67% of equity MFs outperform respective benchmarks in August 2024

 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.