Top Mutual Funds in India – 2025

Looking to invest in mutual funds in 2025? Here’s a detailed, category-wise list of the best performing mutual funds in India with insights into 5-year returns (CAGR), AUM, and expense ratios. Perfect for SIP investors, tax savers, and long-term wealth builders.

1. Large Cap Funds

➤ Stable, Reliable, and Less Risky

What are they?
Large Cap Funds invest in India’s top 100 companies by market capitalization, like Reliance, TCS, HDFC Bank, etc. These are well-established giants with a proven track record.

Who should invest?

• Conservative equity investors
• First-time equity investors
• Investors with 5+ year goals who want relatively lower risk

Fund Name	5-Yr CAGR	AUM (₹ Cr)	Expense Ratio
Nippon India Large Cap Fund	15.2%	23,450	1.26%
HDFC Top 100 Fund	14.7%	28,270	1.14%
ICICI Pru Bluechip Fund	14.5%	39,100	1.06%

2. Flexi Cap Funds

➤ All-Rounders With Freedom to Choose

What are they?
Flexi Cap Funds invest across large, mid, and small-cap companies without any restriction. The fund manager dynamically allocates based on market conditions.

Who should invest?

• Investors who want diversification
• Those planning long-term SIPs
• Moderate risk-takers

Fund Name	5-Yr CAGR	AUM (₹ Cr)	Expense Ratio
Parag Parikh Flexi Cap Fund	18.4%	62,300	0.93%
Quant Flexi Cap Fund	21.7%	8,920	0.76%
SBI Flexi Cap Fund	16.2%	34,800	0.98%

3. Mid Cap Funds

➤ For Growth Seekers With Patience

What are they?
Mid Cap Funds invest in the next 150 companies (ranked 101–250) in terms of market cap. These are companies with good growth potential but higher volatility.

Who should invest?

• Investors with a 7+ year horizon
• Those comfortable with short-term ups and downs
• Investors seeking higher returns than large caps

Fund Name	5-Yr CAGR	AUM (₹ Cr)	Expense Ratio
Kotak Emerging Equity Fund	20.5%	25,300	1.14%
Motilal Oswal Midcap Fund	22.1%	7,920	0.95%
Axis Midcap Fund	19.3%	18,000	1.08%

4. Small Cap Funds

➤ High Risk, High Reward

What are they?
These funds invest in companies ranked 251 and below by market cap — typically smaller, newer businesses with explosive growth potential.

Who should invest?

• Aggressive investors with high risk appetite
• Investors with a 10+ year horizon
• SIP investors looking for long-term alpha

Fund Name	5-Yr CAGR	AUM (₹ Cr)	Expense Ratio
Quant Small Cap Fund	26.3%	5,100	0.72%
Nippon India Small Cap Fund	23.1%	34,300	1.21%
HSBC Small Cap Fund	21.9%	4,850	0.88%

6. Aggressive Hybrid Funds

➤ Balance Between Growth & Safety

What are they?
Aggressive Hybrid Funds invest about 65–75% in equity and the rest in debt instruments. This offers a blend of growth potential and capital protection.

Who should invest?

• First-time mutual fund investors
• Retired individuals seeking moderate growth
• People planning 3–5 year goals

Fund Name	5-Yr CAGR	AUM (₹ Cr)	Expense Ratio
ICICI Pru Equity & Debt Fund	13.8%	20,750	1.23%
Canara Robeco Equity Hybrid	14.2%	4,340	1.01%
HDFC Hybrid Equity Fund	12.9%	8,970	1.15%

7. Index Funds

➤ Low-Cost, Long-Term Wealth Builders

What are they?
Index Funds replicate a market index like Nifty 50 or Sensex, meaning they invest in the exact same stocks and weightage. No fund manager bias.

Who should invest?

• DIY investors who believe in long-term India growth
• Low-cost seekers
• Beginners who want passive investing

Fund Name	5-Yr CAGR	AUM (₹ Cr)	Expense Ratio
Nippon Nifty 50 Index Fund	13.6%	3,250	0.19%
HDFC Nifty 100 Equal Weight	14.8%	1,900	0.31%
UTI Nifty Next 50 Index	15.2%	1,800	0.27%

8. International Funds

➤ Go Global, Diversify Beyond India

What are they?
These funds invest in foreign companies or global ETFs, giving you exposure to global giants like Apple, Microsoft, Tesla, Nvidia, and more.

Who should invest?

• Investors looking for global diversification
• Those already holding domestic equity funds
• Advanced investors with long-term goals

Fund Name	Focus	5-Yr CAGR	AUM (₹ Cr)	Expense Ratio
PGIM Global Equity Opportunities	Global	18.9%	4,000	1.20%
Mirae NYSE FANG+ ETF FoF	US Tech	21.1%	2,200	0.46%
Motilal Oswal S&P 500 Index	US Index	17.5%	1,100	0.33%

📊 Quick Comparison Table:

Category	Risk	Ideal Duration	Returns Potential	Best For
Large Cap	Low	5+ years	Moderate	Stability seekers
Flexi Cap	Medium	5–7 years	Moderate–High	Diversified exposure
Mid Cap	Medium–High	7+ years	High	Long-term wealth
Small Cap	High	10+ years	Very High	Aggressive growth
ELSS	Medium	3+ years	High	Tax savers
Hybrid	Low–Medium	3–5 years	Moderate	Balanced investors
Index	Low	7+ years	Market-linked	Passive investors
International	Medium–High	5+ years	High	Global diversification

🔚 Final Words

There is no one-size-fits-all in mutual funds. The best scheme depends on your:

• 🎯 Goal (retirement, education, buying a house, etc.)

• ⏳ Time horizon

• ⚖️ Risk appetite

• 💼 Tax-saving needs

Ready to Invest Online?

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👉 Chat With Us For Personalised Advice 

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🌐 Website: xfundzonline.com
👤 MFD: Sandip Sharma – Xfundz Investment Services (ARN-159064)

📢 Important: Past performance is not a guarantee of future returns. Always consult with a qualified financial advisor.

💬 Frequently Asked Questions (FAQs)

1. Which is the best mutual fund to invest in 2025 in India?

There is no single best mutual fund. It depends on your goal and risk appetite. For stability, consider large cap funds like ICICI Pru Bluechip. For growth, explore Parag Parikh Flexi Cap or Quant Mid/Small Cap Funds.

2. How do I start investing in mutual funds online?

You can start SIPs online through platforms like AssetPlus using your distributor's link. Example: Start SIP with Xfundz.

3. Can I invest in mutual funds without a demat account?

Yes. You do not need a demat account to invest in mutual funds. You can invest using your PAN, Aadhaar, and bank account via an advisor platform or AMC site.

4. How much should I invest monthly in SIP?

Start with ₹1,000/month. Your SIP amount should align with your financial goals. For example, ₹5,000/month in an equity fund for 15 years can potentially grow to ₹25–30 lakhs (assuming 12–14% CAGR).