cap funds (which have to invest 25% each in large, mid and small caps), but I think investors should invest in flexi funds where there are no such restrictions on investments by the fund manager. You can look for cap funds.
#5 – ONE GLOBAL FUND – WITH POSITIVE RETURN EVERY YEAR FOR THE PAST 10 YEARS
Only one global/international fund has generated positive returns every year over the past 10 years. The annualized returns for the past 3, 5, and 10 years are as follows:
| Fund name | 3 years | 5 years | 10 years |
|---|---|---|---|
| ICICI Prudential Global Stable Equity Fund | 10.2% | 9.9% | 9.4% |
- Because the Fund invests in global markets, investing in those markets is subject to several risks (geo-political risk, foreign exchange rate risk, etc.). This fund has generated returns slightly higher than his FD over the past 3-10 years. Should an investor take such a risk, which is marginally more than the return of an FD?Think about it and you’ll get the answer.
6 – 3 Sector Fund – Has delivered positive returns every year for the past 10 years
Below are funds in three sectors and their annual returns over the past 3, 5, and 10 years.
| Fund name | 3 years | 5 years | 10 years |
|---|---|---|---|
| Canara Robeco Consumer Trend Fund | 19.2% | 21.6% | 21.2% |
| Mirai Asset Great Consumer Fund | 23.3% | 20.9% | 20.0% |
| ICICI Prudential FMCG Fund | 19.9% | 15.3% | 15.4% |
- Returns range from 15.3% to 23.3%, with an average return of 16.6%.
- This is a sector fund that invests in specific sectors and themes. Such funds will likely perform well in the short to medium term. However, in the medium to long term these may change direction and wealth may be lost. Let’s look at what happened to pharma funds before COVID-19. These have underperformed and produced negative or low returns for almost five years. Such funds should be avoided unless investors believe that such a particular theme/sector will perform well in the coming years.
#7 – 4 ELSS funds – have delivered positive returns every year for the past 10 years
Below are four ELSS tax-saving funds and their annual returns for the past 3, 5, and 10 years.
| Fund name | 3 years | 5 years | 10 years |
|---|---|---|---|
| Canara Robeco ELSS Tax Savings Fund | 18.1% | 21.2% | 18.3% |
| ICICI Prudential ELSS Tax Saver | 18.6% | 18.3% | 17.6% |
| LIC MF ELSS Tax Saver | 17.1% | 16.3% | 17.1% |
| Taurus ELSS Tax Savings Fund | 20.4% | 18.0% | 16.7% |
- Returns range from 16.3% to 21.2%, with an average return of 18.1%.
- ELSS Tax Savings Fund (ELSS) provides tax savings of 80 cents up to 1.5 million rupees during a financial year. If your goal is to save 80 cents in tax, you can do a SIP in such ELSS funds for at least 9-12 months instead of a one-time lump sum investment.
Conclusion: These 20 funds have generated positive returns every year for the past 10 years. However, not all funds are suitable for you. You should invest based on your investment objectives, risk appetite, and time horizon that will help you generate high returns in the medium to long term.
Suresh KP is the founder of Myinvestmentideas. He is a NISM Certified Investment Advisor and he is a NISM Certified Research Analyst. I have been analyzing financial markets for the past 20 years. He can be reached at suresh@myinvestmentideas.com.
