Multicap funds, which invest across large-cap, mid-cap, and small-cap stocks, reflect India's dynamic economic growth. As the economy has expanded, driven by sectors like technology, finance, and consumer goods, multicap funds have provided investors with a balanced risk-return profile.
The Axis Multicap Fund which completed three years has consistently rewarded its investors, delivering an impressive CAGRof 20.97% since inception for regular growth plan and has consistently outperformed its benchmark. This fund's diversified approach allows it to capitalize on opportunities across different market segments, making it a suitable choice for investors seeking growth with moderate risk.
Large-cap and blue-chip companies have been a cornerstone of India's economic success. These companies, often leaders in their respective industries, have benefited from the country's economic policies and global integration.
This growth has also driven the evolution of the mutual fund industry. Various types of mutual funds have emerged to cater to the diverse needs of investors, each reflecting broader economic trends and opportunities. For instance, the Axis Bluechip Fund has completed 15 years of delivering consistent performance and value to investors by generating CAGR of 12.48% since inception for regular growth plan, outperforming its benchmark. This fund focuses on investing in high-quality large-cap stocks, providing stability and growth potential to its investors.
For investors who are looking to capitalize on India's economic progress while also gaining tax benefits, Equity Linked Savings Schemes (ELSS) funds can be the best option. ELSS funds offer the dual advantage of potential capital appreciation and tax savings under Section 80C of the Income Tax Act, with a mandatory three-year lock-in period that encourages long-term investment. Recently, the Axis ELSS Tax Saver Fund completed 15 years, generating CAGR of 16.03% for regular growth plan and outperforming its benchmarks.
This growth has spurred the development of solution-oriented funds like Retirement Funds. For example, Axis Retirement Fund which has completed five years offers tailored solutions for retirement planning through its Aggressive, Dynamic, and Conservative Plans which delivered CAGR of 12.34%, 14.29%, and 9.09% respectively since inception for regular growth plan. These funds cater to diverse investor needs, aligning with India's evolving economic landscape. The fund's strategic asset allocation and focus on long-term growth make it a reliable choice for retirement planning.
The increasing focus on sustainability and ethical investing has led to the rise of ESG (Environmental, Social, and Governance) funds. For example, the Axis ESG Integration Strategy Fund, launched five years ago, focuses on companies with strong ESG practices and has achieved a CAGR of 16.66% since inception for regular growth plan. This fund's emphasis on ESG factors has resonated well with socially conscious investors, offering long-term sustainable growth prospects with up to 30% allocation to global stocks.
For investors seeking lower risk and stable returns over shorter investment horizons, short duration funds can be an ideal choice. The Axis Short Duration Fund, which has completed 15 years, has generated CAGRof 7.51% since inception for regular growth plan, outperforming its benchmark.
As the economy continues to expand, the mutual fund industry is likely to innovate further, offering more tailored products to meet the diverse needs of investors. This dynamic relationship between economic growth and financial innovation underscores the vibrant nature of India's financial landscape.
