4 hrs ago
Motilal Oswal and Invesco Mid-Cap Funds Compared
These are two investment funds that buy shares in medium-sized companies in India.
Motilal Oswal keeps a smaller group of stocks and trades them more often.
That approach can work very well when its choices do well, but it can also mean bigger ups and downs.
Invesco owns more stocks and usually keeps them for longer.
Over the five years shown, Motilal Oswal had the higher annualised return.
Invesco had better risk-adjusted scores in the figures reported, while both funds had relatively high volatility.
The article does not say that one fund is right for everyone.
It says investors should choose based on their own goals and comfort with risk.
Motilal Oswal returned 19.96% annualised over five years, compared with Invesco’s 18.62%.
Motilal Oswal’s one- and two-year returns were negative in the figures shown, while Invesco’s were positive.
Motilal Oswal had higher three-year annualised volatility; Invesco had higher Sharpe and Sortino ratios.
Motilal Oswal held around 20–30 stocks and reported higher portfolio turnover than Invesco.
The article presents Motilal Oswal as the more concentrated, active option and Invesco as the more diversified, long-term approach.
- Who
- Motilal Oswal Mid Cap Fund and Invesco India Midcap Fund.
- What
- A comparison of their returns, risk measures, investment approaches, and portfolios.
- Where
- India.
- When
- The article gives historical performance periods and fund launch dates, but no publication date.
- Why
- To help investors assess how the funds’ differing strategies and risk-return profiles may align with their objectives.
Motilal Oswal Mid Cap Fund
Invesco India Midcap Fund
Investment approach
Motilal Oswal Mid Cap Fund
Uses a concentrated portfolio of up to 35 companies and a more active, higher-turnover strategy that may generate strong gains when its selections succeed.
Invesco India Midcap Fund
Holds a more diversified portfolio of around 40–50 stocks, generally with a longer-term buy-and-hold approach.
Returns and risk
Motilal Oswal Mid Cap Fund
Delivered nearly 20% annualised returns over five years, but had the highest standard deviation in its category and weaker recent one- and two-year returns.
Invesco India Midcap Fund
Returned 18.62% annualised over five years and posted better Sharpe and Sortino ratios in the figures cited, though its volatility was also high.
Portfolio trade-offs
Motilal Oswal Mid Cap Fund
Its top 10 holdings account for nearly 55% of assets, increasing the potential impact of successful or unsuccessful stock picks.
Invesco India Midcap Fund
Its top 10 holdings account for about 50% of assets, and its lower turnover reflects a steadier, longer-term approach.
Key facts
- Motilal Oswal fund launch
- 28 February 2014
- Invesco fund launch
- 19 April 2007
- Five-year annualised return
- Motilal Oswal: 19.96%; Invesco: 18.62%
- Three-year annualised standard deviation
- Motilal Oswal: 19.29%; Invesco: 18.38%
- Three-year Sharpe ratio
- Motilal Oswal: 0.21; Invesco: 0.28
- Portfolio size
- Motilal Oswal: around 20–30 stocks; Invesco: around 40–50 stocks
- Reported portfolio turnover
- Motilal Oswal: 85–130% in the last year; Invesco: 30–35%
Sources
Related news
Midcap Funds Show Wide Differences in Portfolio Construction
Experts Recommend SIPs for Mid-Cap Funds Amid Market Volatility
Mid Cap Funds and Nifty Next 50 Offer Different Risks
Active Mutual Funds Beat Nifty 500 During Two-Year Slump
Ex-Goldman Manager Builds India’s Mutual Fund Challenger
Five Diversified Equity Funds Outperform Their Category Averages
Matt Renshaw’s 190 Breaks Virat Kohli’s Test Record
Gavaskar Launches Book Chronicling Sanjay Jagdale’s Cricket Journey
Five IPL All-Rounders Could Benefit if Impact Player Rule Ends
Renshaw Breaks Kohli’s Tail-End Test Record With 190
