HDFC ELSS Tax Saver Fund
Direct · GrowthAI Summary
HDFC ELSS Tax Saver Fund has delivered a 3Y SIP XIRR of 17.88%, comfortably above the category average of 14.54%, and its 5Y and 10Y XIRRs of 17.27% and 16.04% also beat category averages. Short-term performance is weaker, with the 1Y XIRR of 8.66% lagging the category average of 9.56%. Long-term consistency is a hallmark, with calendar year returns ranging from -9.7% (2018) to 56.85% (2014).
The fund's Calmar ratios of 0.40 (1Y) and 0.35 (3Y) indicate reasonable risk-adjusted returns relative to its drawdown profile. It has experienced 6 drawdown events exceeding 10%, and the current maximum drawdown of -0.44% took 790 days to reach with a 291-day recovery, showing patience is required during troughs. The 2026 calendar return of -9.28% suggests a rough short-term patch.
The portfolio is heavily concentrated in banking stocks, with the top five holdings all banks (ICICI Bank 9.06%, HDFC Bank 7.87%, Axis Bank 6.56%, Kotak 4.88%, SBI 4.49%) totaling roughly 33% of NAV. The banks sector allocation of 34.2% nearly rivals the diversification from the remaining 60 holdings. Automobiles (10.9%) and IT software (5.9%) provide secondary exposure.
The fund outperforms its ELSS category across most long-term horizons, beating 3Y, 5Y, 10Y, and 12Y SIP benchmarks while only trailing modestly in 1Y. Its 12Y XIRR of 15.55% versus the category's 15.34% reflects durable multi-cycle performance. Calendar year spread (from -9.7% to 56.85%) shows it captures upcycles strongly.
This fund suits investors seeking tax-saving under Section 80C with a mandatory 3-year lock-in, ideally with a 5-7 year or longer horizon given its proven long-term outperformance. Its moderate volatility and established track record make it appropriate for investors with moderate to high risk tolerance. Those uncomfortable with high sector concentration in banking may prefer a more diversified tax-saving vehicle.
- Consistently beats ELSS category averages across 3Y, 5Y, 10Y, and 12Y horizons (e.g., 17.88% vs 14.54% 3Y SIP XIRR)
- Strong 14-year calendar year track record with standout gains in 2014 (56.85%), 2017 (39.24%), and 2021 (35.69%)
- Respectable Calmar ratios above 0.32 across all time horizons, indicating solid risk-adjusted returns
- Heavy sector concentration in banking (34.2% of NAV), with top 5 banking exposures totaling roughly 33%
- Underperforming 1Y XIRR (8.66% vs category 9.56%) and weak 2026 return of -9.28% raise short-term concerns
Generated on 03-11-2026, 4:43 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 | ₹12.79 L | 18.5% | -63.9% | 110.3% |
| 3 Years | ₹36.00 L | ₹45.11 L | 14.9% | -28.5% | 37.1% |
| 5 Years | ₹60.00 L | ₹85.98 L | 14.8% | -13.3% | 32.1% |
| 7 Years | ₹84.00 L | ₹1.40 Cr | 14.7% | -5.1% | 24.6% |
| 10 Years | ₹1.20 Cr | ₹2.81 Cr | 16.0% | 12.1% | 19.7% |
| 12 Years | ₹1.44 Cr | ₹4.00 Cr | 15.6% | 12.8% | 17.6% |
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 | 18.5% | 9.5% |
| 3 Years | 14.9% | 14.5% |
| 5 Years | 14.8% | 16.8% |
| 7 Years | 14.7% | 15.8% |
| 10 Years | 16.0% | 15.8% |
| 12 Years | 15.6% | 15.3% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 17.6% | 12.1% | -39.0% | 86.9% | 0.49 | 1.37 | 79% | — | — |
| 3 Years | 15.3% | 15.5% | -11.0% | 36.3% | 1.01 | 2.98 | 92% | — | — |
| 5 Years | 14.3% | 13.7% | -3.9% | 33.4% | 1.15 | 5.89 | 99% | — | — |
| 10 Years | 14.8% | 14.7% | 11.9% | 17.4% | 6.70 | — | 100% | — | — |
Calmar Ratio by Duration
| # | Stock | % of NAV |
|---|---|---|
| 1 | ICICI Bank Ltd. | 9.48% |
| 2 | HDFC Bank Ltd.£ | 7.61% |
| 3 | Axis Bank Ltd. | 6.44% |
| 4 | Kotak Mahindra Bank Limited | 5.35% |
| 5 | Bharti Airtel Ltd. | 4.95% |
| 6 | State Bank of India | 4.46% |
| 7 | Maruti Suzuki India Limited | 4.15% |
| 8 | HCL Technologies Ltd. | 3.38% |
| 9 | SBI Life Insurance Company Ltd. | 2.78% |
| 10 | Eternal Limited | 2.56% |