The 3 best mutual funds to invest in in the semiconductor sector in 2026: unstoppable growth.
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| Top 3 semiconductor-focused mutual funds delivering unstoppable growth in 2026 |
Semiconductors cease to be a niche market but the biggest growth theme in the next 10-15 years. These chips include smartphones, electric vehicles, AI, robotics, and 5G and power all of them.
This is what is causing investors to pursue mutual funds capable of riding this wave.
We have selected in this instance the 3 best high-return mutual funds of 2026 that are related to Indian infrastructure, technology, and chip supply chain.
1) Canara Rob Infrastructure Fund 1)
5-Year Rolling CAGR: 32.27%
This fund is a reflection of the infrastructure boom in India.
This fund has never done worse due to the boom in roads, railways, power and manufacturing.
Sector Allocation (Nov 2025):
Capital Goods – 23.84%
Power – 11.32%
Infrastructure – 10.70%
Top Holdings:
L&T, Reliance, SBI
Why good?
A robust infrastructure directly supports the semiconductor supply chain.
2) HSBC Infrastructure Fund
5-Year Rolling CAGR: 29.75%
This fund is very sensitive to the existing power, telecom and industrial upgradation in India.
Sector Allocation:
Capital Goods – 32.23%
Infra – 12.53%
Telecom – 9.24%
Top Holdings:
Bharti Airtel, NTPC, BEL
Why good?
Other important industries to the chip industry are telecom and power.
3) Motilal Oswal Flexi Cap Fund
5-Year Rolling CAGR: 20.74%
The exposure of IT and electronics manufacturing is high in this fund.
The two are important components of the semiconductor value chain.
Sector Allocation:
IT – 18.57%
Retail – 16.25%
Capital Goods – 11.20%
Top Holdings:
Persistent Systems, Eternal, Dixon Technologies.
The reason why the semiconductor theme is the best?
Includes instantaneously tech and electronics companies, which are involved with chip design and manufacturing.
🔍 Which fund would be most appropriate to the semiconductor theme?
In order to be exposed to semiconductors, visit Toto.
The best is Motilal Oswal Flexi Cap Fund.
To attract broader supply chain/infra expansion →.
👉 Canara Rob Infra Fund
👉 HSBC Infra Fund
FAQs (SEO + Featured Snippet Optimised)
1. How to invest in the semiconductor industry best?
The semiconductor companies may be invested in through direct purchase of stocks, purchase of ETFs, or purchase of flexi-cap and tech-orientated mutual funds.
2. Does the semiconductor manufacturing in India increase at a high pace?
Yes. India is rapidly developing in the electronics manufacturing industry due to the government's PLI scheme, the establishment of fab plants and the growth in the number of electronics manufactured.
3. What is the most suitable mutual fund to invest in the semiconductor theme?
Motilal Oswal Flexi Cap Fund is a fund that focuses much on IT and electronics production, and this is why it is the most appropriate fund to apply in the semiconductor theme.
4. Is semiconductor development also included in infrastructure funds?
Yes, since the factories of chips require power, telecom, logistics and a manufacturing ecosystem. Therefore, infrastructure funds are an indirect measure of this growth.
5. Will these funds give good returns by 2026-2030?
The funds can offer good returns within the next 5-7 years should the semiconductor and Indian infr
astructure cycles work out as anticipated. However, market risks always exist.
⚠ Disclaimer
Fundexl does not provide investment advice on stocks, mutual funds or IPOs.
The information is educational in nature.
