13 Equity Mutual Funds Underperform Their Benchmarks Over Three Years
These 13 equity MFs failed to outperform their respective benchmarks in three years
The Economic Times
Image: The Economic Times
Thirteen equity mutual fund schemes have underperformed their benchmarks over the past three years, as indicated by their high down capture ratios. Notable underperformers include the Samco Flexi Cap Fund and the Motilal Oswal Focused Fund, which recorded down capture ratios of 167.05 and 134.93, respectively.
- 01Thirteen mutual funds failed to outperform their benchmarks in three years.
- 02High down capture ratios indicate greater losses compared to benchmarks.
- 03Samco Flexi Cap Fund had the highest down capture ratio at 167.05.
- 04Motilal Oswal Focused Fund also underperformed with a ratio of 134.93.
- 05Other notable underperformers include Aditya Birla SL Small Cap Fund and Shriram Flexi Cap Fund.
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According to data from ACE Mutual Funds, thirteen equity mutual fund schemes have failed to outperform their respective benchmarks over the past three years. This underperformance is measured using the down capture ratio, which assesses how much a fund has lost compared to its benchmark during market downturns. A ratio above 100 indicates that the fund has lost more than its benchmark. The Samco Flexi Cap Fund reported the highest down capture ratio at 167.05, meaning it lost significantly more than its benchmark during downturns. Other underperformers include the Motilal Oswal Focused Fund with a ratio of 134.93, and the Aditya Birla SL Small Cap Fund, which had a down capture ratio of 125.50. Funds from Shriram Mutual Fund and several others also showed high down capture ratios, indicating a trend of underperformance in challenging market conditions.
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Investors in these funds may face larger losses during market downturns, impacting their overall investment returns.
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