Aditya Birla Sun Life Banking and Financial Services Fund
Direct · GrowthAI Summary
The fund has delivered consistent SIP XIRR of 14.6-15.5% across 3Y to 10Y horizons, beating the NIFTY 50 on a lump-sum CAGR basis in every period (e.g., 11.03% vs 10.01% over 10Y) with positive alpha. However, it trails the category average SIP XIRR across most horizons, including 14.64% vs 17.45% over 5Y and 14.62% vs 16.44% over 10Y. Recent 1Y XIRR of 12.44% does outpace the category's 10.64%.
The fund carries high beta (1.07-1.16) and captures more than 100% of both upside and downside moves of the NIFTY 50, meaning it amplifies market swings in both directions. It has experienced 11 drawdown events exceeding 10%, and the maximum drawdown took 280 days to recover from an 81-day trough. Calmar ratios of roughly 0.30-0.38 across horizons indicate modest risk-adjusted returns relative to drawdown severity.
The portfolio is heavily concentrated in financials, with Banks at 53.9% and Finance at 26.8%, leaving only 15.5% across insurance, capital markets, and fintech. The top three holdings — ICICI Bank (13.61%), HDFC Bank (10.98%), and Axis Bank (8.43%) — account for over 33% of NAV, though the 39-stock total provides some breadth within the sector. This is typical of a sectoral fund but offers no diversification outside financial services.
Against category peers, the fund lags on SIP XIRR in the 3Y to 12Y windows, with gaps of 1.5-2.8 percentage points, suggesting mid-pack positioning among banking and financial services funds. Its long-term lump-sum performance is more respectable, with 15Y CAGR of 13.55% versus the NIFTY 50's 9.04% and alpha of 4.11%. Calendar year returns show high variability, from 67.4% in 2014 to -9.98% in 2026, reflecting sector cyclicality.
This fund suits investors with high risk tolerance who already hold diversified core equity funds and want a tactical, sector-specific allocation to financials. A horizon of at least 5-7 years is advisable given the drawdown history and sector cyclicality, and position sizing should be limited to 10-15% of an equity portfolio. Investors seeking steady, diversified returns or a first mutual fund should look elsewhere.
- Consistent outperformance versus the NIFTY 50 across all measured periods, with positive alpha in every window (up to 7.79% over 1Y and 4.11% over 15Y)
- Strong long-term compounding with SIP XIRR of 14.6-15.5% across 3Y to 10Y horizons and 15Y lump-sum CAGR of 13.55%
- Reasonable expense ratio of 1.05% for a sectoral fund, with a diversified 39-stock portfolio led by quality large-cap banks
- Underperforms the category average SIP XIRR in the 3Y to 12Y windows, including 14.64% vs 17.45% over 5Y
- Extreme sector concentration (80.7% in Banks and Finance) with high beta above 1.1 and 11 drawdown events exceeding 10%, making it vulnerable to financial sector downturns
Generated on 25-10-2026, 2:22 AM. Verify before investing.
Gives more importance to longer time periods (10Y, 20Y) than shorter ones (1Y, 3Y). This balances out recent outperformance and gives a more realistic picture of what long-term returns might look like.
The largest peak-to-trough decline in the fund's NAV. Shows the worst-case loss an investor would have experienced at any point in the fund's history.
If you invested ₹1,00,000 every month via SIP, here's how this fund has historically performed across different time horizons.
| Duration | Invested | Median Value | XIRR | Min XIRR | Max XIRR |
|---|---|---|---|---|---|
| 1 Year | ₹12.00 L | ₹12.93 L | 19.0% | -71.0% | 139.9% |
| 3 Years | ₹36.00 L | ₹45.92 L | 15.5% | -30.0% | 33.4% |
| 5 Years | ₹60.00 L | ₹86.37 L | 13.8% | -10.9% | 23.8% |
| 7 Years | ₹84.00 L | ₹1.41 Cr | 14.6% | 7.6% | 18.8% |
| 10 Years | ₹1.20 Cr | ₹2.60 Cr | 14.6% | 10.9% | 17.0% |
| 12 Years | ₹1.44 Cr | ₹3.44 Cr | 14.0% | 11.7% | 15.8% |
SIP returns vs benchmark & category
Annualised SIP return (XIRR) over each rolling horizon — like-for-like, not lump-sum.
| Duration | Fund SIP XIRR | NIFTY 50 | Category avg | Fund edge |
|---|---|---|---|---|
| 1 Year | 19.0% | 14.3% | 10.6% | +4.7% |
| 3 Years | 15.5% | 11.0% | 16.2% | +4.5% |
| 5 Years | 13.8% | 10.4% | 17.4% | +3.4% |
| 7 Years | 14.6% | 10.6% | 16.6% | +4.1% |
| 10 Years | 14.6% | 11.4% | 16.4% | +3.2% |
| 12 Years | 14.0% | 11.3% | 15.8% | +2.7% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 17.9% | 15.7% | -42.6% | 105.7% | 0.49 | 1.28 | 82% | — | — |
| 3 Years | 15.6% | 16.0% | -10.2% | 36.2% | 1.05 | 2.92 | 93% | — | — |
| 5 Years | 14.1% | 14.0% | 0.8% | 29.4% | 1.48 | 14.69 | 100% | — | — |
| 10 Years | 15.3% | 15.2% | 11.0% | 19.7% | 4.60 | — | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY 50
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +5.99 | 1.14 | 110.4% | 103.6% | -7.4% | -10.9% |
| 3 Years | +2.58 | 1.06 | 102.8% | 99.2% | 9.0% | 6.4% |
| 5 Years | +3.28 | 1.07 | 105.1% | 101.0% | 8.3% | 5.2% |
| 7 Years | +0.59 | 1.13 | 110.6% | 109.8% | 11.0% | 10.0% |
| 10 Years | +0.31 | 1.15 | 112.3% | 111.9% | 11.2% | 10.3% |
| 12 Years | +3.94 | 1.15 | 113.4% | 109.1% | 13.3% | 9.0% |
| 15 Years | +3.97 | 1.16 | 115.0% | 110.3% | 13.6% | 9.2% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | ICICI Bank Limited | 13.61% |
| 2 | HDFC Bank Limited | 10.98% |
| 3 | Axis Bank Limited | 8.43% |
| 4 | Bajaj Finance Limited | 5.84% |
| 5 | State Bank of India | 5.36% |
| 6 | Shriram Finance Ltd | 5.35% |
| 7 | Kotak Mahindra Bank Limited | 3.57% |
| 8 | Bank of Maharashtra | 3.12% |
| 9 | AU Small Finance Bank Limited | 2.95% |
| 10 | PNB Housing Finance Limited | 2.60% |