Nippon India Focused Fund
Direct · GrowthAI Summary
Nippon India Focused Fund has delivered strong SIP XIRR across horizons, with 16.92% over 5Y and 16.07% over 10Y, outpacing the category average SIP XIRR of 15.51% and 15.70% respectively. It has also beaten the NIFTY 50 on a lump-sum basis across all periods shown, with 3Y, 5Y, and 7Y alphas of 2.93%, 3.27%, and 5.21%. The 1Y XIRR of 12.41% trails its longer-term record, reflecting a softer recent market phase.
The fund shows a defensive profile versus the NIFTY 50, with downside capture below 100% across all periods (e.g., 89.7% over 5Y) and beta around 0.92-0.94, while upside capture of roughly 94-95% indicates it gives up some upside in exchange for lower downside. It has experienced 9 drawdown events greater than 10%, with a maximum drawdown duration of 798 days and a 254-day recovery, signaling that investors should expect extended recovery periods after sharp corrections. Positive alpha across all measured horizons suggests consistent risk-adjusted outperformance of the benchmark.
The portfolio is concentrated by design, holding just 27 stocks, with the top 10 accounting for roughly 53% of NAV. Banks dominate at 25.1% of the portfolio, led by HDFC Bank (9.37%), ICICI Bank (9.17%), and Axis Bank (6.6%), creating meaningful financial-sector concentration. Retailing (11.5%) is the second-largest sector, and the fund blends large-cap stalwarts like Infosys and Reliance with growth names such as HAL, Eternal, and Trent.
The fund beats the category average SIP XIRR at 1Y (12.41% vs 11.15%), 5Y (16.92% vs 15.51%), 7Y (15.76% vs 15.06%), 10Y (16.07% vs 15.70%), and 12Y (15.47% vs 15.12%), with only the 3Y figure (15.66% vs 15.80%) slightly below peers. Calendar-year returns show strong consistency, with positive years in 12 of the last 14, including standout years of 81.45% in 2014 and 42.85% in 2017. This long record of category-beating returns with lower downside capture positions it among the more reliable focused funds.
This fund suits investors seeking a concentrated, actively managed equity portfolio with a long-term horizon of at least 5-7 years, given the extended drawdown durations observed. It is appropriate for those with moderate-to-high risk tolerance who can tolerate double-digit drawdowns, but who value the fund's below-benchmark downside capture as a cushion in weak markets. As a focused fund with 25% in banks, it should be a core satellite holding rather than an investor's only equity fund, to avoid sector concentration risk.
- Consistent alpha over the NIFTY 50 across all measured horizons, including 5.21% over 7Y and 5.11% over 15Y
- Lower downside capture (86.4%-95.18%) with beta below 1, offering better downside protection than the benchmark
- SIP XIRR above the category average at 5 of 6 horizons, with 16.92% over 5Y versus the category's 15.51%
- Heavy sector concentration in banks at 25.1% of NAV, with the top three holdings all being private banks
- Only 27 holdings with the top 10 at roughly 53% of NAV, meaning single-stock underperformance can materially hurt returns
- Recent weakness, with a -8.75% calendar-year return in 2026 and a 1Y XIRR of 12.41% that trails its long-term averages
Generated on 27-10-2026, 2:13 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 | 22.3% | -62.0% | 142.9% |
| 3 Years | ₹36.00 L | ₹45.98 L | 16.4% | -26.5% | 39.9% |
| 5 Years | ₹60.00 L | ₹91.06 L | 15.6% | -11.6% | 29.9% |
| 7 Years | ₹84.00 L | ₹1.50 Cr | 15.7% | -0.7% | 22.5% |
| 10 Years | ₹1.20 Cr | ₹2.78 Cr | 16.1% | 12.3% | 19.1% |
| 12 Years | ₹1.44 Cr | ₹3.95 Cr | 15.5% | 12.4% | 18.4% |
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 | 22.3% | 14.3% | 11.1% | +8.0% |
| 3 Years | 16.4% | 11.0% | 15.8% | +5.4% |
| 5 Years | 15.6% | 10.4% | 15.5% | +5.3% |
| 7 Years | 15.7% | 10.6% | 15.1% | +5.2% |
| 10 Years | 16.1% | 11.4% | 15.7% | +4.6% |
| 12 Years | 15.5% | 11.3% | 15.1% | +4.2% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 21.0% | 12.1% | -36.4% | 121.8% | 0.53 | 2.10 | 86% | — | — |
| 3 Years | 17.3% | 16.4% | -9.0% | 41.6% | 1.17 | 4.68 | 96% | — | — |
| 5 Years | 16.4% | 15.8% | -1.2% | 31.1% | 1.57 | 12.75 | 100% | — | — |
| 10 Years | 16.6% | 15.7% | 11.8% | 21.9% | 3.77 | — | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY 50
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +4.58 | 1.00 | 101.4% | 94.5% | -7.4% | -12.0% |
| 3 Years | +2.55 | 0.92 | 93.8% | 90.1% | 8.8% | 6.2% |
| 5 Years | +3.29 | 0.93 | 94.1% | 89.5% | 8.7% | 5.3% |
| 7 Years | +5.18 | 0.92 | 95.6% | 89.9% | 14.9% | 10.0% |
| 10 Years | +1.85 | 0.94 | 95.1% | 92.6% | 11.9% | 10.3% |
| 12 Years | +3.97 | 0.92 | 94.2% | 89.3% | 12.8% | 9.1% |
| 15 Years | +5.11 | 0.89 | 93.0% | 86.4% | 14.2% | 9.3% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | HDFC Bank Limited | 9.37% |
| 2 | ICICI Bank Limited | 9.17% |
| 3 | Axis Bank Limited | 6.60% |
| 4 | Infosys Limited | 5.82% |
| 5 | Reliance Industries Limited | 4.19% |
| 6 | Hindustan Aeronautics Limited | 3.97% |
| 7 | Eternal Limited | 3.87% |
| 8 | Trent Limited | 3.81% |
| 9 | Varun Beverages Limited | 3.75% |
| 10 | SBI Cards and Payment Services Limited | 3.35% |