Value Research had earlier reported that the returns of diversified equity funds for those who invested regularly over the past five years via the SIP route are in green as of April 30, 2009. However, the three year SIP returns were still lurking in the negative zone at that time.
See also: 5-Yr SIPs Turn Positive
But here comes the good news, the three year SIP returns of diversified equity funds too have moved into the green as of May 21, 2009. While the markets were already riding momentum prior to the elections, the announcement of the election results led to the markets skyrocketing by around 17 per cent in a single trading session on May 18, 2009. The emergence of a strong Congress led coalition raised hopes of a revived economy and brought about a rise in the bourses.
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Though not all, but a majority of the diversified equity funds have been able to recoup their losses. In fact, 104 out of 155 open-end diversified equity funds’ returns are now positive.
IDFC Premier Equity Plan A has given the highest annualized return of 14.03 per cent over the past three years. It was followed by Reliance Regular Savings Equity with a return of 13.66 per cent and UTI Opportunities yielding 12.99 per cent. Other major leaders are Sahara Infrastructure Variable Pricing (12.88%), ICICI Prudential Infrastructure (12.81%), Sahara Growth (12.50%), Sahara Infrastructure Fixed Pricing (12.12%) and HDFC Top 200 (12.06%).
See also: 3-Year SIPs return