Bandhan ELSS Tax Saver Fund

Bandhan ELSS Tax Saver Fund has delivered strong long-term SIP returns, with a 10Y XIRR of 17.74% and 5Y XIRR of 18.78%, comfortably ahead of the category averages of 15.77% and 16.76% respectively. Recent 1Y XIRR of 12.1% also beats the category's 9.56%, indicating continued outperformance across horizons. Overall, the fund has consistently beaten its ELSS peer group across 1Y, 3Y, 5Y, 7Y, 10Y, and 12Y periods.

The fund has experienced 6 drawdown events greater than 10%, with a maximum drawdown of -42.6% and a lengthy recovery period of 240 days after a 798-day drawdown duration, reflecting typical mid-cycle volatility for an equity tax saver fund. Calmar Ratios between 0.39 and 0.47 across horizons suggest reasonably steady risk-adjusted returns despite these drawdowns. Calendar year performance shows sharp swings, from 54.27% in 2017 and 49.25% in 2021 to -8.11% in 2018 and -5.84% in 2026, underscoring meaningful annual return volatility.

Detailed holdings and sector allocation data were not provided for this fund, so conclusions on top holdings or concentration cannot be drawn from the available metrics. As an ELSS fund, its portfolio is required to maintain at least 80% equity exposure with mandatory 3-year lock-in on investments. Investors should review the latest factsheet for specifics on stock-level diversification and sector concentration.

The fund outperforms the ELSS category average on SIP XIRR at every measured horizon, including a 12Y XIRR of 16.62% versus the category's 15.34% and a 5Y XIRR of 18.78% versus 16.76%. Its low expense ratio of 0.69% for the direct option is a meaningful cost advantage within the ELSS space. This broad, multi-period outperformance points to above-average fund management consistency within its category.

This fund suits investors seeking equity growth alongside Section 80C tax deduction benefits, with a tolerance for significant drawdowns such as the -42.6% maximum drawdown observed. Given the mandatory 3-year lock-in and the fund's multi-year return profile, a horizon of at least 5 to 7 years is appropriate. It is best for investors who can stay invested through volatile years like the -8.11% return in 2018 and -5.84% in 2026.

• Consistent outperformance versus category SIP XIRR across all horizons (e.g., 10Y XIRR of 17.74% vs category 15.77%)
• Low direct-plan expense ratio of 0.69%, improving net returns for investors
• Strong short-term relative performance with 1Y XIRR of 12.1% against the category's 9.56%

• Deep drawdown history with a maximum drawdown of -42.6% and 798 days to recovery, plus 6 drawdown events exceeding 10%
• Recent calendar year returns have weakened, with -5.84% in 2026 and a modest 4.18% in 2022