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Top 6 midcap funds by 10-year returns in October 2026: Performance, risk and top holdings compared
7 min read | Updated on October 13, 2026, 17:06 IST
SUMMARY
Midcap funds drew a net inflow of ₹7,834.84 crore in September, AMFI data shows. Invesco midcap leads the six on 10-year returns at 18.56% a year, but over the past year HSBC midcap has been the standout
The short-term performance of these schemes tells a different story than the long-term returns. | Representational image.
Ranked by 10-year annualised returns, Invesco India Midcap Fund leads with 18.56% a year, according to ACE MF data. Edelweiss Mid Cap Fund is close behind at 18.01%, followed by Quant Mid Cap Fund (17.77%), Nippon India Growth Mid Cap Fund (17.44%), HSBC Midcap Fund (16.89 %) and Kotak Mid Cap Fund (16.87%).
Over a full decade, the gap between the best and the last of the six is just 1.69 percentage points.
Top six funds by 10-year returns
| Rank | Fund | 10-year return (% a year) |
|---|---|---|
| 1 | Invesco India Midcap Fund | 18.56 |
| 2 | Edelweiss Mid Cap Fund | 18.01 |
| 3 | Quant Mid Cap Fund | 17.77 |
| 4 | Nippon India Growth Mid Cap Fund | 17.44 |
| 5 | HSBC Midcap Fund | 16.89 |
| 6 | Kotak Mid Cap Fund | 16.87 |
The short-term performance of these schemes, however, tells a different story. HSBC Midcap Fund has been the clear standout in the near term. It is first among 33 midcap funds over six months with 13.63% and first among 31 over one year with 13.95% returns. Among all these six schemes, HSBC Midcap also fell the least over the last three months, down 0.62%. Invesco midcap is the next best over six months, at 8.27% (rank 9), while Nippon is 13th over one year at 3.09%.
At the other end, Kotak Mid Cap Fund is ranked 32nd of 33 over three months, down 6.91%, and 27th of 31 over one year, down 0.85%.
Returns over different periods (%, as on October 12, 2026)
| Fund | 3 months (%) | 6 months (%) | 1 year (%) | 3 years (%) | 5 years (%) |
|---|---|---|---|---|---|
| Invesco India Midcap Fund | -6.52 | 8.27 | 3.18 | 21.29 | 17.42 |
| Edelweiss Mid Cap Fund | -4.78 | 3.52 | 2.64 | 18.90 | 16.22 |
| Quant Mid Cap Fund | -4.97 | 5.03 | 0.60 | 9.14 | 13.88 |
| Nippon India Growth Mid Cap Fund | -5.10 | 3.07 | 3.09 | 16.46 | 15.73 |
| HSBC Midcap Fund | -0.62 | 13.63 | 13.95 | 22.07 | 17.02 |
| Kotak Mid Cap Fund | -6.91 | 3.01 | -0.85 | 15.28 | 14.37 |
| Benchmark (Nifty Midcap 150 TRI) | -6.49 | 1.86 | 0.04 | 13.21 | 13.49 |
All the six schemes lost ground in the last three months, when the benchmark Nifty Midcap 150 index fell 6.49%. Over three years and five years, though, Invesco (21.29% and 17.42%) and HSBC (22.07% and 17.02%) lead the group, with HSBC first among 29 funds over three years. Quant Mid Cap Fund is the laggard over three years, at 9.14%, ranking last among 29 funds.
Volatility measures over the past year
| Fund | Standard deviation | Beta | Sharpe ratio |
|---|---|---|---|
| Invesco India Midcap Fund | 1.09 | 1.09 | 0.01 |
| Edelweiss Mid Cap Fund | 0.97 | 0.91 | 0.00 |
| Quant Mid Cap Fund | 0.88 | 0.77 | -0.01 |
| Nippon India Growth Mid Cap Fund | 1.00 | 0.95 | 0.01 |
| HSBC Midcap Fund | 1.07 | 0.94 | 0.05 |
| Kotak Mid Cap Fund | 1.00 | 0.94 | -0.01 |
On risk, standard deviation is highest for Invesco midcap at 1.09 and lowest for Quant midcap at 0.88. Beta, which shows how much a fund moves with the market, is above 1 only for Invesco midcap (1.09), while Quant midcap is the least market-sensitive at 0.77. The Sharpe ratio, which shows whether the risk was paid for, is best for HSBC at 0.05 and is slightly negative for Quant and Kotak.
By size, Kotak Mid Cap Fund is the largest of the six scheme at ₹66,613.26 crore AUM, followed by Nippon midcap at ₹50,176.01 crore, Edelweiss at ₹19,230.16 crore, HSBC at ₹16,799.59 crore and Invesco at ₹15,748.83 crore.
The portfolios of all these schemes are built very differently. While Quant midcap holds just 23 stocks across 19 sectors, with Aurobindo Pharma alone at 10.71%, Edelweiss midcap is spread across 106 stocks and its largest holding, Federal Bank, is only 3.06%.
Healthcare is the biggest sector for Invesco midcap (24.23%), followed by Kotak (19.68%) and Quant (19.07%). Finance sector leads for Edelweiss midcap (13.00%) and Nippon midcap (16.66%). HSBC midcap is heavily invested in healthcare sector (16.04%) and capital goods (15.68%). Federal Bank is the most widely held top 10 stocks, figuring in five of the six portfolios.
Top 10 holdings (% of portfolio)
| Fund | Top 10 holdings |
|---|---|
| Invesco India Midcap Fund | Prestige Estates (7.33%), Max Healthcare (7.21%), Meesho (5.42%), Federal Bank (5.37%), Manipal Health (4.44%), Eternal (4.14%), Global Health (3.97%), L&T Finance (3.91%), AU Small Finance Bank (3.81%), IndusInd Bank (3.51%) |
| Edelweiss Mid Cap Fund | Federal Bank (3.06%), Multi Commodity Exchange (2.70%), Solar Industries (2.09%), City Union Bank (2.02%), Persistent Systems (1.99%), Coforge (1.98%), Marico (1.92%), BSE (1.92%), Ipca Laboratories (1.84%), Radico Khaitan (1.72%) |
| Quant Mid Cap Fund | Aurobindo Pharma (10.71%), Lloyds Metals (9.04%), Tata Communications (8.49%), Indus Towers (6.01%), IRB Infrastructure (5.70%), LG Electronics India (5.09%), BHEL (5.03%), Nippon Life AMC (4.67%), Premier Energies (4.59%), Sona BLW (4.04%) |
| Nippon India Growth Mid Cap Fund | Multi Commodity Exchange (3.22%), AU Small Finance Bank (2.84%), Federal Bank (2.59%), Info Edge (2.55%), Fortis Healthcare (2.53%), Eternal (2.42%), BSE (2.40%), REC (2.12%), ICICI Lombard (2.06%), One97 Communications (2.04%) |
| HSBC Midcap Fund | Lenskart Solutions (5.08%), Meesho (5.04%), Federal Bank (3.90%), Aditya Infotech (3.64%), Piramal Finance (3.56%), FSN E-Commerce Ventures (3.38%), Apar Industries (3.16%), GE Vernova T&D (3.09%), Ather Energy (3.03%), Dhoot Transmission (2.91%) |
| Kotak Mid Cap Fund | Ipca Laboratories (3.57%), Fortis Healthcare (3.49%), Vishal Mega Mart (3.04%), L&T Finance (2.71%), Federal Bank (2.62%), Mphasis (2.57%), KEI Industries (2.45%), GE Vernova T&D (2.45%), Dixon Technologies (2.44%), Solar Industries (2.41%) |
For investors, three points stand out from the above numbers.
First, the 10-year ranking and the recent one-year ranking are completely different for these schemes, While Invesco midcap tops the 10-year return table at 18.56% a year, but HSBC has been the top performer over the past year.
Second, concentration varies enormously across funds, from Quant midcap's 23 stocks to Edelweiss midcap's 106. This also shows that two midcap funds can carry very different levels of single-stock risk.
Third, all six schemes are volatile, with standard deviations near or above 1. This means investors should be ready for sharp swings.
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