HSBC Multi Cap Fund - Direct - Growth

HSBC Multi Cap Fund - Direct - Growth ranks among the stronger performers in the Multi Cap category, backed by a 5-star rating. Consistent 3-year performance combined with a strong rating makes this one of the more credible options in its space. TopFund's composite Health Score, which weighs rating, 3-year CAGR, expense ratio and fund size, puts it at 93/100.

Cost: At 0.84%, the expense ratio is roughly in line with the Multi Cap category average of 0.91% — cost isn't a standout factor either way for this fund.

Risk-adjusted performance: Over the trailing 1-year period, the fund shows a modest Sharpe ratio of 0.19 — returns have only marginally compensated for the risk taken. Separately, annualised volatility of 15.12% is fairly typical for actively managed equity funds.

Who should invest: This fund is best suited to investors who want the fund manager to freely allocate across large, mid and small caps rather than being boxed into one segment. The High risk rating means near-term volatility should be expected — this isn't a fund to check daily.