This Bluechip Mutual Fund SIP Is Top Rated By Crisil: Ticked Upto 62% Returns

A bluechip mutual fund SIP invests mostly in large-cap/bluechip company stocks. Here portfolio of a bluechip mutual fund of UTI fund house has been discussed.

Bluechip mutual fund investment rationale

A bluechip company is determined based on its market capitalizations, which should be around US$10 billion. Hence, a bluechip or large-cap mutual fund will invest most of its assets in these listed companies. According to SEBI rules, a large-cap mutual fund's most investments will be in some of the top 100 listed companies in the equity markets.

The bluechip or large-cap mutual funds are most suitable for investors in terms of security. The stocks, a large-cap mutual fund invests in are mostly established company stocks. In the long term, these funds offer the best returns, because in the near term (1 year) these large-cap stocks do not have much scope to develop. However, for the security quotient, investors prefer the bluechip funds mostly. These funds are also well suited for new investors in the equity field. In addition to the bluechip stocks, large-cap mutual funds also invest in some mid-cap and small-cap stocks for good profitability.

UTI Mastershare Unit Scheme - Direct Plan

UTI Mastershare Unit Scheme - Direct Plan is one of the best value funds SIPs, given lucrative upside in long term. The UTI Mastershare Unit Scheme - Direct Plan's NAV stood at Rs. 210.13. Its fund size is Rs. 9703.31 Crore, which is considerably good. The Expense Ratio is 1.09%; which is lower than the category average of 1.12%. So, the ER is lower than the category average. It is certainly profitable for investors because a lower ER means the fund house will use a less percentage of your money in its official management expenses.

This mutual fund SIP has been rated with 5 Star by reputed rating agency Crisil.

Absolute and annualized returns

UTI Mastershare Unit Scheme - Direct Plan's SIP's absolute returns are most lucrative in the long term. In the last 1-year SIP return stood at 10.78%, in the last 2 years it has fetched 37.86% returns, in the last 3 years it has given a 47.5% returns, and in the last 5 years, it has fetched 62.31% returns. Annualized returns of this fund's SIP were 34.16% in the past 2 years, and 20.43% in the past 1 year.

UTI Mastershare Unit Scheme - Direct Plan's absolute mutual fund returns are highest in 5 years terms. In the last 1 year return stood at 22.48%, in the last 2 years it has fetched 54.98% returns, in the last 3 years it has given 75.25% returns, and in the last 5 years, it has given a 115.08% returns. Additionally, in the past 2 years, the UTI Mastershare Unit Scheme - Direct Plan's annualized returns stood at 24.45%, while the category average is 21.45%.

Portfolio

UTI Mastershare Unit Scheme - Direct Plan's equity holding is 98.62%, and 1.38% in others. The Fund's Large Cap Investments are 74.79%, Mid Cap Investments are 8.24%, Small Cap Investments are 4.36%, and 11.23% investments in other funds. This fund's portfolio turnover ratio is 32.00%.

The top 10 equity holdings of the UTI Mastershare Unit Scheme - Direct Plan's are, Infosys Ltd., ICICI Bank Ltd., HDFC Bank, Bharti Airtel, Tata Consultancy Services, Reliance Industries, HDFC, Tech Mahindra, Larsen & Toubro Ltd., Hindustan Unilever Ltd., among total 51 stocks.

Other peer funds are Invesco India Large-cap Fund - Direct Plan, IDBI India Top 100 Equity Fund - Direct Plan, Kotak Bluechip Fund - Direct Plan, etc.

(Also read:  This Profitable Mid-cap Mutual Fund SIP Recorded Upto 112% Returns: Crisil Rated)

Disclaimer

Investing in equities/mutual funds/SIPs poses a risk of financial losses. Investors must therefore exercise due caution. Greynium Information Technologies, and the author are not liable for any losses caused as a result of decisions based on the article.

(Data mentioned as on February 4, 2022)