UTI Innovation Fund
Direct · GrowthAI Summary
UTI Innovation Fund has delivered modest lump-sum returns over long horizons, with a 10Y CAGR of 2.03% slightly trailing the NIFTY 50's 2.1%. Its 1Y SIP XIRR of -0.09% is dramatically below the category average of 14.1%, indicating significant underperformance versus sectoral/thematic peers. The 1Y alpha of 5.25% versus NIFTY 50 is a bright spot, with the fund's 1.85% CAGR beating the benchmark's -2.9%.
The fund shows a maximum drawdown of just -0.32% but with a prolonged 546-day duration and no recorded recovery, suggesting a persistent shallow decline rather than a sharp crash. Beta of roughly 0.96 over longer periods with downside capture of 94.1% indicates it falls slightly less than the market, while upside capture of 95.38% means it also lags in rallies. The 1Y Calmar ratio of 0.0298 reflects weak risk-adjusted returns in the recent period.
As a sectoral/thematic innovation-focused fund, the portfolio is concentrated in thematic exposures rather than diversified across the broad market, which is inherent to its mandate. Specific holdings data is not provided, so investors should review the latest factsheet for sector and stock-level concentration. The fund's near-market beta of 0.96 suggests its thematic positioning currently behaves similarly to the broader index.
The fund trails its category substantially on SIP returns, with a 1Y XIRR of -0.09% versus the category average of 14.1% — a gap of over 14 percentage points. Long-term lump-sum CAGRs (3Y: 6.93%, 5Y: 4.1%) hover just below NIFTY 50, showing consistency with the benchmark but not with thematic peers. Calendar year returns are uneven, ranging from -7.25% in 2025 to 19.79% in 2024.
This fund suits investors with high risk tolerance who want tactical, satellite exposure to innovation themes, not core portfolio allocation. A horizon of at least 7-10 years is advisable given the sectoral nature and the extended 546-day drawdown duration. Investors should be comfortable with periods of significant underperformance versus both the benchmark and category peers.
- 1Y alpha of 5.25% versus NIFTY 50, with the fund's 1.85% CAGR beating the benchmark's -2.9%
- Downside capture of 94.1% across long horizons, cushioning losses relative to the index
- Reasonable expense ratio of 0.96% for a Direct plan in the thematic category
- 1Y SIP XIRR of -0.09% versus category average of 14.1% represents severe underperformance against peers
- Maximum drawdown duration of 546 days with no recovery recorded indicates a prolonged stagnant period
- Negative alpha of roughly -0.21% to -0.27% over 3Y to 15Y horizons shows persistent slight underperformance versus NIFTY 50
Generated on 10-09-2026, 3:00 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 | ₹12.13 L | 1.9% | -38.8% | 51.6% |
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 | 1.9% | 14.4% | 14.1% | -12.6% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 0.9% | -1.1% | -13.8% | 28.5% | -0.62 | -0.60 | 41% | — | — |
Calmar Ratio by Duration
Compared against NIFTY 50
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +5.25 | 1.05 | 101.5% | 95.5% | 1.9% | -2.9% |
| 3 Years | -0.21 | 0.96 | 95.4% | 94.1% | 6.9% | 7.2% |
| 5 Years | -0.24 | 0.96 | 95.4% | 94.1% | 4.1% | 4.2% |
| 7 Years | -0.24 | 0.96 | 95.4% | 94.1% | 2.9% | 3.0% |
| 10 Years | -0.26 | 0.96 | 95.4% | 94.1% | 2.0% | 2.1% |
| 12 Years | -0.27 | 0.96 | 95.4% | 94.1% | 1.7% | 1.8% |
| 15 Years | -0.27 | 0.96 | 95.4% | 94.1% | 1.4% | 1.4% |