Large and mid-cap mutual funds invest in both stable large companies and fast-growing mid-cap firms, offering a balance of growth and stability.
Funds like Motilal Oswal, ICICI Pru, and SBI Large & Midcap Fund have shown strong long-term performance with solid 3-year and 5-year returns.
These mutual funds are suitable for investors with a long-term horizon who want diversification and higher growth potential than pure large-cap funds.
Large and mid-cap mutual funds are a popular choice among investors who want both safety and growth. These funds invest money in two types of companies: large companies that are stable and well-established, and mid-sized companies that have the potential to grow faster. This mix allows funds to provide balanced, long-term returns.
Investors who prefer a disciplined approach to wealth building slowly and steadily often choose large and mid-cap mutual funds. They are considered moderate risk funds and usually work best for people who can stay invested for many years. Below are some of the well-known large and mid-cap funds in India based on their AUM, expense ratio, and past returns.
Motilal Oswal Large & Midcap Fund is one of the strong funds in this category. The fund has an AUM of Rs. 15,017.31 crore and an expense ratio of 0.75%. It delivered a 15.42% returns during the past year.
Its performance over the last few years has been impressive. The 3-year CAGR is 24.03%, and the 5-year CAGR is 19.72%. The fund focuses on investing in companies that have strong growth potential and good business models.
ICICI Pru Large & Mid Cap Fund is another popular option among investors. The fund manages Rs. 27,444.64 crore in assets. Its expense ratio is 0.77%.
The fund delivered a 1-year return of 12.00%. Over 3 years, the fund maintained a CAGR of 20.80%, while the 5-year CAGR stands at 19.37%. The mutual fund invests in large and growing mid-sized businesses.
Bandhan Large & Mid Cap Fund manages Rs. 14,780.40 crore with an extremely low expense ratio of 0.54%.
The fund booked a 1-year return of 14.23%, a 3-year CAGR of 23.43%, and a 5-year CAGR of 18.96%. The fund focuses on selecting companies that have strong growth potential in the future.
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UTI Large & Mid Cap Fund has an AUM of Rs. 5,615.34 crore and an expense ratio of 0.87%. The fund delivered a 1-year return of 13.43%.
Over 3 years, the fund has generated a CAGR of 21.85%. The 5-year CAGR stands at 17.64%. The fund tries to maintain a balanced portfolio by investing in different sectors and companies.
SBI Large & Midcap Fund is one of the biggest funds in this category. It has an AUM of Rs. 38,765.94 crore, and the expense ratio is 0.73%.
The fund delivered a 1-year return of 15.60%. Its 3-year CAGR is 18.51%, while the five-year CAGR is 17.42%. Many investors prefer this fund because of its strong track record and experienced fund management.
HDFC Large and Mid Cap Fund manages Rs. 28,580.03 crore. The expense ratio is 0.83%. The fund recorded a 1-year return of 11.27%.
The 3-year CAGR is 19.40%, and the 5-year CAGR is 17.29%. The fund focuses on investing in companies with strong fundamentals and long-term growth potential.
Invesco India Large & Mid Cap Fund has an AUM of Rs. 8,958.63 crore and an expense ratio of 0.61%. The fund booked a 1-year return of 14.65%, a 3-year return of 23.80%, and a 5-year return of 17.09%. The fund looks for companies that can grow strongly in the coming years.
Quant Large & Mid Cap Fund manages Rs. 3,039.02 crore. The expense ratio is 0.78%. The fund delivered a 1-year return of 2.35%.
The 3-year CAGR is 15.48%, while the 5-year CAGR stands at 16.97%. The fund follows a different investment style that focuses on market trends and data.
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Kotak Large & Midcap Fund is another large fund with an AUM of Rs. 29,991.17 crore. The expense ratio is 0.55%.
The fund delivered a 1-year return of 15.64%. The 3-year CAGR is 19.28%, and the 5-year CAGR is 16.58%. The fund invests in companies that show steady earnings growth.
DSP Large & Mid Cap Fund manages Rs. 17,652.61 crore and has an expense ratio of 0.64%. The fund delivered a 1-year return of 9.76%.
The 3-year CAGR is 20.00%, and the 5-year CAGR is 15.96%. The fund invests in a mix of stable large companies and growing mid-sized companies.
Large and mid-cap mutual funds can be a decent option for investors who believe in balanced growth. These funds combine the stability of large companies with the growth potential of mid-cap businesses.
Funds like Motilal Oswal, ICICI Pru, Bandhan, and SBI have shown strong performance over the past few years. However, investors should always invest based on their financial goals and stay invested in the long term to get better results.
1. What are large and mid-cap mutual funds?
Large and mid-cap mutual funds invest at least 35% in large-cap companies and 35% in mid-cap companies to balance stability and growth.
2. Who should invest in large and mid-cap mutual funds in India?
These funds are suitable for investors who want moderate risk and are willing to stay invested for at least 5–7 years.
3. Which are the top large and mid-cap mutual funds in India in 2026?
Some popular options include Motilal Oswal Large & Midcap Fund, ICICI Pru Large & Mid Cap Fund, SBI Large & Midcap Fund, and Kotak Large & Midcap Fund.
4. Are large and mid-cap mutual funds risky?
They carry moderate risk because mid-cap stocks can be volatile, but the presence of large-cap stocks helps provide stability.
5. What is the ideal investment horizon for large and mid-cap mutual funds?
Investors should ideally stay invested for the long term, typically 5 years or more, to benefit from market growth and compounding.