Will an equity fund have the capacity to deliver a 15% return after 10 years?

Equity is the best asset class in terms of return. There are many equity funds which have given greater than 15% p.a. returns over a 10 year period and there is no reason to fear that they will not.

However, investing in equity means investing in a business and businesses can have their share of ups and downs. Returns can also vary, can be more as well as lower than 15% p.a.

Having said that, direct equity funds are an investor’s best friend, as they definitely enhance your annual return upto 1.5% p.a, which adds up to 20% increase in your overall wealth in 10 years (40% more over a eriod of 20 years)