How to Select the Best Large & Mid Cap Funds for a 10+ Year Investment Horizon? (Based on Rolling Return data as on 21-02-2025)
How to Select the Best Large & Mid-Cap Funds Using 10-Year Rolling Return Analysis?
(For Educational Purposes Only – Not Investment Advice)
📌 Introduction
Large & Mid-Cap Mutual Funds provide a unique blend of stability from large-cap stocks and growth potential from mid-cap stocks. They invest a minimum of 35% in large-cap and 35% in mid-cap stocks, making them an attractive option for investors seeking a balance between risk and reward.
However, choosing the right Large & Mid-Cap fund requires more than just looking at recent performance. Rolling return analysis over a 10-year period helps in identifying the most consistent performers across different market cycles.
⚠ Disclaimer: This blog is for educational purposes only and should not be considered financial advice. Mutual fund investments are subject to market risks, and past performance does not guarantee future returns. Always consult a certified financial advisor before making investment decisions.
📊 Why Use 10-Year Rolling Return Data?
Benefits of Rolling Return Analysis
✅ Captures Market Cycles – Covers both bull and bear markets, reducing bias from temporary fluctuations.
✅ Eliminates Point-to-Point Bias – Instead of looking at just one fixed time period, rolling returns provide a more comprehensive picture.
✅ Measures Consistency – Shows how well a fund performs across different time frames.
✅ Improves Risk Assessment – Evaluates maximum drawdown, helping to measure the fund’s volatility during corrections.
📌 Key Parameters for Selecting the Best Large & Mid-Cap Funds
To evaluate the best funds, we focused on key risk and return metrics:
1️⃣ 10-Year Rolling Returns (%) – Measures annualized returns over multiple rolling 10-year periods.
2️⃣ Drawdown (%) – The maximum fall from a peak, indicating risk.
3️⃣ Median Return (%) – The middle return value across all rolling return observations.
4️⃣ Minimum Return (%) – The worst return observed in any rolling period, crucial for downside protection.
5️⃣ Return Distribution:
- More than 12% Returns (%) – Shows how often the fund delivered strong returns.
- 8-12% Returns (%) – Indicates moderately good periods.
- 0-8% Returns (%) – Reflects underperformance.
6️⃣ Risk-Adjusted Score – A custom metric to compare return per unit of risk (drawdown).
Risk-Adjusted Score = [10Y Return (%) / Absolute Drawdown (%)] × 100
A higher score means a fund is generating better returns relative to its risk.
🏆 Top 5 Large & Mid-Cap Funds Based on 10-Year Rolling Return Data
(This ranking is for educational purposes and does not constitute financial advice.)
| Rank | Fund Name | 10Y Returns (%) | Drawdown (%) | Risk-Adjusted Score | % of Time Returns >12% |
| 🥇 1 | Quant Large & Mid-Cap Fund | 15.94% | -32.74% | 48.69 | 100.00% |
| 🥈 2 | Mirae Asset Large & Mid-Cap Fund | 16.07% | -36.96% | 43.46 | 100.00% |
| 🥉 3 | DSP Equity Opportunities Fund | 14.12% | -36.84% | 38.34 | 100.00% |
| 4 | Kotak Equity Opportunities Fund | 13.58% | -35.15% | 38.64 | 100.00% |
| 5 | Bandhan Core Equity Fund | 13.89% | -39.35% | 35.29 | 100.00% |
🔍 Why These Funds Were Selected? (For Learning Purposes)
Each of these funds has demonstrated strong performance in different aspects. Here’s a deeper look at why they were ranked in this order:
✅ 1. Quant Large & Mid-Cap Fund – Best Overall (Highest Risk-Adjusted Returns)
✔ Highest Risk-Adjusted Score (48.69) – Meaning it provides the best return per unit of risk.
✔ 10-Year Return: 15.94% – Among the highest in the category.
✔ 100% of rolling periods had returns above 12% – Indicates consistent performance across different market conditions.
📌 Conclusion: If you want aggressive long-term growth with lower risk, this fund has shown consistent performance with stability.
✅ 2. Mirae Asset Large & Mid-Cap Fund – Strong Performance
✔ Second-best Risk-Adjusted Score (43.46) – Close to Quant in risk-adjusted performance.
✔ 10-Year Return: 16.07% – Highest return in the category.
✔ 100% of the time, returns were above 12% – Strong historical consistency.
📌 Conclusion: Suitable for growth-oriented investors looking for long-term returns.
✅ 3. DSP Equity Opportunities Fund – Strong Risk Management
✔ Risk-Adjusted Score (38.34) – Competitive performance.
✔ 10-Year Return: 14.12% – Strong and stable performance over time.
✔ 100% rolling periods had returns above 12%.
📌 Conclusion: A good choice for those who prioritize capital protection and lower volatility.
✅ 4. Kotak Equity Opportunities Fund – Balanced Performer
✔ Risk-Adjusted Score (38.64) – One of the best-performing funds in the category.
✔ 10-Year Return: 13.58% – Slightly lower than other funds but very stable.
✔ 100% rolling periods had returns above 12%.
📌 Conclusion: Best for moderate investors looking for a balance between risk and return.
✅ 5. Bandhan Core Equity Fund – Good Returns with Higher Risk
✔ Risk-Adjusted Score (35.29) – A strong performer in the category.
✔ 10-Year Return: 13.89% – Strong but slightly lower than others.
✔ 100% rolling periods had returns above 12%.
📌 Conclusion: Suitable for long-term investors comfortable with market volatility.
🚀 Important Disclaimer (Read Before Making Any Decisions!)
📢 This analysis is for educational purposes only and is NOT investment advice.
- Mutual fund investments are subject to market risks, and past performance is not a guarantee of future results.
- These rankings are based on historical data, which may not predict future market behavior.
- Always consult with a certified financial advisor before making any investment decisions.
🎯 Final Thoughts: Which Fund Might Suit You?
💡 Best for Stability & Low Risk: DSP Equity Opportunities Fund
💡 Best for Highest Long-Term Growth: Mirae Asset Large & Mid-Cap Fund
💡 Best for Balanced Risk & Return: Kotak Equity Opportunities Fund
💡 Best for Aggressive Growth Investors: Quant Large & Mid-Cap Fund
📢 Did you find this analysis helpful? Share your thoughts on email: diwanfc.fp@gmail.com 💬
Date Source:
| https://www.njwealth.in/mfcalculator?rpt=rolling |
File Available on:
| https://docs.google.com/spreadsheets/d/1trAbKNJSY6DWtRxpm7jodfVk6spAD63n/edit?usp=drive_link&ouid=109845864045906198315&rtpof=true&sd=true |