Mirae Asset India Equity Fund was initially launched in April 2008 under the name Mirae Asset India Opportunities Fund. It has recently been classified as a large cap fund (it used to be a multi cap fund earlier). The name has now been changed to Mirae Asset Large Cap Fund. The change went into effect in May 1, 2019. The benchmark will now be the Nifty 100 TRI instead of S&P BSE 200 TRI.
The scheme featured an AUM (Assets Under Management) of Rs. 12,315 crore as of April 2019. Owing to its reclassification, the scheme will have to invest 80% of its stock in large cap companies. Although, this may not be a problem, as it was already doing so, the scheme’s ability to provide comparable returns as earlier could be compromised. However, the fund house’s aim to increase liquidity and cut risk could be maintained.
Key Statistics of Mirae Asset India Equity Fund Performance*
|Fund Performance||1 Year||3 Year||5 Year|
*Data Source – Pulse Labs. All data as of February 28, 2019.
Key Details of Mirae Asset Large Cap Fund
The following are some of the key details of the Mirae Asset Long Term Fund as of February 28, 2019:
- Inception Date – April 2008
- AUM – Rs. 12,315
- Fund Manager – Mr. Neelesh Surana, Mr. Gaurav Misra & Mr. Harshad Borawake
- Benchmark – Nifty 100 (TRI)
- Expense Ratio – 0.96% (Direct)
Mirae Asset Large Cap Fund Performance vs Benchmark*
|Mirae Asset Large Cap Fund||8.53%||17.35%||18.22%|
|Benchmark (Nifty 100 TRI)||5.36%||15.41%||14.36%|
Mirae Asset Large Cap Fund from Mirae Asset Global Investment has been recently classified as a large cap fund. As an erstwhile multi cap fund, it has given exemplary performance over the last 3 year and 5 year periods. The scheme generated a return of 17.35%% against a return of 15.41% yielded by its benchmark during the 3 year period (as of April 30, 2019). During the previous 5 year period, the scheme outperformed its benchmark again by generating a return of 18.22%, nearly 4% more than its benchmark return of 14.36%.
*All data as of April 30, 2019.
Asset Allocation of Mirae Asset India Equity Fund
The following is the Asset Class-Wise Investment Breakup of Mirae Asset Large Cap Fund as of April, 2019:
|Asset Class||Portfolio Allocation (% of total assets)|
|Large Cap Equities||86.77%|
|Mid Cap Equities||10.97%|
|Small Cap Equities||2.25%|
|Cash/Cash Equivalent Instruments/Short Term Debt||–|
*All data as of April, 2019.
Mirae Asset Large Cap Fund has done justice to reclassify itself as a large cap fund from a multi cap fund, and has placed a majority of its assets (86.77%) in large cap companies. Large cap companies are the most fundamentally strong option among all equity instruments. The scheme holds around 10.97% of its assets in mid caps and another 2.25% in small cap equities. The relatively conservative asset allocation of the scheme across market capitalisations makes it an ideal choice among investors seeking a top-rated large cap mutual fund which features a relatively low risk quotient.
The following is a list of the top sectors that the equity portion of the Mirae Asset India Equity Fund is invested in as of April 30, 2019:
|Investment Sector||% of Assets Allocated|
*Data as of April 30, 2019.
As far as sector-wise asset allocation is concerned, Mirae Asset India Large Cap Fund follows a balanced approach. The scheme has given nearly equal share to consumption-driven and defensive sectors in its portfolio. The top 5 sector holdings of the scheme are Banks (25.50%), Software (7.41%), Petrol Products (5.79%), Construction (3.55%) and Consumer Non Durables (3.00%).
Top Individual Holdings of Mirae Asset Large Cap Fund
The following are the top 10 individual equity investments of the Mirae Asset Large Cap Fund:
|Investment Name||Weight in Portfolio (%)|
|Tata Consultancy Services||3.79%|
|State Bank of India||3.70%|
|Larsen & Toubro||3.55%|
*Data as of April 30, 2019.
Investment Facts of Mirae Asset Large Cap Fund
- Mirae Asset Large Cap Fund used to be a multi-cap fund known as the Mirae Asset India Equity Fund, with a track record spanning over a decade. The scheme was launched in April 2008 as the Mirae Asset India Opportunities Fund.
- The scheme has demonstrated an impressive performance track record. The scheme has given attractive returns of 17.35% and 18.22% over the last 3 year and 5 year periods respectively (as of April 2019).
- Its portfolio largely comprises large-cap holdings with 86.77% of its total assets invested.
- The scheme follows a balanced approach when it comes to allocation of its assets across sectors. The scheme has given roughly equal weightage to cyclical and defensive sectors in its portfolio.
- Mirae Asset Large Cap Fund is a suitable equity fund for investors with moderately low risk tolerance and are looking to stay invested for the long term, potentially seeking high returns.