Nippon India Quant Fund
Direct · GrowthAI Summary
Nippon India Quant Fund has delivered strong alpha over the NIFTY 50 across all periods, with 3Y lump-sum CAGR of 16.29% versus the benchmark's 7.75% and alpha of 8.46%. On the primary SIP metric, its 1Y XIRR of 16.52% beats the category average of 14.1%, though its 3Y XIRR of 14.59% trails the category's 16.82%. Long-term lump-sum performance remains solid, with 10Y and 12Y CAGRs of 14.61% and 12.6% versus benchmark returns of 10.79% and 9.79% respectively.
The fund shows a beta near 1.0 in recent periods (1.01 over 1Y, 1.06 over 3Y) with downside capture below 100% (96.93% over 1Y, 99.76% over 3Y), indicating it has historically fallen slightly less than the benchmark while capturing more upside (107.81% over 1Y). Calmar ratios of roughly 0.42 to 0.49 across horizons suggest reasonable risk-adjusted returns relative to maximum drawdown. However, the fund has experienced 7 drawdown events exceeding 10%, and the 227-day recovery from its maximum drawdown highlights meaningful downside risk typical of a sectoral/thematic mandate.
The portfolio is concentrated in financials, with Banks at 19.4% and Finance at 8.5%, led by ICICI Bank (7.36%), HDFC Bank (7.03%), and SBI (5.0%). With only 33 total holdings and a top-10 weighting of roughly 40.9%, the fund is fairly concentrated, though it spans diverse sectors including construction, telecom, consumer durables, and IT. Automobiles (9.8%) and Retailing (7.7%) round out the top sector exposures, giving the quant-driven strategy a broad but bank-heavy tilt.
The fund outperforms the category on a 1Y SIP XIRR basis (16.52% vs 14.1%) but lags over longer horizons, with 5Y XIRR of 15.07% versus the category's 16.95% and 10Y XIRR of 16.27% versus 16.71%. Calendar year returns show strong consistency in up-markets, with gains above 20% in 2014, 2017, 2021, 2023, and 2024, though modest losses in 2015 and 2018 reflect typical thematic volatility. Its persistent positive alpha versus NIFTY 50 across 1Y to 15Y windows (from 8.16% down to 2.61%) suggests durable stock-selection skill even as relative category standing has softened.
This fund suits investors with a high risk tolerance and a horizon of at least 5 to 7 years, given its sectoral/thematic classification, concentrated portfolio, and history of double-digit drawdowns. It works best as a satellite allocation alongside diversified core funds rather than a standalone holding. Investors comfortable with interim volatility but seeking benchmark-beating alpha from a quant-driven approach at a reasonable 0.53% expense ratio will find it attractive.
- Consistent positive alpha over NIFTY 50 across all measured periods, including 8.46% over 3Y and 6.86% over 5Y
- Favorable capture profile with upside capture above 100% (107.81% over 1Y) and downside capture below 100% in most periods
- Low expense ratio of 0.53% for a Direct plan, and 1Y SIP XIRR of 16.52% ahead of the category average of 14.1%
- SIP XIRR trails category averages over 3Y, 5Y, 7Y, 10Y, and 12Y horizons (e.g., 15.07% vs 16.95% over 5Y)
- Concentrated portfolio of only 33 stocks with 19.4% in Banks, plus 7 drawdown events exceeding 10% and a 227-day recovery from max drawdown
Generated on 04-09-2026, 2:48 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 | 16.5% | -51.0% | 79.4% |
| 3 Years | ₹36.00 L | ₹44.29 L | 14.6% | -19.1% | 35.6% |
| 5 Years | ₹60.00 L | ₹87.39 L | 15.1% | -7.5% | 30.3% |
| 7 Years | ₹84.00 L | ₹1.46 Cr | 15.4% | -2.4% | 24.5% |
| 10 Years | ₹1.20 Cr | ₹2.88 Cr | 16.3% | 11.9% | 19.9% |
| 12 Years | ₹1.44 Cr | ₹3.94 Cr | 15.7% | 13.8% | 17.5% |
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 | 16.5% | 14.4% | 14.1% | +2.1% |
| 3 Years | 14.6% | 11.1% | 16.8% | +3.5% |
| 5 Years | 15.1% | 10.4% | 16.9% | +4.6% |
| 7 Years | 15.4% | 10.6% | 16.5% | +4.8% |
| 10 Years | 16.3% | 11.5% | 16.7% | +4.8% |
| 12 Years | 15.7% | 11.4% | 16.3% | +4.3% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 15.9% | 10.6% | -28.4% | 82.8% | 0.52 | 1.55 | 84% | — | — |
| 3 Years | 14.6% | 13.8% | -5.4% | 32.2% | 1.17 | 6.00 | 99% | — | — |
| 5 Years | 14.3% | 13.8% | -2.1% | 30.2% | 1.30 | 8.52 | 100% | — | — |
| 10 Years | 14.3% | 14.5% | 11.6% | 17.1% | 7.08 | — | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY 50
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +8.16 | 1.01 | 107.8% | 96.9% | 5.2% | -2.9% |
| 3 Years | +8.46 | 1.06 | 109.6% | 99.8% | 16.3% | 7.8% |
| 5 Years | +6.86 | 1.03 | 105.0% | 97.3% | 14.7% | 7.8% |
| 7 Years | +6.72 | 0.92 | 97.3% | 90.7% | 18.1% | 11.8% |
| 10 Years | +4.16 | 0.92 | 96.8% | 92.2% | 14.6% | 10.8% |
| 12 Years | +3.02 | 0.94 | 97.1% | 93.7% | 12.6% | 9.8% |
| 15 Years | +2.61 | 0.94 | 97.5% | 94.2% | 12.1% | 9.7% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | ICICI Bank Limited | 7.36% |
| 2 | HDFC Bank Limited | 7.03% |
| 3 | State Bank of India | 5.00% |
| 4 | Larsen & Toubro Limited | 3.99% |
| 5 | Bharti Airtel Limited | 3.71% |
| 6 | Reliance Industries Limited | 3.69% |
| 7 | Dixon Technologies (India) Limited | 3.42% |
| 8 | Bajaj Finance Limited | 3.40% |
| 9 | Mahindra & Mahindra Limited | 3.19% |
| 10 | Infosys Limited | 3.10% |