Multi-asset funds outshine equity schemes over three-year period

Clock 19.1% annualised return in the period compared to flexicap’s 18.2%

- ABHISHEK KUMAR

Multi-asset allocation funds (MAAFs) have emerged as strong performers among mutual funds (MFs), rivalling medium-term returns from traditional equity categories while maintaining a lower risk profile.

Over the past three years, average returns for this segment have surpassed those of flexicap and largecap funds, for both lump sum and systematic investment plan (SIP) investments.

According to Value Research, the average annualised three-year return formulti-asset funds stands at 19.1 per cent, outperforming flexicap funds at 18.2 per cent and largecap funds at 16.8 per cent, a trend confirmed by available market data.