Tata Dividend Yield Fund
Direct · GrowthAI Summary
Tata Dividend Yield Fund has delivered strong SIP returns, with 1Y XIRR of 13.95% and 3Y XIRR of 18.1% beating the category averages of 10.01% and 16.24% respectively. However, its 5Y XIRR of 14.98% trails the category average of 17.57%, indicating recent performance is stronger than its longer-term record. Against the NIFTY 50, the fund has generated consistent alpha across all periods, including 16.04% over 1Y and 8.15% over 3Y, with lump-sum CAGRs of 12.84% (3Y) versus the benchmark's 4.78%.
The fund shows a favorable risk profile with a maximum drawdown of just -0.20% and an average drawdown of -0.04%, though recovery from the max drawdown took 243 days. Downside capture is consistently below 100% across all periods (85.39% over 1Y, 88.7% over 15Y) while upside capture is near or above 100%, demonstrating strong asymmetry in favor of investors. Calmar ratios of 0.93 (3Y) and 0.73 (5Y) reflect solid risk-adjusted returns, and beta near 1.0 indicates market-like volatility with better downside protection.
The portfolio is well diversified across 73 holdings, with the top 10 positions each holding only 2-3% of NAV, led by ICICI Bank (3.19%), Larsen & Toubro (3.12%), and HDFC Bank (3.09%). Sector concentration is moderate, with Banks at 16.0% as the largest allocation, followed by Power (9.6%) and Capital Markets (8.3%). The combined financials exposure (Banks, Finance, Capital Markets, Fintech) is significant at over 34%, making the fund sensitive to financial sector cycles.
The fund outperforms the category on 1Y and 3Y SIP XIRR but underperforms on 5Y (14.98% vs 17.57%), suggesting its edge is concentrated in the recent period. Calendar year returns show variability, ranging from 37.23% in 2023 to just 1.47% in 2026 and 1.78% in 2022, indicating uneven year-to-year consistency. Its persistent alpha over the NIFTY 50 across 1Y to 15Y horizons, however, points to durable stock selection over the long term.
This fund suits investors seeking dividend-yield-oriented equity exposure with below-benchmark downside risk and a moderate risk tolerance. A horizon of at least 5 years is advisable, given that its 5Y XIRR currently trails the category and longer holding periods allow the fund's alpha to compound. It can serve as a core or diversifying holding for investors comfortable with financial-sector concentration and periodic flat years.
- Consistent positive alpha over NIFTY 50 across all measured periods, from 16.04% (1Y) to 2.27% (15Y)
- Strong downside protection with downside capture of 85.39% (1Y) and 88.7% (15Y) versus upside capture near or above 100%
- Well-diversified 73-stock portfolio with no single holding above 3.19% of NAV
- 5Y SIP XIRR of 14.98% lags the category average of 17.57%, showing weaker long-term SIP performance versus peers
- Heavy financial sector exposure of over 34% (Banks 16.0%, Finance 7.8%, Capital Markets 8.3%) creates concentration risk
Generated on 14-10-2026, 4:15 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 | ₹12.73 L | 16.5% | -26.8% | 58.4% |
| 3 Years | ₹36.00 L | ₹45.38 L | 18.3% | 4.2% | 33.2% |
| 5 Years | ₹60.00 L | ₹86.94 L | 15.0% | 11.1% | 16.5% |
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% | 14.3% | 10.0% | +2.2% |
| 3 Years | 18.3% | 11.0% | 16.2% | +7.3% |
| 5 Years | 15.0% | 10.4% | 17.6% | +4.6% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 16.2% | 10.6% | -5.6% | 49.7% | 0.62 | 2.79 | 88% | — | — |
| 3 Years | 18.9% | 19.1% | 12.0% | 24.8% | 4.42 | — | 100% | — | — |
| 5 Years | 14.8% | 15.3% | 11.8% | 16.3% | 7.11 | — | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY 50
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +13.75 | 0.98 | 102.0% | 84.7% | 4.5% | -9.5% |
| 3 Years | +7.38 | 1.05 | 104.3% | 95.1% | 12.8% | 5.5% |
| 5 Years | +6.82 | 0.98 | 99.0% | 90.2% | 11.5% | 4.6% |
| 7 Years | +4.99 | 0.97 | 97.1% | 88.6% | 11.0% | 6.0% |
| 10 Years | +3.35 | 0.97 | 97.1% | 88.6% | 7.6% | 4.1% |
| 12 Years | +2.73 | 0.97 | 97.1% | 88.6% | 6.3% | 3.4% |
| 15 Years | +2.12 | 0.97 | 97.1% | 88.6% | 5.0% | 2.7% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | ICICI BANK LTD | 3.19% |
| 2 | LARSEN & TOUBRO LTD | 3.12% |
| 3 | HDFC BANK LTD | 3.09% |
| 4 | RADICO KHAITAN LTD | 2.87% |
| 5 | PNB HOUSING FINANCE LTD | 2.49% |
| 6 | BHARAT ELECTRONICS LTD | 2.41% |
| 7 | STATE BANK OF INDIA | 2.22% |
| 8 | PB FINTECH LTD | 2.15% |
| 9 | NAVIN FLUORINE INTERNATIONAL LTD | 2.14% |
| 10 | MULTI COMMODITY EXCHANGE OF IND LTD | 2.08% |