PPFAS Launches Parag Parikh Large Cap Fund With No Exit Load

PPFAS Mutual Fund has introduced its latest equity scheme, the Parag Parikh Large Cap Fund (PPLCF), designed to generate long-term wealth by investing primarily in large-cap companies. The mutual fund is benchmarked against the Nifty 100 Total Return Index (TRI), ensuring alignment with the performance of India’s top 100 listed corporations.

Unlike several other mutual funds in its category, PPLCF comes with no exit load, making it an attractive option for investors seeking wealth creation through long-term equity participation. The scheme is managed by an experienced team including Rajeev Thakkar, Raunak Onkar, Raj Mehta, Rukun Tarachandani, Tejas Soman and Aishwarya Dhar, who bring a proven value-driven and pragmatic investment philosophy to the table.

Investment Objective and Strategy

The Parag Parikh Large Cap Fund aims to invest 80–100% of its corpus in large-cap equities, as classified by SEBI, while maintaining flexibility to allocate up to 20% in mid-cap, small-cap and overseas securities. The fund may also hold 0–20% in debt instruments and money market securities, providing a buffer for stability and liquidity.

Additionally, the scheme allows investment of up to 10% in Real Estate Investment Trusts (REITs) & Infrastructure Investment Trusts (InvITs) for income generation and up to $100 million in foreign securities, within SEBI’s global investment limit. The option to invest up to $30 million in overseas ETFs adds access to international growth opportunities and diversification.

This strategy aims to balance stability & growth by investing in India’s top companies while remaining flexible. PPFAS said that the fund will actively manage investments, adjusting its approach based on market values, industry trends and economic indicators.

Portfolio Management Approach

The PPLCF portfolio may use equity derivatives, including futures & options, for efficient portfolio management and risk mitigation. It can also participate in stock lending to generate additional income for investors.

The investment process is designed to integrate bottom-up stock selection (focusing on company fundamentals) with a top-down economic analysis, considering factors like interest rates, sector performance and global trends.

Investors can choose between Direct & Regular Plans, each available with Growth and Income Distribution cum Capital Withdrawal (IDCW) options. The Direct Plan - Growth Option will act as the default choice.

The minimum investment starts at Rs 1,000 for both lump-sum and monthly SIPs, with quarterly SIPs starting from Rs 3,000. Additional mutual fund investments can be made in multiples of Re 1, ensuring accessibility for all types of investors. With no entry or exit load, PPLCF offers unmatched flexibility to navigate market cycles without penalty.

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Taxation and Investor Suitability

According to the current taxation structure, long-term capital gains (LTCG) exceeding Rs 1.25 lakh will be taxed at 12.5%, while short-term capital gains (STCG) will attract a 20% tax rate. The fund is ideal for investors who want steady, long-term growth through exposure to large, fundamentally strong companies.

PPFAS stated that the Parag Parikh Large Cap Fund seeks to merge its value-based philosophy with the resilience of India’s large caps, offering a high-conviction, professionally managed route for wealth creation.

Peer Comparison and Market Landscape

India’s large-cap equity funds have historically been reliable long-term performers, offering stability and consistent returns even through market turbulence. Leading peers such as the ICICI Prudential Bluechip Fund, HDFC Top 100 Fund and SBI Bluechip Fund have posted 14–18% annualized returns over the past five years, driven by exposure to industry giants like Reliance Industries, HDFC Bank, Infosys and ICICI Bank.

These funds have maintained strong performance through prudent sector allocation in banking, information technology and energy, paired with disciplined portfolio management and low turnover. Their success underscores why large-cap funds remain the preferred choice for investors prioritizing capital protection with growth potential.

Top 5 Performing Large Cap Equity Funds

Here are the best large-cap equity mutual funds based on their performance:

Based on 1 Month Performance

ICICI Prudential BHARAT 22 FOF - Direct Plan – 2.74%
BHARAT 22 ETF – 2.55%
Bajaj Finserv Large Cap Fund - Direct Plan – 2.31%
Taurus Large Cap Fund - Direct Plan – 2.03%
UTI BSE Sensex Next 50 ETF – 2.0%

Based on 6 Month Performance

Bank of India Large Cap Fund - Direct Plan – 12.76%
Quant Large Cap Fund - Direct Plan – 12.69%
DSP BSE Sensex Next 30 ETF – 12.38%
DSP BSE Sensex Next 30 Index Fund - Direct Plan – 12.19%
UTI Nifty Next 50 ETF – 12.06%

Based on 1 Year Performance

Motilal Oswal Large Cap Fund - Direct Plan – 13.34%
WhiteOak Capital Large Cap Fund - Direct Plan – 8.27%
PGIM India Large Cap Fund - Direct Plan – 8.18%
ICICI Prudential Large Cap Fund - Direct Plan – 7.77%
Nippon India Large Cap Fund - Direct Plan – 7.68%

Based on 3 Year Performance

BHARAT 22 ETF – 27.23%
ICICI Prudential BHARAT 22 FOF - Direct Plan – 26.95%
UTI BSE Sensex Next 50 ETF – 21.36%
SBI BSE Sensex Next 50 ETF – 21.29%
Nippon India ETF BSE Sensex Next 50 – 21.07%

Based on 5 Year Performance

BHARAT 22 ETF – 33.41%
ICICI Prudential BHARAT 22 FOF - Direct Plan – 33.13%
Nippon India Large Cap Fund - Direct Plan – 23.92%
SBI BSE Sensex Next 50 ETF – 23.57%
UTI BSE Sensex Next 50 ETF – 23.57%

Market Outlook

With large-cap funds continuing to prove their worth in long-term portfolio building, the entry of Parag Parikh Large Cap Fund expands choices for investors who prefer quality, consistency and transparency over short-term speculation. The no-exit-load structure, diversified investment flexibility and seasoned fund management make it an appealing option for investors focused on disciplined wealth accumulation.

For those seeking a reliable path to participate in India’s corporate growth story, the Parag Parikh Large Cap Fund may be an ideal choice, combining stability, capital appreciation and trusted fund governance.

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