Why these four
Of the 34 mid-cap funds with a published average AUM for the July–September 2026 quarter, these four are the largest: HDFC Mid Cap, Kotak Mid Cap, Nippon India Growth Mid Cap, and Motilal Oswal Midcap Fund-Direct Plan-Growth Option. Together they hold ₹2,66,533 crore, 50% of the category. Mid-cap funds must keep at least 65% in companies ranked 101st to 250th by market value. That is a wide hunting ground, and the biggest funds have had to spread their money across it without moving the prices of the shares they buy. Every figure is for the Direct plan, Growth option, from NAVs to 22 October 2026.
| Fund | Average AUM, July–September 2026 (₹ crore) | Share of category | Direct plan expense ratio |
|---|---|---|---|
| HDFC Mid Cap | 1,05,346 | 20.0% | 0.74% |
| Kotak Mid Cap | 69,235 | 13.1% | 0.5459% |
| Nippon India Growth Mid Cap | 51,142 | 9.7% | 0.79% |
| Motilal Oswal Midcap Fund-Direct Plan-Growth Option | 40,809 | 7.7% | 0.92% |
Returns
| Fund | 1 year | 3 years | 5 years | 10 years |
|---|---|---|---|---|
| HDFC Mid Cap | −1.61% | 14.95% | 16.85% | 16.21% |
| Kotak Mid Cap | −4.74% | 13.77% | 14.27% | 16.37% |
| Nippon India Growth Mid Cap | −1.50% | 15.47% | 15.77% | 16.94% |
| Motilal Oswal Midcap Fund-Direct Plan-Growth Option | −8.34% | 15.96% | 18.27% | 16.08% |
| Category median | −1.77% | 14.34% | 13.31% | 15.30% |
Returns of a year or more are compounded annual rates. Over three years Motilal Oswal Midcap Fund-Direct Plan-Growth Option led at 15.96% and Kotak Mid Cap was lowest at 13.77%, a gap of 2.19 points a year against a category median of 14.34%. All four were negative over one year.
Calendar years
| Year | HDFC Mid Cap | Kotak Mid Cap | Nippon India Growth Mid Cap | Motilal Oswal Midcap Fund-Direct Plan-Growth Option | Category median |
|---|---|---|---|---|---|
| 2022 | 13.09% | 6.44% | 6.67% | 11.98% | 3.96% |
| 2023 | 45.45% | 33.02% | 49.76% | 43.26% | 39.25% |
| 2024 | 29.47% | 35.02% | 27.93% | 58.85% | 30.45% |
| 2025 | 7.49% | 2.89% | 4.45% | −11.36% | 2.89% |
| 2026 to 22 Oct | −3.67% | −3.17% | −1.14% | −3.08% | −2.62% |
A single calendar year can flatter or punish a fund by several points, which is why a table by year says more than one trailing figure. A dash means the fund did not hold a full record for that year.
Risk
| Fund | Volatility (3 yr) | Worst fall (3 yr) | Sharpe ratio | Now vs peak |
|---|---|---|---|---|
| HDFC Mid Cap | 15.0% | −16.8% | 0.56 | −8.9% |
| Kotak Mid Cap | 16.2% | −20.9% | 0.45 | −11.7% |
| Nippon India Growth Mid Cap | 16.7% | −19.9% | 0.54 | −9.6% |
| Motilal Oswal Midcap Fund-Direct Plan-Growth Option | 17.9% | −28.9% | 0.53 | −15.7% |
| Category median | 16.2% | −21.2% | 0.48 | −10.3% |
HDFC Mid Cap was the steadiest of the four on three-year volatility (15.0%) and Motilal Oswal Midcap Fund-Direct Plan-Growth Option the bumpiest (17.9%). Volatility is the annualised standard deviation of daily returns; the worst fall is the deepest peak-to-trough drop in the last three years. The Sharpe ratio uses a 6.5% risk-free rate.
What a monthly SIP earned
| Fund | 3-year SIP return (a year) | 5-year SIP return (a year) |
|---|---|---|
| HDFC Mid Cap | 5.25% | 15.35% |
| Kotak Mid Cap | 4.22% | 12.77% |
| Nippon India Growth Mid Cap | 5.16% | 15.12% |
| Motilal Oswal Midcap Fund-Direct Plan-Growth Option | 2.79% | 14.63% |
| Category median | 4.22% | 12.74% |
SIP returns are annualised (XIRR) for ₹10,000 a month. They differ from lump-sum returns because each instalment buys at a different price.
What they own
| Fund | Stocks held | Top-10 share of portfolio | Largest five holdings |
|---|---|---|---|
| HDFC Mid Cap | 79 | 31.3% | The Federal Bank Ltd 4.0%, Au Small Finance Bank Ltd 3.9%, Max Financial Services Ltd 3.5%, Ipca Laboratories Ltd 3.4%, Glenmark Pharmaceuticals Ltd 3.1% |
| Kotak Mid Cap | 70 | 27.8% | IPCA Laboratories Ltd 3.6%, Fortis Healthcare India Ltd 3.5%, Vishal Mega Mart Ltd 3.0%, L&T Finance Ltd 2.7%, Federal Bank Ltd 2.6% |
| Nippon India Growth Mid Cap | 100 | 24.8% | Multi Commodity Exchange of India Ltd 3.2%, AU Small Finance Bank Ltd 2.8%, The Federal Bank Ltd 2.6%, Info Edge (India) Ltd 2.5%, Fortis Healthcare Ltd 2.5% |
| Motilal Oswal Midcap Fund-Direct Plan-Growth Option | 30 | 53.7% | One 97 Communications Ltd 8.6%, Kalyan Jewellers India Ltd 8.0%, Eternal Ltd 6.7%, Coforge Ltd 5.4%, Aditya Birla Capital Ltd 4.6% |
Portfolios are the latest filed monthly disclosures. A concentrated fund puts more of its result on a few names; Motilal Oswal Midcap Fund-Direct Plan-Growth Option is the most concentrated of the four with 53.7% in its ten largest holdings, and Nippon India Growth Mid Cap the least at 24.8%.
How much they overlap
| Pair | Stocks in common | Overlap by weight |
|---|---|---|
| HDFC Mid Cap / Kotak Mid Cap | 24 | 30.6% |
| HDFC Mid Cap / Nippon India Growth Mid Cap | 31 | 29.6% |
| HDFC Mid Cap / Motilal Oswal Midcap Fund-Direct Plan-Growth Option | 7 | 7.9% |
| Kotak Mid Cap / Nippon India Growth Mid Cap | 31 | 30.8% |
| Kotak Mid Cap / Motilal Oswal Midcap Fund-Direct Plan-Growth Option | 10 | 17.5% |
| Nippon India Growth Mid Cap / Motilal Oswal Midcap Fund-Direct Plan-Growth Option | 12 | 18.7% |
"Overlap by weight" adds up, stock by stock, the smaller of the two weights. The closest pair is Kotak Mid Cap and Nippon India Growth Mid Cap at 30.8%; the most different is HDFC Mid Cap and Motilal Oswal Midcap Fund-Direct Plan-Growth Option at 7.9%. Holding two funds with a high overlap buys little diversification.
Cost
Among the four, Kotak Mid Cap charged the lowest Direct expense ratio at 0.5459% and Motilal Oswal Midcap Fund-Direct Plan-Growth Option the highest at 0.92%. On a ₹10 lakh holding that is a difference of ₹3,741 a year. Expense ratios are deducted from the NAV every day, so they are already inside the returns shown above.
Reading the comparison
- Size is not a verdict. These are the largest funds in the category, not the best; a fund's rank by AUM says nothing about its rank by return.
- Three years is a short window for an equity fund. A fund that led in the last rally may lag in the next fall.
- Returns are historical, computed from NAVs, and not a forecast. The closest pair by holdings was Kotak Mid Cap and Nippon India Growth Mid Cap (30.8% overlap by weight).
- This is not a recommendation to buy or sell any fund.
- Mid-cap fund returns in October 2026
- Mid and small caps against the Nifty 50, year by year
- All mid-cap funds
Source: AMFI NAVs to 22 October 2026; AMFI average AUM for July–September 2026; fund houses' TER disclosures; monthly portfolio disclosures.
Frequently asked questions
Which is the biggest mid-cap fund in India?
By average AUM for July–September 2026, HDFC Mid Cap at about ₹1,05,346 crore, ahead of Kotak Mid Cap (₹69,235 crore), Nippon India Growth Mid Cap (₹51,142 crore) and Motilal Oswal Midcap Fund-Direct Plan-Growth Option (₹40,809 crore).
Which of the four biggest mid-cap funds has the best 3-year return?
Motilal Oswal Midcap Fund-Direct Plan-Growth Option, at 15.96% a year to 22 October 2026, against 13.77% for Kotak Mid Cap and a category median of 14.34%. Direct plan, Growth option.
Which has the lowest expense ratio?
Kotak Mid Cap, at 0.5459% for the Direct plan; Motilal Oswal Midcap Fund-Direct Plan-Growth Option charges 0.92%.
This is commentary on published data, not investment advice. WealthTicker is not a SEBI-registered adviser or distributor. Figures are WealthTicker’s own calculations from public data — AMFI’s fund NAVs and disclosures, NSE’s index and FII/DII files, and the fund houses’ monthly portfolios (how we calculate). They are as of the dates stated and can be revised by their source.
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