Edelweiss Consumption Fund

The fund has delivered a 1-year SIP XIRR of -2.46%, significantly underperforming the category average of 14.1% and the NIFTY 50 benchmark's 1-year CAGR of -2.9% (though the fund's CAGR of 1.89% is higher than the benchmark). Over longer horizons, the fund's CAGR has consistently beaten the benchmark (e.g., 4.85% vs 2.32% over 3 years), but its absolute returns remain modest and well below category averages across all periods. The fund's 1-year rolling return mean of 2.28% indicates weak recent performance, while calendar year returns show a strong 2025 (16.51%) followed by a negative 2026 (-0.59%).

The fund exhibits a maximum drawdown of -0.165% with a duration of 154 days and has not yet recovered, indicating a prolonged period of underwater performance. The average drawdown is -0.036%, and there has been one drawdown event exceeding 10%, suggesting moderate downside risk. The Calmar ratio of 0.138 for 1 year reflects poor risk-adjusted returns, as the fund's return relative to its maximum drawdown is low.

The data provided does not include specific top holdings or sector concentration details, so a detailed portfolio composition analysis is not possible. However, as a sectoral/thematic fund focused on consumption, it is likely concentrated in consumer-related sectors, which may limit diversification. Investors should review the fund's latest portfolio for specific stock and sector allocations.

The fund significantly lags its category peers, with a 1-year XIRR of -2.46% versus the category average of 14.1%, and similar underperformance across 3, 5, 7, 10, 12, and 15-year horizons. The fund's alpha versus the NIFTY 50 is positive for most periods (e.g., 4.19% over 1 year, 2.12% over 3 years), but it declines over longer horizons and turns negative at 15 years (-0.10%). This suggests the fund has historically beaten the benchmark but has not kept pace with its thematic category peers.

This fund is suitable for investors with a high risk tolerance and a long-term investment horizon, given its sectoral/thematic nature and recent underperformance. It may appeal to those who believe in the long-term growth of the consumption sector and are willing to accept volatility and potential drawdowns. However, given the significant underperformance versus category averages, investors should consider whether the fund's strategy aligns with their return expectations and risk appetite.

• Consistent outperformance versus the NIFTY 50 benchmark across most time horizons, with positive alpha up to 12 years.
• Lower downside capture (80-82%) compared to upside capture (88-89%), indicating the fund loses less in down markets relative to the benchmark.
• Low expense ratio of 0.75% for a direct growth option, which is competitive for a sectoral fund.

• Severe underperformance versus the category average SIP XIRR across all periods, with a 1-year XIRR of -2.46% versus 14.1% for the category.
• The fund has not recovered from its maximum drawdown, with a recovery period of 'None' days, indicating prolonged negative returns and potential investor frustration.