Before investing in a mutual fund scheme, investors tend to examine its returns compared to schemes in the same category. Although wealth advisors often point out that historical returns do not guarantee future returns, it is common among retail investors to give considerable emphasis to the scheme's past returns in order to evaluate its future potential.
Here, we list out the returns delivered by value mutual funds in the past one year. For starters, value mutual funds refer to mutual fund schemes which follow a value investment strategy with at least 65 percent in stocks.
Value mutual funds identify stocks that are currently undervalued but are expected to perform well over time as the value is unlocked. There are 23 value schemes in the entire mutual fund universe with total assets under management (AUM) of ₹1.95 lakh-crore. These schemes received an inflow of ₹1,964 crore in September 2024.
Value Mutual Funds | 1-year-return (%) | AUM ( ₹crore) |
| Axis Value Fund | 47.85 | 742 |
| HDFC Capital Builder Value Fund | 43.79 | 7,443 |
| HSBC Value Fund | 46.60 | 13,532 |
| ICICI Prudential Value Discovery Fund | 41.66 | 49,464 |
| JM Value Fund | 48.63 | 1,043 |
| Nippon India Value Fund | 49.36 | 8,549 |
| Quant Value Fund | 60.21 | 1,927 |
| Quantum Long Term Equity Value Fund | 42.02 | 1,191 |
Tata Equity PE Fund | 44.97 | 8,570 |
| UTI Value Fund | 45.62 | 10,163 |
As one can see in the table above (source: AMFI; returns as on October 29, 2024)10 value mutual fund schemes delivered over 40 percent return in the past one year, with Quant Value Fund posting 60.21 percent return and Nippon India Value Fund giving 49.36 percent return. In terms of the size of mutual fund scheme, the largest scheme is ICICI Prudential Value Discovery Fund (with AUM of ₹49,464 crore) followed by HSBC Value Fund (AUM ₹13,532 crore).
It is worth noting that a scheme's past returns do not guarantee its future returns. In other words, just because a value mutual fund delivered over 40 percent return in the past year doesn't indicate that it will continue to give the same performance in the future. Ideally, you should consult an invest advisor before opting a scheme.
(By arrangement with livemint.com)
