Table of Contents
Nippon India Large Cap Fund and HDFC Top 100 Fund both belong to the large-cap category of Equity Funds. These schemes though belong to the same category, yet there exist differences between both the schemes. On a general note, Large cap funds refer to those schemes whose corpus is invested in equity and equity-related instruments of companies having a Market capitalization of more than INR 10,000 crores.
These companies are considered to be huge in size and manpower. Also known as bluechip companies, these companies show stable performance with respect to growth and Earnings on a yearly Basis. Even during economic downturns, the share prices of these companies do not fluctuate much. As a result, many individuals switch their investments to large-cap companies during periods of economic downturns. So, let us understand the differences between Nippon India Large Cap Fund Vs HDFC Top 100 Fund.
Nippon India Large Cap Fund (Formerly known as Reliance Large Cap Fund) is managed and offered by Nippon India Mutual Fund under the large-cap category of equity funds. This open-ended scheme was launched in the year 2007 and it uses S&P BSE 200 Index as its benchmark to construct its Portfolio. The scheme invests its accumulated fund money in shares of companies that lie between the Range of highest and lowest market capitalization of its benchmark index. Reliance Large Cap Fund is jointly managed by Mr. Shailesh Raj Bhan and Mr. Ashwani Kumar. As on March 31, 2018, some of the top holdings of Reliance Large Cap Fund consisted of HDFC Bank Limited, ITC Limited, Larsen & Toubro Limited, Tata Steel Limited, and ACC Limited. The scheme strives to invest in companies that have growth potentials coupled with reasonable valuations and give high returns on equity.
From October 2019, Reliance Mutual Fund has been renamed as Nippon India Mutual Fund. Nippon Life has acquired majority (75%) stakes in Reliance Nippon Asset Management (RNAM). The company will continue to run its operations without any change in structure and management.
HDFC Top 100 Fund (earlier known as HDFC Top 200 Fund) is an open-ended large-cap fund that was incepted on October 11, 1996. The scheme’s objective is to generate long-term Capital growth from a portfolio predominantly consisting of equity and equity-related instruments. HDFC Top 100 Fund uses S&P BSE 200 as its primary benchmark and S&P BSE Sensex as its additional benchmark to build its portfolio. HDFC Top 100 Fund is jointly managed by Mr. Rakesh Vyas and Mr. Prashant Jain. Infosys Limited, Reliance Industries Limited, NTPC Limited, Tata Consultancy Services Limited, and HDFC Bank Limited are some of the top constituents of HDFC TOP 100 Fund’s portfolio as on March 31, 2018. The risk-appetite of this scheme is moderately high.
Though both Nippon India Large Cap Fund and HDFC Top 100 Fund belong to the large-cap category of equity funds, nevertheless; they differ on account of various parameters. So, let us understand the differences between both the schemes based on these parameters that are divided into four sections, namely, basics section, performance section, yearly performance section, and other details section.
Current NAV, Fincash Rating, and Scheme Category are some of the comparable elements that form part of the basics section. It is the first section in the comparison of both the schemes. The comparison of current NAV reveals that there is a drastic difference between the NAV of both the schemes. As on April 23, 2018, the NAV of Nippon India/Reliance Large Cap Fund was approximately INR 32 while of HDFC Top 100 Fund was approximately INR 445. With respect to the Fincash Rating, Nippon India Large Cap Fund is rated with 4-Star, while HDFC Top 100 Fund is rated as 3-Star. The summary comparison of the 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 Nippon India Large Cap Fund
Growth
Fund Details ₹89.7441 ↑ 0.13 (0.15 %) ₹31,801 on 31 Jul 24 8 Aug 07 ☆☆☆☆ Equity Large Cap 20 Moderately High 1.7 2.53 2.02 6.73 Not Available 0-1 Years (1%),1 Years and above(NIL) HDFC Top 100 Fund
Growth
Fund Details ₹1,168.98 ↓ -1.09 (-0.09 %) ₹37,081 on 31 Jul 24 11 Oct 96 ☆☆☆ Equity Large Cap 43 Moderately High 1.67 2.15 1.02 2.48 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 intervals. Some of the time intervals include 3 Month Return, 6 Month Return, 1 Year Return, and Return since Inception. The comparison of CAGR returns shows that in many of the time intervals, Nippon India Large Cap Fund has done better as compared to HDFC Top 100 Fund. The table given below shows the summary of performance section.
Parameters Performance 1 Month 3 Month 6 Month 1 Year 3 Year 5 Year Since launch Nippon India Large Cap Fund
Growth
Fund Details 3.7% 11.2% 15.2% 37% 22.5% 23.3% 13.7% HDFC Top 100 Fund
Growth
Fund Details 4.3% 11.9% 13.1% 36.5% 20.5% 20.5% 19.5%
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The comparison of absolute returns generated by both the schemes for a particular year is compared in the yearly performance section. It is the third section in the comparison of both the schemes. The comparison of absolute returns reveals that in many instances the performance of Reliance Large Cap Fund is better as compared to HDFC Top 100 Fund. The summary comparison of the yearly performance section is tabulated as follows.
Parameters Yearly Performance 2023 2022 2021 2020 2019 Nippon India Large Cap Fund
Growth
Fund Details 32.1% 11.3% 32.4% 4.9% 7.3% HDFC Top 100 Fund
Growth
Fund Details 30% 10.6% 28.5% 5.9% 7.7%
It is the last section in the comparison of both the schemes that compares elements like AUM, minimum SIP and lumpsum investment and others. The comparison of AUM reveals that there is a significant difference in the AUM of both the schemes. As on March 31, 2018, the AUM of Reliance Large Cap Fund is approximately INR 8,825 Crores while of HDFC Top 100 Fund is approximately INR 14,350 Crores. Similarly, the minimum SIP investment for both the schemes is also different. The SIP amount for Nippon India Mutual Fund’s scheme is INR 100 and for HDFC Mutual Fund’s scheme is INR 500. However, the minimum lumpsum amount for both the schemes is same, that is, INR 5,000. The table given below shows the comparison of other details section.
Parameters Other Details Min SIP Investment Min Investment Fund Manager Nippon India Large Cap Fund
Growth
Fund Details ₹100 ₹5,000 Sailesh Raj Bhan - 16.99 Yr. HDFC Top 100 Fund
Growth
Fund Details ₹300 ₹5,000 Rahul Baijal - 2.01 Yr.
Nippon India Large Cap Fund
Growth
Fund Details Growth of 10,000 investment over the years.
Date Value 31 Aug 19 ₹10,000 31 Aug 20 ₹9,918 31 Aug 21 ₹15,242 31 Aug 22 ₹16,944 31 Aug 23 ₹20,355 31 Aug 24 ₹28,360 HDFC Top 100 Fund
Growth
Fund Details Growth of 10,000 investment over the years.
Date Value 31 Aug 19 ₹10,000 31 Aug 20 ₹9,534 31 Aug 21 ₹14,270 31 Aug 22 ₹15,768 31 Aug 23 ₹18,150 31 Aug 24 ₹25,356
Nippon India Large Cap Fund
Growth
Fund Details Asset Allocation
Asset Class Value Cash 0.96% Equity 99.04% Equity Sector Allocation
Sector Value Financial Services 33.46% Consumer Cyclical 12.22% Consumer Defensive 9.95% Industrials 9.92% Technology 9.91% Energy 7.16% Utility 5.99% Basic Materials 4.43% Health Care 4.21% Communication Services 1.77% Top Securities Holdings / Portfolio
Name Holding Value Quantity HDFC Bank Ltd (Financial Services)
Equity, Since 31 Dec 08 | HDFCBANK9% ₹2,779 Cr 17,200,529 Reliance Industries Ltd (Energy)
Equity, Since 31 Aug 19 | RELIANCE6% ₹2,017 Cr 6,700,000
↓ -600,000 ITC Ltd (Consumer Defensive)
Equity, Since 31 Jan 16 | ITC6% ₹1,870 Cr 37,750,240 ICICI Bank Ltd (Financial Services)
Equity, Since 31 Oct 09 | ICICIBANK5% ₹1,701 Cr 14,000,000
↑ 1,300,000 Infosys Ltd (Technology)
Equity, Since 30 Sep 07 | INFY5% ₹1,495 Cr 8,000,084 State Bank of India (Financial Services)
Equity, Since 31 Oct 10 | SBIN5% ₹1,440 Cr 16,500,644
↓ -500,000 Axis Bank Ltd (Financial Services)
Equity, Since 31 Mar 15 | 5322154% ₹1,166 Cr 10,000,080 Larsen & Toubro Ltd (Industrials)
Equity, Since 30 Sep 07 | LT4% ₹1,145 Cr 3,000,529
↑ 300,000 Tata Power Co Ltd (Utilities)
Equity, Since 30 Jun 23 | 5004003% ₹975 Cr 21,500,000 Bajaj Finance Ltd (Financial Services)
Equity, Since 31 Dec 21 | 5000343% ₹929 Cr 1,365,326
↑ 175,000 HDFC Top 100 Fund
Growth
Fund Details Asset Allocation
Asset Class Value Cash 0.59% Equity 99.41% Equity Sector Allocation
Sector Value Financial Services 32.37% Energy 10.43% Technology 9.33% Consumer Cyclical 8.97% Consumer Defensive 8.45% Industrials 8.34% Health Care 6.26% Utility 6.13% Communication Services 4.8% Basic Materials 3.78% Real Estate 0.54% Top Securities Holdings / Portfolio
Name Holding Value Quantity ICICI Bank Ltd (Financial Services)
Equity, Since 31 Dec 05 | ICICIBANK10% ₹3,650 Cr 30,040,474 HDFC Bank Ltd (Financial Services)
Equity, Since 31 Jan 10 | HDFCBANK9% ₹3,252 Cr 20,126,319 NTPC Ltd (Utilities)
Equity, Since 30 Jun 15 | 5325556% ₹2,274 Cr 54,669,743 Larsen & Toubro Ltd (Industrials)
Equity, Since 31 Aug 06 | LT6% ₹2,149 Cr 5,632,954 Reliance Industries Ltd (Energy)
Equity, Since 31 Mar 06 | RELIANCE6% ₹2,063 Cr 6,850,618
↓ -156,163 Infosys Ltd (Technology)
Equity, Since 31 Aug 04 | INFY5% ₹1,977 Cr 10,579,648 Bharti Airtel Ltd (Communication Services)
Equity, Since 30 Apr 20 | BHARTIARTL5% ₹1,778 Cr 11,921,785 ITC Ltd (Consumer Defensive)
Equity, Since 31 Jan 03 | ITC4% ₹1,570 Cr 31,691,145 Coal India Ltd (Energy)
Equity, Since 30 Sep 17 | COALINDIA4% ₹1,439 Cr 27,557,721 Axis Bank Ltd (Financial Services)
Equity, Since 31 Jan 07 | 5322154% ₹1,365 Cr 11,702,714
Thus, based on the above pointers, it can be said that both the schemes differ on account of various parameters. Consequently, investors should be very cautious before Investing in any of the Mutual Fund schemes. They should understand the modalities of the scheme completely. Also, if required, they can consult a financial advisor for an opinion. This will help the individuals to attain their goals on time in a hassle-free manner.
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