Smallcap mutual funds offer 8% average return in May, all equity mutual fund categories end with gains
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Equity mutual fund categories ended May with gains as all categories delivered positive average returns with the small cap funds emerging as the top performers in the same period, an analysis by ETMutualFunds showed. There were 21 equity mutual fund categories in the said time period.Small cap funds delivered an average return of around 8.20% in the month of May. There were 30 funds in the small cap category, of which DSP Small Cap Fund offered the highest return of around 14.05% in May, followed by Quantum Small Cap Fund which gave 11.06% return in the same period. SBI Small Cap Fund delivered the lowest return of around 5.88% in the similar time frame.Auto sector based funds gave 7.54% average return in May and the category has only one fund as of now which is SBI Automotive Opportunities Fund. Infrastructure sector based funds offered an average return of around 7.18% in the mentioned time period. There were around 18 funds based on the infrastructure sector of which LIC MF Infra Fund offered the highest return of around 12.80% in May, followed by Kotak Infra & Eco Reform Fund gave 10.10% in the same period.International funds gave an average return of 6.76% in the month of May. There are around 65 international funds as of now of which Nippon India Taiwan Equity Fund offered the highest return of around 21.69%, followed by Invesco India - Invesco Global Consumer Trends FoF which gave 15.70% return in the same period. Two funds in the category gave negative returns. Axis US Treasury Dynamic Bond ETF FoF and DSP US Treasury FoF lost 0.62% and 0.49% respectively in May. Mid cap funds offered an average return of 5.92% in the mentioned period. ICICI Prudential Midcap Fund offered the highest return of 8.34% in May whereas Quant Mid Cap Fund gave the lowest return of 2.81% in the same period. HDFC Mid-Cap Opportunities Fund, the largest mid cap fund based on the assets managed, gave 5.81% return in May.Large & mid cap funds gave an average return of 4.36% in May. Out of 31 funds in the large & mid cap category, Motilal Oswal Large & Midcap Fund gave the highest return of 12.57% in the month of May, followed by ITI Large & Mid Cap Fund which gave 7.19% return in the same period. Sundaram Large and Mid Cap Fund gave the lowest return of 2.15% in the same period.ELSS or tax-saving mutual funds and value funds gave an average return of 3.97% each in the month of May. Flexi cap funds gave an average return of 3.83% in the similar time period. Out of 39 funds in the flexi cap category, Samco Flexi Cap Fund gave the highest return of around 8.03% in May whereas HDFC Flexi Cap Fund gave the lowest return of 1.31% in the same period. Parag Parikh Flexi Cap Fund , the largest flexi cap fund based on the assets managed, gave 2.66% return in the similar period.Contra funds delivered an average return of 3.13% in May. Large cap funds gave an average return of 2.22% in the said period. Quant Large Cap Fund gave the highest return of around 4% in the similar time period, followed by ITI Large Cap Fund which gave 3.99% return. Only the Samco Large Cap Fund delivered a negative return of around 0.20% in May.Pharma & Health Care sector based funds gave the lowest average return of around 1.15% in the month of May.We considered all equity mutual fund categories including sectoral and thematic. We considered regular and growth options. We calculated the returns from May 1, 2025 to May 31, 2025.Note, the above exercise is not a recommendation. The exercise was done just to identify how equity mutual fund categories performed in the month of May. One should not make investment or redemption decisions based on the above exercise as the performance in the equity funds should be based on the long-term performance and not based on one month performance.One should always make investment decisions based on their risk appetite, investment horizon, and goals.: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
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