Morningstar India offers a host of tools and calculators to gauge the performance and portfolios of funds, stocks and unit-linked insurance plans.
In our previous posts, we explored Returns Calculator and Category Performance tool. In this post, we show you how to use the Top Performing Funds tool. The tool shows results based on the top to bottom performer over the selected time period.
You can curate a list of 5 to 50 top-performing funds at one go. Do note that the results can show both the direct and regular share class versions of the top-performing funds. Direct share class return will be higher than that of the regular plan version. This is because the Total Expense Ratio (TER) of the direct share class is cheaper than that of the regular plan.
You can shortlist the top-performing funds from all the Securities and Exchange Board of India (SEBI) defined categories through this tool. There are 52 categories listed in this tool.
Based on the time period chosen by you, the tool will display the results of the top funds in that category during that period. You can choose a time period ranging from 1 week till 10 years.
Under Distribution Status option, you can shortlist funds based on three options – dividend, growth or both.
We looked at the ten top-performing funds in the large-cap category over a ten-year period. There are 28 funds that existed over a ten-year time frame. Over this period, Mirae Asset Large Cap has been the top performer with 15.38% Compound Annual Growth Rate (CAGR) while the category average delivered 12.12% as on May 31, 2021. The benchmark BSE 100 delivered 12.45% over ten year period as on May 31, 2021.
In the above list, you see numbers under 10-year window in Bold. This means that the funds are sorted based on the highest performers over a ten-year period.
You can click on 1 year, 2 year, 3 year, or 5 year time period if you wish to view the top-performing funds over that particular period. You can also sort based on the bottom to top-performing funds and vice versa.
You can directly change the time period from short-term to long-term and vice versa through this tab for any one category.
At the bottom of the page, you will see the number of funds during that time period in the category, the fund’s rank within the category during that time period and the category average performance. Top-performing fund will be ranked as number 1.
