Despite a challenging year for Indian equity markets, with the Sensex falling 8.31% and the Nifty declining 5.22% over the past 12 months, a handful of equity mutual funds have delivered standout returns of up to 25%, according to data from Value Research and Morningstar India as of May 15, 2026.
The top five performers include: Quant Small Cap Fund (25.1% one-year return), Nippon India Small Cap Fund (23.8%), SBI Small Cap Fund (22.5%), Kotak Small Cap Fund (21.9%), and HDFC Small Cap Fund (20.7%). These funds have benefited from concentrated bets on mid- and small-cap stocks that rebounded sharply after the broader market correction earlier in 2025.
In contrast, the Nifty Midcap 150 index delivered just 5.83% and the Nifty Smallcap 250 managed a modest 3.2% over the same period, highlighting the active management edge. Financial advisors caution that past performance does not guarantee future results, and investors should consider their risk tolerance before chasing top returns.
