73% equity mutual funds lost money on lumpsum investments over last 2 years. Is your fund among them?

Nearly 73% of equity mutual funds delivered negative returns on lumpsum investments over the last two years, according to an analysis by ETMutualFunds. There were nearly 273 funds during the period, excluding sectoral and thematic funds. Of these, 200 funds delivered negative returns, while 73 funds posted positive returns.

The top three funds were flexi cap funds, with the top two losing in double digits. Samco Flexi Cap Fund and NJ Flexi Cap Fund lost 13.73% and 10.83%, respectively, on lumpsum investments over the last two years.

A lumpsum investment of Rs 1 lakh made in these funds two years ago would be worth Rs 74,420 and Rs 79,516, respectively, now.


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The next two funds were from Shriram Mutual Fund. Shriram Flexi Cap Fund and Shriram ELSS Tax Saver Fund lost 9.97% and 9.64%, respectively, on lumpsum investments over the last two years. Franklin India Focused Equity Fund followed with a negative return of 8.68% during the period.

Quant Mid Cap Fund, a mid cap fund, delivered a negative return of 7.21% on lumpsum investments. Two funds from Quantum Mutual Fund, Quantum Value Fund and Quantum ELSS Tax Saver Fund, lost 7.09% and 7.03%, respectively, during the period.

Two ELSS funds, Franklin India ELSS Tax Saver Fund and Mahindra Manulife ELSS Tax Saver Fund, delivered negative returns of 6.08% and 5.85%, respectively, on lumpsum investments over the last two years.

HDFC Large Cap Fund, a large cap fund, delivered a negative return of 5.69% during the period.

Parag Parikh ELSS Tax Saver Fund lost 5.58% on lumpsum investments, followed by Tata Value Fund, which lost 5.57%. SBI Contra Fund, the largest and oldest contra fund, lost 5.42% during the period.

SBI ELSS Tax Saver Fund, the oldest ELSS fund, delivered a negative return of 5.36%. Two funds from Axis Mutual Fund, Axis ELSS-Tax Saver Fund and Axis Focused Fund, gave negative returns of 3.77% and 3.72%, respectively.

Two small cap funds, SBI Small Cap Fund and HDFC Small Cap Fund, lost 2.08% and 2.07%, respectively, on lumpsum investments over the last two years.

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Parag Parikh Flexi Cap Fund was down 0.52% over the last two years. The scheme is the largest active fund and flexi cap fund by assets under management. JM Mid Cap Fund and Navi Flexi Cap Fund recorded the lowest negative returns, declining around 0.12% and 0.08%, respectively, during the period.

We considered all equity funds, excluding sectoral and thematic funds. Regular and growth options were considered. The returns were calculated on lumpsum investments made two years ago.

Note that the above analysis is not a recommendation. It was conducted to identify equity mutual funds that delivered negative returns on lumpsum investments over the last two years. Investors should not make investment or redemption decisions based on this analysis.

Investors should consider their risk appetite, investment horizon and financial goals before making any investment decisions.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)