Principal Balanced Fund: Best performing balanced fund in the last 3 years
In the last 3 years, Principal Balanced Fund gave 16.7% annualized returns, the highest among all equity oriented balanced funds in the industry (please refer to Advisorkhoj research tool, Top Performing Balanced Fund Equity Oriented). Even in the last 5 years, Principal was among the top 5 balanced funds, giving nearly 18% annualized returns. The fund continued its outstanding performance in 2017, giving nearly 36% annualized returns. Though Principal Balanced Fund is still not as popular as some of its industry peers (total AUM stands at Rs 870 Crores), it is one of the fastest growing (in terms of AUM) in the Balanced Fund category.
Principal Balanced Fund outperformed its more popular peers both in terms of trailing returns (1 year, 3 years and 5 years) and also in terms of performance consistency. The chart below shows the performance of Principal Balanced Fund versus its benchmark over the last 5 years.
You can see in the chart above, that Principal Balanced Fund generated positive alphas in most periods. In Advisorkhoj, we have developed a tool which can help investors identify the most consistent performers in any mutual fund category by looking at their annual quartile rankings over the last 5 years (please see our tool, Top Consistent Mutual Fund Performers). It is no surprise that Principal Balanced Fund is among the most consistent balanced funds as per our tool. In our blog, we have often stated the importance of performance consistency in selecting mutual funds for long term investments.
Principal Balanced Fund was launched in 2000. The equity portion of Principal Balanced Fund is managed by PVK Mohan who has total work experience of over 24 years. He has been managing this fund since May 2010. Ms. Bekxy Kuriakose manages the debt portion of this fund. She has total work experience of 16 years and has been managing this fund since Mar 2016. The expense ratio of the fund is 2.77%. The chart below shows the NAV growth of the fund over the last 5 years.
Principal Balanced Fund outperformed its more popular peers both in terms of trailing returns (1 year, 3 years and 5 years) and also in terms of performance consistency. The chart below shows the performance of Principal Balanced Fund versus its benchmark over the last 5 years.
You can see in the chart above, that Principal Balanced Fund generated positive alphas in most periods. In Advisorkhoj, we have developed a tool which can help investors identify the most consistent performers in any mutual fund category by looking at their annual quartile rankings over the last 5 years (please see our tool, Top Consistent Mutual Fund Performers). It is no surprise that Principal Balanced Fund is among the most consistent balanced funds as per our tool. In our blog, we have often stated the importance of performance consistency in selecting mutual funds for long term investments.
Principal Balanced Fund was launched in 2000. The equity portion of Principal Balanced Fund is managed by PVK Mohan who has total work experience of over 24 years. He has been managing this fund since May 2010. Ms. Bekxy Kuriakose manages the debt portion of this fund. She has total work experience of 16 years and has been managing this fund since Mar 2016. The expense ratio of the fund is 2.77%. The chart below shows the NAV growth of the fund over the last 5 years.
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