Nippon India Large Cap Fund hits Rs 50,000 Cr AUM milestone; check its return, peer comparison

Nippon India Large Cap Fund has joined the elite Rs 50,000-crore assets under management (AUM) club, aligning with giants like ICICI Prudential Bluechip Fund and SBI Bluechip Fund. This milestone arrives despite softening inflows into large-cap funds in recent months, driven by profit booking after a market rally and festival-season liquidity drains.

Large-cap funds attract risk-averse and novice investors with portfolios anchored in blue-chip giants—sector leaders boasting robust models, high liquidity, and resilience against downturns. Unlike volatile mid- and small-cap peers, they offer stability, dominating over 65% of India's market cap, 60% of BSE 500 revenues, and 65% of profits.

Stellar performance

Nippon India Large Cap Fund leads the pack with annualized returns of 18% over three years and 22% over five years.

Fund    3-Year Return (%)    5-Year Return (%)
Nippon India Large Cap    18    22

Experts hail large-caps as the MF investing backbone, delivering steady long-term gains and potential dividends. High stock liquidity enables quick adjustments, while multi-sector diversification smooths risks. "They weather cycles better, forming core portfolios for balanced growth," notes a market analyst.

This surge highlights enduring appeal amid choppy flows, positioning large-caps as safe bets for wealth building.

Performance, returns and outlook

How Nippon India Large Cap Fund performs

Imagine a reliable workhorse in your investment stable – that's Nippon India Large Cap Fund. It's been delivering steady results through ups and downs, making it a go-to for folks building long-term wealth. As of December 12, 2025, the fund sticks to its promise: at least 80% in big, stable large-cap stocks, keeping things calmer than those wild mid- or small-cap rides.

Lately, things have quieted down a bit. Over the past year, it's clocked 9.1% returns – solid, but just behind its BSE 100 TRI benchmark at 10%. The last six months? Steady but not flashy, thanks to high valuations and picky earnings in the large-cap world. It's like the fund's playing it smart, staying cautious amid global jitters.

But zoom out, and the real story shines. Over three years, it's compounded nicely on picks like top banks, everyday consumer brands, and industrials. Five years? Even better – it's grown wealth through the pandemic bounce-back, rate hikes, and all the recent drama.

What powers it? A diverse mix of over 70 stocks. Financials lead the pack, with consumer goodies, energy, staples, and factories close behind. This spread acts like a safety net – cushions the falls, joins the rallies.

On risk? It's got that defensive edge. Lower beta means less wild swings than the benchmark, and a sharper Sharpe ratio beats most peers – better bang for your risk buck.

Peer performance

Large-cap fund performance varies by timeframe, reflecting shifts in market leadership. Over the past six months, low-volatility strategies have outperformed as investors favoured stability amid market consolidation. One-year returns show equal-weight funds leading, supported by broader market participation beyond index heavyweights. 

Over three- and five-year horizons, PSU-focused strategies tracking the BHARAT 22 theme have dominated, driven by reforms, balance-sheet improvements and valuation re-rating. Overall, short-term performance has been defensive, while medium- to long-term returns have rewarded thematic exposure to public sector enterprises and diversified large-cap portfolios.

Timeframe : 6 Months
Theme     : Low-Volatility Strategy
Top Fund 1: Kotak Nifty 100 Low Volatility 30 ETF – 7.08%
Top Fund 2: HDFC NIFTY100 Low Volatility 30 ETF – 6.97%
Outlook   : Likely to remain resilient in range-bound markets, though upside may be capped during sharp rallies.

Timeframe : 1 Year
Theme     : Equal-Weight Strategy
Top Fund 1: DSP NIFTY 50 Equal Weight ETF – 9.55%
Top Fund 2: SBI Nifty 50 Equal Weight ETF – 9.47%
Outlook   : Could continue to perform if market leadership rotates beyond heavyweight stocks.

Timeframe : 3 Years
Theme     : PSU / BHARAT 22
Top Fund 1: BHARAT 22 ETF – 25.83%
Top Fund 2: ICICI Prudential BHARAT 22 FoF (Direct Plan) – 25.50%
Outlook   : Returns may normalise, but long-term PSU re-rating potential remains intact.

Timeframe : 5 Years
Theme     : PSU / BHARAT 22
Top Fund 1: BHARAT 22 ETF – 29.61%
Top Fund 2: ICICI Prudential BHARAT 22 FoF (Direct Plan) – 29.36%
Outlook   : Valuations warrant caution, but suitable for investors with high risk tolerance and long investment horizons.