August's leader
July's large-cap lead lasted one month. In August the median small-cap fund gained 4.40% and every one of the 36 rose. The median large-cap fund was flat, at −0.03%, with 18 of 35 lower.
The median equity fund gained 1.77%, taking it to 3.90% for the year.
All figures are for the Direct plan, Growth option, computed from daily NAVs between 31 July and 31 August 2026. August and the year so far are plain percentage changes; one, three and five years are compounded annual rates.
The scorecard
Twelve SEBI equity categories, ranked by August's median return.
| Category | Funds | August | 2026 so far | 1 year | 3 years | 5 years |
|---|---|---|---|---|---|---|
| Small Cap | 36 | 4.40% | 17.82% | 18.68% | 16.91% | 17.47% |
| Mid Cap | 34 | 2.74% | 8.42% | 13.58% | 18.82% | 17.00% |
| Multi Cap | 32 | 2.73% | 7.11% | 13.09% | 16.10% | 15.09% |
| Large & Mid Cap | 36 | 1.97% | 3.36% | 10.21% | 15.60% | 14.21% |
| Flexi Cap | 45 | 1.96% | 3.23% | 8.16% | 13.77% | 11.96% |
| Sectoral / Thematic | 254 | 1.57% | 4.13% | 10.15% | 16.37% | 13.79% |
| Focused | 28 | 1.41% | 2.63% | 8.04% | 14.75% | 12.41% |
| Value | 23 | 0.90% | 0.29% | 6.45% | 14.89% | 14.23% |
| Contra | 3 | 0.76% | −0.53% | 5.70% | 16.77% | 15.40% |
| ELSS | 38 | 0.65% | 1.07% | 5.11% | 12.79% | 12.11% |
| Dividend Yield | 12 | 0.35% | −0.28% | 6.55% | 14.52% | 14.67% |
| Large Cap | 35 | −0.03% | −2.95% | 3.19% | 12.05% | 10.06% |
| All equity funds | 576 | 1.77% | 3.90% | 9.55% | 15.02% | 13.53% |
"Funds" counts every Direct Growth plan on 31 August. A fund counts in a period only if it has a full record: 568 for August, 528 for one year, 403 for three years and 309 for five. Contra has only three funds.
Against the indices
Our estimates of total return, built from NSE's daily price and dividend yield, to the close of 31 August:
| Index (estimated total return) | August | 2026 so far | 1 year | 3 years | 5 years |
|---|---|---|---|---|---|
| Nifty 50 | −1.14% | −7.06% | −0.13% | 9.13% | 8.44% |
| Nifty 500 | 0.04% | −1.03% | 5.56% | 12.76% | 11.33% |
| Nifty Midcap 150 | 1.77% | 6.17% | 14.23% | 17.93% | 18.09% |
| Nifty Smallcap 250 | 2.57% | 10.63% | 12.03% | 16.41% | 16.77% |
On price, the Nifty 50 fell 1.24% in August, to 24,080.40. The Nifty Smallcap 250 rose to 18,372.10, 1.35% below its record close of 18,623.15 from 23 September 2024.
What the numbers show
The gap is now 20 points. For 2026 so far, the median small-cap fund is up 17.82% and the median large-cap fund down 2.95%, a spread of 20.77 points in eight months. In June it was 15.16 points.
Every small, mid and multi-cap fund rose. All 36 small-cap funds, all 33 mid-cap funds with a full month and all 32 multi-cap funds gained in August. Sixteen small-cap funds, 13 mid-cap funds and 11 multi-cap funds closed the month at record NAVs. One large-cap fund did.
Funds beat the small-cap index by a wide margin. The median small-cap fund's 17.82% for the year is 7.19 points ahead of our Nifty Smallcap 250 estimate. Every small-cap fund is up for 2026, from 1.57% for HDFC Small Cap to 31.51% for Bank of India Small Cap.
Small caps lead the one-year table too. Their median one-year return, 18.68%, is 5.10 points ahead of mid caps, which led it at six of the year's seven earlier month-ends. Mid caps still lead over three years, at 18.82% a year.
Large caps' five-year number slipped again. The median large-cap fund's five-year return is 10.06% a year, down from 11.62% a month ago, as August 2021 dropped out of the window; the Nifty 100 rose 8.31% on its price that month. Our estimate of the Nifty 50's five-year return is 8.44% a year.
Theme funds swung back. Nippon India Taiwan Equity, the worst fund of July, was the best of August at 20.10%. FMCG, consumption, rural, infrastructure and commodities funds filled the bottom six, each down between 2.69% and 4.92%.
What this does not tell you
A 20-point gap in eight months is unusual, but the numbers alone cannot say whether it widens or closes. Small caps were also the category that fell hardest in January.
Record NAVs say where funds have been. On 31 August, 113 of 576 equity funds were at their highest NAV ever and the median fund was 1.07% below its peak; neither says anything about September.
The benchmarks are our estimates, the medians cover surviving funds only, and past returns do not predict future ones. Nothing here is advice to buy or sell any fund.
Where to go from here
The categories page has live numbers for every category, and last month's table is the July equity fund scorecard. For the market side of the month, see August 2026 in numbers.
How many funds have climbed back above their February levels is in funds back above February levels, and the flexi-cap row is covered in detail in flexi-cap fund returns in August.
Frequently asked questions
How did equity mutual funds do in August 2026?
The median equity fund (Direct plan, Growth option) gained 1.77% between the NAVs of 31 July and 31 August 2026, and 457 of 568 funds rose. Small-cap funds led with a median of 4.40%, and all 36 rose. Large-cap funds were flat, with a median of −0.03%; 18 of 35 fell.
How much are small-cap funds up in 2026?
To 31 August 2026, the median small-cap fund was up 17.82% for the year, and all 36 were higher. The median large-cap fund was down 2.95%, a gap of 20.77 percentage points in eight months.
Which equity fund category has the best one-year return?
Small-cap funds, to 31 August 2026: their median one-year return was 18.68%, ahead of mid caps at 13.58%. Over three years mid caps led at 18.82% a year. Large-cap funds had the lowest median over one, three and five years.
This is commentary on published data, not investment advice. WealthTicker is not a SEBI-registered adviser or distributor. Figures are as of the dates stated and can be revised by their source.
Keep reading
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The median arbitrage fund returned 6.68% in the year to 30 September 2026, against 6.46% for liquid funds. Where each came out ahead, and what it cost.
Balanced advantage funds in 2026's falling market
The Nifty 50 fell 13.4% from 31 December 2025 to 30 September 2026. The median balanced advantage fund lost 1.7%, and its worst dip was 8.7%.
Direct vs regular plans: the 1.16-point equity fee gap
A regular equity plan costs a median 1.16 points a year more than its direct twin, on AMFI's September 2026 data. Over ten years, direct ended 10.2% ahead.