Multi-Asset SIP: 4 Funds Beat 15% — Is Yours?

Multi-asset allocation funds invest across stocks, bonds, and gold — but only a handful have actually delivered strong SIP returns over 3 years. Here's how to check if your fund is working hard enough for your money.

Here's what happened: Across the entire multi-asset allocation fund category in India, only 4 schemes managed to deliver SIP returns above 15% over a 3-year period — the majority of funds in the category fell short of this benchmark.. Over a longer 5-year SIP horizon, more funds — including those from larger AMCs — crossed the 15% mark, showing that a longer investment window tends to reward multi-asset investors more consistently.. Multi-asset allocation funds are SEBI-mandated to invest in at least 3 asset classes with a minimum 10% allocation each, designed to provide automatic diversification across equity, debt, and commodities like gold..

What you should do: Check your multi-asset fund's 3-year and 5-year SIP XIRR right now on Value Research Online or Morningstar India — if it's below 11%, it's underperforming most comparable funds.. Compare your fund's equity-debt-gold allocation split in its latest factsheet; a fund sitting at minimum 10% in debt or gold may behave more like a pure equity fund during a downturn than you expect.. Avoid switching funds based purely on a 3-year return snapshot — review rolling returns over 5 years and check how the fund performed during market corrections like March 2020 or 2022 before making any move..

SIP XIRR — not absolute returns — is the correct metric to compare multi-asset funds. Two funds with the same NAV growth can show very different SIP XIRRs depending on how NAV moved month to month during your investment period.

For readers weighing their credit and loan options, our personal loan guide and CIBIL score resources put this update in context.