Understanding Quant Mutual Fund

The financial market is full of ups and downs but what if you could transform this into great returns? The Quant Mutual Fund is a unique opportunity that uses technology to help you build long-term wealth.

As you know, the world is shifting towards technology and its involvement is also crucial in the financial market. The Quant Fund is an asset management company that started in 1996. Before its acquisition by Quant Capital Finance, the AMC was known as Escorts Mutual Fund. As of March 2025, the fund house is managing Rs. 58,934 crores worth of assets.

You can invest in 27 quant funds in India that include 20 equity funds, 3 debt funds, and 4 hybrid funds. The thing that makes the fund house unique in the market is its unique investing. Instead of relying on human decisions, the fund uses algorithms to make investments.

In this article, you will learn everything about quant fund house. This article will help you to cover its investing strategy, benefits, best quant mutual funds, and why you should invest in the fund. Let’s get started.

Investing Strategy of Quant Mutual Fund?

AMC uses a strong investing strategy to reduce market risk and achieve long-term returns. On one side, where investment decisions are made by fund managers, the AMC uses a quantitative model. Let’s explore how this model works:

1. Stock Selection - This investing model analyses different factors such as past performance, volatility, and risk factors to select stocks.

2. Right Investment Decisions - Instead of relying on human decisions, this model helps to make decisions based on mathematical calculations.

3. Automated Process - This model uses algorithms to automate the process, which helps to maintain consistency and make early decisions.

The fund house also uses diversification,n where it spreads your Quant mutual fund portfolio into different sectors. This helps to reduce the risk and leverage sectoral benefits. This algorithm-based strategy helped the quant funds to outperform their benchmark.

What are the Benefits of Quant Funds?

Quant funds bring a unique opportunity in mutual funds with their investment approach. By investing in the quant funds, you can leverage several benefits:

1. Market Timing Advantage

The fund uses algorithms and mathematical calculations to make early decisions before market shifts. This helps to reduce market timing risk and improve mutual funds performance in the long term.

2. High Growth Opportunities

You get the opportunity to boost your investment by investing in quant funds. The algorithms-based investment helps to adapt the market growth opportunities early, which helps to generate higher growth.

3. Portfolio Diversification

It uses different calculations to smartly diversify your quant mutual fund portfolio into different sectors. This is how you can sectoral risk and improve the performance because your money is part of different sectors.

Top 5 Quant Mutual Funds to Invest in 2025

Over the past few years, the quant fund has consistently performed well. Some quant funds also outperformed their respective benchmarks and made higher returns. Based on strong performance, here are the 5 best Quant mutual funds to invest in 2025:

Quant Manufacturing Fund
Quant Momentum Fund
Quant Liquid Fund
Quant Overnight Fund
Quant Absolute Fund

These quant funds in India gain popularity among investors by delivering great results and beating their benchmarks. If you are looking to build long-term wealth, then you can consider these funds for your investment.

H2: Should You Start SIP in Quant Mutual Fund?

Starting a SIP (systematic investment plan) is one of the best ways to leverage quant funds growth potential. Here are some factors that shows why it is good:

1. Growth Opportunity

A systematic plan helps to generate higher returns when you invest in the long term. Because the quant fund focuses on holding the money for a long duration, you can make high returns from your systematic investment.

2. Strong Performance

The quant mutual fund has a track record of delivering great returns in the long term. A few schemes, like quant small cap and multi cap fund, also outperformed their benchmarks. By investing through a systematic plan in the fund, you can build wealth over time.

3. Reduce Market Timing Risk

Quant fund uses algorithms and data which helps to identify growth opportunities before it gets too late. By starting a SIP plan, you can turn your small investments into higher returns in the long term.

Why Quant Mutual Fund is Best for Growth Seekers?

If you are an investor who wants to generate higher growth, then here are some factors that show why the quant mutual fund is helpful to generate growth:

1. Rule-Based Investing

The fund uses algorithms that follow the VLRT (Value, Liquidity, Risk, and Timing) framework. This helps the fund to remove human decisions and identifies profitable stocks that can generate long-term wealth for investors.

2. Sector Rotation Strategy

To achieve sectoral growth, the fund regularly adjusts its portfolio into sectors. Whenever any specific sector seems to grow high, the fund adjusts its allocation towards that specific sector. This helps to adapt growth potential and generate higher returns.

3. Backtested Strategies

The fund house uses an effective back-tested model to make the right investments. This model ensures to only implement strategies that generated results in the past. This helps to make great returns from the investments.

Conclusion

In short, the Quant Mutual Fund stands out as a growth opportunity that uses technology to build wealth. Its unique investment approach definitely unlocks the opportunity to build higher returns. Over the past few years, the fund gained the trust of 81 Lakh investors like you who are achieving growth over time.

If you are looking to leverage the fund growth potential by investing a fixed amount, then you can also start a SIP. It is a systematic plan that helps you to start investing in the fund without investing a large sum. This is how you can not only generate growth over time but also manage the risk in a better way.

Nikita Rao

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