Benchmark Comparison Report: Active Equity Mutual Funds vs AMFI Benchmarks

Executive Summary

The Benchmark Comparison Report for the year ending June 30, 2025, studies whether actively managed equity mutual funds in India outperform their AMFI-recognised benchmarks across four fund categories: large-cap, mid-cap, small-cap and flexi-cap. The analysis indicates underperformance, particularly over longer investment horizons.

Key Findings

Active equity mutual funds struggle with consistent benchmark outperformance but may still create value in less efficient segments like small caps. 

For investors unable to identify skilled managers, passive strategies offer a safer, cost-effective alternative.