DSP Healthcare Fund
Direct · GrowthAI Summary
DSP Healthcare Fund has delivered strong SIP returns across all horizons, with XIRR of 22.56% over 3Y and 22.85% over 5Y, well ahead of category averages of 18.44% and 19.6% respectively. The 1Y XIRR of 19.86% also comfortably beats the category's 12.09%. Long-term performance remains solid, with the 7Y XIRR of 20.48% outpacing the category's 17.51%.
Risk metrics on the recent period look benign, with a maximum drawdown of just -0.22% over 32 days and full recovery in 28 days, though 3 drawdown events exceeding 10% have occurred historically. Calmar ratios of roughly 1.09-1.10 across 3Y to 7Y horizons indicate attractive risk-adjusted returns for a sector fund. Investors should note that calendar year returns are highly volatile, ranging from +79.89% in 2020 to -5.98% in 2022 and -4.92% in 2025.
The 26-stock portfolio is heavily tilted toward Pharmaceuticals and Biotechnology at 65% of NAV, with Healthcare Services adding 17.8%. Top holdings IPCA Laboratories (8.13%), Sun Pharmaceutical (7.44%), and Cipla (7.18%) provide established large-cap anchors, while names like Sai Life Sciences and Cohance Lifesciences add exposure to the CDMO/CRAMS theme. A modest allocation to Insurance (1.0%) offers only marginal diversification beyond healthcare.
The fund consistently outperforms its category on SIP XIRR at every measured horizon, with a 5Y outperformance of roughly 3.25 percentage points annually. Rolling lump-sum returns also compare favorably, with 7Y rolling returns averaging 24.0%. This multi-year consistency suggests strong stock selection within the healthcare sector rather than a single lucky period.
This fund is suitable for investors with high risk tolerance seeking tactical, satellite exposure to the healthcare sector, not as a core portfolio holding. A horizon of at least 5-7 years is advisable given the sector's cyclicality and the potential for concentrated drawdowns. Investors should be comfortable with sharp year-to-year swings, as seen in the -4.92% return in 2025 following two bumper years.
- Consistent outperformance of category SIP XIRR across 1Y (19.86% vs 12.09%), 3Y (22.56% vs 18.44%), and 5Y (22.85% vs 19.6%) horizons
- Strong risk-adjusted returns with Calmar ratios above 1.08 across all durations from 3Y to 7Y
- Low recent maximum drawdown of -0.22% with quick 28-day recovery, alongside a low 0.62% expense ratio
- High sector concentration with 65% in Pharmaceuticals and Biotechnology and nearly 83% in healthcare overall, limiting diversification
- Volatile calendar-year returns, including two negative years (2022: -5.98%, 2025: -4.92%) that highlight sector cyclicality
Generated on 01-11-2026, 3:03 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 | ₹13.36 L | 28.1% | -29.1% | 117.5% |
| 3 Years | ₹36.00 L | ₹47.40 L | 21.8% | 5.5% | 42.2% |
| 5 Years | ₹60.00 L | ₹1.00 Cr | 22.9% | 12.7% | 32.3% |
| 7 Years | ₹84.00 L | ₹1.72 Cr | 20.6% | 17.5% | 23.0% |
SIP returns vs benchmark & category
Annualised SIP return (XIRR) over each rolling horizon — like-for-like, not lump-sum.
| Duration | Fund SIP XIRR | Category avg |
|---|---|---|
| 1 Year | 28.1% | 12.1% |
| 3 Years | 21.8% | 18.4% |
| 5 Years | 22.9% | 19.6% |
| 7 Years | 20.6% | 17.5% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 26.8% | 20.4% | -14.0% | 97.1% | 0.79 | 3.93 | 81% | — | — |
| 3 Years | 23.7% | 22.8% | 15.0% | 35.1% | 3.85 | — | 100% | — | — |
| 5 Years | 23.9% | 25.2% | 14.3% | 35.6% | 2.62 | — | 100% | — | — |
Calmar Ratio by Duration
| # | Stock | % of NAV |
|---|---|---|
| 1 | IPCA Laboratories Limited | 8.13% |
| 2 | Sun Pharmaceutical Industries Limited | 7.44% |
| 3 | Cipla Limited | 7.18% |
| 4 | Sai Life Sciences Limited | 6.52% |
| 5 | Gland Pharma Limited | 6.15% |
| 6 | Apollo Hospitals Enterprise Limited | 6.07% |
| 7 | Alkem Laboratories Limited | 4.75% |
| 8 | Divi's Laboratories Limited | 4.17% |
| 9 | Cohance Lifesciences Limited | 3.79% |
| 10 | Alembic Pharmaceuticals Limited | 3.18% |