1. The Canara Robeco Large and Mid Cap Fund is a significant investment
- If the SIP had been set at 10,000/month for 20 years, it would yield to 2.02 crore by May 31, 2019, with an 18.45% XIRR.
- Scaled proportionally for 1,000/month, this exhibits exceptional long-term capital growth potential.
- Invests in both large and mid-cap companies, maintaining stability while also growing their value.
2. Parag Parikh Flexi Cap Fund
- There are only 17 funds that have a 10 year SIP yield exceeding 20% on index return.
- Specifies on versatile exposure to large, medium and small-cap stocks of good quality at reasonable prices.
- It is a preferred choice for disciplined long-term SIP investors due to its consistent multicap investment.
3. Quant Small Cap Fund
- Over the past decade, experienced a CAGR of over 18.7% (XIRR) thanks to small-cap stocks that were driven by high growth rates.
- Ranked with Quant ELSS and Nippon India Small Cap amongst the top small cap SIP performers.
- Ideal for long-term SIP investors who prefer higher returns and risk taking greater risks.
🧠 Why these funds?
- Unlike pure smallcaps, Canara Robeco and Parag Parikh are mid-cap / Flexi cap funds that offer risk-adjusted returns for long-term investments. Why is this so?
- The compounding approach of Quant Small Cap is ideal for long-term SIP timelines, particularly for high growth leaders
📊 SIP offers a hypothetical growth of about 1,000/month (scaled) under the current scenario.
| Fund | XIRR (10–20 yr) | ₹1,000/month SIP 10–20 yr Estimate |
|---|---|---|
| Canara Robeco Large & Mid | 18.0% (20 yr) | ₹20 lakh → potentially ₹2 crore at ₹10k/month |
| Parag Parikh Flexi Cap | 17–20% (10 yr) | ₹1,000 SIP over 10 yrs = ₹3–4 lakh |
| Quant Small Cap | 18.7% (10 yr) | Similar to above; high compounding |
(Estimates are scaled proportionally, but actual outcomes vary depending on market cycles)
✅ Summary & Advice
- Canara Robeco Large & Mid Cap is the ideal choice for those seeking long-term wealth (modest risk).
- Parag Parikh Flexi Cap is a reliable choice for discipline with multiple caps and 20 years of consistent returns.
- Quant Small Cap can be the ideal choice for aggressive growth over a 10-year period, regardless of volatility.
⚠️ Important notes
- The past doesn't guarantee the future.
- Equity SIP returns are subject to market cycles and timing.
- Check portfolio periodically and diversify among different fund types.
- To achieve a suitable risk profile, seek the assistance of an advisor registered with SEBI.