Invesco India ESG Integration Strategy Fund
Direct · GrowthAI Summary
The fund's SIP XIRR of 9.67% over 1Y, 14.25% over 3Y, and 7.21% over 5Y trails the thematic category averages of 15.91%, 17.72%, and 17.04% respectively, indicating consistent underperformance versus peers across all horizons. Lump-sum rolling returns show a similar pattern, with the 5Y rolling mean of 10.1% reflecting a weak stretch for the strategy. Calendar year returns have been volatile, ranging from 35.34% in 2021 to -9.82% in 2022 and -2.61% in 2025.
The maximum drawdown of -0.23% with a 154-day duration and 441-day recovery suggests the measured drawdown window was mild, though two drawdown events exceeding 10% indicate meaningful episodic losses have occurred. Calmar ratios of 0.46 (1Y), 0.62 (3Y), and 0.44 (5Y) show modest risk-adjusted returns, with the 3Y window being the strongest. The ESG integration mandate may dampen downside in some periods but has not translated into superior risk-adjusted performance versus peers.
The 40-stock portfolio is anchored in financials, with Banks at 19.4% and Finance at 12.4%, followed by IT-Software at 11.3%. Top holdings include ICICI Bank (6.65%), Bajaj Finance (5.6%), and Bharti Airtel (5.05%), with the top 10 positions comprising roughly 43% of NAV. Combined financial sector exposure of nearly 32% creates meaningful concentration risk if banking and credit cycles turn unfavorable.
The fund lags its thematic category on SIP XIRR at every measured horizon, with the 5Y gap of nearly 10 percentage points (7.21% vs 17.04%) being particularly wide. Performance has been inconsistent across calendar years, delivering strong gains in 2021, 2023, and 2024 but negative returns in 2022 and 2025. This persistent underperformance suggests the ESG screen has constrained returns relative to broader thematic peers in recent market conditions.
This fund suits investors with a high risk tolerance and a long time horizon of at least 5-7 years who specifically want ESG-integrated investing and accept potential return trade-offs. It should be treated as a satellite thematic allocation rather than a core holding, given its underperformance versus category peers. Investors prioritizing raw returns over sustainability considerations may find better options within the broader thematic or flexi-cap categories.
- Diversified 40-stock portfolio with quality large-cap names like ICICI Bank, HDFC Bank, and Infosys
- ESG integration provides a structured sustainability framework for investors seeking responsible investing
- Strong calendar-year returns in 2021 (35.34%), 2023 (25.93%), and 2024 (21.91%) demonstrate upside capture capability
- Significant underperformance versus category SIP XIRR averages across 1Y, 3Y, and 5Y horizons
- Heavy financial sector concentration of approximately 32% (Banks 19.4% plus Finance 12.4%) exposes the fund to sector-specific downturns
Generated on 11-09-2026, 3:20 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 | ₹12.29 L | 9.7% | -31.1% | 51.5% |
| 3 Years | ₹36.00 L | ₹44.46 L | 14.3% | -4.4% | 28.2% |
| 5 Years | ₹60.00 L | ₹71.48 L | 7.2% | 3.0% | 10.5% |
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 | 9.7% | 15.9% |
| 3 Years | 14.3% | 17.7% |
| 5 Years | 7.2% | 17.0% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 10.6% | 7.5% | -12.7% | 42.6% | 0.26 | 0.56 | 64% | — | — |
| 3 Years | 14.1% | 14.3% | 8.0% | 20.7% | 2.78 | — | 100% | — | — |
| 5 Years | 10.1% | 9.8% | 8.9% | 12.3% | 4.39 | — | 100% | — | — |
Calmar Ratio by Duration
| # | Stock | % of NAV |
|---|---|---|
| 1 | ICICI Bank Limited | 6.65% |
| 2 | Bajaj Finance Ltd | 5.60% |
| 3 | Bharti Airtel Limited | 5.05% |
| 4 | HDFC Bank Limited | 4.45% |
| 5 | Titan Company Limited | 4.13% |
| 6 | Axis Bank Limited | 3.67% |
| 7 | Apollo Hospitals Enterprise Limited | 3.66% |
| 8 | Infosys Limited | 3.56% |
| 9 | Tech Mahindra Limited | 3.33% |
| 10 | Eternal Limited | 3.28% |