In the world of mutual funds, one name has long remained trustworthy: Sundaram Mid Cap Fund. This fund entered the market on July 30, 2002, and has since delivered impressive returns to investors. If an investor had started a monthly SIP of ₹10,000 from its inception, their total investment value would have reached approximately ₹5 crore after 23 years.
How a ₹27 Lakh Investment Became ₹5 Crore
If a monthly SIP of ₹10,000 had been made in this fund for 23 consecutive years, the total investment would have been ₹27.60 lakh. However, due to the fund's outstanding performance, the current value of that amount has crossed approximately ₹4.66 crore. This has been possible due to the fund's annualized SIP return of 20.51 percent.
Delivering Excellent Returns for 23 Years
Since its inception, Sundaram Mid Cap Fund has delivered an annual compounded return of 23.90 percent. This return is significantly higher than the average return of the stock market. This is why this fund has proven to be a profitable deal for long-term investors.
Amazing Returns on Lump Sum Investments Too
If an investor had made a lump sum investment of ₹1 lakh in this fund in 2002, its value would have increased to ₹1.38 crore after 23 years. This is the result of the fund's b growth and better stock selection.
Key Features of the Fund
Sundaram Mid Cap Fund is an open-ended equity fund that primarily invests in the stocks of midcap companies. This fund focuses on mid-sized businesses with significant growth potential in the future. The fund's Assets Under Management (AUM) had reached ₹12,556 crore as of June 30, 2025.
Investment Can Be Started with Even ₹100
A large amount is not required to start investing in this scheme. Investment can be started with just ₹100. The option of a minimum of ₹100 is also available for SIP. This facility is considered particularly beneficial for small investors.
Who Are the Fund Managers?
This scheme is being managed by Bharat S and Ratish Varier. Both of these experienced fund managers are considered proficient in selecting midcap companies. Their experience and depth of analysis are a major reason for the fund's success.
Where Does the Fund Invest?
Looking at the fund's portfolio, it is clear that 95.72 percent is invested in equity, 1.98 percent in debt, and 2.3 percent in cash and other instruments. This fund adopts a bottom-up strategy, meaning that stocks are selected based on the company's fundamental strength, rather than just looking at sector growth.
Which Sectors Have the Highest Investment?
This fund has distributed its holdings in different sectors, which keeps the risk diversified.
- Financial sector with the highest investment of 20.63 percent
- Consumer discretionary products with 17.71 percent
- Industrial sector with 15.38 percent
- Materials sector with 11.71 percent
- Healthcare sector with 10.71 percent
- Technology sector with 7.66 percent
- Consumer staples with 4.15 percent
- Energy and utilities with 3.99 percent
- Real estate sector with 3.78 percent
Fund Falls in the High-Risk Category on the Riskometer
This fund falls into the category of 'very high risk' funds on the riskometer. Since midcap companies are smaller in size and more affected by market fluctuations, a little more caution is required while investing here.
Some Important Rules Related to the Fund
There is no lock-in period in this fund, meaning that investors can withdraw money whenever they want. However, if an investor redeems more than 25 percent of their units within 365 days, an exit load of 1 percent is applicable.
Fund's Performance in Recent Years
If we talk about recent years, this fund has given a return of 2.37 percent in the last one year. At the same time, it has given a b return of 24.86 percent in three years and 28.50 percent in five years.
At a Glance
- Fund Launch: July 30, 2002
- Fund Type: Open-ended Midcap Equity Scheme
- Expense Ratio (Regular Plan): 1.73 percent
- Minimum SIP Amount: ₹100
- Lock-in Period: No
- Fund Managers: Bharat S and Ratish Varier
- Benchmark: NIFTY Midcap 150 TRI
- Total AUM: ₹12,556 crore (as of June 30, 2025)
Sundaram Mid Cap Fund has proven itself in the long-distance race in the mutual fund industry. This fund is one of the few midcap funds that has consistently given good returns to investors over time and made them millionaires.
