Top Performing Value & Contra Funds
Ranked by 3-Year CAGR performance across Direct Growth plans from verified AMC filings.
| Scheme Name & AMC | Rating | AUM (₹ Cr) | 1Y Return | 3Y CAGR | 5Y CAGR |
|---|---|---|---|---|---|
Quant Value Fund Quant Money Managers | 2 | ₹1,917 | +10.18% | +19.21% | +0.00% |
LIC MF Dividend Yield Fund LIC Mutual Fund Mutual Fund | — | ₹738 | +1.65% | +17.25% | +13.37% |
Axis Value Fund Axis Mutual Fund | 4 | ₹1,880 | +3.88% | +16.98% | +14.30% |
LIC MF Value Fund LIC Mutual Fund Mutual Fund | 1 | ₹336 | +16.58% | +16.32% | +11.90% |
DSP Value Fund DSP Investment Managers | 5 | ₹2,225 | +4.51% | +15.62% | +11.98% |
HDFC Value Fund HDFC Mutual Fund | 3 | ₹8,266 | +2.50% | +14.86% | +12.25% |
HSBC Value Fund HSBC Global Mutual Fund (India) | 4 | ₹14,660 | +0.35% | +14.69% | +13.90% |
Kotak Contra Fund Kotak Mahindra Mutual Fund | 4 | ₹5,196 | -4.34% | +13.61% | +12.42% |
ICICI Pru Dividend Yield Fund ICICI Prudential Mutual Fund | — | ₹6,328 | -6.44% | +13.36% | +14.33% |
Invesco India Contra Fund Invesco Mutual Fund Pvt | 3 | ₹19,248 | -4.89% | +13.36% | +11.37% |
Tata Dividend Yield Fund Tata Mutual Fund | — | ₹1,156 | +4.46% | +12.79% | +11.85% |
Aditya Birla SL Value Fund Aditya Birla Sun Life Mutual Fund | — | ₹6,659 | +7.26% | +12.64% | +12.46% |
UTI Dividend Yield Fund UTI Mutual Fund | — | ₹3,582 | -4.57% | +12.14% | +9.41% |
Nippon India Value Fund Nippon Life India Mutual Fund | 4 | ₹8,479 | -7.45% | +12.09% | +11.17% |
Tata Value Fund Tata Mutual Fund | 2 | ₹8,239 | -2.49% | +12.03% | +11.54% |
SEBI Mandate & Category Classification
Value and Contra funds follow a value investing strategy or contrarian approach. They identify undervalued companies whose market price is significantly lower than their intrinsic value, or invest against prevailing market sentiment in beaten-down sectors poised for turnaround. SEBI requires a minimum 65% equity allocation.
Category Highlights
- Focus on margin of safety, high dividend yield, and low P/E / P/B multiples
- Downside cushion during market euphoria and overvalued peaks
- Contrarian bets on unloved sectors primed for cyclical rebound
Taxation Rules (Post-Budget 2024)
Equity Taxation: LTCG taxed at 12.5% beyond ₹1.25L exemption (> 12 months). STCG taxed at 20% (≤ 12 months).
Who Should Invest?
- •Patient investors with a margin-of-safety mindset who want downside protection during frothy market peaks.
- •Investors with a 5+ year investment horizon willing to wait for turnaround theses to play out.
Risks to Consider
- •Value traps: companies that appear cheap on P/E or P/B but have structural business decline.
- •Prolonged underperformance during strong momentum or growth-stock bull runs.
What if you invest ₹10,000/month in Value & Contra Funds?
Projected wealth growth assuming a category benchmark CAGR of 13% compounded monthly:
Explore Other Mutual Fund Categories
Compare asset classes, risk-return profiles, and SEBI regulations across all fund categories in India.
Frequently Asked Questions: Value & Contra Funds
What is the difference between Value and Contra funds?
Value funds look for undervalued stocks trading below intrinsic worth. Contra funds take contrarian positions against prevailing market sentiment by buying unloved, out-of-favor companies.
Can a mutual fund house offer both Value and Contra funds?
No, SEBI mandates that an AMC can offer either a Value Fund OR a Contra Fund, but not both simultaneously.
Why do Value funds sometimes underperform growth funds?
In strong momentum bull markets, high-growth expensive stocks lead the rally while value stocks languish until valuations revert to historical means.
What is the ideal holding period for Value funds?
At least 5 to 7 years. Value unlocking often takes years of patience for corporate earnings turnaround to reflect in stock prices.