In the field of banking and asset management, SBI has been a trusted name for long. Part of the SBI Bank and currently headed by Ashwani Bhatia, SBI MF is among the top 3 mutual funds in India after Aditya Birla and HDFC. The legacy associated with the brand name SBI, the diverse portfolio of funds, and the best returns are some of the key reasons why beginners opt for SBI MF as an investment option.
Inception
Founded in June 1987, SBI Mutual Funds is a JV between SBI and Amundi, a profitable asset management company headquartered in France. It is the second mutual fund in India after UTI and made continuous growth in the past 35 years. sbi mutual fund is a pioneer in this category and has introduced ‘Contra’ and ‘ESG’ funds in India. Currently, there are 146 funds offered by SBI Asset Management to cater to the varied needs of Indian investors.
In the next section, we will discuss, the best funds to invest in the large cap, mid cap, and small cap categories respectively.
Large Cap mutual funds
SBI Bluechip Regular Growth is one of the best-rated large cap funds to invest in. This fund invests 94% on large cap stocks. It is best for investors who are looking for good returns after a period of 3 to 4 years. The investors might also be exposed to moderate losses due to market volatility. However, this fund is not recommended for investors who look for high returns within a very short duration.
Mid cap mutual funds
SBI Magnum Midcap Fund is of the best mid cap mutual funds to invest as per the market reports. However, despite the huge potential to earn good returns, this fund is listed under a ‘very high’ risk category due to the risk from market volatility in the mid cap section. SBI Large and Midcap Fund which is a mix of large and mid cap assets is also popular among investors. It is also enlisted under the ‘very high’ risk category. But when it comes to returns, this fund has a CAGR of 36% and 13.9% for 3 Years, 5 years respectively. In both the funds, the minimum lumpsum amount to invest is 5000 INR and 500 INR is the SIP amount.
Small cap mutual funds
SBI small cap mutual funds invest mainly in the equity market and the fund offers a wide portfolio of equities from small cap industries. As per market research, the SBI Small Cap Fund Direct-Growth is the best small cap fund to invest in. With a CAGR of 42.96% and 15.9% for 3 years, 5 years respectively, this fund is great to choose for the best returns. The minimum lump sum amount to invest in this fund is 5000 INR.
Summary
Apart from the above-mentioned funds, there exist 100+ more lucrative options to choose from for mutual fund investment. The SBI Contra Fund, SBI Magnum Gilt Fund, SBI Dynamic Bond, and several other funds are equally popular among investors for their performance and returns. One must choose the funds that fit best with their financial goals, risk-taking capacity, and return expectations.
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