Investing in mutual funds is one of the smartest ways to build wealth over time, especially if you choose the right schemes. Tata Mutual Fund, one of India’s oldest and most reliable asset management companies, offers multiple mutual fund options that have proven to be strong wealth creators. Whether you opt for a Systematic Investment Plan (SIP) or a lump sum investment, Tata Mutual Fund schemes have delivered significant returns over the past 20 years.
Let’s take a closer look at five of Tata’s top-performing mutual fund schemes, which have made investments grow tremendously, creating a solid financial foundation for investors.
1. Tata Midcap Growth Fund
The Tata Midcap Growth Fund is a great option for those looking to build wealth through midcap stocks. Over 20 years, this fund has consistently offered high returns, making it one of the top choices in its category.
- SIP Performance: A monthly SIP of Rs 5000 has grown to nearly Rs 1 crore over 20 years, with a return rate of 18.22% annually.
- Lump Sum Performance: A one-time investment of Rs 1 lakh has turned into Rs 28.48 lakh over the same period, yielding a return of 18.23% annually.
With total assets of Rs 4514 crore as of July 2023, this fund offers strong growth potential for long-term investors.
- Expense Ratio: 1.87%
- Minimum Lump Sum Investment: Rs 5000
- Minimum SIP: Rs 100
2. Tata Equity PE Fund
The Tata Equity PE Fund focuses on value investing, targeting companies that are trading below their intrinsic value. This strategy has paid off for long-term investors, delivering impressive returns over the last two decades.
- SIP Performance: A Rs 5000 monthly SIP has grown to Rs 89.21 lakh, with an annual return of 17.39%.
- Lump Sum Performance: A one-time investment of Rs 1 lakh has increased to Rs 24.40 lakh, offering a return rate of 17.32% annually.
With assets worth Rs 9043 crore, this fund is a solid choice for those looking for a blend of stability and growth.
- Expense Ratio: 1.77%
- Minimum Lump Sum Investment: Rs 5000
- Minimum SIP: Rs 100
3. Tata ELSS Tax Saver Fund
For investors looking for tax-saving options, the Tata ELSS Tax Saver Fund is an excellent choice. This fund not only provides tax benefits under Section 80C but has also delivered significant returns over the years.
- SIP Performance: A Rs 5000 monthly SIP has grown to Rs 72.34 lakh, yielding an annualized return of 15.70%.
- Lump Sum Performance: A Rs 1 lakh one-time investment has grown to Rs 18.25 lakh, offering a return of 15.63% annually.
With assets of Rs 4806 crore, this fund offers both tax savings and long-term wealth creation.
- Expense Ratio: 1.80%
- Minimum Lump Sum Investment: Rs 500
- Minimum SIP: Rs 500
4. Tata Large & Mid Cap Fund
If you’re looking for a fund that balances the growth potential of midcaps with the stability of large-cap stocks, the Tata Large & Mid Cap Fund is a strong option.
- SIP Performance: A Rs 5000 monthly SIP in this fund has grown to Rs 70.15 lakh, delivering an annualized return of 15.45%.
- Lump Sum Performance: A Rs 1 lakh lump sum investment has increased to Rs 17.48 lakh in 20 years, offering a return of 15.38%.
With Rs 8412 crore in assets, this fund is a great choice for investors seeking moderate risk and steady returns.
- Expense Ratio: 1.76%
- Minimum Lump Sum Investment: Rs 5000
- Minimum SIP: Rs 100
5. Tata Ethical Fund
For those looking to invest in socially responsible companies, the Tata Ethical Fund is a great choice. This fund follows ethical investing principles, ensuring that your money is invested in companies that meet certain ethical and social criteria.
- SIP Performance: A Rs 5000 monthly SIP has grown to Rs 69.33 lakh, offering an annualized return of 15.36%.
- Lump Sum Performance: A Rs 1 lakh one-time investment has grown to Rs 17.15 lakh, with an annual return rate of 15.27%.
With assets of Rs 3232 crore, this fund offers a balance of ethical investing and strong financial returns.
- Expense Ratio: 1.91%
- Minimum Lump Sum Investment: Rs 5000
- Minimum SIP: Rs 100
Why Tata Mutual Funds Are a Strong Investment Choice
Tata Mutual Funds offer a wide range of options for both conservative and aggressive investors. Whether you prefer a long-term SIP strategy or a one-time lump sum investment, Tata’s top-performing schemes have proven to be wealth creators over the last two decades. The returns from these funds demonstrate the power of compounding, and the flexibility in minimum investment amounts makes them accessible to investors at all levels.
Keep in mind that mutual fund investments are subject to market risks, and past performance is not a guarantee of future results. Always consult a financial advisor before making any investment decisions.
