UTI Large & Mid Cap Fund

Whether the fund is good or bad depends on the investor’s time horizon. The fund is suitable for investors with an investment horizon of 5-7 years. While the fund offers cushion during market downturns with a 35% minimum allocation to large-cap stocks, the mid-cap portion of the portfolio can be volatile. The additional volatility enables the fund to generate higher returns than the Nifty 50 index, but the focus remains on return stability.

Yes, one can invest in the UTI Large & Mid Cap Fund through a Direct plan. The scheme offers both the Direct and Regular Plan. As a Certified Investment Advisor, NS Wealth offers only fee-based mutual fund advisory services, so we consider only direct plans for advisory purposes.

Like any other equity scheme, investing in the UTI Large & Mid Cap Fund carries a few risks common to all equity schemes. These are the common, inherent risks associated with investing in the Indian equity market, such as market volatility stemming from macroeconomic trends, geopolitical issues, or government policy changes. As the fund uses a Top-down approach in portfolio construction, there can also be additional sector-specific risk. Since the fund is mandated to allocate at least 35% to both large & mid-cap companies, it offers better diversification for any portfolio. The Large-cap part of the scheme offers stability, and the midcap offers an opportunity to generate additional alpha over and above an average Nifty-50 index fund.

The fund is managed by Mr. Srivastava, who has managed the fund since 2017 and has 25 years of experience in fund management and equity research.

According to the latest NS Wealth research, the expense ratio of Invesco India Large & Mid Cap is higher than the category average. The direct plan’s expense ratio currently stands at 0.88%, and the regular plan’s is 1.79%.