Nippon India Large Cap Fund Crosses ₹50,000 Crore AUM

Nippon India Large Cap Fund has achieved a significant milestone by crossing ₹50,000 crore in assets under management (AUM). This makes it one of the few large-cap mutual fund schemes in India to reach this scale, alongside ICICI Prudential and SBI Large Cap Funds.

The achievement comes at a time when equity mutual fund inflows have moderated due to profit-booking after the recent market rally and seasonal liquidity requirements during the festive period. Despite these factors, large-cap funds continue to attract investors seeking stability and diversification.

Category Overview and Market Position

Large-cap funds primarily invest in well-established companies with strong fundamentals and high liquidity. These schemes are generally considered less volatile compared to mid-cap and small-cap funds, making them a preferred choice for conservative equity investors.

The category has delivered steady returns over the past few years, supported by the resilience of large-cap stocks during market fluctuations. Large-cap companies account for more than 65% of India’s market capitalisation, about 60% of BSE 500 revenues, and nearly 65% of its profits, underscoring their importance in the equity market.

Performance Metrics of Leading Funds

Over the past three years, Nippon India Large Cap Fund delivered returns of 18.46%, while its five-year performance stood at 22.43%. ICICI Prudential Large Cap Fund reported returns of 17.46% over three years and 19.98% over five years.

Invesco India Large Cap Fund posted 16.68% and 17.67% for the same periods. These figures highlight the consistent performance of the category, which has benefited from exposure to diversified sectors and high-quality stocks.

Factors Driving Stability and Growth

The stability of large-cap funds can be attributed to the liquidity of underlying stocks and the diversification offered across multiple industries. Large-cap companies typically have established business models, strong balance sheets, and predictable earnings, which reduce volatility during market corrections.

The category’s ability to deliver competitive returns while maintaining lower risk compared to mid-cap and small-cap funds has reinforced investor confidence. This trend is expected to continue as investors seek reliable options amid changing market conditions.

Read More: Best Mutual Funds to Invest in Global Companies.

Conclusion

Nippon India Large Cap Fund’s AUM crossing ₹50,000 crore marks a significant achievement for the scheme and the large-cap category. Alongside ICICI Prudential and SBI funds, it reflects the growing preference for stability and scale among equity investors.

With strong historical performance and exposure to India’s leading companies, large-cap funds remain a cornerstone of diversified investment portfolios. The milestone underscores the category’s resilience and its role in long-term wealth creation.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.