Top 10 Mutual Funds By AUM In India: Do You Invest In Any? Check 1-Year, 3-Year, 5 Year Returns

India's mutual fund industry manages Rs 86.34 lakh crore, as per the latest July data by the Association of Mutual Funds in India, but that money isn't spread evenly. A small group of schemes accounts for a disproportionate share of it. Parag Parikh Flexi Cap Fund is currently India's largest mutual fund by AUM at Rs 1,48,429 crore, followed by HDFC Flexi Cap Fund and HDFC Balanced Advantage Fund.

Below is the full top 10, ranked by assets under management, with 1-year, 3-year and 5-year returns for each.

Data as of July 31, 2026. AUM figures move monthly.

1. Parag Parikh Flexi Cap Fund (Rs 1.48 lakh crore)

India's largest actively managed equity scheme, and by a wide margin. What stands out is the 1-year return: a loss of 1.28%, even as the fund sits comfortably at the top of the AUM table. Size and recent performance clearly aren't the same thing here. The 3-year and 5-year numbers, 14.68% and 13.23%, tell the more relevant long-term story.

2. HDFC Flexi Cap Fund (Rs 1.10 lakh crore)

The closest AUM rival to Parag Parikh, and the far stronger recent performer of the two. It returned 6.13% over the past year against Parag Parikh's loss, and its 5-year return of 18.81% is the highest of any flexi cap fund on this list. The two funds get compared constantly by investors choosing between them, and the return gap alone explains why.

3. HDFC Balanced Advantage Fund (Rs 1.07 lakh crore)

The largest hybrid fund in the country. Its mandate isn't to chase the highest return, it's to shift between equity and debt so the ride stays smoother. The numbers reflect that: a steady 3.48% over 1 year and 15.78% over 5, neither the best nor the worst figure on this list, which is closer to the actual point of a balanced advantage fund than either extreme would be.

4. HDFC Mid Cap Fund (Rs 1.05 lakh crore)

The best-performing fund in the entire top 10, across every timeframe shown: 12.48% over 1 year, 20.32% over 3, 20.91% over 5. It's rare for a scheme this large to also lead on returns this consistently. Most funds that cross ₹1 lakh crore start to show some drag on performance simply from their own size, this one hasn't yet.

5. SBI Equity Hybrid Fund (Rs 88,036 crore)

Leans more on SBI's distribution reach than on standout returns. Its 11.30% 5-year figure is the weakest among the pure equity-adjacent funds on this list, a useful contrast to HDFC Balanced Advantage: same hybrid idea, different execution, different result.

6. ICICI Prudential Multi Asset Fund (Rs 86,785 crore)

Spreads across equity, debt and commodities rather than betting on one asset class, and the returns show the benefit: a strong 17.49% over 5 years, competitive with pure equity funds but without a swing like Parag Parikh's 1-year loss.

7. SBI Liquid Fund (Rs 84,055 crore)

The one fund on this list that doesn't belong in the same performance conversation as the rest, worth saying outright rather than glossing over. A 6.27% 5-year return isn't a weakness here, it's the entire point. Liquid funds exist to park cash safely, not to grow it aggressively. Its presence in a top-10-by-AUM list, sitting between a multi asset fund and a large cap fund, says something real about how much idle retail and corporate cash moves through this category.

8. ICICI Prudential Large Cap Fund (Rs 80,960 crore)

A nearly flat 0.57% over 1 year is the softest recent number on this list outside the liquid fund. The 3-year and 5-year figures, 13.15% and 12.91%, look far more like what a large cap fund is meant to deliver, steady rather than dramatic, so the 1-year dip likely reflects a broadly tough year for large caps rather than anything specific to this scheme.

9. Nippon India Small Cap Fund (Rs 78,957 crore)

The largest small cap fund in the country, and the second-best 5-year return on this entire list at 20.51%, behind only HDFC Mid Cap. It's also the scheme worth watching most closely on scale, small cap funds can face real liquidity strain in a sharp selloff, and this one now carries more assets than any other in its category.

10. ICICI Prudential Balanced Advantage Fund (Rs 74,555 crore)

The second balanced advantage fund on this list, running the same core idea as HDFC's version at a smaller scale. Its 5-year return of 11.79% trails HDFC Balanced Advantage's 15.78% by a meaningful margin, worth a direct comparison piece on its own given how similar the two funds' mandates are.

Frequently Asked Questions

• Does a higher AUM mean a mutual fund is better?

Not necessarily. AUM measures how much investor money a fund holds, not how well it's performing. Parag Parikh Flexi Cap Fund, the largest fund on this list, posted a 1-year loss, while HDFC Mid Cap Fund, ranked fourth, delivered the best returns across every timeframe.

• What does AUM mean in mutual funds?

Assets Under Management is the total market value of all the investments a mutual fund scheme holds on behalf of its investors, including new inflows, market gains, and reinvested returns, minus any redemptions.

• Which is the largest mutual fund house in India?

SBI Mutual Fund is currently India's largest fund house by total assets across all its schemes, even though its single largest scheme, SBI Equity Hybrid Fund, ranks fifth on this list of individual funds.

• Should I invest in a mutual fund just because it has a high AUM?

AUM alone isn't a reason to invest. A fund's category, its fit with your goals and time horizon, and its actual return history matter more than its size. Some of the largest funds on this list, like SBI Liquid Fund, are built for capital safety rather than growth, and wouldn't suit an investor chasing long-term wealth creation.

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