A monthly Systematic Investment Plan (SIP) of ₹10,000 started at launch in July 2023 would have grown to ₹2.81 lakh by June 2025, against a total investment of ₹2.4 lakh.
Since inception, the fund has also crossed ₹1,000 crore in assets under management (AUM) and delivered a point-to-point return of 25.97%, outperforming its benchmark, the Nifty Financial Services TRI, which rose 17.49% over the same 23-month period, the fund house said.
A lump sum investment of ₹10,000 at launch would now be worth about ₹15,599.
Launched to tap opportunities within India’s banking and financial services sector, the fund currently spreads its portfolio across five broad sectors and 19 sub-sectors.
As of June 2025, about 65% of its holdings are in large-cap stocks, with mid-cap and small-cap segments making up about 15% each.
In June, the fund marginally increased its exposure to the finance and insurance segments, while trimming stakes in banks and fintech stocks. Recent additions include Aptus Value Housing Finance, HDB Financial Services, Bank of Baroda, Canara Bank, and IDFC First Bank.
While the fund’s performance so far shows strong alpha generation, experts caution that sectoral and thematic funds tend to be more volatile and cyclical than diversified equity schemes.
Returns can vary significantly based on regulatory changes, interest rate cycles, and credit growth trends in the banking and financial sector.
Investors should assess their risk appetite before allocating large sums to a single sector fund and review whether it aligns with their broader portfolio diversification, experts say.
First Published: Aug 1, 2025 3:29 PM IST