Nippon India Pharma Fund
Direct · GrowthAI Summary
Nippon India Pharma Fund has delivered strong SIP XIRR across most horizons, with 15.2% over 1Y and 19.43% over 3Y, beating the category averages of 12.08% and 18.43% respectively. Over 5Y and 10Y periods, its XIRR of 18.78% and 18.01% is slightly below category averages of 19.6% and 18.16%, indicating competitive but not uniformly dominant performance. Long-term returns remain healthy, with 12Y XIRR of 17.59% roughly in line with the category's 17.61%.
The fund's Calmar Ratio of 0.72–0.84 across various windows suggests moderate risk-adjusted returns for a sectoral fund. It has experienced 6 drawdown events exceeding 10%, and the maximum drawdown took 445 days to recover from a total drawdown period of 577 days, highlighting that sectoral pharma exposure can involve prolonged underwater periods. Investors should expect meaningful volatility typical of concentrated sector bets.
The portfolio is highly concentrated in Pharmaceuticals & Biotechnology at 70.5% of NAV, with Healthcare Services adding another 20.3%, leaving negligible exposure outside healthcare. Sun Pharma (11.71%) and Divi's Labs (7.1%) lead a top-10 that constitutes roughly 56% of the 34-stock portfolio, providing reasonably broad stock-level diversification within a tightly focused sector. This structure offers depth in pharma but almost no protection against sector-wide downturns.
The fund outperforms the category average SIP XIRR over 1Y and 3Y horizons but lags modestly over 5Y and 10Y, placing it around the middle-to-upper tier of pharma sector peers. Calendar year returns show high dispersion, from 67.31% in 2020 to -9.62% in 2016 and -2.88% in 2025, underscoring inconsistent year-to-year performance. Long-horizon consistency is respectable, with double-digit XIRR across 3Y through 12Y windows.
This fund is suitable only for investors with high risk tolerance who understand sectoral fund dynamics and can tolerate drawdowns lasting over a year. It is best treated as a satellite allocation of 5–10% within a diversified portfolio, not a core holding, with an investment horizon of at least 5–7 years to ride out sector cycles. Investors needing stability or broad market exposure should look elsewhere.
- Strong 1Y and 3Y SIP XIRR of 15.2% and 19.43%, beating category averages of 12.08% and 18.43%
- Low expense ratio of 0.93% for a sectoral actively managed fund
- Broad stock-level diversification with 34 holdings and no single stock above 11.71% of NAV
- Extreme sector concentration with 90.8% in Pharmaceuticals & Biotechnology plus Healthcare Services, leaving the fund fully exposed to sector-wide downturns
- History of 6 drawdown events exceeding 10% and a maximum drawdown recovery period of 545-plus days, with negative calendar years in 2022, 2025, and 2016
Generated on 04-11-2026, 3:02 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 | ₹12.71 L | 20.7% | -27.3% | 94.0% |
| 3 Years | ₹36.00 L | ₹44.93 L | 16.8% | -7.0% | 44.9% |
| 5 Years | ₹60.00 L | ₹93.01 L | 17.0% | -2.2% | 30.1% |
| 7 Years | ₹84.00 L | ₹1.63 Cr | 18.5% | 3.1% | 27.0% |
| 10 Years | ₹1.20 Cr | ₹3.14 Cr | 18.0% | 12.9% | 21.5% |
| 12 Years | ₹1.44 Cr | ₹4.39 Cr | 17.6% | 15.7% | 20.2% |
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 | 20.7% | 12.5% |
| 3 Years | 16.8% | 17.5% |
| 5 Years | 17.0% | 19.6% |
| 7 Years | 18.5% | 17.5% |
| 10 Years | 18.0% | 18.2% |
| 12 Years | 17.6% | 17.6% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 20.1% | 13.1% | -15.1% | 90.7% | 0.58 | 2.17 | 77% | — | — |
| 3 Years | 17.2% | 19.9% | -1.3% | 32.2% | 1.20 | 5.54 | 99% | — | — |
| 5 Years | 16.6% | 16.7% | 0.0% | 32.1% | 1.62 | 15.90 | 100% | — | — |
| 10 Years | 16.2% | 16.1% | 13.1% | 18.8% | 6.93 | — | 100% | — | — |
Calmar Ratio by Duration
| # | Stock | % of NAV |
|---|---|---|
| 1 | Sun Pharmaceutical Industries Limited | 11.71% |
| 2 | Divi's Laboratories Limited | 7.10% |
| 3 | Lupin Limited | 6.17% |
| 4 | Cipla Limited | 6.01% |
| 5 | Dr. Reddy's Laboratories Limited | 5.45% |
| 6 | Apollo Hospitals Enterprise Limited | 4.89% |
| 7 | Mankind Pharma Limited | 4.38% |
| 8 | Sai Life Sciences Limited | 3.92% |
| 9 | Ajanta Pharma Limited | 3.61% |
| 10 | GlaxoSmithKline Pharmaceuticals Limited | 3.11% |