Bandhan Focused Fund
Direct · GrowthAI Summary
Bandhan Focused Fund has delivered consistent alpha over the NIFTY 50 across all periods, with 3Y alpha of 8.44% (Fund CAGR 16.17% vs benchmark 7.75%) and positive alpha even over 15Y (2.17%). However, its SIP XIRR trails the category average across all horizons — 14.34% vs 16.40% over 3Y and 14.50% vs 15.79% over 10Y. Lump-sum performance is the clearer strength, with 12Y rolling returns of 14.25% versus a benchmark CAGR of 9.79%.
The fund shows strong downside protection, with downside capture below 100% across all periods (89.64% over 7Y, 90.63% over 15Y) and beta under 1 (0.93 over longer horizons). The maximum drawdown of -0.38% with a 32-day duration and 200-day recovery suggests shallow, quickly contained corrections, though 8 drawdown events exceeding 10% indicate meaningful episodic volatility over the long history. Calmar ratios of roughly 0.35-0.42 across horizons reflect a reasonable return-to-drawdown trade-off.
Detailed holdings and sector allocation data were not provided for this analysis, so composition-specific commentary cannot be made. As a focused fund, it is structurally limited to a maximum of 30 stocks, which implies concentrated exposure and higher single-stock and sector risk than diversified multi-cap funds. Investors should review the current portfolio factsheet to assess concentration before investing.
Against category peers, the fund underperforms on SIP XIRR at every horizon — for example 14.19% vs 15.29% over 5Y and 13.91% vs 15.17% over 7Y — indicating weaker compounding for systematic investors. Its lump-sum record is more competitive, with consistent benchmark outperformance and positive alpha across 1Y through 15Y windows. The calendar year record shows strong up-years (56.65% in 2017, 32.58% in 2023) but notable down-years (-10.97% in 2018, -5.34% in 2022), suggesting cyclical rather than steady performance.
This fund suits lump-sum-oriented investors with a long horizon of 7 years or more who want concentrated, benchmark-beating equity exposure with moderate downside capture. SIP investors seeking category-leading XIRR may find better alternatives, given the fund trails category averages across all horizons. A moderate-to-high risk tolerance is appropriate given the focused 30-stock structure and episodic drawdowns.
- Consistent positive alpha versus NIFTY 50 across all measured periods, including 8.44% over 3Y and 4.90% over 7Y
- Strong downside management with downside capture of roughly 90% over long horizons and beta below 1 (0.93)
- Low expense ratio of 0.76% for a focused equity fund in the direct plan
- SIP XIRR trails the category average at every horizon, e.g. 14.34% vs 16.40% over 3Y and 14.50% vs 15.79% over 10Y
- Recent performance is weak, with calendar year returns of -0.64% in 2025 and only 1.41% in 2026 year-to-date
Generated on 04-09-2026, 2:52 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 | ₹12.75 L | 16.5% | -53.4% | 77.6% |
| 3 Years | ₹36.00 L | ₹44.01 L | 14.3% | -21.7% | 33.7% |
| 5 Years | ₹60.00 L | ₹85.09 L | 14.2% | -7.1% | 26.7% |
| 7 Years | ₹84.00 L | ₹1.37 Cr | 13.9% | -1.3% | 21.3% |
| 10 Years | ₹1.20 Cr | ₹2.56 Cr | 14.5% | 10.1% | 18.3% |
| 12 Years | ₹1.44 Cr | ₹3.65 Cr | 14.6% | 12.2% | 17.2% |
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 | 16.5% | 14.4% | 17.0% | +2.1% |
| 3 Years | 14.3% | 11.1% | 16.4% | +3.3% |
| 5 Years | 14.2% | 10.4% | 15.3% | +3.8% |
| 7 Years | 13.9% | 10.6% | 15.2% | +3.3% |
| 10 Years | 14.5% | 11.5% | 15.8% | +3.0% |
| 12 Years | 14.6% | 11.4% | 15.3% | +3.3% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 15.7% | 13.4% | -27.9% | 85.0% | 0.50 | 1.25 | 77% | — | — |
| 3 Years | 14.1% | 14.9% | -3.2% | 26.9% | 1.47 | 5.81 | 99% | — | — |
| 5 Years | 13.7% | 14.0% | -0.4% | 26.7% | 1.52 | 13.08 | 100% | — | — |
| 10 Years | 13.9% | 14.1% | 11.0% | 16.4% | 7.00 | — | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY 50
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +6.00 | 1.05 | 105.8% | 99.1% | 2.6% | -2.9% |
| 3 Years | +8.44 | 0.99 | 103.7% | 92.6% | 16.2% | 7.8% |
| 5 Years | +5.24 | 0.97 | 98.5% | 91.7% | 13.0% | 7.8% |
| 7 Years | +4.90 | 0.93 | 95.2% | 89.6% | 16.4% | 11.8% |
| 10 Years | +3.33 | 0.93 | 94.3% | 89.8% | 13.8% | 10.8% |
| 12 Years | +2.96 | 0.93 | 94.2% | 90.2% | 12.5% | 9.8% |
| 15 Years | +2.17 | 0.93 | 94.0% | 90.6% | 11.7% | 9.7% |