5 Midcap Funds With the Highest Returns in 2026

Only HSBC has a clear lead. The next four sit within 0.9 points of each other. We have selected them basis the highest returns in 2026 so far, between 1 January to 16 October 2026 on the Regular Growth plan of 31 midcap schemes. Let’s look at a closer look at each of these. #1 HSBC Midcap Fund HSBC Midcap Fund is ranked #1 of 31 with +10.91% returns in 2026 so far. The top of the portfolio is Lenskart (5.08%, listed in November 2025), Meesho (5.04%) and Federal Bank (3.9%).

Top holdingsWeightLenskart Solutions5.08%Meesho5.04%The Federal Bank3.90%Aditya Infotech3.64%Piramal Finance3.56% Around 65.4% of its assets are in midcaps and 26.2% in smallcaps, which is close to the 65% minimum SEBI sets for the category. Its lead over second fund is 5 points, the widest gap. Against that, the fund fell 6.81% in September, nearly as much as the index (7.07%), and its year-to-date return was 13.79% in mid-July.

This means a good part of the lead has already been given back. MetricValueMetricValueYTD return+10.91%NAV (16 Oct)Rs 446.42vs Nifty Midcap 150 TRI+12.82 ptsvs category median+10.62 ptsAUMRs 16,800 croreExpense ratio (Regular)1.43% (base)Large / mid / small4.7 / 65.4 / 26.2%Portfolio turnover112.2%Top 5 / top 10 stocks21.2% / 36.8%Fund managersCheenu Gupta, Mayank Chaturvedi #2 Bandhan Midcap Fund Bandhan Midcap Fund is ranked #2 with +5.92%, 7.8 points ahead of the index.

It’s portfolio is spread across 88 stocks. The largest positions are Apar Industries (3.99%), and GE T&D India (3.18%). Top holdingsWeightApar Industries3.99%GE T&D India3.18%The Federal Bank3.02%Ipca Laboratories2.66%Aditya Infotech2.32% The fund has the second-lowest cost among the five and a spread-out portfolio, which makes the 5.9% a less concentrated result. MetricValueMetricValueYTD return+5.92%NAV (16 Oct)Rs 18.33vs Nifty Midcap 150 TRI+7.83 ptsvs category median+5.62 ptsAUMRs 2,519 croreExpense ratio (Regular)2.13%Number of stocks88Top 10 stocks25.8%September 2026 return-5.41%Fund managersRitika Behera, Gaurav Satra, Harshal Joshi, Ritu Modi 78%.

It holds 74 stocks, with One97 Communications (3.60%) and Avalon Technologies (3.08%) at the top. Top holdingsWeightOne97 Communications3.60%Avalon Technologies3.08%Mankind Pharma2.89%Godfrey Phillips India2.86%IDFC First Bank2.84% As of August 2026, 69.3% of its portfolio is in midcaps and 24.7% in smallcaps. The fund's Regular plan costs 2.45% a year, against 0.86% for the Direct plan. The fund shows a portfolio turnover of 107%, which is high for a fund that holds 74 names.

66% in mid-July and is 5.78% now, so it has lost almost four points since then. The team has four managers, with Satish Ramanathan managing the fund since November 2022. MetricValueMetricValueYTD return+5.78%NAV (16 Oct)Rs 20.10vs Nifty Midcap 150 TRI+7.69 ptsvs category median+5.48 ptsAUMRs 1,295 croreExpense ratio (Regular)2.45%Large / mid / small5.1 / 69.3 / 24.7%Portfolio turnover106.6%Number of stocks74Top 10 stocks28.2% #4 Taurus Midcap Fund Taurus Mid Cap is ranked #4 with +5.74%.

It is the smallest and most concentrated of the five: Rs 1.4 bn in assets and 39 stocks. Sigma Advanced Systems alone is 10.71% of the portfolio, and technology is 23.92%. Top holdingsWeightSigma Advanced Systems10.71%Persistent Systems5.38%Aurobindo Pharma4.97%Linde India4.67%Coforge4.66% Taurus fell the least in September (-2.44% against -7.07% for the index), which is consistent with its move into the top five after July, when it was not among the leaders.

Half of the fund’s assets are in ten stocks, and at Rs 1.4 bn the fund is tiny next to HSBC's Rs 168 bn. It’s also the most expensive of the five at 2.8%. MetricValueMetricValueYTD return+5.74%NAV (16 Oct)Rs 127.08vs Nifty Midcap 150 TRI+7.66 ptsvs category median+5.45 ptsAUMRs 138 croreExpense ratio (Regular)2.8%Number of stocks39Top 10 stocks51.1%Largest stock10.71%Fund managerAnuj Kapil #5 WhiteOak Capital Mid Cap Fund Last on the list is WhiteOak Capital Mid Cap Fund.

It is ranked #5 with +5.03%, still 6.9 points ahead of the index. It is the most diversified of the five, with 171 stocks and a largest position under 3%. Top holdingsWeightBharti Hexacom2.49%Coforge2.45%The Federal Bank2.24%Max Financial Services2.23%Laurus Labs1.97% Cash and similar holdings are about 7%. The fund was launched in September 2022 and has grown to about Rs 75 bn. The fund lost 6.14% in September against 6.81% for HSBC.

With 171 stocks, a single good pick moves the return very little, which may be one reason WhiteOak has the lowest return of the five. MetricValueMetricValueYTD return+5.03%NAV (16 Oct)Rs 21.07vs Nifty Midcap 150 TRI+6.94 ptsvs category median+4.73 ptsAUMRs 7,540 croreExpense ratio (Regular)2.23%Number of stocks171Top 10 stocks20.1%Cash and equivalentsabout 7%Lead managersRamesh Mantri, Piyush Baranwal Which Stocks Show Up in More Than One Fund?

Here are some stocks that show up across portfolios of these funds. StockFunds holding it in the top 10WeightsThe Federal BankHSBC, Bandhan, Taurus, WhiteOak3.90 / 3.02 / 4.23 / 2.24%GE Vernova T&D IndiaHSBC, Bandhan, Taurus3.09 / 3.18 / 4.54%Aditya InfotechHSBC, Bandhan3.64 / 2.32%CoforgeTaurus, WhiteOak4.66 / 2.45%Persistent SystemsBandhan, Taurus2.14 / 5.38%Vishal Mega MartBandhan, WhiteOak2.04 / 1.76%Multi Commodity ExchangeBandhan, JM2.03 / 2.28%Motilal Oswal FinancialJM, WhiteOak2.28 / 1.84% Source: Our comparison of top-10 lists from Upstox, Groww, and Sharpely.

Dates differ by fund (30 September to 16 October), so weights are indicative. The Federal Bank is in the top 10 of four of the five funds. For an investor who owns two or three of these funds, that overlap matters more than the fund names: the same few stocks drive part of the return in each. Conclusion All the numbers we discussed above were for regular options. Also, nine and a half months is short.

Year-to-date returns are not the 5-year record. Meanwhile, smallcaps take up a good portion inside some midcap funds. HSBC and JM hold about a quarter of assets in smallcaps, which increases risk in a declining market. Investors should evaluate each fund's portfolio, costs, and risk factors before making any investing decisions. Happy investing. Disclaimer: This article is for information purposes only.

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