Nifty 500 underperformed for nearly 2 years: These mutual funds delivered up to 27% returns

The Nifty 500 hit a peak on September 26, 2024, and the nearly two-year period since then has been challenging for the broader market. However, a snapshot of active mutual fund performance shows that several schemes across categories managed to generate substantial positive returns during the period.

Data comparing fund performance from September 26, 2024, to September 22, 2026 showed significant variations across categories and schemes. The analysis ranked funds based on their absolute returns during this period.

Multi Asset funds among the strongest performers

The Multi Asset Allocation category recorded some of the highest returns in the study. WhiteOak Multi Asset Allocation Fund topped the category with a 27.16% return, followed by DSP Multi Asset Allocation Fund at 25.78% and Mahindra Manulife Multi Asset Allocation Fund at 24.51%.

The performance indicates that funds with exposure across multiple asset classes were able to generate positive returns during the period, although past performance does not indicate future returns.

Smallcap funds also delivered strong gains

Smallcap funds featured prominently among the better-performing schemes. Motilal Oswal Small Cap Fund recorded a 25.78% return, the highest in the category. Union Small Cap Fund followed at 20.35%, while ITI Small Cap Fund delivered 19.59%.

The category, however, also highlights the variation between individual schemes, making fund selection an important factor when comparing returns.

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Multicap and Midcap categories see double-digit returns

Motilal Oswal also led the Multicap category, with a 21.32% return. WhiteOak Multicap Fund stood second at 11.41%, while Mahindra Manulife Multicap Fund returned 9.58%.

In the Midcap category, WhiteOak Mid Cap Fund topped the list with an 18.93% return. HSBC Mid Cap Fund followed at 18.17%, while Invesco India Midcap Fund delivered 16.75%.

Large & Midcap and Value funds show wide differences

In the Large & Midcap segment, Invesco India Large & Midcap Fund led with a 12.93% return, followed by Motilal Oswal Large & Midcap Fund at 11.66% and HSBC Large & Midcap Fund at 8.02%.

Among Value funds, LIC MF Value Fund recorded 10.60%, followed by DSP Value Fund at 9.31% and Axis Value Fund at 6.23%.

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Top-performing mutual funds from September 26, 2024 to September 22, 2026

Flexicap performance was more varied

The Flexicap category also produced positive returns among its leading schemes. Helios Flexi Cap Fund topped the category with 9.86%, followed by ITI Flexi Cap Fund at 8.62% and Bank of India Flexi Cap Fund at 7.10%.

The comparison underscores the wide dispersion in returns among actively managed funds even when the broader market environment has been difficult. Investors, however, should assess a fund's portfolio, risk, investment strategy, costs and longer-term performance rather than selecting a scheme solely on the basis of a two-year return period.

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