Multi cap funds offer 17.68% average return; Quant Active Fund give 8.85%

The multi cap category has offered an average return of around 17.68% in 2023 so far, an analysis of trailing returns showed. There are 16 schemes in the multi cap category and most schemes managed to beat their benchmarks. Ten schemes managed to outperform their respective benchmarks, and six schemes failed to beat their respective benchmarks.

These actively-managed multi cap schemes are benchmarked against Nifty500 Multicap 50:25:25 - TRI and NIFTY 500 - TRI. These benchmarks gave 17.06% and 11.71% respectively.

Top five schemes by AUM or assets

Nippon India Multi Cap Fund, the largest scheme in the multi cap category based on assets managed, gave 24.44% in 2023 so far. The scheme was the topper in the category and managed to beat its benchmark (Nifty500 Multicap 50:25:25 - TRI). Nippon India Multi Cap Fund manages assets of Rs 20,930.45 crore. HDFC Multi Cap Fund, Kotak Multicap Fund, and ICICI Prudential Multicap Fund gave 22.82%, 21.10%, and 18.64% respectively. These three schemes have managed to beat their benchmark (Nifty500 Multicap 50:25:25 - TRI). SBI Multicap Fund gave 12.40% and it failed to beat its benchmark (Nifty500 Multicap 50:25:25 - TRI).

The toppers in the category - Nippon India Multi Cap Fund, HDFC Multi Cap Fund, Kotak Multicap Fund, and ITI Multi-Cap Fund - gave more than 20% returns in 2023.


Quarterly performance
ETMutualFunds also looked at the performance of multi cap funds during July-September quarter in 2023. Out of 19 schemes in the category, 11 schemes managed to beat their respective benchmarks. However, three of them barely managed to beat their benchmarks. Around eight schemes failed to beat their benchmarks during the July-September quarter.

Kotak Multicap Fund, the topper in the category, gave 11.84% during July-September quarter in 2023. HSBC Multi Cap Fund was in second place and offered 11.74%, beating its benchmark (Nifty500 Multicap 50:25:25 - TRI). Baroda BNP Paribas Multi Cap Fund offered the lowest return of around 5.25%. The scheme failed to beat its benchmark (Nifty500 Multicap 50:25:25 - TRI).

Note, the above exercise is not a recommendation. The main purpose of this exercise was just to find out how multi cap schemes performed in 2023 so far. One should not make investment or redemption decisions based on the above exercise. One should always choose schemes based on risk appetite, investment horizon and goal. Past performance does not guarantee future returns.

We considered the regular and growth options.

Multi cap schemes invest across large cap, mid cap,small cap stocks. As per the SEBI norms, the schemes are mandated to invest 25% of total assets each in large cap, mid cap, small cap stocks. These schemes are typically recommended to aggressive investors with a long investment horizon.