New Delhi, Aug. 2 -- The financial year 2026-27 (FY27) began amid uncertainty, with global tariff concerns, geopolitical tensions and volatile crude oil prices putting pressure on Indian equities. However, a comparison of the major categories of equity mutual funds reveals an interesting trend.

A post shared by B. Padmanaban, Founder & Managing Director, Fortune Investment Services on X, shows that small-cap funds delivered the highest category average return of 22.31% between 1 April and 31 July, 2026.

They were followed by mid-cap funds, with an average return of 17.22%, flexi-cap funds at 14.06%, and large-cap funds at 10.52%.

Among the four equity fund categories, small-cap funds generated the strongest gains during the period, wit...