Active funds keep their bragging rights

Large-cap funds primarily invest in the top 100 companies by market capitalisation. These companies collectively account for over 65 per cent of the total market cap at a combined market value of Rs 266 lakh crore. These market leaders are known for their stability and ability to weather market volatility better than others. In the past five years, only 26 per cent of these large caps exited the large-cap index, compared to 31 per cent for mid and 44 per cent for small caps. Ideal for conservative investors, large-cap funds offer a steady path to long-term wealth creation while keeping volatility at bay. Key highlights from 2024 Performance: Active large-cap funds outperformed the BSE 100 TRI for the second consecutive year in 2024, delivering 16 per cent returns compared to the index's around 14 per cent gain. Most of the category's gains came in the first half of the year, with the median fund handily beating the index by 2.2 per cent. In the

This article was originally published on January 15, 2025.