Top 5 Large and Midcap Mutual Funds: Achieve Substantial Returns with SIP Investments

Large and midcap mutual funds have emerged as one of the most attractive categories for long-term investors seeking a balance of stability and growth. These funds, which allocate at least 35% of assets each to large-cap and mid-cap companies, provide exposure to India’s biggest corporate names while also capturing the upside potential of fast-growing mid-sized firms. Over the past seven years, several large and midcap funds have delivered impressive returns through systematic investment plans (SIPs).

What Are Large and Midcap Funds?

Large and midcap mutual funds fall under the open-ended equity fund category as per SEBI regulations. By design, they offer a mix of market leaders in the top 100 companies and mid-cap firms ranked between 101st and 250th by market capitalisation. The large-cap allocation ensures stability, while the mid-cap portion adds a layer of growth potential. This dual exposure provides diversification and reduces the risks associated with investing in a single market segment.

Why Invest in These Funds?

For investors, large and midcap funds strike the right balance between risk and return. Large-cap companies provide resilience during market downturns, while mid-caps can generate higher returns in a rising market. Experts recommend an investment horizon of at least five years for these funds, as equity investments need time to smooth out market volatility. SIPs, in particular, work well in this category since they average out purchase costs over time.

ICICI Prudential Large & Mid Cap Fund

The ICICI Prudential Large & Mid Cap Fund has emerged as the best-performing fund in this category over the past seven years. With a fund size of Rs 23,246 crore, it has generated a SIP return of 16.99%. Its net asset value (NAV) stood at Rs 994.72 as of September 2, 2025. A Rs 25,000 monthly SIP in this fund has grown to Rs 40.43 lakh in seven years, making it the top choice for investors seeking consistent wealth creation.

Quant Large and Mid Cap Fund

Quant’s Large and Mid Cap Fund has also delivered strong performance with SIP returns of 16.36% over seven years. With a smaller fund size of Rs 3,651 crore and NAV of Rs 110.55, the fund has grown a Rs 25,000 monthly SIP to Rs 39.38 lakh in seven years. Its disciplined approach and agile portfolio management have made it a popular choice among growth-oriented investors.

HDFC Large and Mid Cap Fund

The HDFC Large and Mid Cap Fund, managing assets worth Rs 26,406 crore, posted SIP returns of 16.27% in the seven-year period. Its NAV as of early September stood at Rs 334.54. A monthly SIP of Rs 25,000 in this fund has resulted in Rs 39.24 lakh over seven years. The fund is known for its strong portfolio of high-quality large caps combined with selective midcap bets.

Mirae Asset Large & Midcap Fund

Mirae Asset’s offering is one of the largest in this category, with assets under management of Rs 40,550 crore. Over seven years, it has delivered SIP returns of 15.93%, taking a Rs 25,000 monthly SIP to Rs 38.69 lakh. With a NAV of Rs 148.15, the fund has become a trusted option for investors looking for scale and steady performance.

Invesco India Large & Midcap Fund

The Invesco India Large & Midcap Fund has also rewarded investors with SIP returns of 15.92% in seven years. With a fund size of Rs 8,007 crore and NAV of Rs 100.46, the scheme has turned a Rs 25,000 monthly SIP into Rs 38.68 lakh. It continues to appeal to investors who value diversified exposure and steady growth.

Key Takeaways for Investors

The performance of these funds underscores the wealth-building potential of large and midcap funds when combined with disciplined SIP investing. Even small differences in SIP returns translate into substantial differences in corpus over time. For long-term investors willing to stay invested for five years or more, these funds provide diversification, resilience, and growth.