October 28, 2026
admin
We have identified a Midcap Fund which delivered 21.40% CAGR Over Three Years
Invesco India Mid Cap Fund’s Direct-Growth plan has delivered 21.40% annualised returns over three years, comfortably ahead of its benchmark and category average. But its strongest investment argument is sustained outperformance across several periods—not an inaccurate five-year return headline.
As of 27 October 2026, its five-year CAGR stands at 16.78%, while the seven-year figure is 22.61%. These distinctions matter when assessing whether past performance supports a fresh investment.
The scheme began in April 2007, while its Direct Plan started in January 2013. Returns since these different inception dates should therefore be compared separately. Its current benchmark is the BSE 150 MidCap TRI.
| Period | Direct-Growth Fund | Benchmark | Midcap Category Average |
|---|---|---|---|
| 1 year | −1.63% | −5.10% | −2.86% |
| 3 years | 21.40% | 13.46% | 14.46% |
| 5 years | 16.78% | 12.72% | 13.28% |
| 7 years | 22.61% | 20.19% | 19.95% |
| 10 years | 18.31% | 15.45% | 15.41% |
Returns as of 27 October 2026. Periods exceeding one year show CAGR; one-year returns are absolute.
The three-year lead is particularly striking: 7.94 percentage points annually over the benchmark and 6.94 points over the category average. Over five years, the respective advantages are 4.06 and 3.50 percentage points.
To illustrate the compounding difference, Rs. 1 lakh invested five years earlier would have grown to approximately Rs. 2.17 lakh, against roughly Rs. 1.82 lakh at the benchmark’s return, before investor-level taxes.
However, the one-year loss provides a useful reality check. Beating a declining benchmark protects relative performance; it does not necessarily protect capital.
The portfolio also deserves attention because this is more than a straightforward basket of midcap stocks.
| Portfolio Measure | Fund Position | Investment Implication |
|---|---|---|
| Midcap allocation* | 66.25% | Principal source of category exposure |
| Smallcap allocation* | 18.10% | Adds growth potential and liquidity risk |
| Large-cap allocation* | 15.65% | Broadens stock-selection opportunities |
| Number of stocks | 43 | Relatively focused portfolio |
| Top 10 holdings | 49.11% | Leading positions materially influence returns |
| Top three sectors | 67.64% | Sector concentration warrants monitoring |
Market-cap percentages describe the equity allocation; overall equity exposure is 98.74%.
Nearly half the portfolio sits in ten stocks, while three sectors account for more than two-thirds. Successful stock selection can therefore produce meaningful outperformance, but disappointments among major holdings can also hurt disproportionately.
The 27% portfolio turnover suggests measured trading rather than frequent repositioning. Nevertheless, low turnover alone does not establish investment quality; earnings delivery and purchase valuations remain decisive.
Aditya Khemani has managed the scheme since 9 November 2023. The recent improvement overlaps substantially with his tenure, although the five-, seven- and ten-year records include earlier management periods. Attributing the entire historical record to the current manager would be misleading.
For investors, accessibility is attractive: minimum lumpsum and SIP investments start at Rs. 100. The reported 0.49% base expense ratio should be distinguished from the complete expense figure before comparing costs. Redemptions exceeding the permitted 10% allowance within 365 days attract a 1% exit load.
Sahifund View: Invesco India Mid Cap Fund merits consideration for investors with a seven-year-plus horizon who can withstand substantial equity volatility. Prefer disciplined allocations or staggered investments over chasing recent rankings. Existing investors can assess continued holding through portfolio overlap, concentration and goal suitability—not short-term NAV movements.