Tata Multicap Fund - Direct Plan - IDCW Payout

Tata Multicap Fund - Direct Plan - IDCW Payout sits in the middle of the pack for Multi Cap funds, currently carrying a 1-star rating. TopFund's composite Health Score, which weighs rating, 3-year CAGR, expense ratio and fund size, puts it at 62/100.

Cost: At 0.77%, the expense ratio is meaningfully cheaper — about 15% below the Multi Cap category average of 0.91% (based on 110 comparable funds). Lower costs compound in your favour over long holding periods.

Risk-adjusted performance: Over the trailing 1-year period, the fund shows a moderate Sharpe ratio of 0.5 — decent risk-adjusted performance, without being exceptional. Separately, annualised volatility of 14.89% 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.