2 high-growth funds thrashing the market right now

Most Foolish investors build their portfolios around individual stocks and shares, but there is nothing wrong with adding a few high performing funds to the mix. Here's a couple reporting today that may have slipped your attention, but merit a closer look.

See also: Is this Neil Woodford stock on the cusp of a stunning turnaround?

See also: Should you forget the stock market and focus on crowdfunding?

APAX predator

Closed-ended investment trust APAX Global Alpha(LSE: APAX) invests 59% of its money in global private equity funds run by Apax Partners, which manages more than EUR40bn in total across its operations, and the remaining 41% in a tailored mix of derived investments. Roughly two-thirds of the fund is invested in the tech & telco and services sectors, with the remainder in healthcare and consumer. This £729m trust is 48% invested in the UK, 31% in Europe, 10% in India, 4% in the UK and 2% in China.

Recent performance has been strong, with the fund up 17% in the past 12 months, on top of a yield of 5.44%. However, today's unaudited interim results for the half year ended 30 June disappoint as currency headwinds halted recent strong growth.

Naff NAV

APAX Global Alpha posted a negative total net asset value (NAV) return of 0.7%, as the euro strengthened 8% against the US dollar. On a constant currency basis, NAV growth was positive at 4.2%. Adjusted NAV fell by EUR30.6m to EUR908.1m, due to adverse FX movements and the 2016 dividend payment of EUR23.8m.

Apax Global Alpha chairman Tim Breedon said the portfolio continues to demonstrate strong fundamentals despite the setback. "Due to FX headwinds, the headline performance was weak however the outlook is positive as AGA's Investment Adviser continues to realise value in a relatively young portfolio and is finding investment opportunities against a challenging market back drop." That may be true but performance looks even more underwhelming when I compare it to one of my favourite global investment companies, Scottish Mortgage Trust, which recently delivered a 38.1% rise in NAV.

India calling

I have done well from my stake in Jupiter India, which is up 20% over the past 12 months, and 158% over five years, according to Trustnet. However, I would have done even better with India Capital Growth Fund(LSE: IGC) which is up 29% over the past year, and 160% over five. The investment trust has just published its interim results for the six months to 30 June with the highlight a 23.8% leap in NAV to £124m, giving net gains of £24m. Now that's how to do it, APAX.

The share price increased by 27.7% to 93.25p over the year, while its two largest holdings, Dewan Housing and Federal Bank, soared 79.4% and 68.8% respectively. The AIM-quoted company is now seeking a listing on the main London market.

Discount delight

A rising tide is lifting all funds and India has been boosted by Prime Minister Modi's reform agenda, which continues to attract investors, including strong overseas inflows of $8.5bn and another $3.3bn from domestic mutual funds. Still, you have to catch that tide, and India Capital Growth's certainly did that.

Interestingly, it still trades at a whopping discount to NAV of -19.75%. If that hasn't narrowed after recent successes it may never do so, but it does offer protection against further widening. If you believe the India tide can rise even higher, this fund could be a good way to ride it.

Investing in market-thrashing funds is just one way to get rich from stocks and shares, but there are plenty of other strategies out there.

This FREE Motley Fool report 10 Steps To Making A Million In The Market sets out how investing in stocks and shares over the long term can make you rich.

You don't have to be a share picking genius, ordinary people can become astonishingly wealthy by investing in stocks and shares.

This no-obligation report shows you how to do it, step-by-step. To find out more, click here now.

Harvey Jones holds units in Jupiter India but has no other position in any shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.