Introduction to Top Performing Mutual Funds in India (2019)

This article explores the top-performing mutual funds in India for 2019, providing insights into their performance and the strategies for investors seeking to capitalize on these opportunities. The market in 2019 offered a range of possibilities, and we will delve into the best performing funds that saw significant returns during that period.

The Top 5 Mutual Funds in India in 2019

Here is a list of the top 5 mutual funds based on their performance in 2019:

Parag Parikh Flexi Cap Fund Direct Growth ICICI Prudential Technology Direct Plan Growth Axis Bluechip Fund Direct Plan Growth Canara Robeco Bluechip Equity Fund Direct Plan Growth Mirae Asset Emerging Bluechip Fund Direct Growth

These funds showcased impressive returns and are often recommended by financial advisors to investors looking for a diversified and high-performing investment portfolio.

Top Performing Mutual Funds in India (2022-2023)

In the current year, the top-performing mutual funds in India include several different categories. These funds are:

Invesco India Growth Opportunities Fund Sundaram Large and Midcap Fund Canara Robeco Emerging Equities Fund Axis Bluechip Fund Kotak Standard Multicap Fund UTI Nifty Index Fund ICICI Prudential Bluechip Fund Aditya Birla Sun Life Frontline Equity Fund SBI Bluechip Fund HDFC Top 100 Fund

The market is currently brimming with opportunities, and these funds have consistently delivered robust returns to investors.

Investment in Mutual Funds: Benefits and Advantages

Investing in mutual funds offers several benefits that make it an attractive option for investors. These advantages include:

Short-term, Mid-term, and Long-term Investment Goals: Mutual funds cater to different investment horizons, from quick gains to long-term portfolio growth. Diversification: By investing in mutual funds, you spread your investment across various securities, reducing the risk associated with individual stocks. Professional Management: Mutual funds are managed by professional fund managers who have in-depth knowledge and expertise in the market. Regular Income: Many mutual funds, especially those focused on equity, provide regular dividends to investors.

When choosing a mutual fund, it's crucial to consider the fund's category, its past performance, and the investment horizon, among other factors.

Top Ranked Funds by Category

Below, we provide a breakdown of the top-ranked funds from different categories of equity funds:

1. Small-cap Funds

Why Invest in Small-cap Funds?

Warren Buffett suggests that small-cap funds are a good investment choice when the market is down, as they have a higher potential for returns when the market recovers. Here's the top small-cap fund to consider:

HDFC Small Cap Fund

This fund has proven to be a robust choice for investors looking to capitalize on the potential growth of small-cap companies.

2. IT Sector

Why IT Sector Funds?

The IT sector is currently booming, making it an attractive investment choice. Here's the best IT sector mutual fund to consider:

SBI Technology Opportunities Fund

This fund focuses on companies within the IT sector, allowing investors to benefit from the growth in this industry.

3. ELSS (Equity-Linked Saving Schemes)

Investment for Tax Savings

If you're looking to save taxes, ELSS mutual funds are a great option. However, it's important to ensure that you do not exceed your 80C limit for tax savings. Here's the best ELSS fund to invest in:

Mirae Asset Tax Saver Fund

This fund is specifically designed to help investors obtain tax benefits while growing their wealth.

Taxation of Equity Funds

Equity funds in India are subject to specific taxation rules for both short-term and long-term capital gains:

Short-term Capital Gains: Realized within one year of holding, short-term capital gains are taxed at a flat rate of 15%, irrespective of the investor's tax bracket. Long-term Capital Gains: Holdings exceeding one year result in long-term capital gains, which are tax-exempt up to Rs 1 lakh per year. Any gain exceeding Rs 1 lakh is taxed at 10%, with no benefit of indexation.

It's important for investors to understand these tax implications to make informed investment decisions.

Conclusion

The current market provides a wealth of opportunities for investors looking to grow their wealth through mutual funds. Whether you're interested in small-cap funds, IT sector funds, or ELSS funds, there are options available to suit your investment goals. By understanding these top-performing funds and the associated benefits, you can make informed investment choices that maximize your returns and help you achieve your financial objectives.