Looking to invest your funds wisely? Mutual funds can be an excellent option for lump-sum investments. However, it’s essential to choose the right mutual fund to maximize your long-term returns.
This article will help you understand which mutual fund is best for a one-time investment. Learn about these top options and make an informed selection to attain your financial objectives confidently.
Best Mutual Fund for Lumpsum Investment in 2024
Mutual funds are ideal for long-term financial planning since they can balance growth and stability if invested appropriately. Here are the best mutual funds for one-time investment.
| Serial Number | Fund Name | 1 Years Return |
| 1 | Canara Robeco Bluechip Equity Fund – Direct Plan-Growth | 37.25% |
| 2 | Kotak Multicap Fund – Direct Plan-Growth | 52.31% |
| 3 | Parag Parikh Flexi Cap Fund – Direct Plan-Growth | 39.97% |
| 4 | SBI Equity Hybrid Fund – Direct Plan-Growth | 26.36% |
| 5 | ICICI Prudential Technology Fund – Direct Plan-Growth | 40.25% |
Now let’s understand each of these funds in detail to help you make an informed decision on which mutual fund is best for a one-time investment.
1. Canara Robeco Bluechip Equity Fund – Direct Plan-Growth
- AUM: INR 14,869.70 crore
- NAV: INR 71.4100
- 1-Year Return: 37.25%
The Canara Robeco Bluechip Equity Fund is an excellent choice for lumpsum investments. This mutual fund invests in large-cap stocks of leading companies. With a five-year return of 23.49%, it demonstrates consistent performance. The low expense ratio of 0.46% ensures most of your investment goes towards growth.
The Canara Robeco Bluechip Equity Fund mainly invests in sectors like banking and technology. With this fund, you benefit from stability as well as growth potential. This makes it ideal for investors looking for long-term capital appreciation.
2. Kotak Standard Multicap Fund – Direct Plan-Growth
- AUM: INR 14541.20 crore
- NAV: INR 20.4020
- 1-Year Return: 52.31%
The Kotak Standard Multicap Fund stands out for its diversified investment across large, mid, and small-cap stocks. In the last year, it has returned a remarkable 51.18%. It is suitable for lumpsum investments as its capital growth is fuelled by different sectors including automobiles.
The expense ratio of 0.38% is reasonable, thanks to its efficient cost management. As an investor, if you are looking for aggressive growth, the balanced approach of this fund makes it suitable for you.
3. Parag Parikh Flexi Cap Fund – Direct Plan-Growth
- AUM: INR 78490.30 crore
- NAV: INR 87.0233
- 1-Year Return: 39.97%
With a five-year return of 27.66%, the Parag Parikh Flexi Cap Fund is a top pick for lumpsum investors. It largely focuses on domestic and international equities. It has a diversified portfolio that includes large-cap (49.54%), mid-cap (4.8%), and small-cap stocks (7.48%).
Thus, investors can capitalize on the growth trajectory of various segments. Its expense ratio of 0.63% looks a little high. However, this fund looks decent in terms of long-term performance, which makes it suitable for investors looking to invest a large sum in one go.
So, if you are looking for growth while diversifying your portfolio, you can go for the Parag Parikh Flexi Cap Fund.
4. SBI Equity Hybrid Fund – Direct Plan-Growth
- AUM: INR 73405.40 crore
- NAV: INR 309.2608
- 1-Year Return: 26.37%
The SBI Equity Hybrid Fund is known for its balanced approach. It invests both in equities and debt instruments. With a five-year return of 17.38%, it provides a stable option for lump sum investors.
The allocation strategy of the firm significantly reduces volatility, while investors enjoy a better growth potential. At 0.73%, its expense ratio looks manageable.
This makes it suitable for conservative investors looking for a mix of safety and capital appreciation over the long term.
5. ICICI Prudential Technology Fund – Direct Plan-Growth
- AUM: INR14211.00 crore
- NAV: INR 233.220
- 1-Year Return: 40.25%
The ICICI Prudential Technology Fund is an excellent choice for investors looking to capitalize on the booming tech sector. With a remarkable one-year return of 36.85% and a five-year return of 29.84%, it offers high growth potential.
The fund invests in technology companies, making it suitable for lumpsum investments that capitalize on innovation.
Despite its higher expense ratio of 0.90%, the potential for attractive returns makes it an appealing option to investors willing to benefit from the tech-driven market. However, always understand your risk tolerance level, before investing in a sector-specific mutual fund as they can be risky in nature.
Conclusion
Choosing the best mutual fund for lumpsum investment in 2024 can impact your financial future. The mutual funds above provide growth and safety in addition to competitive returns. You should assess your risk tolerance and long-term goals to choose a mutual fund for a lump sum investment.
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