Nippon India Banking & Financial Services Fund
Nippon India Mutual Fund · Best Sectoral & Thematic Mutual Funds
This is the Direct plan of Nippon India Banking & Financial Services Fund — bought from the fund house, with no distributor commission in its expense ratio. Income is retained in the fund, so it shows up as NAV rather than as a payout.
Performance
Scorecard
★★★☆☆3/5 vs 142 of 255 Sectoral/ Thematic peers- Performance 60%
- Risk 15%
- Cost 10%
- Downside 15%
How this is computed
Each verdict is computed from this fund's own metrics against its sub-category — the number behind it is shown, not a black-box rating. The stars weight the same ground 60/15/10/15 (performance/risk/cost/downside) across every fund in the peer group. Ranked within Sectoral/ Thematic (same plan and option). 142 of the 255 Sectoral/ Thematic funds in this cohort carry the full record the stars need, so they are the ones ranked against.
3Y CAGR +10.48% · ranks 93 of 142 Sectoral/ Thematic funds
Volatility 15.4% vs 15.7% category avg
1.1% expense vs 1.3% category avg
94% of rolling 3Y windows were positive
Strengths & concerns
Generated from this fund's own numbers against its sub-category — each point names the figure behind it.
Strengths
- Low expense ratio (1.07%) vs the Sectoral/ Thematic average of 1.27%
- Consistent — positive in 94% of rolling 3-year windows
Concerns
- Trails the Sectoral/ Thematic average on 1M/3M/6M/1Y — 1Y by 5.30pp
- 3-year return (+10.48%) trails the Sectoral/ Thematic average (+13.82%)
- Weaker risk-adjusted returns — Sharpe 0.26 below the Sectoral/ Thematic average of 0.45
Key Metrics
Scheme Info
DefinitionsPeriod returns (<1Y, absolute — not annualized)
DefinitionsAnnualized returns (≥1Y — CAGR)
DefinitionsAdvanced metrics — risk and benchmark ratios
Fund vs category average (Sectoral/ Thematic)
| Period | Fund | Category avg. | Diff |
|---|---|---|---|
| 1M abs | -5.89% | -4.47% | -1.42% |
| 3M abs | -7.18% | -2.31% | -4.87% |
| 6M abs | +6.24% | +12.09% | -5.85% |
| 1Y CAGR | -1.89% | +3.41% | -5.30% |
| 3Y CAGR | +10.48% | +13.82% | -3.34% |
| 5Y CAGR | +11.81% | +12.04% | -0.23% |
Category average across peers in Sectoral/ Thematic (up to 255 funds with data), same plan and option, excluding this fund. Under-1-year figures are absolute; 1Y and beyond are annualised (CAGR).
Not sure what a figure means? The glossary explains every metric, and the methodology shows the formulas.
Category rank
Vs 255 peers in Sectoral/ Thematic
Backtest this fund
What a SIP or one-time investment would have grown to over this fund’s real NAV history.
60 monthly installments of ₹10,000 into Nippon India Banking & Financial Services Fund, valued at the latest NAV. XIRR annualizes for each installment’s timing.
Calendar-year returns
What the fund actually returned in each year, not the smoothed average.
| Year | Fund | Nifty Bank TRI | Diff | |
|---|---|---|---|---|
| 2026part | -7.38% | -7.52% | +0.14% | |
| 2025 | +18.39% | +18.31% | +0.08% | |
| 2024 | +11.25% | +6.24% | +5.01% | |
| 2023 | +25.11% | +13.20% | +11.91% | |
| 2022 | +21.75% | +21.83% | -0.08% | |
| 2021 | +30.66% | +13.86% | +16.80% | |
| 2020 | -9.90% | -2.33% | -7.57% | |
| 2019 | +11.44% | +18.87% | -7.43% | |
| 2018 | -0.46% | +6.83% | -7.29% | |
| 2017 | +45.39% | +41.12% | +4.27% |
January–December, from this fund's NAV history. Absolute return, not annualised. “part” marks a year the fund didn't run end to end — its first year, the current year so far, or one it stopped reporting in; those years show no benchmark comparison.
Taxation
Taxed as equityThis is an equity-oriented fund (≥65% in Indian equities), so gains get the concessional capital-gains rates below — they do not add to your income-tax slab.
Flat, on the whole gain
On gains above ₹1.25 L per financial year
Applies to capital gains on redemption. Excludes IDCW/dividend tax, STT, surcharge and cess, and pre-2018 equity grandfathering. For research only — consult a tax advisor before filing.
Asset allocation
As on 31 Aug 2026 · AMC disclosure- Equity98.56%
- Cash & Equivalents1.44%
AMC Profile
Nippon India Mutual Fund is managed by Nippon Life India Asset Management, which took control of the former Reliance Mutual Fund in 2019 when Nippon Life of Japan bought out the Reliance Capital stake. It is among India's largest fund houses by assets and is best known for its small- and mid-cap franchise.
Fund Managers
VSVinay SharmaManaging since 01 Apr 2018
Fund Manager
B.Arch, PGDCM
Over 21 years of experience April 2018 till date Nam India Fund Manager January 2010 till March 2018 ICICI Prudential Asset Management – Fund Manager Equities January 2007 – January 2010 AIG Global Asset Management Company – Equity Research Analyst Dec 2004 – January 2007 J P Morgan India Services Private Limited – Equity Research Analyst July 2004 – December 2004 UTI Bank – management trainee
BDBhavik DaveManaging since 01 Jun 2021
Co- Fund Manager & Research Analyst
BBA (2005 - 2008), PGDM (2010 - 2012)
Over 13 years of experience 18th June 2021 onwards NAM India - Co- Fund Manager & Research Analyst From September 30, 2014 to June 17, 2021 NAM India - Research Analyst From October 07, 2013 to September 29, 2014 Motilal Oswal Securities Limited - Research Associate (Institutional Equities) From May 2012 to October 2013 Crisil Global Analytics Centre - Credit Analyst – US Oil & Gas Sector From July 2011 to May 2012 Grantham Mayo, Van Otterloo & Co. - Research Associate Internship
Fund managers from the AMC's filed Scheme Summary — its most recent filing for this scheme. Benchmark and dealing terms from it and this scheme's SEBI-filed Scheme Information Document on AMFI. Each manager's qualifications and role are reconciled across every filing this fund house makes for them, including its Statement of Additional Information. Total AUM via AMFI.
Explore from here
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Returns and risk are computed from NAV history and may differ slightly from other portals due to methodology (rolling vs point-to-point, dividend treatment). For research only — not investment advice.
About Sectoral & Thematic funds
Sectoral and thematic funds must keep at least 80% in the equity of one sector (banking, pharma, technology) or one theme (consumption, manufacturing, ESG). That concentration is the point and the risk: with no mandate to diversify away from the sector, the fund rises and falls with it.
Frequently asked questions
What is the NAV of Nippon India Banking & Financial Services Fund?
As of 05 Oct 2026, the NAV of Nippon India Banking & Financial Services Fund is ₹670.99 per unit. NAV (net asset value) is the fund's per-unit price, published once each business day.
What returns has Nippon India Banking & Financial Services Fund delivered?
Nippon India Banking & Financial Services Fund has returned -1.89% over 1 year, +10.48% per year over 3 years, +11.81% per year over 5 years and +13.13% per year since inception. Figures beyond one year are annualised (CAGR) and are computed from AMFI NAV history, so they may differ slightly from other portals.
What is the expense ratio of Nippon India Banking & Financial Services Fund?
Nippon India Banking & Financial Services Fund charges an expense ratio of 1.07% per year. This annual fee is already deducted from the NAV, so the returns you see are net of it.
What are the top holdings of Nippon India Banking & Financial Services Fund?
Nippon India Banking & Financial Services Fund's largest holdings are ICICI Bank Limited (13.6%), HDFC Bank Limited (12.3%), Axis Bank Limited (8.9%), State Bank of India (5.7%) and Kotak Mahindra Bank Limited (3.8%). Holdings are disclosed monthly and change over time.
How risky is Nippon India Banking & Financial Services Fund?
Nippon India Banking & Financial Services Fund is rated very high on SEBI's risk-o-meter, its trailing-3Y volatility (annualised) is 15.4% and its worst peak-to-trough fall in our sample was -50.6%. Higher volatility means the NAV swings more; the drawdown shows how far it has fallen from a peak historically.
What does the Sharpe ratio of 0.26 mean?
The Sharpe ratio is return earned per unit of total risk, above a 6.5% risk-free rate. Nippon India Banking & Financial Services Fund's 0.26 means it has rewarded its volatility with excess return. Higher is better.
What is the benchmark of Nippon India Banking & Financial Services Fund?
Nippon India Banking & Financial Services Fund is benchmarked against the Nifty Financial Services Index TRI. Its alpha and beta on this page are measured against that index.
Who manages Nippon India Banking & Financial Services Fund?
Nippon India Banking & Financial Services Fund is managed by Vinay Sharma and Bhavik Dave at Nippon India.
How is Nippon India Banking & Financial Services Fund taxed?
Nippon India Banking & Financial Services Fund is an equity-oriented fund, so its capital gains get concessional rates: short-term gains (units held under 1 year) are taxed at 20%, and long-term gains (held 1 year or more) at 12.5% above a ₹1.25 lakh per-year exemption. These rates apply on redemption and don't add to your income-tax slab.