Mutual funds can be a rewarding way to grow your wealth over time, and one of the standout performers in this space is Invesco India Contra Fund Direct-Growth. Launched in January 2013, this fund has consistently delivered excellent returns, making it a popular choice for both lump sum and SIP (Systematic Investment Plan) investors.
Doubling Money in Just 3 Years
Since its launch, Invesco India Contra Fund has delivered an annualized return of 20.81%. This performance translates to doubling investors’ money roughly every 3 years. In the last year alone, the fund has offered a staggering return of 54%. Whether investors hold it for 1 year, 3 years, 5 years, or even 10 years, the returns have been exceptional.
Here’s a breakdown of the fund’s performance across different periods:
- 1-year return: 54.06%
- 3-year return: 21.5%
- 5-year return: 26.34%
- 10-year return: 19.74%
With a total asset under management (AUM) of Rs. 18,470 crore as of September 30, 2024, the fund is considered medium-sized within its category, but its returns are anything but average. The expense ratio of 0.52% is in line with other contra funds, which makes it a cost-effective investment option.
SIP Success Story
For those who prefer systematic investments, Invesco India Contra Fund has also been highly rewarding through SIPs. Investors who put in Rs. 10,000 monthly over 10 years have seen their investment grow to Rs. 37,19,544. That’s an impressive 21.43% annualized return. Similarly, investors who continued their SIP for 11 years saw their investment grow to Rs. 46,68,151, with a 21.50% annualized return.
Here’s a snapshot of the SIP performance:
- 10-year SIP
- Monthly SIP: Rs. 10,000
- Total Investment: Rs. 12,00,000
- Total Value: Rs. 37,19,544
- Annualized Return: 21.43%
- 11-year SIP
- Monthly SIP: Rs. 10,000
- Total Investment: Rs. 13,20,000
- Total Value: Rs. 46,68,151
- Annualized Return: 21.50%
These numbers show the power of compounding and how consistent SIPs in this fund can help investors grow wealth over time.
Sector Allocation and Top Holdings
The fund’s portfolio is diversified across multiple sectors, with a focus on financials, healthcare, technology, services, and automobiles. Its top holdings include:
- ICICI Bank
- HDFC Bank
- Infosys
- NTPC
- Axis Bank
This diversification helps mitigate risks while capturing growth across various industries. The fund manager, Tahir Badshah, has expertly guided the portfolio through different market conditions, ensuring that the fund continues to deliver strong performance.
Final Thoughts
The Invesco India Contra Fund has established itself as a reliable option for investors looking for long-term wealth growth. Whether you are investing through a lump sum or a systematic investment plan, this fund has demonstrated consistent returns, making it an attractive option in the mutual fund space. However, investors should always remember that past performance does not guarantee future results, and it’s essential to consult with a financial advisor before making any investment decisions.
