Diversified equity mutual funds: Which top 5 schemes have outperformed their category over 3 years?
AI Summary
For retail investors, the emphasis on alpha alongside returns is crucial when evaluating mutual funds. While high returns are attractive, understanding a fund's risk-adjusted performance against its benchmark provides a clearer picture of a fund manager's effectiveness. The strong performance of ITI and Bandhan Small Cap Funds in both categories suggests they are not only delivering returns but are also making informed investment decisions, making them potentially strong contenders for investors looking for robust equity options in the small-cap segment.
When comparing equity mutual funds, looking at returns alone can give only part of the picture. A fund may deliver strong returns over three years, but investors also need to see how those returns compare with the fund’s benchmark and whether the fund has added value over what the benchmark delivered.
Among diversified equity funds, some schemes that feature among the top performers by three-year returns also show strong benchmark outperformance.
Original Article
Published on Livemint
Frequently Asked Questions
What is this article about?
This is a results news update from Livemint, published on 25 September 2026.
Is this news positive or negative for markets?
TopFund's automated sentiment analysis reads this article as neutral in tone, based on the language used in the report. This is a general signal, not investment advice.
Where can I read the full article?
The full article is available at the original source, Livemint — see the "Read Original Article" link on this page.