In the mutual fund world, there are hundreds of funds, and when you get to pick three top-performing funds based on 10-year SIP returns, they must be special — it’s no small feat. Competition is fierce, and when three funds consistently outperform, they certainly have something unique about them.
Furthermore, 10 years is a long period for any investment. During this period, markets experience multiple ups and downs, economic conditions change, interest rates fluctuate and investor sentiment changes. Funds that remain on top of the 10-year returns chart deserve special mention for their consistent performance.
The three funds included in this analysis are Quant Small Cap Fund, Nippon India Small Cap Fund, and Motilal Oswal Mid Cap Fund. All three are direct plans, and their performance has been measured using both SIP and lump sum methods.
Quant Small Cap Fund
10-year SIP return: 25.82% CAGR
A Rs 10,000 SIP in this fund started 10 years ago would be worth now Rs 46,45,235.
10-year return on lump sum investment: 20.30% CAGR
A lump sum investment of Rs 1 lakh made in this fund 10 years ago would have turned into Rs 6,34,934.
Fund details:
Launched in January 2013, Quant Small Cap Fund Direct Plan has delivered a strong return of about 17.93% since its inception. The scheme follows the Nifty Smallcap 250 TRI as its benchmark and falls under the “Very High” risk category. As of August 2025, the fund manages assets worth around Rs 28,758 crore, reflecting growing investor trust. With an expense ratio of 0.71% (as of September 2025), it offers a well-balanced mix of performance and cost efficiency for investors with a long-term, high-risk appetite.
Nippon India Small Cap Fund
10-year SIP return: 23.79% CAGR
A Rs 10,000 monthly SIP in this fund over the past 10 years would have grown to Rs 41.66 lakh.
10-year return on lump sum investment: 21.80% CAGR
A lump sum investment of Rs 1 lakh made in this fund 10 years ago would have grown to Rs 7,18,677.
Fund details:
Nippon India Small Cap Fund Direct Plan was launched in January 2013. The fund has given a strong return of around 24.95% since its launch. The scheme tracks the Nifty Smallcap 250 TRI benchmark and falls under the “Very High” risk category.
As of August 2025, the fund manages a large asset base of about Rs 64,821 crore, showing its popularity among investors. With an expense ratio of 0.64% (as of September 2025), it remains one of the cost-effective small-cap funds in the market.
Motilal Oswal Mid Cap Fund
10-year SIP return: 23.22% CAGR
If you had started a Rs 10,000 SIP in this fund 10 years ago, it would be worth Rs 40,42,141 today.
10-year return on lump sum investment: 18.77% CAGR
A lump sum investment of Rs 1 lakh made in this fund 10 years ago would have turned into Rs 5,58,711.
Fund details:
The fund (direct plan) was launched in February 2014 and has delivered an impressive return of around 23.65% since its inception. The fund belongs to Motilal Oswal Mutual Fund and follows the Nifty Midcap 150 TRI as its benchmark.
The fund is rated under the “Very High” risk category, which means it suits investors who are willing to take higher risk for potentially better long-term returns.
As of September 2025, the fund manages assets worth about Rs 34,749 crore, and its expense ratio stands at a reasonable 0.70%, making it a fairly cost-efficient option among mid-cap funds.
(Data: Value Research)
Why SIPs have become investors’ choice
SIPs, or Systematic Investment Plans, have become increasingly popular in the past few years. The biggest advantage of SIPs is that you don’t have to worry about market timing. A fixed amount is invested every month, resulting in more units when the market is down and fewer units when it is up. This reduces average costs over time and reduces risk.
Don’t choose a fund based solely on returns
While it’s important to consider a fund’s returns, investment decisions shouldn’t be based solely on them. Returns always reflect past performance, while future performance may be different.
Investors should also consider other factors when choosing a fund, such as the fund’s consistent performance, the balance of risk and return, the fund manager’s experience and the quality of the companies included in the portfolio.
Funds with higher returns often achieve this performance by taking on greater risk. If an investor has a low risk appetite, they should avoid such funds. Therefore, consider SIP or lump sum returns only as an indicator, not the final criterion for choosing a fund. The right fund suits your goals and risk profile.
Disclaimer: The above content is for informational purposes only. Mutual Fund investments are subject to market risks. Please consult your financial advisor before investing.