Whalesbook
The Baroda BNP Paribas Large and Midcap Fund has marked its five-year anniversary, transforming a ₹1 lakh lump-sum investment into ₹2.75 lakh and a ₹10,000 monthly SIP into ₹9.61 lakh as of October 31, 2025. The fund surpassed ₹1,500 crore in Assets Under Management (AUM) and delivered a 21.23% annualized return since inception, outperforming its benchmark. It holds balanced exposure to large and mid-cap stocks, with current overweights in consumer discretionary, IT, and financials.
A significant milestone has been reached by the Baroda BNP Paribas Large and Midcap Fund, which has completed five years of operation. Data shows that a ₹1 lakh lump-sum investment made at its inception would have grown to approximately ₹2.75 lakh by October 31, 2025, nearly tripling the initial amount. For investors preferring regular investments, a monthly Systematic Investment Plan (SIP) of ₹10,000 initiated since the fund's launch has accumulated to ₹9.61 lakh over the same five-year period. The fund also crossed a major threshold by accumulating over ₹1,500 crore in Assets Under Management (AUM), signifying its growth and scale within the competitive large- and mid-cap category. Performance-wise, the fund has consistently outperformed its benchmark, the BSE 250 Large & Midcap TRI. Over the past three years, it yielded a return of 17.08%, compared to the benchmark's 13.9%. Since its inception, the fund has generated an impressive 21.23% return annually, exceeding the benchmark's 19.82%. Managed by Chief Investment Officer–Equity Sanjay Chawla and Senior Analyst Kirtan Mehta, the fund's strategy involves investing at least 35% in large-cap companies and an equal portion in mid-cap companies. As of October 2025, the portfolio allocation was slightly tilted towards large caps, with over half the investments in this segment, while 45.4% was allocated to mid- and small-cap stocks. Sector-wise, the fund maintained overweight positions in consumer discretionary, information technology, and financials during October. Conversely, it remained underweight in materials, utilities, and consumer staples. Fund managers explained their sector choices, citing strong festive-season demand as a positive for consumer discretionary stocks, while global factors like US tariffs contributed to a cautious outlook on materials due to oversupply pressures.
Impact
This news is highly relevant for investors in India looking at equity mutual funds, particularly in the large and mid-cap segments. It highlights a fund that has delivered strong returns and significant AUM growth, potentially attracting new investments and influencing investor confidence in such schemes. It also serves as a performance benchmark for similar funds.
Rating: 6/10
Difficult Terms Explained
Lump-sum Investment: Investing a single, large sum of money at one time.
Systematic Investment Plan (SIP): A method of investing a fixed amount of money at regular intervals (e.g., monthly) into a mutual fund scheme.
Assets Under Management (AUM): The total market value of all assets managed by a mutual fund company.
Benchmark: A standard or index against which the performance of an investment or fund is measured. The BSE 250 Large & Midcap TRI is the benchmark for this fund.
Large-cap Companies: Companies with a large market capitalization, generally the largest companies by market value.
Mid-cap Companies: Companies with a medium market capitalization, between large-cap and small-cap companies.
Small-cap Companies: Companies with a small market capitalization, typically smaller than mid-cap companies.
Overweight Position: A strategy where a fund manager invests more in a particular stock or sector than its weight in the benchmark index, signaling a positive outlook.
Underweight Position: A strategy where a fund manager invests less in a particular stock or sector than its weight in the benchmark index, signaling a cautious outlook.
Consumer Discretionary: A sector that includes non-essential goods and services, such as automobiles and luxury items, whose demand typically rises with economic growth.
Information Technology (IT): The sector involved with computers, software, and technology services.
Financials: The sector comprising companies that provide financial services like banking and insurance.
Materials: The sector including companies involved in producing raw materials such as metals, minerals, and chemicals.
Utilities: The sector providing essential services like electricity, gas, and water.
Consumer Staples: A sector that includes everyday necessity goods such as food, beverages, and household products.
