You can switch off notifications anytime using browser settings.

India seeks banking details of Lalit Modi, wife Minal from Switzerland

PM Modi pays rich tribute to guiding light Gandhi, lauds his ideals

Passport necessary to visit Kartarpur shrine in Pakistan

Prasar Bharati suspends Chennai official for inadequate coverage to Modi event

India banned onion exports. Now Asia has eye-watering prices

Imran Khans claim about curfew, clampdown in Kashmir far from truth: Jammu & Kashmir govt

Indias first toilet college trains 3,200 sanitation workers

When Nehru called Gandhi the greatest Hindu of the age

Outcome of current arguments between US, China will significantly impact world: Jaishankar

Stock Analysis, IPO, Mutual Funds, Bonds & More

Every mutual fund investor knows that a Systematic Investment Plan or SIP is the best way to invest in equity mutual funds to create wealth over a long period.

Mahindra Mutual Fund Badhat Yojana Regular – Growth

Everymutual fundinvestor knows that aSystematic Investment PlanorSIPis the best way to invest in equitymutual fundsto create wealth over a long period. Apart from investing regularly, it also imparts financial discipline in the lives of investors.

AMFI data clearly shows that SIPs have been gaining popularity among mutual fund investors.

The mutual fund industry added SIPs worth Rs 67,190 crore in 2017-18, 53 per cent more than total SIP amount added in FY17. In July, the industry added SIPs worth Rs 7,554 crore as against Rs 4,947 crore in the same month last year and Rs 3,334 crore in July 2016. At present, there are about 2.33 crore SIP accounts.

Increasing awareness and popularity of SIPs made us look at the equity schemes which have multiplied investors money over the period. For this purpose we looked at the equity schemes including largecap, large and midcap, midcap, multicap, smallcap, value funds and Equity Linked Saving Schemes (ELSS). These equity scheme categories are in accordance with Sebis guidelines on re-categorisation of mutual funds. We took out those schemes which have generated the maximum returns when invested via SIP, for investors both in five-year and 10-year periods (See table below).

Please note, the past performance does not guarantee future performance. However, it gives you an idea about the long-term record of a scheme. Also, when we filtered out the schemes which have not completed 10 years, we might have lost some schemes which have actually performed well during their course of time. This acts as a limitation to this study.

We started with a list of equity schemes including largecap, large and midcap, midcap, multicap, smallcap, value funds and Equity Linked Saving Schemes (ELSS) which were at least 10 years old. Then, we excluded schemes which had assets lower than Rs 500 crore as on June 30, 2018. Next, we calculated average internal rate of return (IRR) for each category separately. Then, we filtered all those schemes which generated an IRR above the categorys average. We considered regular plans with growth option.

We performed this exercise on both five-year period and 10-year period. Five-year period ranges from July 2013 to June 2018, which makes 60 monthly instalments in total. 10-year period begins from July 2008 and ends in June 2018, thus a total of 120 monthly SIP instalments. We have assumed a monthly SIP of Rs 10,000. For five-year period, total amount invested was six lakh rupees and for a 10-year period, it was Rs 12 lakh. SIP date assumed was 1st of every month. We used Ace Mutual Fund database for the data.

After all the filters and calculations, we took out schemes which exceeded the category average XIRR in both the five-year and 10-year period in each category. This gives us the top SIP performers.

(%)Mirae Asset Tax Saver Direct-G2.12-3.40-0.408.8114.88Invest NowAxis Long Term Equity Direct-G5.601.186.7013.3613.34Invest NowMirae Asset Tax Saver Reg-G1.96-3.77-1.276.9513.30Invest Now

– Returns less then 1 year are absolute and above 1 year are annualised.

– Returns of 1 year are absolute and above 1 year are annualised..

What are the different types of mutual fund SIPs?

Start Investing with ICICI Prudential Mutual Fund. Click Here

Commenting feature is disabled in your country/region.

DownloadThe Economic Times Business News Appfor the Latest News in Business, Sensex, Stock Market Updates & More.

JioFi 4G Hotspot M2S 150 Mbps Jio 4G Portable Wi-Fi Data Device (Black)

Samsung Galaxy M30 (Metallic Blue, 3GB RAM, Super AMOLED Display, 32GB Storage, 5000mAH Battery)

Redmi 7A (Matte Black, 2GB RAM, 16GB Storage)

What are the different types of mutual fund SIPs?

Copyright © 2019 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights:Times Syndication Service

DIY Mutual Fund Tools: How much you need to invest for your childs higher education?

Stop looking for the best mutual funds, immediately

Do international funds really offer diversification?

Likely rally in PSUs makes Bharat 22 ETF a good short-term bet

Gold is not a good investment. Here are reasons why

Investors should reduce risk when the goal is near

What are the different types of mutual fund SIPs?

Should mutual fund investors fear stock market volatility?

Gold funds or international funds: which is a better portfolio diversifier?

Top mutual funds risk regulator wrath on Essel debt deadline pact

Choose your reason below and click on the Report button. This will alert our moderators to take action