Value and contra mutual funds follow contrarian investment strategies, buying stocks that are currently undervalued or out of favour with the broader market. Value funds look for stocks trading below their intrinsic value based on fundamental analysis, while contra funds invest against prevailing market trends. Both strategies aim to generate superior returns when the market eventually recognises the true worth of these undervalued companies.
These funds require patience as value investing may underperform during momentum-driven bull markets. However, historically, value strategies have delivered strong long-term returns. An investment horizon of 5-7 years is recommended to allow the value thesis to play out fully.
| # | Fund Name | NAV (₹) | 1Y Return ▼ | 3Y CAGR | 5Y CAGR |
|---|---|---|---|---|---|
| 1 | Quant Value Fund - Growth Option | 24.15 | +17.03% | +26.41% | — |
| 2 | LIC MF Value Fund | 28.49 | +11.05% | — | — |
| 3 | Mahindra Manulife Value Fund | 12.49 | +9.89% | — | — |
| 4 | DSP Value Fund | 24.18 | +9.73% | +18.92% | +14.69% |
| 5 | Aditya Birla Sun Life Value Fund - Growth | 148.09 | +4.94% | +18.78% | +15.17% |
| 6 | Axis Value Fund | 19.97 | +3.42% | +19.99% | — |
| 7 | ITI Value Fund - Direct Plan - Growth Option | 18.24 | +1.94% | +16.60% | +12.78% |
| 8 | HSBC Value Fund | 124.30 | +1.63% | +20.52% | — |
| 9 | HDFC Value Fund - Growth Option | 830.46 | +1.49% | +17.28% | +15.18% |
| 10 | Kotak Contra Fund | 175.43 | +0.54% | +18.09% | +16.00% |
| 11 | Union Value Fund - Direct Plan - Growth Option | 29.54 | +0.03% | +15.85% | +14.36% |
| 12 | Groww Value Fund (formerly known as Indiabulls Value Fund) - Direct Plan - Growth Option | 31.71 | -1.16% | +15.75% | +13.08% |
| 13 | Baroda BNP Paribas Value Fund - Direct Plan - Growth option | 13.98 | -1.54% | +11.71% | — |
| 14 | Bandhan Value Fund | 163.34 | -1.97% | +13.50% | +15.06% |
| 15 | Nippon India Value Fund - Direct Plan Growth Plan | 240.08 | -2.11% | +18.45% | +15.94% |
| 16 | Tata Value Fund -Direct Plan Growth Option | 381.64 | -2.32% | +15.48% | +14.94% |
| 17 | Templeton India Value Fund | 770.79 | -2.59% | +14.08% | +15.43% |
| 18 | SBI CONTRA FUND | 404.34 | -2.76% | +15.33% | +17.27% |
| 19 | ICICI Prudential Value Fund | 497.18 | -2.90% | +16.29% | +16.59% |
| 20 | UTI Value Fund - Direct Plan - Growth Option | 175.18 | -3.91% | +14.97% | +12.92% |
Data sourced from AMFI & mfapi.in. Returns are annualised CAGR. Past performance doesn't guarantee future results. Last updated: 07 Jun 2026
Frequently Asked Questions
What is the difference between value and contra funds?
Value funds invest in undervalued stocks based on fundamental metrics like P/E ratio, P/B ratio and dividend yield. Contra funds take a broader contrarian view, investing against prevailing market sentiments and trends.
Do value funds perform well in all markets?
Value funds may underperform during growth-driven bull markets but tend to outperform during market corrections and mean-reversion phases. They require patience and a long-term investment horizon.
Are value funds suitable for SIP?
Yes, SIP is an excellent way to invest in value funds as it allows you to accumulate units over different market phases, potentially buying more of undervalued opportunities during market downturns.
What is the minimum investment horizon for value funds?
A minimum of 5-7 years is recommended for value and contra funds. Value investing is inherently a long-term strategy and requires patience for the undervaluation thesis to materialise.