Top Midcap Mutual Funds in 2026: Funds Deliver Up to 25% Annualised Returns Over 3 Years

Midcap mutual funds have shown notable performance over the past three years, reflecting strong participation in India’s growth-oriented segments. These funds invest in mid-sized companies that often offer a balance between growth potential and risk. 

Recent data highlights a group of funds that have delivered consistent annualised returns, attracting investor interest in this category.

Top Performing Midcap Mutual Funds (3-Year CAGR)

Note: Returns are annualised and based on a 3-year period as per the ETWealth report.

Performance Overview

The above funds have delivered annualised returns in the range of approximately 24.5% to 25.3% over three years. This reflects strong performance within the midcap segment, supported by earnings growth and market participation in emerging companies.

Fund Highlights

1. Invesco India Mid Cap Fund

This fund has recorded the highest return among peers over the three year period, reflecting its exposure to growth oriented mid-sized companies across sectors.

2. Nippon India Growth Mid Cap

The fund has delivered returns close to the category leader, indicating consistent performance within the midcap space.

3. WhiteOak Capital Mid Cap Fund

WhiteOak’s midcap offering has also maintained comparable returns, supported by its stock selection strategy within the segment.

4. ICICI Prudential Midcap Fund

This fund has delivered steady returns, with a diversified portfolio across mid sized companies contributing to its performance.

5. Edelweiss Mid Cap Fund

Edelweiss Mid Cap Fund has also shown stable growth over the period, aligning with broader midcap market trends.

Underperforming Funds in the Category

Some funds in the midcap segment have delivered comparatively lower returns over the same period. These include Taurus Mid Cap Fund, DSP Nifty Midcap 150 Quality 50 ETF, DSP Nifty Midcap 150 Quality 50 Index Fund, UTI Nifty Midcap 150 Quality 50 Index Fund, and PGIM India Midcap Fund.

Their returns ranged between approximately 12.4% and 14.7% over three years, reflecting variation in strategy and market exposure.

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Conclusion

Midcap mutual funds have delivered varied outcomes over the past three years, with a few funds showing relatively higher annualised returns. While the category offers growth potential, performance differences highlight the importance of fund selection.

Investors may consider factors such as investment strategy, risk level, and consistency before allocating to midcap funds as part of a diversified portfolio.

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 or 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. 

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