Largecap mutual funds are well-liked amongst traders preferring stability and constant development. These funds primarily spend money on the highest 100 corporations by market capitalization, making them comparatively safer in comparison with midcap or smallcap funds. Whereas the expectation is that largecap funds ship returns near or higher than the benchmark, not all funds reach doing so. On this article, now we have recognized 10 largecap mutual funds that disenchanted traders by underperforming their respective benchmarks within the final 5 years (as of 2025). We analyzed all largecap funds, in contrast their 5-year returns with their benchmarks, and shortlisted these laggards. Let’s deep dive into every of those funds and see whether or not traders ought to proceed holding them.
Earlier we analysed on among the Greatest Largecap Mutual Funds to spend money on 2025.
How We Recognized These Giant Cap Funds
- We thought of all largecap mutual funds presently accessible.
- We in contrast their 5-year annualized returns (Direct Plan) with their benchmark indices (BSE 100 TRI / Nifty 100 TRI).
- Funds producing decrease returns in comparison with their benchmarks had been included.
- From this train, we bought 10 largecap funds that lagged behind expectations.
- Knowledge as of 21-Sep-2025 and knowledge supply is from AMFI and ValueResearch.
10 Largecap Mutual Funds That Upset Buyers
Listed below are the listing of largecap mutual funds that underperformed the benchmark.
| Scheme Identify | Benchmark | 5Y Return (%) | Benchmark 5Y Return (%) | Hole (Underperformance) |
|---|---|---|---|---|
| Axis Giant Cap Fund | BSE 100 TRI | 15.83 | 19.56 | -3.73 |
| Taurus Giant Cap Fund | BSE 100 TRI | 17.11 | 19.56 | -2.45 |
| PGIM India Giant Cap Fund | Nifty 100 TRI | 17.11 | 18.84 | -1.73 |
| LIC MF Giant Cap Fund | Nifty 100 TRI | 17.43 | 18.84 | -1.41 |
| Union Largecap Fund | BSE 100 TRI | 18.16 | 19.56 | -1.39 |
| UTI Giant Cap Fund | BSE 100 TRI | 18.36 | 19.56 | -1.20 |
| JM Giant Cap Fund | BSE 100 TRI | 18.52 | 19.56 | -1.03 |
| Mirae Asset Giant Cap Fund | Nifty 100 TRI | 18.17 | 18.84 | -0.67 |
| Groww Giant Cap Fund | Nifty 100 TRI | 18.21 | 18.84 | -0.64 |
| Bandhan Giant Cap Fund | BSE 100 TRI | 19.33 | 19.56 | -0.22 |
Deep Dive into these Underperforming Largecap Mutual Funds
1. Axis Giant Cap Fund
- Benchmark: BSE 100 TRI
- 5-Yr Returns: 15.83% vs Benchmark 19.56% (Underperformed by 3.73%)
Fund Goal: Seeks to generate long-term capital development by investing in largecap corporations.
Annualised Returns:
- 1 Yr: -0.1%
- 3 Years: 12.8%
- 5 Years: 15.8%
- 10 Years: 13.9%
Who Can Make investments: Conservative traders preferring well-known corporations.
Danger Components:
- Constant disappointment vs benchmark
- Portfolio focus danger
- Market volatility influence
Should you see my earlier article about Largecap Funds the place Suresh KP is investing, I reviewed this fund (Axis Bluechip Fund was renamed now to Axis Largecap Fund in 2025) and exited throughout that point.
2. Taurus Giant Cap Fund
- Benchmark: BSE 100 TRI
- 5-Yr Returns: 17.11% vs 19.56% (Underperformed by 2.45%)
Fund Goal: To offer long-term capital appreciation by investing in largecap corporations.
Annualised Returns:
- 1 Yr: -0.8%
- 3 Years: 12.6%
- 5 Years: 17.1%
- 10 Years: 10.6%
Who Can Make investments: Buyers in search of reasonable publicity to largecap shares.
Danger Components:
- Weak long-term monitor document
- Excessive volatility briefly time period
- Restricted alpha technology
3. PGIM India Giant Cap Fund
- Benchmark: Nifty 100 TRI
- 5-Yr Returns: 17.11% vs 18.84% (Underperformed by 1.73%)
Fund Goal: Goals to offer capital appreciation by investments in high 100 corporations.
Annualised Returns:
- 1 Yr: 0.3%
- 3 Years: 14.5%
- 5 Years: 17.1%
- 10 Years: 12.5%
Who Can Make investments: Buyers with medium to long-term horizon.
Danger Components:
- Under-expectation efficiency
- Benchmark-driven fluctuations
- Financial slowdown dangers
4. LIC MF Giant Cap Fund
- Benchmark: Nifty 100 TRI
- 5-Yr Returns: 17.43% vs 18.84% (Underperformed by 1.41%)
Fund Goal: Concentrate on largecap shares with development and stability.
Annualised Returns:
- 1 Yr: 0.1%
- 3 Years: 13.4%
- 5 Years: 17.4%
- 10 Years: 12.1%
Who Can Make investments: Lengthy-term conservative traders.
Danger Components:
- Upset vs benchmark development
- Decrease consistency in returns
- Market cycle dependency
We reviwed this fund as a part of 10 Worst Performing Mutual Funds in final 20 years article earlier.
5. Union Largecap Fund
- Benchmark: BSE 100 TRI
- 5-Yr Returns: 18.16% vs 19.56% (Underperformed by 1.39%)
Fund Goal: Goals at long-term capital appreciation by investing predominantly in largecap corporations.
Annualised Returns:
- 1 Yr: -0.1%
- 3 Years: 14.4%
- 5 Years: 18.1%
- 10 Years: NA
Who Can Make investments: Reasonable risk-takers on the lookout for largecap focus.
Danger Components:
- Restricted efficiency historical past (10 years not accessible)
- Gentle underperformance
- Market sentiment dangers
6. UTI Giant Cap Fund
- Benchmark: BSE 100 TRI
- 5-Yr Returns: 18.36% vs 19.56% (Underperformed by 1.20%)
Fund Goal: Lengthy-term development by investing in largecap corporations.
Annualised Returns:
- 1 Yr: -0.9%
- 3 Years: 13.9%
- 5 Years: 18.3%
- 10 Years: 13.1%
Who Can Make investments: Lengthy-term traders in search of diversified largecap portfolio.
Danger Components:
- Lagged behind benchmark
- Increased draw back danger in corrections
- Inconsistent alpha technology
UTI Mastershare Fund waas renamed to UTI Giant Cap Fund in 2023. This is likely one of the 5 Oldest Mutual Funds that was launched 30 years again. .
7. JM Giant Cap Fund
- Benchmark: BSE 100 TRI
- 5-Yr Returns: 18.52% vs 19.56% (Underperformed by 1.03%)
Fund Goal: To offer long-term wealth creation alternatives by largecap shares.
Annualised Returns:
- 1 Yr: -3.9%
- 3 Years: 17.1%
- 5 Years: 18.5%
- 10 Years: 12.7%
Who Can Make investments: Aggressive traders able to take short-term volatility.
Danger Components:
- Poor 1-year efficiency
- Under benchmark consistency
- Volatility danger
8. Mirae Asset Giant Cap Fund
- Benchmark: Nifty 100 TRI
- 5-Yr Returns: 18.17% vs 18.84% (Underperformed by 0.67%)
Fund Goal: To generate long-term capital appreciation by investing in largecap corporations.
Annualised Returns:
- 1 Yr: 1.7%
- 3 Years: 14.5%
- 5 Years: 18.1%
- 10 Years: 14.7%
Who Can Make investments: Lengthy-term traders preferring consistency.
Danger Components:
- Marginal underperformance
- Excessive AUM focus danger
- Benchmark-driven corrections
This fund is amongst 10 Mutual Funds That Turned ₹ 1 Lakh Into Over ₹ 10 Lakhs in 15 Years.
9. Groww Giant Cap Fund
- Benchmark: Nifty 100 TRI
- 5-Yr Returns: 18.21% vs 18.84% (Underperformed by 0.64%)
Fund Goal: To ship long-term capital development by way of largecap shares.
Annualised Returns:
- 1 Yr: -0.4%
- 3 Years: 15.8%
- 5 Years: 18.2%
- 10 Years: 13.3%
Who Can Make investments: Buyers with medium danger urge for food.
Danger Components:
- Upset vs benchmark regardless of respectable efficiency
- Quick-term volatility danger
- Sector focus
10. Bandhan Giant Cap Fund
This fund is amongst 13 Wealth Builder Mutual Funds with 5 Star Ranking from ValueResearch to spend money on 2025.
- Benchmark: BSE 100 TRI
- 5-Yr Returns: 19.33% vs 19.56% (Underperformed by 0.22%)
Fund Goal: Lengthy-term wealth creation by funding in largecap corporations.
Annualised Returns:
- 1 Yr: NA
- 3 Years: NA
- 5 Years: 19.3%
- 10 Years: NA
Who Can Make investments: Lengthy-term traders in search of near-benchmark efficiency.
Danger Components:
- Marginal underperformance
- Quick historical past of efficiency
- Benchmark-tracking danger
Conclusion
Whereas largecap mutual funds are thought of comparatively secure, not all of them have managed to fulfill investor expectations within the final 5 years. The frustration ranges from marginal (0.22%) to vital (3.73%). Buyers mustn’t take choices purely based mostly on short-term or medium-term underperformance. Nevertheless, constant laggards with weak monitor data (like Axis, Taurus, JM) could have to be reviewed appropriately.
If you’re invested in any of those funds, verify your funding horizon, examine with friends, and consider whether or not switching to a constant performer may gain advantage you in the long term.
