SBI Equity Minimum Variance Fund
Direct · GrowthAI Summary
SBI Equity Minimum Variance Fund has delivered consistent alpha over the NIFTY 50 across long horizons, with a 15Y fund CAGR of 5.78% versus 4.70% for the benchmark and a 7Y alpha of 3.21%. However, its SIP XIRR trails the category across all periods: 14.13% over 3Y versus the category average of 16.17%, and 15.0% over 5Y versus 17.43%. Recent performance has also softened, with 2026 returning -7.63% and the 1Y XIRR at just 8.11%.
The fund demonstrates its core minimum-variance design through a beta of roughly 0.78 and downside capture consistently below 80% across all measured windows, cushioning it in falling markets. Recent drawdown characteristics are exceptionally mild, with a maximum drawdown of just -0.33%, a 39-day drawdown duration, and 136-day recovery. Calmar ratios of around 0.50 over 1Y, 3Y, and 5Y indicate reasonable return per unit of drawdown risk.
The 50-stock portfolio is anchored in defensive sectors, with the top three holdings at 8.25% (Sun Pharma), 7.98% (Apollo Hospitals), and 7.70% (Nestle India). Pharmaceuticals & Biotechnology is the largest sector at 16.6%, followed by Diversified FMCG at 11.2% and Healthcare Services at 8.9%. This defensive tilt fits the low-volatility mandate but creates meaningful concentration in pharma and healthcare, which together exceed 25% of NAV.
Against its Sectoral/Thematic category peers, the fund underperforms on SIP XIRR in every window: 11.75% over 7Y versus 16.60% for the category, and 14.13% over 3Y versus 16.17%. Its consistency instead shows up in benchmark outperformance, where it beat NIFTY 50 in 3Y, 5Y, 7Y, 10Y, 12Y, and 15Y CAGR comparisons. Investors choosing this fund are selecting lower volatility rather than category-leading returns.
This fund suits conservative investors who prioritize downside protection and smoother ride quality over peak returns, given its consistently low downside capture of 77-82%. It is appropriate as a core defensive equity allocation with a minimum 5-year horizon to allow its long-term alpha to compound. Investors seeking aggressive thematic or sectoral upside from their category allocation may find its muted upside capture of around 81% disappointing.
- Consistent long-term alpha with positive alpha against NIFTY 50 across 3Y (0.46%), 5Y (2.35%), and 7Y (3.21%) windows, and higher CAGR than the benchmark over 15Y (5.78% vs 4.70%)
- Superior downside protection with downside capture of 76.69% to 82.26% across all periods and a beta of approximately 0.78
- Very strong recent drawdown profile with a maximum drawdown of only -0.33%, an average drawdown of -0.06%, and a modest TER of 0.42%
- SIP XIRR underperforms the category average in every period, trailing by 2.04 percentage points over 3Y (14.13% vs 16.17%) and 2.43 points over 5Y (15.0% vs 17.43%)
- Sector concentration risk from defensive exposures, with Pharmaceuticals & Biotechnology (16.6%) plus Healthcare Services (8.9%) exceeding 25% of the portfolio
- Recent weakness with a -7.63% calendar year return in 2026 and a modest negative alpha of -0.81% over 1Y following the strong 28.21% year in 2023
Generated on 01-11-2026, 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 | ₹12.69 L | 16.0% | -52.5% | 74.6% |
| 3 Years | ₹36.00 L | ₹45.03 L | 15.0% | -3.6% | 29.5% |
| 5 Years | ₹60.00 L | ₹84.87 L | 15.1% | 4.2% | 25.8% |
| 7 Years | ₹84.00 L | ₹1.28 Cr | 11.9% | 8.6% | 14.2% |
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 | 16.0% | 14.3% | 10.6% | +1.7% |
| 3 Years | 15.0% | 11.0% | 16.2% | +3.9% |
| 5 Years | 15.1% | 10.4% | 17.4% | +4.7% |
| 7 Years | 11.9% | 10.6% | 16.6% | +1.3% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 15.8% | 11.2% | -25.7% | 88.5% | 0.52 | 1.67 | 85% | — | — |
| 3 Years | 16.6% | 16.9% | 5.2% | 31.9% | 2.31 | 95.18 | 100% | — | — |
| 5 Years | 16.5% | 17.7% | 6.7% | 25.9% | 2.27 | — | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY 50
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | -0.81 | 0.78 | 79.6% | 78.7% | -7.9% | -10.9% |
| 3 Years | +0.46 | 0.78 | 84.1% | 82.3% | 6.9% | 6.4% |
| 5 Years | +2.35 | 0.77 | 82.4% | 78.0% | 7.8% | 5.2% |
| 7 Years | +3.21 | 0.79 | 81.3% | 76.7% | 12.5% | 10.0% |
| 10 Years | +1.80 | 0.79 | 81.1% | 76.8% | 8.8% | 7.1% |
| 12 Years | +1.24 | 0.79 | 81.1% | 76.8% | 7.3% | 5.9% |
| 15 Years | +0.69 | 0.79 | 81.1% | 76.8% | 5.8% | 4.7% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | Sun Pharmaceutical Industries Ltd. | 8.25% |
| 2 | Apollo Hospitals Enterprise Ltd. | 7.98% |
| 3 | Nestle India Ltd. | 7.70% |
| 4 | Hindustan Unilever Ltd. | 5.80% |
| 5 | ITC Ltd. | 5.36% |
| 6 | Coal India Ltd. | 4.89% |
| 7 | Cipla Ltd. | 4.82% |
| 8 | Tata Consumer Products Ltd. | 4.77% |
| 9 | Tech Mahindra Ltd. | 4.58% |
| 10 | Dr. Reddy's Laboratories Ltd. | 3.55% |