VR Logo

Best Fund Family

To identify the best fund houses on Value Research conducted a detailed study in February 2008.

To identify the best fund houses on Value Research conducted a detailed study in February 2008. The underlying premise of our ranking methodology, used to select and rank funds and fund AMCs rests on risk-adjusted returns. This purely quantitative approach is a composite measure that takes into account the returns a fund generates and the risk it takes for generating them. To calculate risk, monthly/weekly fund returns are compared against the risk-free return and their underperformance is ranked along with that of other funds of the same type and a relative risk score assigned. For returns, monthly/weekly returns of each fund are compared with the monthly/weekly risk-free return to arrive at the fund's total return in excess of the risk-free return. These are then ranked along with those of other funds of the same type and a relative return score assigned. A composite risk-return score for each fund is arrived at by subtracting the risk score from the returns score. AMCs are rated according to the percentage of their rated funds that fall within the top 33.3% of rated funds within the peer fund type.



Fund House  No. of Top  Total Rated   Score
  Rated Funds  Funds  
Reliance Mutual Fund 10 17 58.82
ICICI Pru Mutual Fund 21 38 55.26
Tata Mutual Fund 14 30 46.67
Birla Sunlife Mutual Fund 18 39 46.15
HSBC Mutual Fund 6 13 46.15

Based on Risk adjusted rating of funds as on January 31, 2008