March 28, 2026
RA Jainee
Aditya Birla (ABSL) Banking & Financial Services Fund
| Fund at a Glance | |
| NAV Growth (Rs.) | 70.27 |
| NAV Bonus (Rs.) | — |
| NAV IDCW (Rs.) | 30.97 |
| Min. Investment (Rs.) | 1,000 |
| Min. SIP Investment (Rs.) | 100 |
| Min. No of Cheques | 6 |
| Benchmark | NIFTY Financial Services TRI |
| AUM Rs. | 3,673 Cr |
| (As on 28-Feb-2026) | |
| Expense | 1.00% |
| 1 Year Return (%) | 14.14 |
| 3 Year Return (%) | 17.31 |
| 5 Year Return (%) | 12.98 |
| 10 Year Return (%) | 15.51 |
| Return Since Launch | 16.73% |
⚖️ Sahifund Review – Aditya Birla Sun Life (ABSL) Banking & Financial Services Fund ✔
PLUS: Stability, track record, cost efficiency
ABSL Banking & Financial Services Fund has a credible long-term track record, delivering over 15% CAGR across 10 years, which shows the strength of India’s financialization theme over time. The fund has also outperformed its benchmark over 1-year, 3-year, 5-year and 10-year periods, reflecting decent execution within the sector. Its portfolio includes a mix of banks, NBFCs, insurance and allied financial plays, giving investors diversified exposure within the financial ecosystem. With a moderate turnover of 33%, the strategy appears relatively stable compared to more aggressively churned sector funds. The SIP entry point of Rs. 100 makes it accessible for retail investors who want targeted exposure to India’s credit and consumption growth story. Backed by Aditya Birla Sun Life Mutual Fund, the scheme benefits from an established research platform and category experience.
MINUS: Large AUM, large-cap bias, momentum lag
Despite respectable long-term numbers, the fund has not been a category leader, and it trails stronger peers like SBI, Nippon and Mirae on key 1-year, 3-year and 5-year return metrics. The 2-star rating reflects this middling peer position. Sector concentration is very high, with nearly 97% of the portfolio in top 3 sectors, meaning investors are effectively taking a concentrated bet on financials. The portfolio also shows a clear large-cap tilt, which may limit alpha during phases when smaller lenders or niche NBFCs outperform. Expense ratio at 1.00% is acceptable, but not compelling enough to justify relative underperformance versus better peers. Most importantly, this remains a sector fund, so returns can be highly cyclical and sharply tied to RBI policy, credit cycle, asset quality and market sentiment.
Sahifund View (Decisive Line):
A decent sectoral SIP option for believers in India’s financial growth story, but not strong enough to be the first choice in the category and certainly not a core portfolio fund.
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| NFO Guidance |
What lies ahead? Below we decode returns consistency, portfolio concentration, peer positioning and risk profile in detail.
Suitable For Which Investors?
Nobody should invest in Banking funds in our opinion, because:
• They have a narrow focus on only financial services companies
• Instead, diversified equity funds which invest across sectors are better
If you still choose to invest:
1. Invest only through SIP
2. Have a 7+ year investment horizon
3. Be prepared to withstand interim sharp declines in investment value
Fund’s Investment Strategy:
The scheme aims to maximize long term capital appreciation by investing primarily in equity & equity related securities of companies engaged in banking & financial services. The scheme would invest in banks as well as NBFC’s, insurance companies, rating agencies, broking companies, etc.
Fund Manager:
1) Dhaval Gala
Education: Mr. Gala has done BMS from Mithibai College and PGDBM-Finance from N.L.Dalmia Institute of Management Studies & Research.
Experience: Prior to joining Aditya Birla Sun Life Mutual Fund, he has worked with B&K Securities( January 2008- February 2011) and J.P.Morgan Chase India Private Ltd ( May 2005-July 2006).
Investment Details
| Min. Investment (Rs) | 1,000 |
| Min. Addl Investment (Rs) | 1,000 |
| Min. SIP Investment (Rs) | 100 |
| Min. Withdrawal (Rs) | 1 |
| Min. No of Cheques | 6 |
| Min. Balance (Rs) | 500 |
| Lock-in Period | NA |
| Exit Load | 1% for redemption within 30 days |
Basic Details of Aditya Birla (ABSL) Banking & Financial Services Fund
| Fund House | Aditya Birla Sun Life Mutual Fund |
| Launch Date | 14-Dec-13 |
| Return Since Launch | 16.73% |
| Benchmark | NIFTY Financial Services TRI |
| Riskometer | Very High |
| Type | Open-ended |
| Assets (Rs.) | 3,673 Cr |
| (As on 28-Feb-2026) | |
| Expense | 1.00% |
| (As on 28-Feb-2026) | |
| Risk Grade | Above Average |
| Return Grade | Average |
| Turnover | 33.00% |
Trailing Returns (%)
| Fund name | YTD | 1D | 1M | 3M | 6M | 1Y | 3Y | 5Y | 7Y | 10Y |
| ABSL Banking & Financial Services Dir | -8.13 | 0.54 | -9.11 | -6.26 | -2.33 | 14.14 | 17.31 | 12.98 | 12.03 | 15.51 |
| BSE Bankex TRI | -7.63 | 0.90 | -10.19 | -6.53 | -1.22 | 11.69 | 12.13 | 10.63 | 10.00 | 14.04 |
| Equity: Sectoral-Banking | -7.28 | 0.80 | -9.05 | -5.54 | -1.05 | 15.42 | 17.06 | 13.37 | 12.79 | 15.69 |
| Rank within category | 33 | 39 | 23 | 26 | 28 | 17 | 11 | 8 | 7 | 7 |
| Number of funds in category | 40 | 43 | 41 | 40 | 39 | 36 | 19 | 13 | 11 | 11 |
Peer Comparison of Aditya Birla (ABSL) Banking & Financial Services Fund
| Rating | 1 Year Returns | 3 Year Returns | 5 Year Returns | Expense Ratio (%) | Net Assets (Rs Cr) | Return Since Launch (%) | Exit Load (Days) | Fund Age | Turnover (%) | |
| ABSL Banking & Financial Services Dir | 2 star | 14.14 | 17.31 | 12.98 | 1.00 | 3,673 | 16.73 | 1.00 (30) | 12Y 3M | 33.00 |
| SBI Banking & Financial Services Dir | 4 star | 18.33 | 21.99 | 14.66 | 0.72 | 10,725 | 15.24 | 0.50 (30) | 11Y | 82.00 |
| Nippon India Banking & Financial Srvices Dir | 5 star | 14.38 | 18.46 | 16.34 | 0.95 | 7,869 | 13.71 | 1.00 (30) | 13Y 2M | 23.00 |
| Mirae Asset Banking and Fin Srvcs Dir | 4 star | 18.95 | 19.33 | 14.82 | 0.57 | 2,272 | 16.51 | 1.00 (365) | 5Y 3M | 42.00 |
| Sundaram Financial Services Opportunities Dir | 4 star | 13.98 | 19.20 | 15.20 | 0.76 | 1,684 | 13.56 | 0.50 (30) | 13Y 2M | 32.80 |
Portfolio Analysis of Aditya Birla (ABSL) Banking & Financial Services Fund
| No. of Stocks | 39 |
| Top 10 Stocks | 64.29% |
| Top 5 Stocks | 47.77% |
| Top 3 Sectors | 96.94% |
| Portfolio P/B Ratio | 2.63 |
| Portfolio P/E Ratio | 19.35 |
Portfolio Breakup
| Fund | Category | |
| Average Mkt Cap (Rs Cr) | 2,32,629 | 3,15,573 |
| Giant (%) | — | — |
| Large (%) | 66.17 | 73.41 |
| Mid (%) | 17.77 | 19.45 |
| Small (%) | 16.06 | 10.34 |
| Tiny (%) | — | — |
Disclaimer: Mutual fund investments are subject to market risks. Read all scheme related documents carefully
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