Very few equity mutual funds in India can claim a track record spanning nearly four decades. One such standout is UTI Large Cap Fund – India’s oldest existing equity mutual fund. The fund has witnessed every major phase of the Indian market — from the Harshad Mehta boom in the early 1990s to the global financial crisis of 2008, the Covid crash and the bull run after the pandemic.
Launched on October 15, 1986, the scheme was earlier known as ‘UTI Mastershare Unit Scheme’. Over more than 39 years, the fund has delivered an annualised return of 15.35% since inception, as per its fact sheet.
A legacy fund built for long-term investors
Managed by UTI Mutual Fund, the large-cap scheme has invested in well-established companies with strong balance sheets and leadership positions in their respective sectors. The fund is benchmarked against the BSE 100 TRI and is currently managed by Karthikraj Lakshmanan.
As of December 31, 2025, the fund manages assets worth Rs 13,322 crore. Being an equity-oriented large-cap fund, it carries a ‘Very High’ risk rating, making it suitable for investors with a long-term horizon and the ability to ride market volatility.
How the fund has performed over time
Here’s a snapshot of how UTI Large Cap Fund has performed across different time periods compared with its benchmark:
Fund Performance vs Benchmark (CAGR) – as on December 31, 2025
1-year performance
Fund: 8.56%
BSE 100 TRI: 10.49%
3-year performance
Fund: 13.39%
BSE 100 TRI: 15.53%
5-year performance
Fund: 13.15%
BSE 100 TRI: 15.65%
10-year performance
Fund: 12.53%
BSE 100 TRI: 14.43%
Since inception (39+ years)
Fund: 15.35% CAGR
While the fund has underperformed its benchmark in some recent periods, its long-term consistency and ability to compound wealth across market cycles remains its biggest strength.
The fund has turned a one-time investment of Rs 1 lakh in October 1986 into around Rs 2.71 crore today. This is the power of long-term compounding at work.
What if you invested through SIP?
The fund’s SIP performance also highlights the discipline of regular investing. Since the introduction of SIPs in 2004, a monthly investment of Rs 10,000 from December 2004 to December 2025 would have meant:
Total investment: Rs 25.30 lakh
Current value: Rs 1.13 crore (approx)
This again underlines how time in the market, rather than timing the market, has worked well for patient investors.
Portfolio snapshot: where the money is invested
As of December 31, 2025, the fund’s portfolio is tilted towards India’s largest and most stable companies.
Top sectors
Financial Services – 33%
Information Technology – 11%
FMCG – 7%
Oil, Gas & Consumable Fuels – 7%
Consumer Services – 6%
The fund’s top stock holdings are HDFC Bank, ICICI Bank, Infosys, Reliance Industries, Bharti Airtel, Kotak Mahindra Bank, Larsen & Toubro, Bajaj Finance, Axis Bank and State Bank of India.
This sector and stock mix reflects a bias towards market leaders with predictable earnings and strong fundamentals.
Risk profile at a glance
Despite being an equity fund, the risk metrics show relatively controlled volatility for a large-cap strategy:
Beta: 0.87
Standard Deviation: 10.94%
Sharpe Ratio: 0.71
These numbers suggest the fund has historically delivered reasonable risk-adjusted returns over long periods.
Summing up…
UTI Large Cap Fund’s journey from 1986 to 2025 is a reminder that time, discipline and compounding remain the biggest allies of equity investors. While returns may fluctuate in the short to medium term, the fund’s ability to turn Rs 1 lakh into Rs 2.71 crore over 39 years places it among the most remarkable long-term wealth creators in Indian mutual fund history.
All data is sourced from the fund’s factsheet. Returns, portfolio and risk metrics are as on December 31, 2025. Past performance may or may not be sustained in the future.
Disclaimer: The above content is for informational purposes only. Mutual Fund investments are subject to market risks. Please consult your financial advisor before investing.