Franklin Build India Fund
Direct · GrowthAI Summary
Franklin Build India Fund has delivered strong SIP XIRR across horizons, with 24.39% over 3Y and 22.87% over 5Y, comfortably ahead of category averages of 16.22% and 17.45% respectively. Against the NIFTY 50, the fund has generated consistent alpha, including 10.91% over 5Y and 7.96% over 3Y, while beating benchmark CAGR in every measured period. However, calendar year 2026 shows a -9.83% return, reflecting the sector's cyclicality.
The fund shows a beta below 1.0 across most periods (0.94-0.98) with downside capture consistently under 100% (87.95% over 5Y), indicating it has historically fallen less than the benchmark in weak markets. Nine drawdown events exceeding 10% and a maximum drawdown duration of 295 days highlight meaningful interim volatility typical of a sectoral fund. Calmar ratios between 0.42 and 0.59 across horizons suggest reasonable risk-adjusted returns given the drawdown exposure.
The portfolio is concentrated in infrastructure-linked themes, with Larsen & Toubro (9.02%) and Interglobe Aviation (7.02%) as the top holdings, and Power (14.5%) plus Construction (13.4%) as the largest sectors. With 41 total holdings and the top 10 accounting for roughly 44% of NAV, the fund offers moderate diversification within its thematic mandate. Exposure spans power, transport, banking, and industrial products, aligning with the build India investment theme.
The fund outperforms the sectoral/thematic category average SIP XIRR at every horizon, with a 12Y gap of 4.67 percentage points (20.45% vs 15.78%), demonstrating long-term consistency rather than a short-term spike. Positive alpha across all measured periods from 1Y to 15Y reinforces sustained stock-selection skill. This places it among the stronger performers in its category.
This fund suits investors with high risk tolerance seeking thematic exposure to India's infrastructure and capex cycle, and it should be treated as a satellite holding rather than a core portfolio fund. A time horizon of at least 5-7 years is advisable, given the cyclicality evident in calendar year returns ranging from -9.83% to 94.08%. SIP investing is a prudent approach to navigate the volatility inherent in sectoral funds.
- SIP XIRR of 24.39% (3Y) and 22.87% (5Y) significantly exceeds category averages of 16.22% and 17.45%
- Consistent positive alpha versus NIFTY 50 across all periods, including 10.91% over 5Y
- Downside capture below 100% in every period (as low as 87.95% over 5Y), indicating resilience in falling markets
- High sector concentration in cyclical themes like Power (14.5%) and Construction (13.4%) exposes investors to capex cycle downturns
- Calendar year returns are highly volatile, ranging from -9.83% in 2026 to 94.08% in 2014, requiring a long holding horizon
Generated on 27-10-2026, 2:14 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 | ₹12.97 L | 26.7% | -64.3% | 128.5% |
| 3 Years | ₹36.00 L | ₹49.35 L | 20.8% | -26.7% | 50.3% |
| 5 Years | ₹60.00 L | ₹96.96 L | 19.8% | -11.2% | 42.3% |
| 7 Years | ₹84.00 L | ₹1.61 Cr | 19.5% | 0.1% | 32.0% |
| 10 Years | ₹1.20 Cr | ₹3.63 Cr | 21.1% | 16.7% | 25.4% |
| 12 Years | ₹1.44 Cr | ₹5.42 Cr | 20.5% | 16.7% | 24.1% |
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 | 26.7% | 14.3% | 10.6% | +12.4% |
| 3 Years | 20.8% | 11.0% | 16.2% | +9.7% |
| 5 Years | 19.8% | 10.4% | 17.4% | +9.5% |
| 7 Years | 19.5% | 10.6% | 16.6% | +9.0% |
| 10 Years | 21.1% | 11.4% | 16.4% | +9.7% |
| 12 Years | 20.5% | 11.3% | 15.8% | +9.2% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 25.4% | 14.5% | -38.4% | 122.5% | 0.60 | 2.40 | 83% | — | — |
| 3 Years | 21.5% | 21.4% | -9.0% | 43.1% | 1.26 | 5.32 | 93% | — | — |
| 5 Years | 19.6% | 18.8% | -1.3% | 40.1% | 1.50 | 13.49 | 100% | — | — |
| 10 Years | 20.3% | 19.5% | 15.7% | 25.7% | 5.67 | — | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY 50
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +2.05 | 0.96 | 97.1% | 92.9% | -9.1% | -12.0% |
| 3 Years | +8.43 | 1.06 | 107.1% | 97.1% | 14.6% | 6.2% |
| 5 Years | +11.15 | 0.98 | 101.1% | 87.5% | 16.5% | 5.3% |
| 7 Years | +9.90 | 0.94 | 100.7% | 90.7% | 19.7% | 10.0% |
| 10 Years | +5.97 | 0.96 | 101.0% | 94.4% | 16.1% | 10.3% |
| 12 Years | +7.45 | 0.96 | 100.4% | 92.2% | 16.4% | 9.1% |
| 15 Years | +8.35 | 0.94 | 100.0% | 90.1% | 17.5% | 9.4% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | Larsen & Toubro Ltd | 9.02% |
| 2 | Interglobe Aviation Ltd | 7.02% |
| 3 | Adani Ports and Special Economic Zone Ltd | 4.61% |
| 4 | NTPC Ltd | 4.48% |
| 5 | Bharti Airtel Ltd | 4.13% |
| 6 | Tata Power Co Ltd | 3.68% |
| 7 | Reliance Industries Ltd | 3.14% |
| 8 | Hindustan Aeronautics Ltd | 3.12% |
| 9 | HDFC Bank Ltd | 3.11% |
| 10 | Axis Bank Ltd | 3.04% |