Mutual Funds are a wonderful instrument for wealth creation with horizons ranging from 3–15 years as the power of compounding comes into play. Small investors can methodically invest a tiny quantum of money and reap the benefits of market returns during redemption.
An early post on this can aid in understanding the mutual fund concept better:
Now coming to the question, is wealth creation possible using Indian Mutual Funds?
The answer is YES
Let us understand this with an example (Ref)
The Mutual Fund Name: Canara Robeco Bluechip Equity Fund – Direct Plan
The fund consists mostly of Large Cap Stocks with the weight in the portfolio as follows:
This mutual fund, to date, has outperformed the benchmark
This mutual fund has also outshined its peer funds from different AMCs with regard to generating returns despite multiple venues of turbulence since inception.
Owing to this, this fund along with two others was able to double(approximately) the wealth of its investors in a period of 7years (Ref)
The other two funds are
So, stick to quality and maintain discipline. Wealth is certainly going to be the outcome of the effort.
Hope this helps