March 24, 2026
RA Jainee
Franklin Build India Fund
Franklin Build India Fund review: Should you invest in this infrastructure mutual fund in 2026? In this detailed review, we analyse the latest NAV, returns, portfolio allocation, expense ratio, peer comparison, benchmark performance and risk profile to help investors make a smarter SIP decision.
Franklin Build India Fund has gained attention for its strong long-term returns, infrastructure-focused portfolio and consistent category performance. But is this thematic fund suitable for your portfolio, and can it sustain returns through market cycles? Let’s decode the fund in detail.
| Fund at a Glance | |
| NAV Growth (Rs.) | 158.05 |
| NAV Bonus (Rs.) | — |
| NAV IDCW (Rs.) | 47.24 |
| Min. Investment (Rs.) | 5,000 |
| Min. SIP Investment (Rs.) | 500 |
| Min. No of Cheques | 12 |
| Benchmark | BSE India Infrastructure TRI |
| AUM Rs. | 3,174 Cr |
| (As on 28-Feb-2026) | |
| Expense | 0.95% |
| 1 Year Return (%) | 8.64 |
| 3 Year Return (%) | 26.41 |
| 5 Year Return (%) | 23.40 |
| 10 Year Return (%) | 19.08 |
| Return Since Launch | 20.38% |
PLUS: Stability, track record, cost efficiency
Franklin Build India Fund stands out as one of the more credible options in the infrastructure mutual fund category, especially for investors looking to benefit from India’s long-term capex, energy, railways and infrastructure growth theme. The fund has delivered a strong 10-year CAGR of 19.08% and an impressive 3-year return of 26.41%, which reflects solid long-term wealth creation ability. It has also consistently remained among the better-ranked funds in its category, showing strong benchmark and category competitiveness over longer periods. Backed by Franklin Templeton’s fund management pedigree, the scheme offers investors a relatively established route into the infrastructure theme. Its turnover ratio of just 20.39% also signals a more stable portfolio approach compared to many aggressive thematic peers.
MINUS: Large AUM, large-cap bias, momentum lag
The key caution is that this remains a sectoral/thematic fund, which automatically makes it far riskier than diversified equity mutual funds. Its portfolio is heavily concentrated, with over 80% exposure to the top 3 sectors, which means performance can swing sharply depending on the infrastructure cycle. While returns are strong, the fund still underperformed its benchmark slightly over the 3-year and 5-year period, which may matter for investors seeking category leadership. The expense ratio of 0.95% is also not particularly cheap in today’s competitive mutual fund market. In addition, its 65% large-cap tilt can sometimes limit upside during phases when mid-cap infrastructure stocks outperform. This is therefore better viewed as a tactical satellite allocation, not a core portfolio fund.
Sahifund View (Decisive Line):
A strong infrastructure theme fund for long-term believers in India’s capex story, but only suitable for disciplined SIP investors who can tolerate sector-specific volatility.
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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 Infrastructure funds in our opinion, because:
• They have a narrow focus on only infrastructure related companies
• Instead, diversified equity funds which invest across sectors/themes 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 generate capital appreciation by investing in companies engaged either directly or indirectly in infrastructure related activities. Infrastructure related activities include development, operations, management and maintenance of various infrastructures such as transportation, energy, resources & other infrastructure.
Fund Manager:
1) Ajay Argal
Education: Mr. Argal is a B.Tech from (IIT,Mumbai) & PGDM (IIM,Bangalore).
Experience: Prior to joining Franklin Templeton Asset Management (India) Pvt. Ltd., he has worked with Baring Asset Management (Asia) Ltd., Aditya Birla Sunlife Mutual Fund and UTI AMC where he handled various aspects of investments function including managing offshore funds, equity funds, balanced funds, equity research & equity dealing.
2) Kiran Sebastian
Education: Mr. Sebastian is a MBA, University of Oxford. B.Tech, University of Calicut.
Experience: Prior to joining Franklin Templeton Mutual Fund, he has worked with ARGA Investment Management (India) Pvt. Ltd.
Investment Details
| Min. Investment (Rs) | 5,000 |
| Min. Addl Investment (Rs) | 1,000 |
| Min. SIP Investment (Rs) | 500 |
| Min. Withdrawal (Rs) | 1,000 |
| Min. No of Cheques | 12 |
| Min. Balance (Rs) | 1,000 |
| Lock-in Period | NA |
| Exit Load | 1% for redemption within 365 days |
Basic Details of Franklin Build India Fund
| Fund House | Franklin Templeton Mutual Fund |
| Launch Date | 01-Jan-13 |
| Return Since Launch | 20.38% |
| Benchmark | BSE India Infrastructure TRI |
| Riskometer | Very High |
| Type | Open-ended |
| Assets | 3,174 Cr |
| (As on 28-Feb-2026) | |
| Expense | 0.95% |
| (As on 28-Feb-2026) | |
| Risk Grade | Low |
| Return Grade | Above Average |
| Turnover | 20.39% |
Franklin Build India Fund Returns
| Fund name | YTD | 1D | 1M | 3M | 6M | 1Y | 3Y | 5Y | 7Y | 10Y |
| Franklin Build India Dir | -4.55 | 0.21 | -8.58 | -3.45 | -4.42 | 8.64 | 26.41 | 23.40 | 19.59 | 19.08 |
| BSE India Infrastructure TRI | -2.76 | 1.26 | -5.14 | 0.82 | -4.34 | 6.41 | 27.21 | 23.42 | 18.52 | 16.97 |
| Equity: Thematic-Infrastructure | -5.94 | 0.50 | -7.11 | -4.87 | -7.44 | 5.41 | 22.25 | 21.19 | 18.56 | 17.17 |
| Rank within category | 9 | 21 | 19 | 11 | 6 | 7 | 2 | 6 | 9 | 3 |
| Number of funds in category | 23 | 23 | 23 | 23 | 22 | 21 | 19 | 19 | 19 | 19 |
Peer Comparison of Franklin Build India 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 (%) | |
| Franklin Build India Dir | 5 star | 8.64 | 26.41 | 23.40 | 0.95 | 3,174 | 20.38 | 1.00 (365) | 13Y 2M | 20.39 |
| ICICI Pru Infrastructure Dir | 5 star | 4.34 | 22.51 | 25.03 | 1.15 | 8,098 | 15.84 | 1.00 (15) | 13Y 2M | 61.00 |
| DSP India T.I.G.E.R. Dir | 4 star | 10.53 | 25.67 | 24.26 | 0.74 | 5,460 | 15.99 | 1.00 (364) | 13Y 2M | 23.00 |
| HDFC Infrastructure Dir | 4 star | 3.20 | 25.09 | 23.19 | 1.15 | 2,417 | 11.72 | 1.00 (30) | 13Y 2M | 7.96 |
| LIC MF Infrastructure Dir | 4 star | 10.73 | 28.40 | 24.06 | 0.98 | 1,007 | 15.04 | 1.00 (90) | 13Y 2M | 75.00 |
Franklin Build India Fund Portfolio
| No. of Stocks | 40 |
| Top 10 Stocks | 51.44% |
| Top 5 Stocks | 31.69% |
| Top 3 Sectors | 80.74% |
| Portfolio P/B Ratio | 2.60 |
| Portfolio P/E Ratio | 20.68 |
Portfolio Breakup
| Fund | Category | |
| Average Mkt Cap (Rs Cr) | 1,76,652 | 1,35,657 |
| Giant (%) | — | — |
| Large (%) | 65.29 | 56.90 |
| Mid (%) | 14.22 | 16.83 |
| Small (%) | 20.48 | 29.05 |
| Tiny (%) | — | — |
Disclaimer: Mutual fund investments are subject to market risks. Read all scheme related documents carefully
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