International mutual funds showed good returns recently. Experts suggest a small allocation for diversification. U.S. markets are favored, while China is a tactical bet. Domestic equity funds are recommended for long-term growth. Volatility and geopolitical events impact international funds. Investors should focus on well-diversified domestic funds. Experts advise SIPs for long-term investment. Investors should pay attention to geography of investment.

Gold funds and ETFs have surged, delivering impressive returns this year, fueled by geopolitical tensions and central bank buying. Experts advise caution for fresh investments, suggesting a strategic allocation of 5-10% of portfolio for diversification. While gold offers a hedge against uncertainty, equity mutual funds may provide better long-term returns, making SIPs in equity a potentially more rewarding option.

Around 14 equity mutual funds delivered over 30% CAGR in the last three years. Motilal Oswal Midcap Fund topped with 35.39% CAGR. Bandhan Small Cap Fund followed closely with 35.18%. Motilal Oswal Large & Midcap Fund offered 33.64%. ITI Small Cap Fund and HDFC Mid-Cap Opportunities Fund also gave strong returns. Nippon India Small Cap Fund gave 30.01% returns.

Asset allocation is the backbone of long-term investing success. It defines how money is distributed across equities, debt, gold, or cash, based on individual goals, risk tolerance, and time horizon—often proving more crucial than selecting specific funds.

Around ten equity mutual funds consistently delivered over 30% CAGR in the last three to five years. ETMutualFunds analyzed 199 equity mutual funds for at least five years. Bandhan Small Cap Fund and Motilal Oswal Midcap Fund gave over 35% CAGR in both horizons. Quant Small Cap Fund offered the highest CAGR of 43.86% in the last five years.

Multi cap funds are gaining traction, with a corpus nearing Rs 1.75 lakh crore by May. Offering balanced exposure to large, mid, and small caps, they help investors benefit across market cycles. With India’s robust growth outlook and demographic edge, these funds offer a disciplined, diversified path to long-term wealth.

Indian retail investors seeking large-cap exposure can consider the Nifty Top 15 Equal Weight index. This index offers balanced exposure across constituents by assigning equal weight to the top 15 companies. It reduces over-reliance on dominant players. The index has outperformed the Nifty 50 in various time frames. It has shown resilience during market downturns.