Bengaluru, Sept. 8 -- Mid-cap funds invest in companies ranked between 100 and 250 by market capitalisation size. Larger mid-cap stocks are generally less risky, while smaller ones may offer higher growth potential. These funds are suitable for investors with a 3-4 year horizon who seek high returns and are willing to accept the possibility of moderate losses.

Below are the top five best-performing mid-cap equity mutual funds that have delivered the best performance based on their 3-year annualised returns of up to 29 percent:

Nippon India Growth Mid Cap Fund With assets under management (AUM) of Rs. 38,581.2 crores, the Nippon India Growth Mid Cap Fund - Direct Plan has delivered 3-year annualised returns of around 25 percent and an ab...