Nippon India Active Momentum Fund
Direct · GrowthAI Summary
The Nippon India Active Momentum Fund has delivered strong alpha against the NIFTY 50, with a 1Y fund CAGR of 14.54% versus -2.9% for the benchmark and a 1Y alpha of 17.64%. However, its 1Y SIP XIRR of 9.54% trails the sectoral/thematic category average SIP XIRR of 14.1%, indicating underperformance versus peers on the SIP return metric. Calendar year returns of 22.03% in 2025 and 9.5% in 2026 show positive but decelerating momentum.
Risk characteristics are favorable, with a maximum drawdown of only -0.13% lasting 25 days and full recovery within 45 days, alongside a Calmar ratio of 0.83. Beta of roughly 1.03 across timeframes indicates market-like volatility, while a downside capture of 87.12% versus upside capture of 110.42% shows the fund loses less in declines and gains more in rallies. The single drawdown event exceeding 10% suggests contained tail risk over the observed period.
The 39-stock portfolio is led by ICICI Bank (6.77%) and HDFC Bank (6.60%), with Banks as the largest sector at 17.5% and Finance adding another 9.7%, giving a combined financials tilt of over 27%. Diversification is reasonable across Automobiles (7.8%), Retailing (7.7%), and IT-Software (7.4%), with no single non-financial sector dominating. The top 10 holdings account for roughly 37.6% of NAV, indicating moderate concentration.
Against category peers, the fund lags on SIP XIRR at 9.54% versus the 1Y category average of 14.1%, which is a notable gap for a momentum strategy. Its lump-sum performance is more impressive, with positive alpha across all windows from 1Y (17.64%) to 15Y (1.57%), though alpha narrows over longer horizons. Investors should weigh the strong benchmark outperformance against the below-average SIP returns relative to thematic peers.
This fund suits investors with high risk tolerance seeking momentum-driven, sector-tilted exposure as a satellite holding rather than a core portfolio fund. A horizon of at least 5 years is advisable given the sectoral/thematic category's inherent cyclicality and the fund's concentrated financials exposure. It is not appropriate for conservative investors or those needing short-term liquidity.
- Strong benchmark outperformance with 1Y alpha of 17.64% and fund CAGR of 14.54% versus -2.9% for the NIFTY 50
- Asymmetric capture profile with 110.42% upside capture and only 87.12% downside capture over 1Y
- Well-contained drawdown risk with a maximum drawdown of just -0.13% and recovery within 45 days
- 1Y SIP XIRR of 9.54% trails the category average SIP XIRR of 14.1% by a wide margin
- Heavy financials concentration with Banks (17.5%) and Finance (9.7%) together exceeding 27% of the portfolio
Generated on 08-09-2026, 3:06 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 | ₹12.53 L | 9.5% | -15.0% | 25.1% |
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 | 9.5% | 14.4% | 12.2% | -4.8% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 10.5% | 10.1% | 1.3% | 19.1% | 0.96 | 3.85 | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY 50
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +17.64 | 1.02 | 110.4% | 87.1% | 14.5% | -2.9% |
| 3 Years | +7.47 | 1.03 | 110.8% | 92.2% | 10.4% | 3.0% |
| 5 Years | +4.44 | 1.03 | 110.8% | 92.2% | 6.1% | 1.8% |
| 7 Years | +3.19 | 1.03 | 110.8% | 92.2% | 4.3% | 1.3% |
| 10 Years | +2.27 | 1.03 | 110.8% | 92.2% | 3.0% | 0.9% |
| 12 Years | +1.91 | 1.03 | 110.8% | 92.2% | 2.5% | 0.8% |
| 15 Years | +1.57 | 1.03 | 110.8% | 92.2% | 2.0% | 0.6% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | ICICI Bank Limited | 7.03% |
| 2 | HDFC Bank Limited | 5.58% |
| 3 | Bajaj Finance Limited | 3.73% |
| 4 | Mahindra & Mahindra Limited | 3.18% |
| 5 | Eternal Limited | 3.14% |
| 6 | Prestige Estates Projects Limited | 2.96% |
| 7 | PB Fintech Limited | 2.88% |
| 8 | Coforge Limited | 2.80% |
| 9 | Sun Pharmaceutical Industries Limited | 2.80% |
| 10 | Jubilant Foodworks Limited | 2.75% |