DSP Equity Fund is a multi-cap fund with the objective to generate long-term capital appreciation from a portfolio of equity and equity-related securities of issuers domiciled in India. The fund invests a minimum of 90% in equity across large-cap, mid-cap and small-cap stocks. It has been ranked two for the past two quarters ended June 2019 in the multi-cap category of Crisil Mutual Fund Ranking (CMFR). The fund's month-end assets under management (AUM) remained steady over the past three years with its month-end AUM for August 2019 at Rs 2,540 crore. During the past three years, the fund delivered higher return than its benchmark and peers were coupled with higher volatility.

The fund positions itself in the multi-cap category, wherein it invests across market capitalisation. However, it has a tilt towards large-cap stocks, which averaged 64.27% during the past three years and 72.19% in August 2019. Its allocation to mid-cap stocks was between 13.29% and 21.22%, and to small-cap stocks between 8.16% and 22.3% during the period. Its exposure to mid-cap and small-cap stocks stood at 15.52% and 8.16%, respectively, in August 2019.

The fund invested across 17 sectors in the August 2019 portfolio with maximum exposure to banks at 27.04%, followed by finance (14.48%), consumer non-durables (9.97%), software (6.93%), and pharmaceuticals (5.99%). The top five sectors accounted for 64.41% of the portfolio.

The fund invested in 123 stocks in August 2019, of which 12 were held consistently. Nine of the 12 consistently held stocks outperformed the benchmark during the three years and accounted for 25.87% of the portfolio. Bajaj Finance, HDFC Bank, and ICICI Bank were amongst the top contributors to the fund's performance amongst the consistently held stocks. The other top performers include Aavas Financiers (finance), Divis Laboratories (pharmaceuticals), Solara Active Pharma Sciences (pharmaceuticals) and ICICI Lombard General Insurance (finance).

The fund is being managed by Atul Bhole, a chartered accountant, since June 2016