Sundaram Focused Fund
Direct · GrowthAI Summary
Sundaram Focused Fund has delivered consistent long-term outperformance versus the NIFTY 50, with lump-sum CAGRs of 13.9% over 10Y and 12.75% over 15Y versus benchmark returns of 10.79% and 9.72% respectively, generating positive alpha across all periods (3.27% to 8.75%). However, on a SIP basis its XIRR of 9.96% (1Y), 14.02% (3Y) and 15.05% (5Y) trails the category average SIP XIRR of 17.03%, 16.4% and 15.29% at these horizons. The 1Y SIP XIRR of 9.96% notably lags peers, suggesting recent SIP entry points have been less rewarding than the focused-fund category average.
The fund exhibits strong downside protection with downside capture consistently below 91% (81.33% at 1Y, 88.49% at 3Y) against upside capture of 93-95%, meaning it loses less than the benchmark in falling markets. The maximum drawdown of just -0.33% with a 33-day duration and 231-day recovery indicates shallow, quickly-recovered corrections, though 9 drawdown events exceeding 10% have occurred historically. Calmar ratios of roughly 0.45-0.51 across all horizons reflect steady, moderate risk-adjusted returns, supported by a beta below 1 (0.90-0.95) that dampens volatility.
The 28-stock focused portfolio is anchored by financials, with HDFC Bank (7.36%), ICICI Bank (7.2%) and Kotak Mahindra Bank (4.82%) contributing to a 26.4% Banks allocation, the largest sector exposure. The fund blends large-cap stability with mid-cap conviction bets such as Happy Forgings (5.68%) and Craftsman Automation (5.61%), alongside TVS Motor (6.77%) and Bharti Airtel (6.37%). While the focused mandate limits holdings to 28 names, the top-10 concentration of roughly 54% and heavy bank weighting create meaningful single-sector risk.
Against focused-fund peers, the fund's SIP XIRR trails category averages across most horizons — 14.02% vs 16.4% at 3Y and 15.05% vs 15.29% at 5Y — indicating middling relative SIP performance despite strong lump-sum benchmark outperformance. Calendar-year returns show good consistency, with only two negative years (2022: -0.69%) and strong upside years like 2014 (44.1%) and 2021 (34.56%). The persistent positive alpha versus NIFTY 50 across 1Y to 15Y periods demonstrates genuine stock-selection skill even if category-relative SIP returns lag.
This fund suits investors seeking a focused, benchmark-beating core equity holding with a long horizon of at least 5-7 years, given its strongest returns emerge over 5Y+ periods (15.05% 5Y SIP XIRR). It is appropriate for moderate-risk investors who value downside protection — evidenced by sub-91% downside capture — but should be comfortable with sector concentration in banks and mid-cap positions. Investors prioritizing top-quartile SIP returns versus focused-fund peers may want to weigh the recent category-relative underperformance before committing.
- Consistent positive alpha versus NIFTY 50 across all periods from 1Y (8.75%) to 15Y (3.27%), demonstrating sustained stock-selection skill
- Strong downside protection with downside capture of 81.33% (1Y) to 90.86% (15Y), cushioning losses in weak markets
- Shallow maximum drawdown of -0.33% with recovery in 231 days, reflecting resilient portfolio construction
- SIP XIRR trails the focused-fund category average at 1Y (9.96% vs 17.03%), 3Y (14.02% vs 16.4%) and 5Y (15.05% vs 15.29%), indicating recent SIP investors have underperformed peers
- Heavy Banks sector concentration of 26.4% plus top-10 holdings near 54% of NAV create elevated single-sector and stock-specific risk
Generated on 11-09-2026, 3:13 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 | ₹12.71 L | 17.3% | -46.3% | 92.4% |
| 3 Years | ₹36.00 L | ₹43.99 L | 14.8% | -14.5% | 37.8% |
| 5 Years | ₹60.00 L | ₹86.79 L | 15.1% | -3.9% | 25.8% |
| 7 Years | ₹84.00 L | ₹1.48 Cr | 15.5% | 1.7% | 22.2% |
| 10 Years | ₹1.20 Cr | ₹2.67 Cr | 15.5% | 12.0% | 19.0% |
| 12 Years | ₹1.44 Cr | ₹3.71 Cr | 14.8% | 12.2% | 17.4% |
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 | 17.3% | 14.4% | 16.4% | +2.9% |
| 3 Years | 14.8% | 11.1% | 16.8% | +3.6% |
| 5 Years | 15.1% | 10.4% | 15.2% | +4.6% |
| 7 Years | 15.5% | 10.6% | 14.9% | +5.0% |
| 10 Years | 15.5% | 11.5% | 16.2% | +4.1% |
| 12 Years | 14.8% | 11.4% | 15.8% | +3.4% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 16.6% | 12.6% | -22.0% | 85.8% | 0.55 | 1.99 | 83% | — | — |
| 3 Years | 15.1% | 15.1% | -1.9% | 30.1% | 1.64 | 12.17 | 100% | — | — |
| 5 Years | 15.2% | 15.6% | 1.5% | 26.0% | 2.02 | 26.90 | 100% | — | — |
| 10 Years | 15.0% | 14.8% | 12.3% | 17.6% | 7.50 | — | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY 50
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +8.75 | 0.90 | 93.8% | 81.3% | 6.8% | -2.9% |
| 3 Years | +4.86 | 0.93 | 95.2% | 88.5% | 12.5% | 7.8% |
| 5 Years | +3.57 | 0.95 | 95.1% | 90.3% | 11.3% | 7.8% |
| 7 Years | +5.52 | 0.91 | 93.3% | 87.3% | 16.9% | 11.8% |
| 10 Years | +3.45 | 0.92 | 94.1% | 89.8% | 13.9% | 10.8% |
| 12 Years | +3.82 | 0.92 | 94.8% | 90.1% | 13.4% | 9.8% |
| 15 Years | +3.27 | 0.93 | 95.1% | 90.9% | 12.8% | 9.7% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | Happy Forgings Ltd | 8.08% |
| 2 | ICICI Bank Ltd | 7.10% |
| 3 | TVS Motor Company Ltd | 6.63% |
| 4 | Craftsman Automation Ltd | 6.20% |
| 5 | Bharti Airtel Ltd | 5.70% |
| 6 | Kotak Mahindra Bank Ltd | 5.04% |
| 7 | HDFC Bank Ltd | 3.70% |
| 8 | Apollo Hospitals Enterprise Ltd | 3.64% |
| 9 | Sedemac Mechatronics Ltd | 3.49% |
| 10 | Avenue Supermarts Ltd | 3.25% |