SIP Investment: For First Time Investors

Updated on May 17, 2026 , 6964 views

SIP or a Systematic Investment plan is an investment mode that allows you to invest your money in a fixed duration of time. Generally, a SIP investment starts the process of wealth creation over a regular interval of time that can be monthly, quarterly and annually. The investment through a SIP or Systematic Investment Plan is invested in stock markets, thus generates good returns when invested for a long duration. A SIP investment is considered to be one of the best ways to invest money as the money invested is distributed over a certain duration. Unlike lump sum investment, SIP investment does not take place all at once, therefore, it is convenient for investors. With a simple SIP investment, one can start Investing small sums of money from a young age. We have a list of some of the Top SIP investments for you. Have a look!

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Best Mutual Funds for SIP 2026

To make a SIP investment it's important to understand the Best SIP Plans based on your risk appetite. There is a huge category of Equity Mutual Funds in which you can invest through a SIP. These include Large Cap, mid cap funds, Small cap funds, Multi Cap Funds. One can also invest in Balanced Funds via a SIP. But, for the first time investors, the best investment options for SIP might be-

Fund Selection Methodology used to find 5 funds

Category: Equity
Sub-category: Large%20Cap
Sorted On : drat (high to low)
Tags: fcpro
No Of Funds: 5

1. Large-Cap Mutual Funds

Investing in Large cap funds via a SIP or Systematic Investment Plan is beneficial. Usually, Large-cap Funds invest in firms that have a possibility of showing steady growth and earning high profits year after year. These funds are generally stable and offer stable returns when invested over a long period of time.

Fund	NAV	Net Assets (Cr)	Min SIP Investment	3 MO (%)	6 MO (%)	1 YR (%)	3 YR (%)	5 YR (%)	2024 (%)
SBI Bluechip Fund Growth	₹90.5534 ↑ 0.08	₹53,468	500	-4.6	-5	-1.1	11.2	11.4	9.7
Indiabulls Blue Chip Fund Growth	₹41.35 ↓ -0.01	₹128	500	-6.1	-6.9	-1.3	11.4	10.4	7.5
Nippon India Large Cap Fund Growth	₹87.3703 ↑ 0.17	₹51,690	100	-5.5	-7	-1.8	14.7	15.8	9.2
JM Core 11 Fund Growth	₹18.8829 ↑ 0.07	₹280	500	-4.5	-7.8	-2.1	14.8	13.4	-1.9
Essel Large Cap Equity Fund Growth	₹30.7626 ↑ 0.20	₹96	500	-8	-14.5	-2.6	10	7
Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 19 May 26

Research Highlights & Commentary of 5 Funds showcased

Commentary	SBI Bluechip Fund	Indiabulls Blue Chip Fund	Nippon India Large Cap Fund	JM Core 11 Fund	Essel Large Cap Equity Fund
Point 1	Highest AUM (₹53,468 Cr).	Bottom quartile AUM (₹128 Cr).	Upper mid AUM (₹51,690 Cr).	Lower mid AUM (₹280 Cr).	Bottom quartile AUM (₹96 Cr).
Point 2	Oldest track record among peers (20 yrs).	Established history (14+ yrs).	Established history (18+ yrs).	Established history (18+ yrs).	Established history (14+ yrs).
Point 3	Top rated.	Rating: 4★ (upper mid).	Rating: 4★ (lower mid).	Rating: 4★ (bottom quartile).	Rating: 4★ (bottom quartile).
Point 4	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: High.	Risk profile: Moderately High.
Point 5	5Y return: 11.43% (lower mid).	5Y return: 10.45% (bottom quartile).	5Y return: 15.84% (top quartile).	5Y return: 13.36% (upper mid).	5Y return: 7.00% (bottom quartile).
Point 6	3Y return: 11.24% (bottom quartile).	3Y return: 11.36% (lower mid).	3Y return: 14.69% (upper mid).	3Y return: 14.84% (top quartile).	3Y return: 10.00% (bottom quartile).
Point 7	1Y return: -1.12% (top quartile).	1Y return: -1.34% (upper mid).	1Y return: -1.82% (lower mid).	1Y return: -2.07% (bottom quartile).	1Y return: -2.56% (bottom quartile).
Point 8	Alpha: 0.94 (lower mid).	Alpha: 2.00 (top quartile).	Alpha: 1.61 (upper mid).	Alpha: -0.70 (bottom quartile).	Alpha: -3.02 (bottom quartile).
Point 9	Sharpe: -0.11 (bottom quartile).	Sharpe: -0.05 (upper mid).	Sharpe: -0.07 (bottom quartile).	Sharpe: -0.06 (lower mid).	Sharpe: 0.10 (top quartile).
Point 10	Information ratio: -0.32 (bottom quartile).	Information ratio: -0.23 (lower mid).	Information ratio: 1.16 (top quartile).	Information ratio: 0.19 (upper mid).	Information ratio: -0.82 (bottom quartile).

SBI Bluechip Fund

Highest AUM (₹53,468 Cr).
Oldest track record among peers (20 yrs).
Top rated.
Risk profile: Moderately High.
5Y return: 11.43% (lower mid).
3Y return: 11.24% (bottom quartile).
1Y return: -1.12% (top quartile).
Alpha: 0.94 (lower mid).
Sharpe: -0.11 (bottom quartile).
Information ratio: -0.32 (bottom quartile).

Indiabulls Blue Chip Fund

Bottom quartile AUM (₹128 Cr).
Established history (14+ yrs).
Rating: 4★ (upper mid).
Risk profile: Moderately High.
5Y return: 10.45% (bottom quartile).
3Y return: 11.36% (lower mid).
1Y return: -1.34% (upper mid).
Alpha: 2.00 (top quartile).
Sharpe: -0.05 (upper mid).
Information ratio: -0.23 (lower mid).

Nippon India Large Cap Fund

Upper mid AUM (₹51,690 Cr).
Established history (18+ yrs).
Rating: 4★ (lower mid).
Risk profile: Moderately High.
5Y return: 15.84% (top quartile).
3Y return: 14.69% (upper mid).
1Y return: -1.82% (lower mid).
Alpha: 1.61 (upper mid).
Sharpe: -0.07 (bottom quartile).
Information ratio: 1.16 (top quartile).

JM Core 11 Fund

Lower mid AUM (₹280 Cr).
Established history (18+ yrs).
Rating: 4★ (bottom quartile).
Risk profile: High.
5Y return: 13.36% (upper mid).
3Y return: 14.84% (top quartile).
1Y return: -2.07% (bottom quartile).
Alpha: -0.70 (bottom quartile).
Sharpe: -0.06 (lower mid).
Information ratio: 0.19 (upper mid).

Essel Large Cap Equity Fund

Bottom quartile AUM (₹96 Cr).
Established history (14+ yrs).
Rating: 4★ (bottom quartile).
Risk profile: Moderately High.
5Y return: 7.00% (bottom quartile).
3Y return: 10.00% (bottom quartile).
1Y return: -2.56% (bottom quartile).
Alpha: -3.02 (bottom quartile).
Sharpe: 0.10 (top quartile).
Information ratio: -0.82 (bottom quartile).

2. Mid-Cap Mutual Funds

Mid-cap funds invest in most emerging companies. To attain good returns one should invest for a longer duration in these funds. Longer than large-cap funds. Therefore, SIP benefits the most. Investing via a SIP tends to lower the risk and maintains the stability of returns.

Fund	NAV	Net Assets (Cr)	Min SIP Investment	3 MO (%)	6 MO (%)	1 YR (%)	3 YR (%)	5 YR (%)	2024 (%)
Kotak Emerging Equity Scheme Growth	₹138.426 ↑ 0.99	₹63,539	1,000	2	0	8.1	21.2	18.2	1.8
Sundaram Mid Cap Fund Growth	₹1,426.2 ↑ 10.28	₹13,378	100	0.3	-1.4	6.7	23.5	19.4	4.1
Taurus Discovery (Midcap) Fund Growth	₹116.51 ↑ 1.67	₹123	1,000	0.5	-6.3	-1.6	14	12.5	0.8
BNP Paribas Mid Cap Fund Growth	₹107.984 ↑ 0.61	₹2,389	300	3.1	2.2	10.1	21.1	17.3	2.5
Edelweiss Mid Cap Fund Growth	₹104.91 ↑ 0.74	₹15,911	500	2.1	0.2	7.7	24.5	20.2	3.8
Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 19 May 26

Research Highlights & Commentary of 5 Funds showcased

Commentary	Kotak Emerging Equity Scheme	Sundaram Mid Cap Fund	Taurus Discovery (Midcap) Fund	BNP Paribas Mid Cap Fund	Edelweiss Mid Cap Fund
Point 1	Highest AUM (₹63,539 Cr).	Lower mid AUM (₹13,378 Cr).	Bottom quartile AUM (₹123 Cr).	Bottom quartile AUM (₹2,389 Cr).	Upper mid AUM (₹15,911 Cr).
Point 2	Established history (19+ yrs).	Established history (23+ yrs).	Oldest track record among peers (31 yrs).	Established history (20+ yrs).	Established history (18+ yrs).
Point 3	Top rated.	Rating: 4★ (upper mid).	Rating: 4★ (lower mid).	Rating: 3★ (bottom quartile).	Rating: 3★ (bottom quartile).
Point 4	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: High.	Risk profile: High.
Point 5	5Y return: 18.21% (lower mid).	5Y return: 19.43% (upper mid).	5Y return: 12.47% (bottom quartile).	5Y return: 17.34% (bottom quartile).	5Y return: 20.18% (top quartile).
Point 6	3Y return: 21.18% (lower mid).	3Y return: 23.53% (upper mid).	3Y return: 13.96% (bottom quartile).	3Y return: 21.05% (bottom quartile).	3Y return: 24.45% (top quartile).
Point 7	1Y return: 8.07% (upper mid).	1Y return: 6.65% (bottom quartile).	1Y return: -1.60% (bottom quartile).	1Y return: 10.10% (top quartile).	1Y return: 7.67% (lower mid).
Point 8	Alpha: 2.55 (top quartile).	Alpha: 0.31 (lower mid).	Alpha: -7.78 (bottom quartile).	Alpha: 1.99 (upper mid).	Alpha: -0.24 (bottom quartile).
Point 9	Sharpe: 0.46 (top quartile).	Sharpe: 0.36 (lower mid).	Sharpe: -0.03 (bottom quartile).	Sharpe: 0.46 (upper mid).	Sharpe: 0.33 (bottom quartile).
Point 10	Information ratio: -0.31 (lower mid).	Information ratio: 0.26 (upper mid).	Information ratio: -1.86 (bottom quartile).	Information ratio: -0.52 (bottom quartile).	Information ratio: 0.31 (top quartile).

Kotak Emerging Equity Scheme

Highest AUM (₹63,539 Cr).
Established history (19+ yrs).
Top rated.
Risk profile: Moderately High.
5Y return: 18.21% (lower mid).
3Y return: 21.18% (lower mid).
1Y return: 8.07% (upper mid).
Alpha: 2.55 (top quartile).
Sharpe: 0.46 (top quartile).
Information ratio: -0.31 (lower mid).

Sundaram Mid Cap Fund

Lower mid AUM (₹13,378 Cr).
Established history (23+ yrs).
Rating: 4★ (upper mid).
Risk profile: Moderately High.
5Y return: 19.43% (upper mid).
3Y return: 23.53% (upper mid).
1Y return: 6.65% (bottom quartile).
Alpha: 0.31 (lower mid).
Sharpe: 0.36 (lower mid).
Information ratio: 0.26 (upper mid).

Taurus Discovery (Midcap) Fund

Bottom quartile AUM (₹123 Cr).
Oldest track record among peers (31 yrs).
Rating: 4★ (lower mid).
Risk profile: Moderately High.
5Y return: 12.47% (bottom quartile).
3Y return: 13.96% (bottom quartile).
1Y return: -1.60% (bottom quartile).
Alpha: -7.78 (bottom quartile).
Sharpe: -0.03 (bottom quartile).
Information ratio: -1.86 (bottom quartile).

BNP Paribas Mid Cap Fund

Bottom quartile AUM (₹2,389 Cr).
Established history (20+ yrs).
Rating: 3★ (bottom quartile).
Risk profile: High.
5Y return: 17.34% (bottom quartile).
3Y return: 21.05% (bottom quartile).
1Y return: 10.10% (top quartile).
Alpha: 1.99 (upper mid).
Sharpe: 0.46 (upper mid).
Information ratio: -0.52 (bottom quartile).

Edelweiss Mid Cap Fund

Upper mid AUM (₹15,911 Cr).
Established history (18+ yrs).
Rating: 3★ (bottom quartile).
Risk profile: High.
5Y return: 20.18% (top quartile).
3Y return: 24.45% (top quartile).
1Y return: 7.67% (lower mid).
Alpha: -0.24 (bottom quartile).
Sharpe: 0.33 (bottom quartile).
Information ratio: 0.31 (top quartile).

3. ELSS or Tax Saving Mutual Funds

ELSS or Equity Linked Savings Scheme is equity diversified Mutual Fund that invests the major part of the fund corpus, generally more than 80%, in equity instruments and provides market linked returns. Under Section 80C of the income tax Act, ELSS funds act as a tax saving Mutual Funds and allow tax deductions upto INR 1,50,000 for the taxable income. So, all those you have just started earning a taxable income can now invest in ELSS funds to save tax and earn good returns as well.

Fund	NAV	Net Assets (Cr)	Min SIP Investment	3 MO (%)	6 MO (%)	1 YR (%)	3 YR (%)	5 YR (%)	2024 (%)
Tata India Tax Savings Fund Growth	₹44.6597 ↑ 0.11	₹4,519	500	-2.5	-3.5	2.4	14.8	13.5	4.9
Bandhan Tax Advantage (ELSS) Fund Growth	₹149.061 ↓ -0.46	₹6,835	500	-4.2	-5.5	-0.4	12.6	13	8
Aditya Birla Sun Life Tax Relief '96 Growth	₹59.27 ↑ 0.17	₹14,378	500	-3.7	-5.4	1.2	13.6	9.2	9.3
DSP Tax Saver Fund Growth	₹134.271 ↑ 0.26	₹16,337	500	-6.7	-6.9	-3.1	16.7	14.1	7.5
HDFC Long Term Advantage Fund Growth	₹595.168 ↑ 0.28	₹1,318	500	1.2	15.4	35.5	20.6	17.4
Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 19 May 26

Research Highlights & Commentary of 5 Funds showcased

Commentary	Tata India Tax Savings Fund	Bandhan Tax Advantage (ELSS) Fund	Aditya Birla Sun Life Tax Relief '96	DSP Tax Saver Fund	HDFC Long Term Advantage Fund
Point 1	Bottom quartile AUM (₹4,519 Cr).	Lower mid AUM (₹6,835 Cr).	Upper mid AUM (₹14,378 Cr).	Highest AUM (₹16,337 Cr).	Bottom quartile AUM (₹1,318 Cr).
Point 2	Established history (11+ yrs).	Established history (17+ yrs).	Established history (18+ yrs).	Established history (19+ yrs).	Oldest track record among peers (25 yrs).
Point 3	Top rated.	Rating: 5★ (upper mid).	Rating: 4★ (lower mid).	Rating: 4★ (bottom quartile).	Rating: 3★ (bottom quartile).
Point 4	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.
Point 5	5Y return: 13.48% (lower mid).	5Y return: 13.04% (bottom quartile).	5Y return: 9.18% (bottom quartile).	5Y return: 14.10% (upper mid).	5Y return: 17.39% (top quartile).
Point 6	3Y return: 14.82% (lower mid).	3Y return: 12.61% (bottom quartile).	3Y return: 13.58% (bottom quartile).	3Y return: 16.65% (upper mid).	3Y return: 20.64% (top quartile).
Point 7	1Y return: 2.43% (upper mid).	1Y return: -0.42% (bottom quartile).	1Y return: 1.16% (lower mid).	1Y return: -3.15% (bottom quartile).	1Y return: 35.51% (top quartile).
Point 8	Alpha: 3.49 (top quartile).	Alpha: -0.80 (bottom quartile).	Alpha: 1.88 (upper mid).	Alpha: -3.36 (bottom quartile).	Alpha: 1.75 (lower mid).
Point 9	Sharpe: 0.18 (upper mid).	Sharpe: -0.07 (bottom quartile).	Sharpe: 0.10 (lower mid).	Sharpe: -0.19 (bottom quartile).	Sharpe: 2.27 (top quartile).
Point 10	Information ratio: 0.09 (upper mid).	Information ratio: -0.34 (bottom quartile).	Information ratio: -0.21 (bottom quartile).	Information ratio: 0.72 (top quartile).	Information ratio: -0.15 (lower mid).

Tata India Tax Savings Fund

Bottom quartile AUM (₹4,519 Cr).
Established history (11+ yrs).
Top rated.
Risk profile: Moderately High.
5Y return: 13.48% (lower mid).
3Y return: 14.82% (lower mid).
1Y return: 2.43% (upper mid).
Alpha: 3.49 (top quartile).
Sharpe: 0.18 (upper mid).
Information ratio: 0.09 (upper mid).

Bandhan Tax Advantage (ELSS) Fund

Lower mid AUM (₹6,835 Cr).
Established history (17+ yrs).
Rating: 5★ (upper mid).
Risk profile: Moderately High.
5Y return: 13.04% (bottom quartile).
3Y return: 12.61% (bottom quartile).
1Y return: -0.42% (bottom quartile).
Alpha: -0.80 (bottom quartile).
Sharpe: -0.07 (bottom quartile).
Information ratio: -0.34 (bottom quartile).

Aditya Birla Sun Life Tax Relief '96

Upper mid AUM (₹14,378 Cr).
Established history (18+ yrs).
Rating: 4★ (lower mid).
Risk profile: Moderately High.
5Y return: 9.18% (bottom quartile).
3Y return: 13.58% (bottom quartile).
1Y return: 1.16% (lower mid).
Alpha: 1.88 (upper mid).
Sharpe: 0.10 (lower mid).
Information ratio: -0.21 (bottom quartile).

DSP Tax Saver Fund

Highest AUM (₹16,337 Cr).
Established history (19+ yrs).
Rating: 4★ (bottom quartile).
Risk profile: Moderately High.
5Y return: 14.10% (upper mid).
3Y return: 16.65% (upper mid).
1Y return: -3.15% (bottom quartile).
Alpha: -3.36 (bottom quartile).
Sharpe: -0.19 (bottom quartile).
Information ratio: 0.72 (top quartile).

HDFC Long Term Advantage Fund

Bottom quartile AUM (₹1,318 Cr).
Oldest track record among peers (25 yrs).
Rating: 3★ (bottom quartile).
Risk profile: Moderately High.
5Y return: 17.39% (top quartile).
3Y return: 20.64% (top quartile).
1Y return: 35.51% (top quartile).
Alpha: 1.75 (lower mid).
Sharpe: 2.27 (top quartile).
Information ratio: -0.15 (lower mid).

4. Small-Cap Mutual Funds

Small-cap funds come after large and mid cap funds. These funds invest in startups or small-sized companies, therefore these funds take time to grow and generate returns. The performance of the fund depends on the growth of the companies. Thus, investors are advised to take a SIP route and stay invested for a long-term, ideally for more than 7 years.

Fund	NAV	Net Assets (Cr)	Min SIP Investment	3 MO (%)	6 MO (%)	1 YR (%)	3 YR (%)	5 YR (%)	2024 (%)
Aditya Birla Sun Life Small Cap Fund Growth	₹90.0184 ↑ 1.14	₹5,253	1,000	6.2	2.9	8.6	17.7	14.4	-3.7
SBI Small Cap Fund Growth	₹164.518 ↑ 1.42	₹37,141	500	1.3	-3.9	-2.1	12.3	13.8	-4.9
DSP Small Cap Fund Growth	₹201.332 ↑ 2.01	₹17,906	500	3.8	1.8	8.5	19.5	18.1	-2.8
Nippon India Small Cap Fund Growth	₹171.544 ↑ 1.75	₹72,673	100	5.5	0.8	4.4	20	21.2	-4.7
HDFC Small Cap Fund Growth	₹131.69 ↑ 1.24	₹38,168	300	-1.7	-7.5	-1.2	14.8	17.5	-0.6
Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 19 May 26

Research Highlights & Commentary of 5 Funds showcased

Commentary	Aditya Birla Sun Life Small Cap Fund	SBI Small Cap Fund	DSP Small Cap Fund	Nippon India Small Cap Fund	HDFC Small Cap Fund
Point 1	Bottom quartile AUM (₹5,253 Cr).	Lower mid AUM (₹37,141 Cr).	Bottom quartile AUM (₹17,906 Cr).	Highest AUM (₹72,673 Cr).	Upper mid AUM (₹38,168 Cr).
Point 2	Oldest track record among peers (18 yrs).	Established history (16+ yrs).	Established history (18+ yrs).	Established history (15+ yrs).	Established history (18+ yrs).
Point 3	Top rated.	Rating: 5★ (upper mid).	Rating: 4★ (lower mid).	Rating: 4★ (bottom quartile).	Rating: 4★ (bottom quartile).
Point 4	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.
Point 5	5Y return: 14.44% (bottom quartile).	5Y return: 13.78% (bottom quartile).	5Y return: 18.12% (upper mid).	5Y return: 21.18% (top quartile).	5Y return: 17.50% (lower mid).
Point 6	3Y return: 17.70% (lower mid).	3Y return: 12.31% (bottom quartile).	3Y return: 19.48% (upper mid).	3Y return: 19.96% (top quartile).	3Y return: 14.80% (bottom quartile).
Point 7	1Y return: 8.59% (top quartile).	1Y return: -2.08% (bottom quartile).	1Y return: 8.47% (upper mid).	1Y return: 4.42% (lower mid).	1Y return: -1.17% (bottom quartile).
Point 8	Alpha: 0.00 (upper mid).	Alpha: 0.00 (lower mid).	Alpha: 0.00 (bottom quartile).	Alpha: 0.91 (top quartile).	Alpha: 0.00 (bottom quartile).
Point 9	Sharpe: 0.46 (upper mid).	Sharpe: 0.08 (bottom quartile).	Sharpe: 0.60 (top quartile).	Sharpe: 0.29 (lower mid).	Sharpe: 0.16 (bottom quartile).
Point 10	Information ratio: 0.00 (top quartile).	Information ratio: 0.00 (upper mid).	Information ratio: 0.00 (lower mid).	Information ratio: -0.16 (bottom quartile).	Information ratio: 0.00 (bottom quartile).

Aditya Birla Sun Life Small Cap Fund

Bottom quartile AUM (₹5,253 Cr).
Oldest track record among peers (18 yrs).
Top rated.
Risk profile: Moderately High.
5Y return: 14.44% (bottom quartile).
3Y return: 17.70% (lower mid).
1Y return: 8.59% (top quartile).
Alpha: 0.00 (upper mid).
Sharpe: 0.46 (upper mid).
Information ratio: 0.00 (top quartile).

SBI Small Cap Fund

Lower mid AUM (₹37,141 Cr).
Established history (16+ yrs).
Rating: 5★ (upper mid).
Risk profile: Moderately High.
5Y return: 13.78% (bottom quartile).
3Y return: 12.31% (bottom quartile).
1Y return: -2.08% (bottom quartile).
Alpha: 0.00 (lower mid).
Sharpe: 0.08 (bottom quartile).
Information ratio: 0.00 (upper mid).

DSP Small Cap Fund

Bottom quartile AUM (₹17,906 Cr).
Established history (18+ yrs).
Rating: 4★ (lower mid).
Risk profile: Moderately High.
5Y return: 18.12% (upper mid).
3Y return: 19.48% (upper mid).
1Y return: 8.47% (upper mid).
Alpha: 0.00 (bottom quartile).
Sharpe: 0.60 (top quartile).
Information ratio: 0.00 (lower mid).

Nippon India Small Cap Fund

Highest AUM (₹72,673 Cr).
Established history (15+ yrs).
Rating: 4★ (bottom quartile).
Risk profile: Moderately High.
5Y return: 21.18% (top quartile).
3Y return: 19.96% (top quartile).
1Y return: 4.42% (lower mid).
Alpha: 0.91 (top quartile).
Sharpe: 0.29 (lower mid).
Information ratio: -0.16 (bottom quartile).

HDFC Small Cap Fund

Upper mid AUM (₹38,168 Cr).
Established history (18+ yrs).
Rating: 4★ (bottom quartile).
Risk profile: Moderately High.
5Y return: 17.50% (lower mid).
3Y return: 14.80% (bottom quartile).
1Y return: -1.17% (bottom quartile).
Alpha: 0.00 (bottom quartile).
Sharpe: 0.16 (bottom quartile).
Information ratio: 0.00 (bottom quartile).

5. Multi-Cap Mutual Funds

These funds invest across large, mid and small caps, thus the name-multi-cap. Multi-cap funds are a good option for diversifying a Portfolio. As, these funds invest across market capitalization, it balances risks and returns very well. Taking a SIP route can benefit by generating stable returns in the long-run.

Fund	NAV	Net Assets (Cr)	Min SIP Investment	3 MO (%)	6 MO (%)	1 YR (%)	3 YR (%)	5 YR (%)	2024 (%)
Kotak Standard Multicap Fund Growth	₹82.639 ↑ 0.08	₹54,839	500	-5.6	-5.6	-0.8	14.2	12.4	9.5
Mirae Asset India Equity Fund Growth	₹107.379 ↑ 0.28	₹38,239	1,000	-6.1	-8.7	-3.4	10.1	9.9	10.2
Motilal Oswal Multicap 35 Fund Growth	₹55.4277 ↑ 0.33	₹12,770	500	-3.5	-12.1	-7.6	18.1	11.7	-5.6
BNP Paribas Multi Cap Fund Growth	₹73.5154 ↓ -0.01	₹588	300	-4.6	-2.6	19.3	17.3	13.6
Aditya Birla Sun Life Equity Fund Growth	₹1,825.97 ↑ 5.72	₹25,632	100	-1.7	-3	3.5	16.8	13.1	11.2
Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 19 May 26

Research Highlights & Commentary of 5 Funds showcased

Commentary	Kotak Standard Multicap Fund	Mirae Asset India Equity Fund	Motilal Oswal Multicap 35 Fund	BNP Paribas Multi Cap Fund	Aditya Birla Sun Life Equity Fund
Point 1	Highest AUM (₹54,839 Cr).	Upper mid AUM (₹38,239 Cr).	Bottom quartile AUM (₹12,770 Cr).	Bottom quartile AUM (₹588 Cr).	Lower mid AUM (₹25,632 Cr).
Point 2	Established history (16+ yrs).	Established history (18+ yrs).	Established history (12+ yrs).	Established history (20+ yrs).	Oldest track record among peers (27 yrs).
Point 3	Top rated.	Rating: 5★ (upper mid).	Rating: 5★ (lower mid).	Rating: 4★ (bottom quartile).	Rating: 4★ (bottom quartile).
Point 4	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.	Risk profile: Moderately High.
Point 5	5Y return: 12.38% (lower mid).	5Y return: 9.90% (bottom quartile).	5Y return: 11.70% (bottom quartile).	5Y return: 13.57% (top quartile).	5Y return: 13.06% (upper mid).
Point 6	3Y return: 14.17% (bottom quartile).	3Y return: 10.14% (bottom quartile).	3Y return: 18.09% (top quartile).	3Y return: 17.28% (upper mid).	3Y return: 16.80% (lower mid).
Point 7	1Y return: -0.77% (lower mid).	1Y return: -3.36% (bottom quartile).	1Y return: -7.56% (bottom quartile).	1Y return: 19.34% (top quartile).	1Y return: 3.51% (upper mid).
Point 8	Alpha: 0.20 (upper mid).	Alpha: -0.60 (bottom quartile).	Alpha: -6.56 (bottom quartile).	Alpha: 0.00 (lower mid).	Alpha: 2.35 (top quartile).
Point 9	Sharpe: 0.01 (lower mid).	Sharpe: -0.20 (bottom quartile).	Sharpe: -0.37 (bottom quartile).	Sharpe: 2.86 (top quartile).	Sharpe: 0.13 (upper mid).
Point 10	Information ratio: -0.09 (bottom quartile).	Information ratio: -0.68 (bottom quartile).	Information ratio: 0.45 (upper mid).	Information ratio: 0.00 (lower mid).	Information ratio: 1.07 (top quartile).

Kotak Standard Multicap Fund

Highest AUM (₹54,839 Cr).
Established history (16+ yrs).
Top rated.
Risk profile: Moderately High.
5Y return: 12.38% (lower mid).
3Y return: 14.17% (bottom quartile).
1Y return: -0.77% (lower mid).
Alpha: 0.20 (upper mid).
Sharpe: 0.01 (lower mid).
Information ratio: -0.09 (bottom quartile).

Mirae Asset India Equity Fund

Upper mid AUM (₹38,239 Cr).
Established history (18+ yrs).
Rating: 5★ (upper mid).
Risk profile: Moderately High.
5Y return: 9.90% (bottom quartile).
3Y return: 10.14% (bottom quartile).
1Y return: -3.36% (bottom quartile).
Alpha: -0.60 (bottom quartile).
Sharpe: -0.20 (bottom quartile).
Information ratio: -0.68 (bottom quartile).

Motilal Oswal Multicap 35 Fund

Bottom quartile AUM (₹12,770 Cr).
Established history (12+ yrs).
Rating: 5★ (lower mid).
Risk profile: Moderately High.
5Y return: 11.70% (bottom quartile).
3Y return: 18.09% (top quartile).
1Y return: -7.56% (bottom quartile).
Alpha: -6.56 (bottom quartile).
Sharpe: -0.37 (bottom quartile).
Information ratio: 0.45 (upper mid).

BNP Paribas Multi Cap Fund

Bottom quartile AUM (₹588 Cr).
Established history (20+ yrs).
Rating: 4★ (bottom quartile).
Risk profile: Moderately High.
5Y return: 13.57% (top quartile).
3Y return: 17.28% (upper mid).
1Y return: 19.34% (top quartile).
Alpha: 0.00 (lower mid).
Sharpe: 2.86 (top quartile).
Information ratio: 0.00 (lower mid).

Aditya Birla Sun Life Equity Fund

Lower mid AUM (₹25,632 Cr).
Oldest track record among peers (27 yrs).
Rating: 4★ (bottom quartile).
Risk profile: Moderately High.
5Y return: 13.06% (upper mid).
3Y return: 16.80% (lower mid).
1Y return: 3.51% (upper mid).
Alpha: 2.35 (top quartile).
Sharpe: 0.13 (upper mid).
Information ratio: 1.07 (top quartile).

6. Balanced Funds or Hybrid Funds

Another Mutual fund that is suitable for first-time SIP investment is Balanced Fund. Balanced Mutual Funds invest more than 65% of their assets in equity instruments and the remaining assets in debt instruments. These funds are less risky than Equity Funds while providing equity comparable returns. This makes balanced funds one of the ideal investment options for beginners.

Fund	NAV	Net Assets (Cr)	Min SIP Investment	3 MO (%)	6 MO (%)	1 YR (%)	3 YR (%)	5 YR (%)	2024 (%)
Edelweiss Arbitrage Fund Growth	₹20.3717 ↑ 0.00	₹14,717	500	1.3	2.9	5.9	6.9	6	6.3
Aditya Birla Sun Life Equity Hybrid 95 Fund Growth	₹1,475.17 ↑ 2.85	₹6,999	100	-4.5	-6.1	-1.6	11.2	9.4	7.2
SBI Multi Asset Allocation Fund Growth	₹66.3513 ↑ 0.22	₹17,666	500	-0.9	4.1	14.6	17.6	13.8	18.6
ICICI Prudential Equity Arbitrage Fund Growth	₹36.0959 ↑ 0.01	₹32,299	1,000	1.3	2.9	6	6.9	6	6.5
Kotak Equity Arbitrage Fund Growth	₹39.4246 ↑ 0.00	₹69,951	500	1.3	3	5.9	7	6.2	6.4
Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 19 May 26

Research Highlights & Commentary of 5 Funds showcased

Commentary	Edelweiss Arbitrage Fund	Aditya Birla Sun Life Equity Hybrid 95 Fund	SBI Multi Asset Allocation Fund	ICICI Prudential Equity Arbitrage Fund	Kotak Equity Arbitrage Fund
Point 1	Bottom quartile AUM (₹14,717 Cr).	Bottom quartile AUM (₹6,999 Cr).	Lower mid AUM (₹17,666 Cr).	Upper mid AUM (₹32,299 Cr).	Highest AUM (₹69,951 Cr).
Point 2	Established history (11+ yrs).	Oldest track record among peers (31 yrs).	Established history (20+ yrs).	Established history (19+ yrs).	Established history (20+ yrs).
Point 3	Top rated.	Rating: 5★ (upper mid).	Rating: 4★ (lower mid).	Rating: 4★ (bottom quartile).	Rating: 4★ (bottom quartile).
Point 4	Risk profile: Moderately Low.	Risk profile: Moderately High.	Risk profile: Moderate.	Risk profile: Moderate.	Risk profile: Moderately Low.
Point 5	5Y return: 6.04% (bottom quartile).	5Y return: 9.44% (upper mid).	5Y return: 13.84% (top quartile).	5Y return: 6.02% (bottom quartile).	5Y return: 6.18% (lower mid).
Point 6	3Y return: 6.89% (bottom quartile).	3Y return: 11.21% (upper mid).	3Y return: 17.59% (top quartile).	3Y return: 6.90% (bottom quartile).	3Y return: 7.03% (lower mid).
Point 7	1Y return: 5.87% (bottom quartile).	1Y return: -1.59% (bottom quartile).	1Y return: 14.59% (top quartile).	1Y return: 5.98% (upper mid).	1Y return: 5.95% (lower mid).
Point 8	1M return: 0.39% (bottom quartile).	1M return: -2.12% (bottom quartile).	1M return: 0.47% (top quartile).	1M return: 0.40% (lower mid).	1M return: 0.40% (upper mid).
Point 9	Alpha: -0.46 (bottom quartile).	Alpha: -0.40 (bottom quartile).	Alpha: 0.00 (top quartile).	Alpha: 0.00 (upper mid).	Alpha: 0.00 (lower mid).
Point 10	Sharpe: 0.17 (bottom quartile).	Sharpe: -0.20 (bottom quartile).	Sharpe: 0.97 (top quartile).	Sharpe: 0.49 (lower mid).	Sharpe: 0.52 (upper mid).

Edelweiss Arbitrage Fund

Bottom quartile AUM (₹14,717 Cr).
Established history (11+ yrs).
Top rated.
Risk profile: Moderately Low.
5Y return: 6.04% (bottom quartile).
3Y return: 6.89% (bottom quartile).
1Y return: 5.87% (bottom quartile).
1M return: 0.39% (bottom quartile).
Alpha: -0.46 (bottom quartile).
Sharpe: 0.17 (bottom quartile).

Aditya Birla Sun Life Equity Hybrid 95 Fund

Bottom quartile AUM (₹6,999 Cr).
Oldest track record among peers (31 yrs).
Rating: 5★ (upper mid).
Risk profile: Moderately High.
5Y return: 9.44% (upper mid).
3Y return: 11.21% (upper mid).
1Y return: -1.59% (bottom quartile).
1M return: -2.12% (bottom quartile).
Alpha: -0.40 (bottom quartile).
Sharpe: -0.20 (bottom quartile).

SBI Multi Asset Allocation Fund

Lower mid AUM (₹17,666 Cr).
Established history (20+ yrs).
Rating: 4★ (lower mid).
Risk profile: Moderate.
5Y return: 13.84% (top quartile).
3Y return: 17.59% (top quartile).
1Y return: 14.59% (top quartile).
1M return: 0.47% (top quartile).
Alpha: 0.00 (top quartile).
Sharpe: 0.97 (top quartile).

ICICI Prudential Equity Arbitrage Fund

Upper mid AUM (₹32,299 Cr).
Established history (19+ yrs).
Rating: 4★ (bottom quartile).
Risk profile: Moderate.
5Y return: 6.02% (bottom quartile).
3Y return: 6.90% (bottom quartile).
1Y return: 5.98% (upper mid).
1M return: 0.40% (lower mid).
Alpha: 0.00 (upper mid).
Sharpe: 0.49 (lower mid).

Kotak Equity Arbitrage Fund

Highest AUM (₹69,951 Cr).
Established history (20+ yrs).
Rating: 4★ (bottom quartile).
Risk profile: Moderately Low.
5Y return: 6.18% (lower mid).
3Y return: 7.03% (lower mid).
1Y return: 5.95% (lower mid).
1M return: 0.40% (upper mid).
Alpha: 0.00 (lower mid).
Sharpe: 0.52 (upper mid).

Benefits of SIP Investment

Generally, a SIP investment is considered to be an ideal way, when investing in Mutual Funds for the first time. Investing, for beginners, is usually very complicated and chaotic. They are often found facing challenges to channelize their savings into investments. Consider the above-mentioned best mutual funds for SIP to make your first SIP investment. Don’t miss an opportunity to save big by fearing to take the first step. Your first salary credited, make a wise SIP investment now!

Disclaimer:
All efforts have been made to ensure the information provided here is accurate. However, no guarantees are made regarding correctness of data. Please verify with scheme information document before making any investment.