Looking for better SIP returns? This mutual fund category has outperformed

Synopsis

Systematic investment plans build wealth, but returns differ across mutual fund types. Sectoral funds, particularly pharma and healthcare, showed superior recent performance. Diversified funds like flexi caps offered moderate and stable long-term returns. An analysis covered 546 equity mutual funds and their market cycle performance. This data highlights varied outcomes based on fund category selection.

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An ET analysis of 546 equity MFs' returns shows that some sectoral funds (led by pharma/ healthcare, the top performer across time horizons) have delivered superior returns in recent years, while diversified groups (such as flexi caps, ELSS and large caps) showed relatively moderate but stable performance over longer periods.

Systematic investment plans (SIPs) are a popular way to build longterm wealth. But returns vary sharply across mutual fund (MF) types depending on market cycles.

An ET analysis of 546 equity MFs' returns shows that some sectoral funds (led by pharma/ healthcare, the top performer across time horizons) have delivered superior returns in recent years, while diversified groups (such as flexi caps, ELSS and large caps) showed relatively moderate but stable performance over longer periods.

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