Profiting from prophet Buffett

It is a well-known fact that Warren Buffett's favourite holding period is forever, with some of his equity investments spanning decades. The same cannot be said for Indian mutual funds , though. As simple as it sounds, only a handful of mutual funds have made good in following the above principle. As simple as it sounds, only a handful of mutual funds have made good in following the Oracle of Omaha's teachings. Given the difficulty in following through with his tenet, we decided to identify mutual funds that have, in many ways, managed to master the art of 'buy-and-hold'. To find such funds, we applied the following filters: The fund should have held stocks for five consecutive years. Long-term holdings, on average, should have constituted at least 50 per cent of the portfolio over the last 15 years. The fund should have beaten its benchmark at least 90 per cent of the time on a daily 10-year rolling returns basis in the last five years as of December 31, 2023, and the average outperformance should be greater than 1 per cent Upon applying the above criteria, only 15 of 146 funds made the cut, as shown in the table below. Executed to perfection Long-term holdings account for all the outperformance Fund name Number of long-term stocks Average allocation of long-term holdings (%) Average outperformance by the fund (%) HDFC Mid-Cap Opportunities 72 71.3 1.2 Axis ELSS Tax Saver 30 70.9 4.3 Franklin India Flexi Cap 49 70.5 1.3 ICICI Prudential Bluechip 34