Best Large & Mid Cap Mutual Funds in August 2026

Last Reviewed and Updated: 17 Aug 2026

A data driven ranking of 34 large and mid cap schemes, based on fund data last updated 16 August 2026

Large and mid cap mutual funds are required by SEBI to hold a minimum of 35% each in large cap stocks (top 100 companies by market capitalisation) and mid cap stocks (101st to 250th companies), with the remaining 30% at the fund manager's discretion.

This mandatory dual exposure provides investors with the stability of large cap companies alongside the higher growth potential of mid cap names, without the full volatility of a pure mid cap fund.

This article analyses 34 large and mid cap schemes using data as of 16 August 2026. Of the 34 funds, 26 have a 3 year return and 26 have a 5 year return, with 8 funds too recently launched to have either.

The 3 year category benchmark return is 15.01% and the 5 year benchmark return is 14.27%, both of which are meaningful reference points for evaluating how strongly each fund has outperformed a passive approach.

All numbers are drawn directly from the fund data set. Several funds in the source data carry expense ratios significantly above the typical direct plan range for this category, and these are flagged where relevant.

How These Funds Were Ranked

Rankings are presented side by side for 3 year and 5 year annualised returns. Seven funds appear in the top 10 of both tables, which is the primary signal of sustained quality in this data set. Expense ratio, AUM, and 3 year Sharpe ratio are included throughout.

Where expense ratios appear unusually high, this is noted as the entries may reflect regular plan data rather than direct plan pricing.

Top 10 Large and Mid Cap Funds: 3 Year vs 5 Year Rankings

Seven funds appear in the top 10 of both the 3 year and 5 year tables: Invesco India Large and Midcap Fund, Motilal Oswal Large and Midcap Fund, ICICI Prudential Large and Mid Cap Fund, Quant Large and Mid Cap Fund, UTI Large and Mid Cap Fund, HSBC Large and Mid Cap Fund, and Bandhan Large and Mid Cap Fund. Of these, the first four stand out for placing in the top 5 of both tables.

Ranked by 3 Year Annualised Return

Rank	Fund	3Y Return	AUM
1	Invesco India Large and Midcap Fund	24.95%	₹11,746.40 Cr
2	Motilal Oswal Large and Midcap Fund	24.34%	₹18,444.81 Cr
3	HSBC Large and Mid Cap Fund	20.18%	₹5,479.11 Cr
4	Bandhan Large and Mid Cap Fund	20.04%	₹18,783.25 Cr
5	ICICI Prudential Large and Mid Cap Fund	18.11%	₹32,706.25 Cr
6	Axis Large and Mid Cap Fund	17.63%	₹16,801.64 Cr
7	Quant Large and Mid Cap Fund	17.58%	₹3,496.35 Cr
8	Nippon India Large and Mid Cap Fund	17.49%	₹7,704.57 Cr
9	UTI Large and Mid Cap Fund	17.47%	₹6,406.53 Cr
10	Sundaram Large and Mid Cap Fund	17.31%	₹7,221.67 Cr

26 of the 34 funds have a 3 year return. The 3 year category benchmark return is 15.01%, meaning all 10 funds above have outperformed. HSBC (1.47%) and Quant (1.28%) expense ratios may reflect regular plan data and should be verified before investing.

Ranked by 5 Year Annualised Return

Rank	Fund	5Y Return	AUM
1	Motilal Oswal Large and Midcap Fund	19.80%	₹18,444.81 Cr
2	Invesco India Large and Midcap Fund	18.68%	₹11,746.40 Cr
3	ICICI Prudential Large and Mid Cap Fund	18.05%	₹32,706.25 Cr
4	Bandhan Large and Mid Cap Fund	17.88%	₹18,783.25 Cr
5	Quant Large and Mid Cap Fund	17.49%	₹3,496.35 Cr
6	HDFC Large and Mid Cap Fund	16.42%	₹30,098.85 Cr
7	HSBC Large and Mid Cap Fund	16.28%	₹5,479.11 Cr
8	UTI Large and Mid Cap Fund	15.56%	₹6,406.53 Cr
9	Kotak Large and Midcap Fund	15.15%	₹32,050.32 Cr
10	SBI Large and Midcap Fund	15.05%	₹42,325.05 Cr

26 of the 34 funds have a 5 year return. The 5 year category benchmark return is 14.27%, meaning all 10 funds above have outperformed. HSBC and Quant expense ratios should be verified against direct plan pricing.

A Closer Look at the Top Performers

1. Invesco India Large and Midcap Fund: Leads 3 Year Table, Most Complete Profile

Invesco India Large and Midcap Fund, managed by Aditya Khemani, leads the 3 year table at 24.95% and ranks 2nd on the 5 year table at 18.68%.

It carries the highest Sharpe ratio in the entire category at 0.94, indicating the strong returns have been delivered with well controlled volatility. Its expense ratio of 0.56% is among the lowest in the category for a fund with this level of proven performance.

At Rs 11,746.40 Cr in AUM, the fund has solid operational scale without the constraints of the mega funds.

On the combined metrics of return, consistency, risk adjusted performance, and cost, Invesco India Large and Midcap Fund is the most comprehensively strong fund in this data set.

2. Motilal Oswal Large and Midcap Fund: Tops the 5 Year Table

Motilal Oswal Large and Midcap Fund, managed by Ankit Agarwal, leads the 5 year return table at 19.80% and ranks 2nd on the 3 year table at 24.34%.

It is the only fund in this data set to place in the top 2 on both horizons. Its Sharpe ratio of 0.77 and AUM of Rs 18,444.81 Cr are both solid.

The expense ratio of 0.90% is moderate within the context of this data set. For investors who want the fund with the strongest combination of 3 year and 5 year returns in the category, Motilal Oswal is the clearest choice alongside Invesco India.

3. Bandhan Large and Mid Cap Fund: Best Cost Among Top Performers

Bandhan Large and Mid Cap Fund, managed by Manish Gunwani, ranks 4th by 3 year return (20.04%) and 4th by 5 year return (17.88%). At 0.45%, it carries the lowest expense ratio in the category among funds with a proven track record, and its Sharpe ratio of 0.82 is the second highest among all funds in this data set.

The combination of top quartile returns on both horizons, the lowest cost in its peer group, and the second best risk adjusted score makes Bandhan the most cost efficient top performer in this category.

4. ICICI Prudential Large and Mid Cap Fund: Scale With Dual Horizon Consistency

ICICI Prudential Large and Mid Cap Fund, managed by Lalit Kumar, ranks 5th by 3 year return (18.11%) and 3rd by 5 year return (18.05%), making it the most consistently ranked large scale fund in the data set.

With Rs 32,706.25 Cr in AUM, it is the largest fund among the top performers. Its Sharpe ratio of 0.77 and expense ratio of 0.67% are both reasonable.

For investors who prioritise institutional scale and long term consistency alongside strong returns, ICICI Prudential Large and Mid Cap Fund is the most defensible choice in the category.

5. HSBC Large and Mid Cap Fund: Strong Returns, Cost Needs Verification

HSBC Large and Mid Cap Fund, managed by Cheenu Gupta, ranks 3rd by 3 year return (20.18%) and 7th by 5 year return (16.28%), placing it in the top 10 on both horizons.

However, its expense ratio of 1.47% in this data set is significantly above the typical range for a direct plan large and mid cap fund, and likely reflects a regular plan entry in the source data.

When this fund appeared in the June 2026 data set it carried an expense ratio of 0.67%. Investors considering HSBC should verify the current direct plan expense ratio before investing, as the gross returns above would translate to meaningfully different net returns at 0.67% versus 1.47%.

Best Risk Adjusted Returns: Highest Sharpe Ratio

The Sharpe ratio measures return per unit of risk over the 3 year period. The distribution in this category is notably wide, from 0.94 at the top to below 0.60 at the bottom, reflecting real differences in how much volatility investors experienced for the returns they received.

Fund	3Y Sharpe Ratio
Invesco India Large and Midcap Fund	0.94
Bandhan Large and Mid Cap Fund	0.82
Motilal Oswal Large and Midcap Fund	0.77
ICICI Prudential Large and Mid Cap Fund	0.77
Axis Large and Mid Cap Fund	0.71
HSBC Large and Mid Cap Fund	0.70

Invesco India leads the Sharpe table at 0.94, a score that would be considered strong in any equity category and is exceptionally high for a fund that also tops the 3 year return table. This means Invesco India delivered the highest return and the best risk adjusted return simultaneously.

Bandhan ranks second at 0.82 and is the cheapest fund in the table at 0.45%. The four funds with Sharpe ratios above 0.75 all also rank in the top 5 of the 3 year return table, suggesting the category's best performers have earned their returns with relatively controlled volatility rather than through excessive concentration risk.

Lowest Cost Large and Mid Cap Funds

The mandatory dual cap segment structure of this category means fund managers must actively manage two distinct stock universes simultaneously, which can justify modestly higher costs than large cap only funds. Even so, the range of expense ratios in this data set from 0.45% to 2.55% is very wide and warrants careful attention.

Fund	Expense Ratio
Bandhan Large and Mid Cap Fund	0.45%
Mahindra Manulife Large and Mid Cap Fund	0.46%
Whiteoak Capital Large and Mid Cap Fund	0.47%
Mirae Asset Large and Midcap Fund	0.49%
Canara Robeco Large and Mid Cap Fund	0.50%
Navi Large and Mid Cap Fund	0.50%
Bajaj Large and Mid Cap Fund	0.52%
Invesco India Large and Midcap Fund	0.56%

NA* indicates the fund does not yet have a return track record.

Bandhan Large and Mid Cap Fund stands out as the most striking entry in this table: the lowest expense ratio among funds with a track record at 0.45%, combined with a 20.04% 3 year return and 17.88% 5 year return that both clear the category benchmark by meaningful margins.

Invesco India at 0.56% is the second strongest cost and return combination. Mirae Asset and Canara Robeco are competitively priced but have delivered 3 year returns of 14.60% and 14.99% respectively, both close to or below the 15.01% benchmark, raising questions about whether their low cost compensates for their near benchmark performance.

The Largest Large and Mid Cap Funds by AUM

The six largest funds by AUM together manage over Rs 1,68,000 Cr and represent the dominant share of the category's total assets.

Fund	AUM
Mirae Asset Large and Midcap Fund	₹44,048.03 Cr
SBI Large and Midcap Fund	₹42,325.05 Cr
ICICI Prudential Large and Mid Cap Fund	₹32,706.25 Cr
Kotak Large and Midcap Fund	₹32,050.32 Cr
HDFC Large and Mid Cap Fund	₹30,098.85 Cr
Canara Robeco Large and Mid Cap Fund	₹26,062.03 Cr

ICICI Prudential is the standout among the large funds, ranking in the top 5 on both the 3 year and 5 year tables at reasonable cost. Mirae Asset is the largest fund in the category at Rs 44,048.03 Cr but has delivered a 3 year return of just 14.60%, below the 15.01% benchmark, and a 5 year return of 12.48%, well below the 14.27% benchmark.

Canara Robeco faces a similar problem: competitively priced at 0.50% but returns of 14.99% over 3 years and 12.52% over 5 years that barely clear or fall below the respective benchmarks.

SBI Large and Midcap Fund, the second largest, has delivered exactly the benchmark return of 15.03% over 3 years and 15.05% over 5 years, offering investors effectively index equivalent performance at an active fund cost of 0.90%. Kotak and HDFC deliver moderate returns above benchmark with no compelling edge over smaller, stronger funds.

Expense Ratios That Need Attention

Four funds in this data set carry expense ratios that stand significantly outside the normal range for direct plan large and mid cap funds and warrant specific attention before any investment decision.

Fund	Expense Ratio	Note
Samco Large and Mid Cap Fund	2.55%	Highest expense in category, no return data
LIC MF Large and Mid Cap Fund	1.88%	High cost relative to return; net return well below top performers
HSBC Large and Mid Cap Fund	1.47%	Likely regular plan; verify direct plan expense before investing
Quant Large and Mid Cap Fund	1.28%	Likely regular plan; verify direct plan expense before investing

LIC MF Large and Mid Cap Fund delivers a 3 year gross return of 16.55%, which is above the benchmark at 15.01%, but after deducting the 1.88% expense, the net return to investors is approximately 14.67%, barely ahead of the benchmark and well below what lower cost funds in the same category deliver.

Samco at 2.55% has no return history to evaluate but should be avoided on cost grounds alone until a track record and direct plan expense ratio are confirmed.

What These Funds Actually Hold

All large and mid cap funds are required to hold at least 35% in large cap stocks and 35% in mid cap stocks. In practice, most funds hold between 35% and 50% in each segment, with the 30% discretionary allocation typically directed toward the segment where the manager has higher near term conviction.

Private sector banks, Reliance Industries, and Infosys dominate the large cap portions of most portfolios. The mid cap portions show considerably more differentiation, with stronger performing funds tending toward capital goods, industrials, healthcare, and select consumer names.

Funds that rank near the top of the return tables such as Invesco India and Motilal Oswal tend to run more concentrated mid cap positions with higher conviction in their best ideas. Funds that track closer to the benchmark such as Mirae Asset and SBI carry broader mid cap diversification that limits both upside and downside relative to the index.

Things to Consider Before Investing

• The benchmark is available for this update and tells an important story. At 15.01% over 3 years and 14.27% over 5 years, the large and mid cap benchmark sets a clear standard. Mirae Asset (14.60% over 3 years, 12.48% over 5 years), Canara Robeco (14.99% over 3 years, 12.52% over 5 years), SBI (15.03% over 3 years, 15.05% over 5 years), and Tata (9.00% over 3 years, 11.01% over 5 years) have all failed to clear the 5 year benchmark meaningfully after costs. A low cost index fund tracking the same mandate would have outperformed several actively managed options in this data set.

• Invesco India and Motilal Oswal together form the clearest top tier in this category. Both rank in the top 2 on both the 3 year and 5 year tables, and both comfortably exceed the benchmark on both horizons. The decision between them is largely a cost and scale choice: Invesco at 0.56% is cheaper and has a higher Sharpe ratio; Motilal Oswal at 0.90% leads the 5 year table and has higher AUM.

• Bandhan Large and Mid Cap Fund offers an exceptional combination of low cost (0.45%) and strong dual horizon performance (20.04% over 3 years, 17.88% over 5 years), both well above benchmark. For cost conscious investors who want proven performance without paying a premium, Bandhan is the strongest option in the data set on this combined basis.

• HSBC and Quant expense ratios of 1.47% and 1.28% respectively are almost certainly regular plan figures rather than direct plan prices. Their June 2026 direct plan expense ratios were 0.67% and 0.72% respectively. Always confirm you are investing in the direct plan and verify the current expense ratio against the fund house's scheme information document before investing.

• Tata Large and Mid Cap Fund deserves a specific caution. Its 3 year return of 9.00% is the weakest in the category by a significant margin and is nearly 6 percentage points below the 3 year benchmark. Its 5 year return of 11.01% is also well below the 14.27% benchmark. Both figures suggest a sustained period of meaningful underperformance that should lead investors to seek alternatives.

• Eight funds have no return history: Whiteoak Capital, Bajaj Large and Mid Cap, PGIM India, Helios, JM Large and Mid Cap, ITI Large and Mid Cap, TRUSTMF, and Samco. Among these, Whiteoak Capital at 0.47% is competitively priced and from a credible fund house, and is worth monitoring as its track record develops.

Full Fund Universe: Quick Reference

Fund	3Y Return	5Y Return	Expense Ratio	AUM
Invesco India Large and Midcap Fund	24.95%	18.68%	0.56%	₹11,746.40 Cr
Motilal Oswal Large and Midcap Fund	24.34%	19.80%	0.90%	₹18,444.81 Cr
HSBC Large and Mid Cap Fund	20.18%	16.28%	1.47%	₹5,479.11 Cr
Bandhan Large and Mid Cap Fund	20.04%	17.88%	0.45%	₹18,783.25 Cr
ICICI Prudential Large and Mid Cap Fund	18.11%	18.05%	0.67%	₹32,706.25 Cr
Axis Large and Mid Cap Fund	17.63%	14.31%	0.96%	₹16,801.64 Cr
Quant Large and Mid Cap Fund	17.58%	17.49%	1.28%	₹3,496.35 Cr
Nippon India Large and Mid Cap Fund	17.49%	15.01%	0.97%	₹7,704.57 Cr
UTI Large and Mid Cap Fund	17.47%	15.56%	1.03%	₹6,406.53 Cr
Sundaram Large and Mid Cap Fund	17.31%	14.35%	0.65%	₹7,221.67 Cr
Edelweiss Large and Mid Cap Fund	16.74%	14.75%	0.65%	₹4,788.60 Cr
LIC MF Large and Mid Cap Fund	16.55%	13.46%	1.88%	₹3,132.53 Cr
Baroda BNP Paribas Large and Mid Cap Fund	16.44%	14.88%	0.71%	₹1,828.72 Cr
Kotak Large and Midcap Fund	16.19%	15.15%	0.59%	₹32,050.32 Cr
DSP Large and Mid Cap Fund	16.09%	13.39%	0.83%	₹18,231.38 Cr
Bank of India Large and Mid Cap Fund	16.04%	13.32%	1.02%	₹513.52 Cr
HDFC Large and Mid Cap Fund	15.63%	16.42%	0.90%	₹30,098.85 Cr
Mahindra Manulife Large and Mid Cap Fund	15.06%	14.75%	0.46%	₹2,763.07 Cr
SBI Large and Midcap Fund	15.03%	15.05%	0.90%	₹42,325.05 Cr
Canara Robeco Large and Mid Cap Fund	14.99%	12.52%	0.50%	₹26,062.03 Cr
Mirae Asset Large and Midcap Fund	14.60%	12.48%	0.49%	₹44,048.03 Cr
Union Large and Midcap Fund	15.27%	13.85%	0.85%	₹965.21 Cr
Franklin India Large and Mid Cap Fund	13.88%	11.78%	1.06%	₹3,575.75 Cr
Aditya Birla Sun Life Large and Mid Cap Fund	13.79%	10.00%	0.92%	₹5,827.12 Cr
Navi Large and Mid Cap Fund	12.28%	12.97%	0.50%	₹310.12 Cr
Tata Large and Mid Cap Fund	9.00%	11.01%	0.60%	₹7,900.59 Cr
Bajaj Large and Mid Cap Fund	NA*	NA*	0.52%	₹2,444.72 Cr
Whiteoak Capital Large and Mid Cap Fund	NA*	NA*	0.47%	₹2,325.50 Cr
Helios Large and Mid Cap Fund	NA*	NA*	0.89%	₹1,303.79 Cr
PGIM India Large and Mid Cap Fund	NA*	NA*	0.79%	₹807.22 Cr
ITI Large and Mid Cap Fund	NA*	NA*	1.10%	₹740.26 Cr
JM Large and Mid Cap Fund	NA*	NA*	1.00%	₹435.38 Cr
TRUSTMF Large and Mid Cap Fund	NA*	NA*	NA*	NA*
Samco Large and Mid Cap Fund	NA*	NA*	2.55%	₹113.88 Cr

Table sorted by 3 year return. NA* indicates insufficient track record or data not available in source. HSBC and Quant expense ratios likely reflect regular plan data. The 3 year benchmark is 15.01% and the 5 year benchmark is 14.27%.

This article is based on fund data as of 16 August 2026 and is intended for informational purposes only and is not investment advice. Mutual fund investments are subject to market risks and past performance does not guarantee future returns. Some expense ratios in the source data, particularly for HSBC and Quant funds, may reflect regular plan variants rather than direct plan pricing. Investors should verify current direct plan expense ratios against the fund's scheme information document and consult a SEBI registered financial advisor before investing.

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Mutual fund investments are subject to market risks. Please read all scheme-related documents carefully before investing. Past performance is not indicative of future returns. NAV, returns, rankings, and other data may change and may not reflect the most current information at the time of reading.

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