Top Gold ETF vs Top Large Cap Mutual Fund 10 Year Returns: Stable returns are important for any investment. But when we talk about equity and stock price tracking options, there is no guarantee of stable returns in the short term.
But if we stick to our investments for a long time, there is a higher chance of a stable return.
Among equity mutual funds, large cap funds are considered the most stable.
The reason is that they have at least 80 percent of their money invested in major stocks.
In terms of assets or investments that track asset prices, gold ETFs are also considered a stable option over time.
In this article, know more about gold ETFs and mutual funds, which has been the highest gold ETF and mutual fund in terms of compound annual return (CAGR) over 10 years, and which investment is Rs 11 lakh in each. give them in 10 years.
Gold ETF
Gold ETFs are like any other exchange-traded fund that tracks the price of 99.5 percent gold.
One unit of ETF gold is equal to 1 gram of gold.
Investing in a gold ETF combines the flexibility of investing in stocks and gold.
Investors who do not want to invest in physical gold due to storage difficulties, or doubts about the purity of gold can invest in gold ETFs.
One needs to have a demo account to trade ETFs.
The net asset value (NAV) price of a gold ETF fluctuates during trading hours in the same way as the stock price.
A large fund of mutual funds
Large cap mutual funds are required to have 80 percent of their funds invested in large-cap stocks.
Large cap companies are the top 100 Indian companies by market capitalization.
These companies are fundamentally strong, have large businesses, and can deal with market volatility better than mid and small caps.
Investors with a low risk appetite can invest in large mutual funds.
But since these are linked to the market, they carry risk and are considered good for the long term. investment.
Top gold ETF in 10 years
The top gold ETF in terms of the highest annual return (CAGR) is the LIC MF Gold ETF.
The top 10 largest investment funds
The largest mutual fund with the highest annual return is Quant Focused Fund – Direct Plan.
LIC MF Gold ETF
The ETF provided 10.86% annual return over 10 years.
It has assets under management of Rs 151 crore, while its net asset value (NAV) is Rs 7,236.2648.
Compared to the domestic price of gold, the ETF has provided a 7.15% annual return since its inception in November 2011.
With an expense ratio of 0.41 percent, the ETF has Rs 10,000 as a minimum investment.
Quant Focused Fund – Direct Program
The large cap mutual fund gave 18.30 percent annual return over a 10-year period.
The fund has an AUM of Rs 1,183 crore, while its NAV is Rs 97.7323.
Compared to NIFTY 500 TRI, this fund has given annualized returns of 18.92 percent since its inception in January 2013.
At an expense ratio of Rs 0.66 per cent, the fund has Rs 1,000 as minimum SIP investment and Rs 5,000 as minimum lump sum investment.
The main holdings under its 18-stock portfolio are ITC, RIL, Grasim Industries, LIC, Jio Financial Services, NTPC, and HDFC Bank.
Present value of investment of Rs 11 lakh in LIC MF Gold ETF over 10 years
The average return on an investment of Rs 11 lakh in an ETF is Rs 19,84,192.
Present value of investment of Rs 11 lakh in Quant Focused Fund – Direct Plan in 10 years
The average return on an investment of Rs 11 lakh in a large mutual fund is Rs 48,05,275.