Dividend-yield funds have beaten flexi caps over the past decade. Should you invest in them?

Meanwhile, at ICICI Prudential Dividend Yield Equity fund, which has been among the top-performing funds in this category over the past year with a gain of 16%, the focus is on buying companies that pay dividends consistently, even if they don’t have the highest dividend yield. “Rather than looking at one past dividend, we also see if this is sustainable in future, and if it can grow,” said fund manager Mittul Kalawadia, who switches between market caps at different times.