Top 2 Performing Value Mutual Funds of 2024

Value mutual funds embody the essence of value investing by pooling investments in stocks that exhibit strong fundamentals yet trade at discounted prices. These funds are open-ended equity schemes that adhere to a value-based investment strategy.

Top 2 Performing Value Mutual Funds of 2024

1. Quant Value Fund

• Assets Under Management (AUM): Rs 1,959.26 crore
• Performance: 42.94% (1Y Return)
• Details:
  Quant Value Fund focuses on long-term capital appreciation through a diversified portfolio of value stocks. Launched in 2021, this fund requires a minimum SIP investment of Rs 1,000. An exit load applies if redeemed within 15 days.

2. Axis Value Fund

• Assets Under Management (AUM): Rs 749.48 crore
• Performance: 40.34% (1Y Return)
• Details:
  Axis Value Fund aims to achieve consistent long-term capital appreciation by investing predominantly in equity securities that align with the value investing philosophy. Also launched in 2021, it requires a minimum SIP investment of Rs 100. An exit load of 1% applies for units exceeding 10% of the investment if redeemed within 12 months.

Understanding Value Investing

Value investing is a time-tested strategy centered on identifying stocks that appear underpriced or undervalued in the market. This investment approach relies on metrics like low price-to-earnings (P/E) ratios, low price-to-book (P/B) value ratios, or low price-to-cash-flow ratios. According to research by Fama and French (1992, 1998) and Chan and Lakonishok (2004), a value portfolio comprises stocks that seem undervalued based on these fundamental parameters.

The core philosophy of value investing is patience—buying undervalued stocks and holding them until the market recognizes their true worth. The goal is to capitalize on temporary market inefficiencies while minimizing the risks of speculation.

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Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.