13 Best Mutual Funds Rated 5-Star by Value Research (30%+ Cagr in 5 years)

When evaluating mutual fund investments, independent research agencies like Value Research Provide Valuable Insights Into A Fund’s Performance and Consistency. Value Research Rates Mutual Funds from 1 to 5 Stars Based on Risk-Edjusted Returns and Consistency. Today, we highlight 13 Mutual Fund Schemes Rated 5-Star by Value Research that have delivered more than 30% Cagr in the last 5 years. These funds have not only performed performed Consistent but also maintained high credibility in their respective categories.

What is Value Research Mutual Fund Rating?

Value Research’s Star Rating System evaluates a Fund’s Historical Risk-Edjusted Return Compared to its category peers. The ratings are as follows:

• 5 Star – Top 10% Performs
• 4 Star – Next 22.5%
• 3 Star – Middle 35%
• 2 Star – Next 22.5%
• 1 star – Bottom 10%

These ratings are updated regularly and can change based on fund performance and market trends.

You can also check our earlier article on 10 Crisil 5 Star Rated Mutual Funds of 2025 Article too.

How we filtered these mutual funds

To shortlist these top-performing mutual funds, we use the following filtering criteria:

1. Considered all open-ended equity Mutual Fund Schemes Across Categories (Large, Mid, Small, Flexi, Value, etc.).
2. Selected only those funds that are rated 5-star by value research.
3. Further narrowed the list to funds with 5-Year Cagr Returns Above 30%.
4. We Considered only direct plan of mutual funds
5. We could get 13 mutual funds that generated over 30% Cagr returns in the last 5 years which are 5 star rated by valuerasearch.

Top 13 Value Research 5-Star Mutual Funds With Over 30% Cagr in 5 years

Here is the list of mutual funds.

Deep Dive Into these 13 Value Research 5-Star Mutual Funds with Over 30% Cagr in 5 Years

Lets get into more information about these mutual funds.

#1 – Bandhan Small Cap Fund

• Investment Objective: AIMS to Generate long-term capital appreciation by investment primarily in Small-Cap Companies.
• Annualized returns:
  • 3 years: 37.96%
  • 5 years: 38.99% (₹ 1 lakh → ₹ 5.00 Lakhs)
  • 10 years: na

• Benefits:
  • High growth potential from emerging companies
  • Suitable for aggressive investors with long-term Horizon
• Risks:
  • High Volativity and Risk of Loss in Short Term
  • Sensitive to market corrections

This fund is part of 7 mutual funds that turned ₹ 1 lakh to ₹ 5 Lakhs in 5 years,

#2 – Motilal Oswal Midcap Fund

• Investment Objective: Seeks Capital Appreciation by Investing in Midcap Stocks with Strong Fundamentals.
• Annualized returns:
  • 3 years: 37.50%
  • 5 years: 38.45% (₹ 1 lakh → ₹ 4.94 Lakhs)
  • 10 years: 19.39%

• Benefits:
  • Focus on Quality Midcap Businesses
  • Strong Fund Management
• Risks:
  • Midcap segment may underperform in bearish markets
  • Lesser Liquidity Compared to Large-Caps

#3 – Invesco India Smallcap Fund

• Investment Objective: Seeks to generate capital appreciation by investment in a diversified portfolio of small-cap stocks.
• Annualized returns:
  • 3 years: 33.82%
  • 5 years: 36.55% (₹ 1 lakh → ₹ 4.65 Lakhs)
  • 10 years: na

• Benefits:
  • High upside potential
  • Diversified Sector Allocation
• Risks:
  • Higher Risk Due to Small-Cap Exposure
  • Prone to Large Price Swings

#4 – SBI Contra Fund

• Investment Objective: Follows a Contraction Investment Strategy to Invest in Undervalized Sectors and Stocks.
• Annualized returns:
  • 3 years: 27.54%
  • 5 years: 35.46% (₹ 1 Lakh → ₹ 4.51 Lakhs)
  • 10 years: 17.30%

• Benefits:
  • Potential to outperform in Market Recovery
  • Value-Driven Stock Picking
• Risks:
  • May underperform in trending markets
  • Requires patience and long-term holding

This is part of 10 mutual funds recommendations from Grok Ai for 2025,

#5 – icici prudential bharat 22 fof

• Investment Objective: AIMS to provide returns that Closely correspond to the total returns of the underlying bharat 22 index.
• Annualized returns:
  • 3 years: 33.90%
  • 5 years: 35.03% (₹ 1 Lakh → ₹ 4.47 Lakhs)
  • 10 years: not available

• Benefits:
  • Exposure to public sector undertakings
  • Index-based diversification
• Risks:
  • Limited to index performance
  • Sector Concentration Risk

#6 – Nippon India Multi Cap Fund

• Investment Objective: Seeks to achieve long-term capital growth by investment in Large, Mid, and Small Cap Stocks.
• Annualized returns:
  • 3 years: 31.39%
  • 5 years: 34.54% (₹ 1 lakh → ₹ 4.40 Lakhs)
  • 10 years: 16.13%

• Benefits:
  • Balanced Exposure Across Market Caps
  • Diversified Risk Profile
• Risks:
  • Allocation Mismatch in Certain Market Phases
  • Market Cap Rotation Can Affect Returns

#7-HDFC MID-Cap Opportunities Fund

• Investment Objective: AIMS to Generate long-term capital appreciation from a portfolio of mid-cap companies.
• Annualized returns:
  • 3 years: 33.82%
  • 5 years: 34.39% (₹ 1 lakh → ₹ 4.38 Lakhs)
  • 10 years: 19.12%

• Benefits:
  • Strong Historical Track Record
  • Solid Mid-Cap Exposure
• Risks:
  • Mid-Cap Volatily
  • Liquidity Constraints during Market Stress

#8 – Motilal Oswal Large and Midcap Fund

• Investment Objective: Invests in a mix of large and mid-cap stocks for long-term growth.
• Annualized returns:
  • 3 years: 36.41%
  • 5 years: 32.70% (₹ 1 Lakh → ₹ 4.15 Lakhs)
  • 10 years: na

• Benefits:
  • Balanced approach with Strong Midcap Tilt
  • Strong Research-Backed Portfolio
• Risks:
  • Cyclic Performance Depending on Market Cap Rotation
  • May Lag Pure Midcap or Large Cap Funds

There are 5 mutual funds that turned ₹ 1 lakh ₹ 2 Lakhs in 2 Years Time Frame,

#9 – HDFC Focused 30 Fund

• Investment Objective: Seeks Capital Appreciation Through a concentrated portfolio of 30 high-conviction stocks.
• Annualized returns:
  • 3 years: 29.07%
  • 5 years: 31.94% (₹ 1 Lakh → ₹ 4.04 Lakhs)
  • 10 years: 16.21%

• Benefits:
  • Focused strategy can outperform in bull runs
  • High Conviction Portfolio
• Risks:
  • Higher Concentration Risk
  • May underperform in Volaty Phases

#10 – HDFC Flexi Cap Fund

• Investment Objective: To provide long-term capital growth by investment in companies Across Market Capitalizations.
• Annualized returns:
  • 3 years: 28.90%
  • 5 years: 31.48% (₹ 1 Lakh → ₹ 3.97 Lakhs)
  • 10 years: 16.70%

• Benefits:
  • Flexibility to Shift Between Market Caps
  • Large Asset Base and Proven Track Record
• Risks:
  • Performance Varies with Fund Manager Strategy
  • Less focused compared to category funds

#11 – ICICI PRDENIL LARGE & MID CAP FUND

• Investment Objective: AIMS to Generate Capital Appreciation by Investing in Large and Mid-Cap Stocks.
• Annualized returns:
  • 3 years: 27.89%
  • 5 years: 30.93% (₹ 1 Lakh → ₹ 3.87 Lakhs)
  • 10 years: 16.85%

• Benefits:
  • Diversified Equity Exposure
  • Managed by an experience Fund house
• Risks:
  • Sensitive to macroeconomic shifts
  • Returns depend on correct allocation between large and mid-caps

#12 – Bandhan Large & Mid Cap Fund

• Investment Objective: Seeks to generate long-term capital appreciation through a diversified portfolio of large and mid-cap stocks.
• Annualized returns:
  • 3 years: 31.47%
  • 5 years: 30.66% (₹ 1 Lakh → ₹ 3.83 Lakhs)
  • 10 years: 17.28%

• Benefits:
  • Good mix of growth and stability
  • Consistent returns
• Risks:
  • Market Timing and Stock Selection Critical
  • Performance Depends on Economic Cycle

Currently Stock Market is Taking Correction Due to Global Cues and Investors Can Look Into Some of the Best Mutual Funds to Invest ₹ 10 Lakhs Now in 2025,

#13 – ICICI Prudential India Equity Fof

• Investment Objective: AIMS to provide long-term capital appreciation by investment in domestic equity mutual funds.
• Annualized returns:
  • 3 years: 26.25%
  • 5 years: 30.03% (₹ 1 Lakh → ₹ 3.78 Lakhs)
  • 10 years: na

• Benefits:
  • Diversified Exposure to Top Performing Equity Funds
  • Professional Fund Selection
• Risks:
  • Layred Expense Ratios
  • Dependence on performance of underlying schemes

Conclusion

These 13 Mutual Funds Rated 5-Star by Value Research Have Shown Robust Performance in the Past 5 years, Delivering Over 30% Cagr in Many Cases. However, past performance is not a guarantee of future returns. Investors Should Align Fund Selection With Their Risk Profile, Financial Goals, and Investment Horizon.

Suresh kp is a seasoned financial expert with over 20 years of experience. He is nism Certified Investment Adviser and Research Analyst. For more about his Expertise and Certifications, Visit About Suresh Kp

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