Tata Nifty Midcap 150 Momentum 50 Index Fund - IDCW Reinvestment - Regular Plan

Tata Nifty Midcap 150 Momentum 50 Index Fund - IDCW Reinvestment - Regular Plan holds up reasonably well within the Mid Cap category, currently carrying a 2-star rating. TopFund's composite Health Score, which weighs rating, 3-year CAGR, expense ratio and fund size, puts it at 66/100.

Cost: At 1.08%, the expense ratio runs 27% above the Mid Cap category average of 0.85%. That gap is worth weighing against the fund's actual performance versus cheaper peers before committing to a long SIP.

Risk-adjusted performance: Over the trailing 1-year period, the fund shows a negative Sharpe ratio of -0.36 — over the past year, returns haven't kept pace with the volatility involved, even before accounting for the risk-free rate. Separately, annualised volatility of 18.21% is fairly typical for actively managed equity funds.

Who should invest: This fund is best suited to investors with a 5+ year horizon comfortable with meaningfully higher volatility than large cap funds. Given the Very High risk rating, this fund is not suited to short-term goals or investors who may need to exit within 2-3 years.