Best Mutual Funds: These 6 value schemes delivered over 20% annualised returns in past 3 years
Best Mutual Funds: Before investing in a mutual fund scheme, investors typically examine its past few years’ returns and compare them with those of other schemes in the same category.
The past performance of mutual funds sets the tone for their future performance. A high-performing fund, for instance, is likely to garner a lot of contributions from new investors, whereas a low-performing fund fails to gain traction over time.
Here, we list out the high-performing value schemes that delivered over 20 per cent annualised returns in the past three years. Let us first understand what a value mutual fund is.
Value mutual funds
Value mutual funds refer to those schemes which follow a value investment strategy with at least 65 per cent in stocks. These funds identify securities that are currently undervalued but are seen to perform well in future after their value is unlocked. There are a total of 24 value schemes with total assets under management (AUM) of ₹2.01 lakh crore, according to the latest AMFI (Association of Mutual Funds in India) data as on July 31, 2025.
(Source: AMFI; regular returns as on 13 August 2025)
As we can see in the table above, JM Value Fund delivered over 23 per cent annualised returns in the past three years, while HSBC Value Fund gave 23.84 per cent returns.
Other schemes which have delivered high returns include Axis Value Fund and ICICI Prudential Value Fund.
Notably, past returns do not guarantee future returns. This means just because some scheme has given exceptional returns in the past, it does not mean it will continue to deliver similar returns in the future as well.
Other factors that investors are supposed to consider before making an investment decision include the reputation of the fund house, whether the scheme is active or passive, past performance of the fund manager (in the case of an active scheme), and the overall macroeconomic scenario that prevails, among others.
Note: This story is for informational purposes only. Please speak to a SEBI-registered investment advisor before making any investment-related decision.
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