Forty-four per cent in a year
The median overseas equity fund-of-funds returned 44.27% in the year to 27 May 2026. Not one of the 46 equity funds with a one-year record made less than 20.30%.
A large part of that is the rupee. USD/INR was at 85.16 on 27 May 2025 and 95.91 on 27 May 2026. The dollar rose 12.62%, so every dollar a fund held was worth 12.62% more in rupees before its own price moved at all. The rupee's weakest close in our record so far came on 20 May, at 96.57 to the dollar.
These figures cover the Direct plan, Growth option of funds in the FoF Overseas category, which buy foreign funds or ETFs. Most NAVs are dated 27 May; eight funds had published only to 26 May. The five funds that hold US Treasury bonds are left out of the equity figures and treated separately below.
Returns with the currency taken out
To strip out the currency, divide one plus each return by one plus the dollar's rise over the same window. A fund that made 44.27% while the dollar rose 12.62% earned about 28.10% in dollar terms.
| To 27 May 2026 | 1 year | 3 years, a year | 5 years, a year |
|---|---|---|---|
| Equity funds counted | 46 | 45 | 30 |
| Median return in rupees | 44.27% | 26.46% | 14.02% |
| Dollar's rise against the rupee | 12.62% | 5.04% a year | 5.70% a year |
| Median with the rupee held flat | 28.10% | 20.39% | 7.86% |
| Points from the currency | 16.2 | 6.1 | 6.2 |
Over one year the currency supplied a little over a third of the median return. Over five years its share was larger, about 44%: 6.2 of 14.02 points a year. The dollar start points are 82.74 on 26 May 2023 and 72.67 on 27 May 2021.
So far in 2026, the median equity fund is up 18.11% and the dollar 6.83%, from 89.77 on 31 December 2025.
The spread
| Fund (Direct, Growth) | 1 year | 1 year, rupee flat | 3 years, a year |
|---|---|---|---|
| Mirae Asset Global Electric & Autonomous Vehicles Passive FoF | 105.74% | 82.69% | 25.16% |
| DSP World Mining Overseas Equity Omni FoF | 102.68% | 79.97% | 30.77% |
| DSP World Gold Mining Overseas Equity Omni FoF | 95.73% | 73.80% | 50.26% |
| … | |||
| ICICI Prudential Global Stable Equity FoF | 20.75% | 7.22% | 13.61% |
| Kotak International REIT FoF | 20.33% | 6.85% | 10.52% |
| Baroda BNP Paribas Aqua FoF | 20.30% | 6.82% | 15.43% |
Twenty of the 46 returned more than 50%. The three funds named for the Nasdaq-100 returned between 56.34% and 59.51%.
Funds were near their highs too. On their latest NAV date, 25 of the 47 equity funds were at a record NAV and 40 within 1% of one.
The cleanest view of the rupee: a T-bill fund
A short-term US Treasury fund earns little in dollars, so its rupee return is close to the pure currency move.
Bandhan US Treasury Bond 0-1 year FoF returned 16.50% over the year in rupees. With the rupee held flat, that is 3.45%. About 13 of its 16.50 points came from the dollar. Over three years it returned 9.72% a year in rupees and about 4.45% a year without the currency.
The other four US Treasury fund-of-funds returned between 15.82% and 16.90% over the year.
What this does not tell you
Not every fund holds dollars. Funds investing in China, Europe, Brazil or Asia hold those currencies. USD/INR is the right yardstick for US funds and only an approximation for the rest.
The currency works both ways. The rupee has fallen against the dollar over every window here. If it strengthens, the same arithmetic takes return away from these funds.
A year like this is unusual. A median of 44% came from foreign markets and a weak rupee rising together. That says nothing about the next year, and nothing here is a recommendation to buy or avoid any fund.
Where to go from here
The FoF overseas page ranks every fund in the category. Currency risk in international funds and international mutual funds explain the mechanics, and the currency converter has the full USD/INR history.
For the rupee's slide itself, see the rupee's weakest closes against the dollar, and for a domestic sector over the same weeks, technology fund returns in May.
Frequently asked questions
How much have international mutual funds returned in the past year?
The median overseas equity fund-of-funds (Direct plan, Growth option) returned 44.27% in the year to 27 May 2026, across 46 funds. Every one of them gained at least 20.30%. Over three years the median was 26.46% a year (45 funds) and over five years 14.02% a year (30 funds).
How much of that came from the rupee falling?
USD/INR rose from 85.16 on 27 May 2025 to 95.91 on 27 May 2026, a 12.62% rise in the dollar. Holding the rupee flat, the median fund's 44.27% becomes about 28.10%, so the currency supplied roughly 16 percentage points.
Which international funds did best in the year to May 2026?
Mirae Asset Global Electric & Autonomous Vehicles Passive FoF returned 105.74%, DSP World Mining 102.68% and DSP World Gold Mining 95.73% in the year to 27 May 2026. The lowest equity return was 20.30%, from Baroda BNP Paribas Aqua.
This is commentary on published data, not investment advice. WealthTicker is not a SEBI-registered adviser or distributor. Figures are as of the dates stated and can be revised by their source.
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