The plan is compared with BSE 250 TRI Large Midcap and is directed by Sanjay Chawla and how to eat.
This fund has delivered a return of 49.78% in the last one year and 22.04% in the last three years. Launched in September 2020, the scheme has delivered a return of 29.84% since its inception.
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The benchmark BSE 250 Large Midcap TRI index has delivered returns of 40.31 per cent and 18.16 per cent respectively over the last one-year and three-year periods. The Baroda BNP Paribas Large & Mid Cap Fund offers investors exposure to established and emerging companies that can be leaders in niche markets or become the big companies of the future. Since 2006, the market has been moving in phases. Sometimes, large companies do well, while at other times it is the turn of mid-cap companies. The fund’s outperformance against the benchmark over one- and three-year periods confirms the premise that stock selection is the key to alpha, according to a statement from the fund manager.
A monthly SIP of Rs 10,000 since the inception of the scheme would have grown to Rs 8.51 lakh by August 31, 2024, with an XIRR of 32.04%. A monthly SIP has offered an XIRR of 53% in the last one year. The scheme, which is four years old, has generated returns that exceed the category average of its peer group, while maintaining a beta lower than the benchmark. This means that the scheme has offered better downside protection during market downturns, while outperforming the benchmark during bullish periods, the statement said.
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The fund manager employs a combination of a top-down approach for sector calls and a bottom-up approach for stock selection, with the aim of building a diversified portfolio of 40 to 60 stocks. For large-cap companies, the investment team focuses on high-quality stocks at reasonable prices, while for mid-cap companies, it focuses on high-growth and high-return potential opportunities.
The minimum investment amount for a lump sum is Rs 5,000 and thereafter in multiples of Rs 1. For daily, weekly and monthly SIPs, the minimum investment amount is Rs 500 and thereafter in multiples of Rs 1.
The scheme allocates 35-65% in equity and equity-related instruments of large-cap companies (including derivatives), 35-65% in equity and equity-related instruments of mid-cap companies (including derivatives), 0-30% in other equity and equity-related instruments, 0-20% in debt and money market instruments, and 0-10% in units issued in REITs and InvITs.
The fund is suitable for investors seeking long-term capital appreciation and seeking investments predominantly in large- and mid-cap equity and equity-related instruments.
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