Top Tata Mutual Funds to Invest Online in 2024
Tata Asset Management Ltd. (TAML) is an integral part of the Tata Group and oversees Tata Mutual Fund. Founded in 1994, Tata Asset Management Limited is affiliated with the Tata Group, a prominent industrial conglomerate in India with a strong reputation both domestically and internationally. Let’s begin to understand it better.
What is Tata Mutual Fund?
Tata Mutual Fund is a financial entity in India that operates as a mutual fund house. It is a part of Tata Asset Management Limited, which, in turn, is a subsidiary of the Tata Group, one of the largest and most well-known conglomerates in India.
Tata Asset Management Company extends its mutual fund offerings across debt, equity, hybrid, and other categories, allowing investors to align their choices with their financial goals, life stage, and risk profile. Additionally, the company provides portfolio management services and advisory services for both Indian and international investors.
Some of the key metrics of the Tata Mutual Funds list are stated below:
- Tata Mutual Fund provides investors with a diverse selection of approximately 72 fund schemes.
- Within this range, there are 26 equity schemes, 5 hybrid schemes, 37 debt schemes, and 4 schemes falling into other categories.
- As of February 28, 2023, Tata Funds accounted for 2.24% of the industry’s Assets Under Management (AUM).
- As of April 14, 2023, some of the fund house’s schemes boasting the highest AUM include Tata Liquid Fund, Tata Money Market Fund, and Tata Digital India Fund.
List of Tata Mutual Funds in India
Here is a list of the 10 best Tata mutual funds that you might consider to invest in.
| Fund Name | Category | Fund Size (in Cr) | 1-Year Returns |
|---|---|---|---|
| Tata Money Market Fund | Debt | ₹15,016 | 7.7% |
| Tata Small Cap Fund | Equity | ₹6,147 | 31.2% |
| Tata Large & Mid Cap Fund | Equity | ₹5,248 | 14.5% |
| Tata Large Cap Fund | Equity | ₹1,582 | 11.4% |
| Tata Banking & Financial Services Fund | Equity | ₹1,672 | 19.6% |
| Tata Multi Asset Opportunities Fund | Hybrid | ₹1,929 | 12.1% |
| Tata Balanced Advantage Fund | Hybrid | ₹7,605 | 11.7% |
| Tata Medium Term Fund | Debt | ₹77 | 3.6% |
| Tata Dynamic Bond Fund | Debt | ₹144 | 5.7% |
| Tata Arbitrage Fund | Hybrid | ₹7,682 | 8.1% |
Disclaimer: Please note that the above list is for educational purposes only, and is not recommendatory. Please do your own research or consult your financial advisor before investing.
Note: The data on the top Tata Mutual Funds in India in the list is from 15th March 2024. However, for real-time updates on stock prices and market trends, visit the smallcase stocks collection today!
Key Information about Tata Asset Management Limited
| Aspect | Details |
|---|---|
| Mutual Fund Name | Tata Mutual Fund |
| Asset Management Company | Tata Asset Management Ltd. |
| Establishment Year | 1994 |
| Parent Company | Tata Group |
| Trustee Organisation | Tata Trustee Company Ltd. |
| Ownership | Subsidiary of Tata Sons Limited |
| Primary Business | Asset Management |
| Product Offerings | Mutual Funds |
| Services | Mutual Fund Management, Portfolio Management Services (PMS), Advisory Services |
| Investment Options | Equity Funds, Debt Funds, Hybrid Funds, and others |
| Geographic Presence | Active in the Indian and, potentially, global markets |
Top Tata Mutual Fund Managers in India
Akhil Mittal
Akhil Mittal holds a B.Com degree from Panjab University and an MBA degree from the University Business School. He became part of Tata Mutual Fund in 2014 as the Senior Fund Manager of Fixed Income, overseeing an AuM of Rs. 4,102 across 18 schemes, including Tata Dynamic Bond, Tata Income Fund, Tata Treasury Advantage, Tata Balanced Advantage Fund, and more.
Rahul Singh
With over 26 years of investment experience, Mr. Rahul Singh leads the fund management and equity research teams as the Chief Investment Officer for Equities. Before joining Tata MF in 2018, he served as a managing partner at Ampersand Capital Investment Advisors LLP. Also held positions at Citigroup Global Market and Standard Chartered Securities. Mr. Singh holds a B.Tech and a Master’s Degree in Finance from IIM Lucknow.
Chandraprakash Padiyar
Mr. Padiyar, with over 21 years of experience in research and fund management, joined Tata Asset Management Pvt. Ltd. in September 2018. Prior to this, he worked at Alchemy Capital Management Pvt Ltd as a portfolio manager and at UTI Mutual Funds. Mr. Padiyar holds a Master’s in Finance and is a CFA charterholder.
Soham H Udasi
Mr. Sonam Udasi, holding a Post Graduate Diploma in Business Administration with specialization in Finance, joined Tata Mutual Fund in April 2014. Before joining, he gained experience at IDBI Capital Market Services Ltd and JM Financial AMC. Mr. Udasi holds another Post Graduate Diploma in Business Administration, specializing in Finance.
Sailesh Jain
With over 18 years of experience in both fund management and broking, Mr. Jain joined Tata Asset Management Pvt. Ltd. in November 2018. Before this, he served as the Head of Institutional Derivatives Desk at IDFC Securities Ltd. Also, worked with IIFL and Refco-Sify Securities. Mr. Jain holds a Master’s degree in Finance from the Queensland University of Technology in Australia.
Brief Overview of the Best Tata Mutual Funds
Let’s delve deeper into the details of these 10 best Tata mutual fund schemes:
- Tata Money Market Fund: A part of the Debt category, has delivered annualized returns of approximately 5.45% and 6.4% over the past 3 and 5 years, respectively.
- Tata Small Cap Fund: Falls within the Equity category. It has demonstrated annualized returns of around 39.97% and 26.87% over the last 3 and 5 years, respectively.
- Tata Large & Mid Cap Fund: A part of the Equity category within Tata Mutual Funds, exhibits an annualized performance of about 22.16% and 17.81% over the past 3 and 5 years.
- Tata Large Cap Fund: It is categorized under Equity in Tata Mutual Funds. It has shown annualized returns of approximately 19.67% and 14.69% over the last 3 and 5 years.
- Tata Banking and Financial Services Fund: An Equity category offering from the best Tata MF, displays annualized returns of around 19.42% and 17.33% over the past 3 and 5 years.
- Tata Multi Asset Opportunities Fund: Falling under the Hybrid category of Tata Mutual Funds, showcases its performance without specific return figures mentioned.
- Tata Balanced Advantage Fund: It is categorized under Hybrid in Tata Mutual Funds. Presents its performance without specific return figures mentioned.
- Tata Medium Term Fund: Belonging to the Debt category of Tata MF. It has delivered annualized returns of approximately 7.51% and 3.35% over the past 3 and 5 years.
- Tata Dynamic Bond Fund: A part of the Debt category in Tata Mutual Funds, has demonstrated annualized returns of around 7.13% and 6.6% over the past 3 and 5 years.
- Tata Arbitrage Fund: A Hybrid category offering from Tata MF, presents its performance without specific return figures mentioned.
Features of Tata MF Best Schemes
Let’s have a look at the features of the Tata MF best schemes.
- Consistent Performance: Tata MF’s schemes potentially have a strong track record of delivering consistent returns over the long term. Several of their schemes may have outperformed their respective benchmarks consistently.
- Diversified Portfolios: The best Tata mutual fund schemes offer diversified portfolios that help reduce risk and enhance returns. They invest in a variety of asset classes, including equity, debt, and gold, across different sectors and market capitalizations.
- Experienced Fund Management: The Tata Group mutual funds has a team of experienced and well-qualified fund managers who have a deep understanding of the Indian market. They can actively manage the portfolios to ensure they remain aligned with investor objectives and market conditions.
- Low Expense Ratios: Tata MF’s schemes have relatively low expense ratios compared to industry averages. This means that a larger portion of investor money may go towards generating returns rather than towards fund management fees.
- Transparency and Investor Education: Tata MF is committed to providing investors with transparent information about their schemes. They regularly publish performance reports, investor education materials, and market insights.
- SIP Options: Best Tata mutual fund for SIP (Systematic Investment Plan) options for investors who want to invest regularly and benefit from the power of compounding.
- Wide Distribution Network: Tata MF’s schemes are available through a wide network of distributors, including banks, financial advisors, and online platforms.
Who Can Invest in the Best Tata Mutual Funds?
Most individuals can invest in the best Tata Mutual Fund for long term, including:
- Resident Indians: Individuals who are Indian citizens or have been resident in India for at least 6 months can invest in Tata Mutual Funds.
- Non-Resident Indians (NRIs): NRIs can invest in Tata Mutual Funds under the Non-Resident External (NRE) or Foreign Currency Non-Resident (FCNR) scheme.
- Foreign Institutional Investors (FIIs): FIIs can invest in Tata Mutual Funds through the Foreign Investment Promotion Board (FIPB) route.
You can invest in Mutual Fund Tata through on a variety of platforms, including:
- Directly through Tata Mutual Fund’s website or mutual fund mobile app.
- Through a registered mutual fund distributor.
- Through an online investment platform.
When investing in Tata Mutual Funds, it is important to do your research and understand the risks involved. You should also consider your investment goals, risk tolerance, and time horizon. It is always advisable to consult with a financial advisor before making any investment decisions.
How Do You Choose the Best MF Schemes for Tata?
Here are some steps to help you make an informed decision:
- Define Your Financial Goals: Identify your short-term, medium-term, and long-term financial goals. You can categorize them as per your priority and time horizon.
- Risk Tolerance: Assess your risk tolerance level. Different mutual funds have varying levels of risk associated with them.
- Understand Different Types of Mutual Funds: Tata Mutual Fund investment potentially offers a variety of funds, including equity funds, debt funds, hybrid funds, and others. Understand the different types of funds and their risk-return profiles.
- Performance Analysis: view the historical performance of Tata best MF schemes. Look at the Tata fund’s performance over various time periods.
- Expense Ratio: Compare the expense ratios of different funds. Lower expense ratios can positively impact your overall returns.
- Fund Manager’s Track Record: Assess the track record and experience of the fund manager managing the scheme. A skilled and experienced fund manager can contribute to the fund’s success.
- Consistency of Returns: Look for consistency in Tata mutual fund returns. Avoid funds that exhibit high volatility without corresponding returns.
- Exit Load and Lock-in Period: Check for any exit loads associated with the funds. Also, be aware of the lock-in period if applicable.
- Diversification: Portfolio diversification across different asset classes and sectors to reduce risk.
- Consider Tax Implications: Understand the tax implications of your investment. Different types of funds have different tax treatments.
Why Invest in the Tata Mutual Fund?
Investing in the top Tata Mutual Funds presents an opportunity to align with a reputable and well-established Tata Group brand. With a legacy of success, Tata Mutual Funds offers a diverse range of investment options, catering to various financial goals and risk profiles. Managed by experienced professionals, the funds aim to deliver consistent performance across different market conditions.
Documents Required to Invest in Tata Mutual Fund
The KYC (Know Your Client) documentation comprises evidence of identity and proof of address. The following is a list of acceptable, officially valid documents (OVD).
IDENTITY VERIFICATION
- Mandatory: PAN Card
- Voter ID Card
- Driving License
- Passport
- Aadhaar Card
- Any other identity card issued by the Central or State Government
ADDRESS VERIFICATION
- Voter ID Card
- Driving License
- Passport
- Ration Card
- Aadhaar Card
- Bank account statement or passbook
- Utility bills such as electricity or gas bills
Therefore, the KYC verification process typically requires 3-5 business days as it is conducted by agencies certified by the government.
Please note that the specific documents required may vary depending on your individual circumstances. Therefore, it is always best to check with the best Tata Mutual Fund directly to confirm the documents you might need.
How to Start Tata Mutual Fund SIP Online?
Starting a Tata Mutual Fund SIP (Systematic Investment Plan) online is a convenient and straightforward process that allows you to invest regularly in your chosen mutual fund scheme. Here’s a step-by-step guide on how to invest in Tata mutual funds:
Step 1: Create an Account with Tata Mutual Fund
Step 2: Once your account is activated, browse through Tata Mutual Fund’s wide range of mutual fund schemes across various categories, including Equity Funds, Debt Funds, Hybrid Funds, and Solution-Oriented Funds.
Step 3: Choose the best Tata SIP plan and click on the “Start SIP” or “Invest Now” option.
Step 4: Make SIP Payments by setting up a predetermined amount, date and time horizon.
Step-5: Review your details and submit the SIP registration form.
Taxation on Tata Mutual Funds as per the Union Budget for 2024-25
The taxation on capital gains from your mutual fund investments is based on their holding periods and asset allocation. A few revisions were made to the tax rates, depending on their types, in the Union Budget 2024-25. It may be important to learn about these revisions when considering Tata mutual funds. These changes include:
Equity Mutual Funds
- Short-Term Capital Gains (STCG): The gains from equity mutual funds held for less than 12 months are now taxed at 20%. This is an increase from the previous tax rate of 15%.
- Long-Term Capital Gains (LTCG): For equity mutual funds held for over a period of over 12 months, gains are classified as long-term capital gains. The new budget introduces these key changes to the LTCG:
- Tax-Free Limit: The capital gains up to Rs. 1.25 lakh per year are tax-free. This is an increase from the previous limit of Rs. 1 lakh.
- Tax Rate: The gains exceeding Rs. 1.25 lakh are now taxed at a flat rate of 12.5%. This is an increase from the previous rate of 10%.
- Indexation: The benefit of indexation, which allowed investors to adjust the purchase price for inflation, has been removed for all asset classes, including equity mutual funds.
Indexation was a method that allowed investors to adjust the purchase price of assets for inflation. This adjustment reduced taxable profits when selling assets like property or gold. Previously, these long-term capital gains were taxed at 20%. The new rule imposes a flat 12.5% tax on all long-term capital gains but eliminates any indexation benefits.
| Capital Gains Tax | Holding Period | Old Rate | New Rate |
| Short-Term Capital Gains (STCG) | Less than 12 months | 15% | 20% |
| Long-Term Capital Gains (LTCG) | More than 12 months | 10% | 12.50% |
Debt Mutual Funds
- Short-Term Capital Gains (STCG): If you sell your debt fund units within a period of 36 months, the gains are classified as short-term capital gains. The STCG will be taxed according to your income tax slab rate.
- Long-Term Capital Gains (LTCG): For debt funds held for a period over 36 months, the gains are classified as long-term capital gains. The new budget outlines a few changes on the LTCG for debt funds, including:
- Tax Rate: A flat 12.5% tax rate applies to these gains.
- No Indexation Benefit: The previous benefit of adjusting the purchase price for inflation is removed. Now, the entire gain after three years is taxable at 12.5%.
- Change in Holding Period for Specified Mutual Funds: Previously, debt mutual funds with a holding period of over 36 months were taxed based on the investor’s tax slab, classified as Long-Term Capital Gains (LTCG). Now, for specified mutual funds where over 65% of the investment is in debt, the holding period for taxation has been reduced to over 24 months. These funds will still be taxed according to the investor’s tax slab as either LTCG or STCG.
| Capital Gains Tax | Holding Period | Old Rate | New Rate |
| Short-Term Capital Gains (STCG) | Less than 36 months | Taxed according to your income tax slab | Taxed according to your income tax slab |
| Long-Term Capital Gains (LTCG) | More than 36 months | 10% | 12.50% |
Hybrid Mutual Funds
Short-Term Capital Gains (STCG)
The tax on short-term capital gains depends on the fund’s asset allocation when it comes to hybrid mutual funds. Here is a breakdown of STCG tax rates according to their asset allocation in hybrid funds:
- Equity-Oriented Hybrid Funds (more than 65% in equity): The gains from units sold within 12 months are taxed at 20%.
- Debt-Oriented Hybrid Funds (less than 65% in equity): The gains from units sold within three years are taxed according to your income tax slab.
Long-Term Capital Gains (LTCG)
The capital gains tax on hybrid mutual funds that extend the specified period (12 or 36 months) is known as the long-term capital gain tax. The tax treatment under this condition is as follows:
- Equity-Oriented Hybrid Funds: The gains from units held for over a period of 12 months are taxed at 12.5%. The gains up to Rs. 1.25 lakh are tax-free.
- Debt-Oriented Hybrid Funds: The gains from units held for over a period of 36 months are taxed at 12.5% without indexation benefits. This means the entire gain is taxed at this rate, without adjustment for inflation.
| Type of Hybrid Fund | Short-Term Capital Gains (STCG) | Long-Term Capital Gains (LTCG) | Indexation Benefit |
| Equity-Oriented Hybrid Funds | 20% for holdings less than 1 year | 12.5% for holdings over 1 year, with gains up to Rs. 1.25 lakh tax-free | Not available |
| Debt-Oriented Hybrid Funds | Taxed as per income tax slab for holdings less than 3 years | 12.5% for holdings over 3 years | Not available |
Note: Mutual fund schemes where neither the equity nor debt orientation exceeds 65% will now be classified as long-term investments after 24 months. The previous holding period for these funds was 36 months. These will be taxed at the revised LTCG tax rate of 12.5%.
How are Returns Calculated on the Best Tata Mutual Funds?
The Tata mutual fund returns are calculated based on the Net Asset Value (NAV) of the fund. The NAV is the market value of the fund’s assets minus its liabilities, divided by the total number of units outstanding.
The formula for calculating returns is:
Returns (%)=(Current NAV−Investment NAV)/ (Investment NAV)×100
Investors may experience capital gains or losses depending on the change in NAV. It’s important to note that past performance may not necessarily indicate future results, and the actual returns can vary based on market conditions and the performance of the underlying securities in the fund’s portfolio. Investors can monitor their returns through regular updates provided by the top Tata Mutual Funds or the platform through which they have invested.
Additional Benefits of Investing in the Best Tata Mutual Funds
Besides the potential for high returns, investing in Tata Mutual Funds can offer several additional benefits, including:
Professional Management
Tata best performing mutual funds are managed by experienced fund managers professionals. They actively monitor the performance of the fund’s portfolio and make adjustments as needed to maintain the fund’s objectives and risk profile.
Diversification
The best Tata mutual funds offer a wide range of schemes that invest in different asset classes, such as equity, debt, and gold. This diversification can help to reduce risk and improve returns. For instance, if equity markets experience a downturn, the fund’s investments in debt and gold can help to cushion the impact on the overall portfolio.
Liquidity
Top Tata Mutual Funds are highly liquid, which means that investors can easily buy and sell units. This liquidity can be beneficial for investors who need to access their funds quickly or who want to adjust their investment strategy in response to changing market conditions.
Transparency
The best Tata fund can provide investors with easy access to information about its funds. Investors can find detailed information about each fund’s investment objectives, portfolio composition, performance history, and fees on the Tata Mutual Fund website.
Regular Income
Some Tata Mutual Funds, such as income-oriented funds, are designed to generate regular income for investors. These funds invest in a mix of debt and equity securities that are selected for their dividend-paying potential. Investors can receive regular distributions from these funds, which can provide a steady stream of income for retirement or other financial goals.
Long-Term Wealth Creation
Investing in the best Tata Mutual Fund for long term can be an effective way to build wealth over the long term. By investing consistently and taking advantage of the power of compounding, investors can grow their savings significantly over time.
Convenience
The best Tata mutual fund for SIP can be a convenient investment option. These options can make it easy for investors to invest regularly and achieve their financial goals.
Tax Efficiency
Some top Tata Mutual Funds, such as Equity Linked Savings Schemes (ELSS), offer tax benefits under Section 80C of the Income Tax Act. Investments in ELSS funds are eligible for a deduction of up to ₹1.5 lakhs from taxable income in the year of investment.
Professional Guidance
Investors can also seek guidance from financial advisors to help them select the best Tata mutual fund schemes for their investment goals, risk tolerance, and financial situation.
To Wrap It Up…
In the dynamic world of finance, market conditions can shift, and past performance is not necessarily indicative of future results. Therefore, exploring the best Tata Mutual Funds may provide valuable insights into the diverse range of investment options available to individuals seeking to build a well-rounded portfolio.
So whether one chooses to include them in their investment strategy or explores other avenues, it’s essential to approach the decision with a balanced and informed perspective.
As always, please do your own research and/or consult a financial advisor before investing.
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Frequently Asked Questions (FAQs) on Best Tata Mutual Funds
The 3 best performing Tata mutual funds that may consider investing in are:
(a) Tata Money Market Fund
(b) Tata Small Cap Fund
(c) Tata Large & Mid Cap Fund
Note: This information is provided for educational purposes and is not intended as a recommendation or endorsement.
Investments carry a certain degree of risk, but Tata Fund potentially has a good track record and is considered a reputable Tata AMC. Investors should comprehend both the growth potential and challenges confronted by the top Tata Mutual fund.
The minimum amount to start the best Tata mutual fund for SIP online is ₹500.
You can easily calculate the best Tata mutual fund SIP using a SIP calculator.
Redeem Tata Mutual Fund units through their website, online trading platform, or mobile app. Enter your folio number, scheme code, and redemption amount to initiate the Tata mutual fund online redemption process. Submit the request and confirm the transaction.
You can increase your SIP amount online or by contacting your investment advisor.
To stop the best Tata mutual fund for SIP in a Tata Mutual Fund online, you can follow these steps:
(a) With Tata MF login online go to your transact online account.
(b) After Tata mutual fund online login, go to the “SIP/SWP/STP” tab.
(c) Select the SIP you want to stop.
(d) Click on the “Cancel” button.
(e) Confirm the cancellation
And there you go, your SIP will be stopped from the next SIP date.
You can download your Tata Mutual Fund statement from the Tata Mutual Fund website.
