Fincash » L&T Midcap Fund Vs HDFC Mid-cap Opportunities Fund
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There are numerous differences between L&T Midcap Fund and HDFC Mid-cap Opportunities Fund based on numerous parameters. These differences are present even though both the schemes belong to the same category of mid cap funds. Mid-cap Mutual Funds are the schemes whose corpus is invested in shares of companies having a Market capitalization between INR 500 – INR 10,000 Crores. These companies are considered to have good growth potentials. These companies have the ability to perform and become part of large-cap companies. In numerous situations, mid-cap companies have outperformed large-cap companies. So, let us understand the differences between L&T Midcap Fund and HDFC Mid-cap Opportunities Fund by comparing their AUM, performance, NAV, and so on.
L&T Midcap Fund is managed and offered by L&T Mutual Fund under the mid-cap category of Equity Funds. This open-ended scheme was launched on August 04, 2009 and it uses Nifty Midcap 100 TRI Index as its base to build its Portfolio. The investment objective of L&T Midcap Fund is to attain Capital growth in the long-term by Investing in mid-cap companies. In addition, L&T Midcap Fund invests its fund money in stocks that are a part of its benchmark index. Some of the stock selection criteria of L&T Midcap Fund include quality of the company’s management, the competitive position of the company, and its valuations. As per the Asset Allocation objective of the scheme, it invests around 80-100% of its corpus in equity and equity-related securities of mid-cap companies while the remaining in fixed Income securities. L&T Midcap Fund is jointly managed by Mr. Vihang Naik and Mr. S. N. Lahiri.
HDFC Mid-cap Opportunities Fund’s is to achieve capital growth in the long-term from a portfolio that predominantly consists of equity and equity-related instruments. These instruments generally belong to mid and small-cap sectors. The scheme uses NIFTY Midcap 100 Index and NIFTY 50 Index as its benchmark to construct its portfolio. As on March 31, 2018, some of the constituents of HDFC Mid-cap opportunities Fund included MRF Limited, Apollo Tyres Limited, Exide Industries Limited, and City Union Bank Limited. This scheme is suitable for individuals seeking capital appreciation over long-term by predominantly investing in shares of small and mid-sized companies. As per the asset allocation objective of the scheme, it invests around 75-100% of its corpus in mid and small-cap companies while the remaining in Fixed Income and money market securities.
The differences between L&T Midcap Fund Vs HDFC Mid-cap Opportunities Fund are explained below by comparing various parameters that are classified into various sections, namely, basics section, performance section, yearly performance section, and other details section.
It is the first section in the comparison that includes parameters such as Current NAV, scheme category, and Fincash Rating. The comparison of current NAV states that there is a drastic difference in the NAV of both the schemes. The NAV of L&T Midcap Fund was approximately INR 147 and of HDFC Mid-cap Opportunities Fund was approximately INR 59 as of April 24, 2018. With respect to Fincash Rating, it can be said that HDFC Mid-cap Opportunities Fund is a 3-Star rated scheme while L&T Midcap Fund is a 4-Star rated scheme. However, in case of scheme category, it can be said that both the schemes belong to the same category of Equity Mid & small cap. The comparison of basics section is as shown in the table given below.
Parameters Basics NAV Net Assets (Cr) Launch Date Rating Category Sub Cat. Category Rank Risk Expense Ratio Sharpe Ratio Information Ratio Alpha Ratio Benchmark Exit Load Essel Long Term Advantage Fund
Growth
Fund Details ₹26.7625 ↓ -0.19 (-0.69 %) ₹53 on 28 Feb 25 30 Dec 15 Equity ELSS Moderately High 2.11 -0.54 -1.04 -2.66 Not Available NIL HDFC Mid-Cap Opportunities Fund
Growth
Fund Details ₹173.523 ↓ -0.52 (-0.30 %) ₹67,579 on 28 Feb 25 25 Jun 07 ☆☆☆ Equity Mid Cap 24 Moderately High 1.51 -0.12 0.92 2.39 Not Available 0-1 Years (1%),1 Years and above(NIL)
This section compares the Compounded Annual Growth Rate or CAGR returns of both the schemes at various timeframes. The comparison of the performance section reveals that for most of the time intervals, L&T Midcap Fund has performed better as compared to HDFC Mid-cap Opportunities Fund. The table given below shows the summary comparison of the performance section.
Parameters Performance 1 Month 3 Month 6 Month 1 Year 3 Year 5 Year Since launch Essel Long Term Advantage Fund
Growth
Fund Details 6.1% -6% -14% 4.6% 10.7% 20.4% 11.2% HDFC Mid-Cap Opportunities Fund
Growth
Fund Details 6.7% -8.3% -11% 10.6% 24.8% 34.8% 17.4%
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The comparison of the absolute returns generated by both the schemes for a particular year is compared in the yearly performance section. The analysis of absolute returns shows that for certain years L&T Midcap Fund leads the race while in others HDFC Mid-cap Opportunities Fund leads the race. The summary comparison of the yearly performance section is tabulated as follows.
Parameters Yearly Performance 2023 2022 2021 2020 2019 Essel Long Term Advantage Fund
Growth
Fund Details 11.8% 24.1% -2% 29.4% 8.5% HDFC Mid-Cap Opportunities Fund
Growth
Fund Details 28.6% 44.5% 12.3% 39.9% 21.7%
It is the last section in the comparison that includes elements such as AUM, minimum SIP investment, minimum lumpsum investment, and others. To begin with the AUM, it can be said that there is a drastic difference in the AUM of both the schemes. As on March 31, 2018, the AUM of L&T Midcap Fund was approximately INR 2,403 Crores while of HDFC Mid-cap Opportunities Fund was approximately INR 19,339 Crores. The minimum SIP and lumpsum investment for both the schemes are same. The minimum SIP amount for both the schemes is INR 500 while the lumpsum amount for both the schemes is INR 5,000. The summary comparison of the other details section is as shown in the table given below.
Parameters Other Details Min SIP Investment Min Investment Fund Manager Essel Long Term Advantage Fund
Growth
Fund Details ₹500 ₹500 Ashutosh Shirwaikar - 1.58 Yr. HDFC Mid-Cap Opportunities Fund
Growth
Fund Details ₹300 ₹5,000 Chirag Setalvad - 17.7 Yr.
Essel Long Term Advantage Fund
Growth
Fund Details Growth of 10,000 investment over the years.
Date Value 29 Feb 20 ₹10,000 28 Feb 21 ₹11,840 28 Feb 22 ₹13,451 28 Feb 23 ₹13,683 29 Feb 24 ₹17,927 28 Feb 25 ₹17,359 HDFC Mid-Cap Opportunities Fund
Growth
Fund Details Growth of 10,000 investment over the years.
Date Value 29 Feb 20 ₹10,000 28 Feb 21 ₹13,425 28 Feb 22 ₹16,210 28 Feb 23 ₹18,461 29 Feb 24 ₹29,041 28 Feb 25 ₹30,075
Essel Long Term Advantage Fund
Growth
Fund Details Asset Allocation
Asset Class Value Cash 9.49% Equity 90.51% Equity Sector Allocation
Sector Value Financial Services 18.85% Industrials 18.02% Technology 13.14% Health Care 11.69% Consumer Defensive 7.96% Basic Materials 6.06% Energy 5.12% Consumer Cyclical 4.85% Communication Services 4.81% Top Securities Holdings / Portfolio
Name Holding Value Quantity Persistent Systems Ltd (Technology)
Equity, Since 31 Jul 22 | PERSISTENT5% ₹3 Cr 4,400 Infosys Ltd (Technology)
Equity, Since 30 Apr 20 | INFY4% ₹2 Cr 13,000 Reliance Industries Ltd (Energy)
Equity, Since 31 Dec 19 | RELIANCE4% ₹2 Cr 18,536 Hindustan Aeronautics Ltd Ordinary Shares (Industrials)
Equity, Since 30 Sep 22 | HAL3% ₹2 Cr 5,000 Axis Bank Ltd (Financial Services)
Equity, Since 31 Jul 18 | 5322153% ₹2 Cr 19,500
↑ 6,000 Sun Pharmaceuticals Industries Ltd (Healthcare)
Equity, Since 28 Feb 21 | SUNPHARMA3% ₹2 Cr 10,500 ICICI Bank Ltd (Financial Services)
Equity, Since 31 Mar 16 | ICICIBANK3% ₹2 Cr 13,609 Aurobindo Pharma Ltd (Healthcare)
Equity, Since 31 Jan 25 | AUROPHARMA3% ₹2 Cr 14,000
↑ 14,000 UPL Ltd (Basic Materials)
Equity, Since 31 Oct 23 | UPL3% ₹2 Cr 27,000 Bharti Airtel Ltd (Communication Services)
Equity, Since 31 Jan 20 | BHARTIARTL3% ₹2 Cr 10,000
↓ -6,000 HDFC Mid-Cap Opportunities Fund
Growth
Fund Details Asset Allocation
Asset Class Value Cash 8.07% Equity 91.93% Equity Sector Allocation
Sector Value Financial Services 24.44% Consumer Cyclical 17.51% Health Care 11.93% Industrials 10.38% Technology 10.11% Basic Materials 6.21% Consumer Defensive 4.23% Communication Services 3.05% Energy 2.69% Utility 1.37% Top Securities Holdings / Portfolio
Name Holding Value Quantity Max Financial Services Ltd (Financial Services)
Equity, Since 31 Oct 14 | 5002714% ₹2,838 Cr 25,438,767
↑ 694,674 Indian Hotels Co Ltd (Consumer Cyclical)
Equity, Since 31 Mar 16 | 5008504% ₹2,720 Cr 35,573,103
↓ -3,566,569 Coforge Ltd (Technology)
Equity, Since 30 Jun 22 | COFORGE3% ₹2,483 Cr 3,004,120 Balkrishna Industries Ltd (Consumer Cyclical)
Equity, Since 31 Mar 12 | BALKRISIND3% ₹2,434 Cr 8,783,362
↑ 606,494 The Federal Bank Ltd (Financial Services)
Equity, Since 31 Oct 09 | FEDERALBNK3% ₹2,393 Cr 127,825,000
↑ 1,000,000 Ipca Laboratories Ltd (Healthcare)
Equity, Since 31 Jul 07 | 5244943% ₹2,283 Cr 15,820,332
↑ 18,438 Persistent Systems Ltd (Technology)
Equity, Since 31 Dec 12 | PERSISTENT3% ₹2,167 Cr 3,592,735 Indian Bank (Financial Services)
Equity, Since 31 Oct 11 | 5328143% ₹2,035 Cr 36,619,529 Hindustan Petroleum Corp Ltd (Energy)
Equity, Since 30 Sep 21 | HINDPETRO3% ₹1,979 Cr 55,230,830
↑ 1,775,773 Apollo Tyres Ltd (Consumer Cyclical)
Equity, Since 30 Sep 12 | 5008772% ₹1,832 Cr 41,892,187
Therefore, it can be concluded from the above pointers, that both the schemes differ on account of numerous parameters. As a result, individuals should be careful before investing in any of the schemes by understanding it thoroughly. They should also ensure that the scheme matches their investment qualities or not. This will help them to attain their objectives on time and in a hassle-free manner.