67% of equity MFs outperform respective benchmarks in August 2024

For the month ended August, 2024, monthly returns of Nifty 50 TRI, Nifty Midcap 150 TRI & Nifty Small Cap 250 TRI were 1.74%, 0.90% & 1.17% respectively.

 Equity mutual funds continued their strong performance in August 2024, with assets under management (AUM) surging 2.04 per cent to Rs 25.64 lakh crore. A study conducted by PL Wealth Management analyzed 283 open-ended equity diversified funds and found that 67 per cent of them outperformed their respective benchmarks during the month.  Previous month, 39% of the schemes were able to beat their benchmarks.

The cumulative total of funds that outperformed stood at 190 during the month ending August 2024 (one month).

Large & Mid Cap Funds was the best performing category where 79% of the schemes outperformed the benchmark. This was followed by schemes of Focused funds which outperformed their respective benchmarks by 75%. During this period, Multi cap, Mid cap and Flexi cap fund were the three categories to have outperformed their respective benchmark by 69% each.

 

Large Cap Funds were the least performing fund category with only 55% of funds outperforming the benchmark.

Top-Performing Funds in the last one month: 

BENCHMARK RETURNS

NIFTY 50 - TRI 1.74

NIFTY 500 - TRI 1.43

Nifty Midcap 150 - TRI 0.90

Nifty Smallcap 250 - TRI 1.17

"Investors are advised to stick to their SIP investments and keep a long-term focus. SIPs over the past 3-years have yielded a return in excess of 15% p.a. on an average for the top quartile equity funds," said  PL Wealth Management in a note.

Top-Performing Funds: Motilal Oswal Large Cap Fund, Bandhan Large Cap Fund, and HSBC Large Cap Fund led the way in the large-cap category.
 

Diverse Outperformance: Funds across various categories, including large-cap, mid-cap, flexi-cap, and multi-cap, demonstrated strong returns.