360 ONE Dynamic Term Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

360 ONE Dynamic Term Fund Direct Growth Plan has a NAV of ₹25.6168 as of 28 August 2026, with AUM of ₹569 Cr. Its 1-year, 3-year and 5-year returns are 7.01%, 8.26% and 6.97% respectively, and the scheme is tagged as Medium Risk. Our view is that this is a debt fund with a measured return pattern rather than a sharp upside profile, so it may appeal more to investors looking for steadier participation than to those chasing aggressive gains.

The fund has a relatively low expense ratio of 0.27% and a diversified debt-style portfolio with no equity market-cap exposure. Its return track has stayed close to the benchmark over longer periods, while the shorter-term numbers show some improvement. That mix makes it more suitable for investors who can stay invested through modest fluctuations and want a portfolio built around government securities and corporate debt.

Quick facts

The fund is managed by Milan Mody.

Source data date: as of 28 Aug 2026

Performance

Recent performance has been constructive. Over 1 month, the fund posted a small positive return while the benchmark was slightly negative, which suggests the portfolio has held up better in the very near term. Over 3 months, though, the benchmark has been a bit stronger, so the short-term picture is not one-sided.

The more important point is the longer horizon. The 1-year return is clearly ahead of the benchmark, while the 3-year and 5-year returns are both close to it, with the fund slightly ahead on 3 years and slightly behind on 5 years. That tells us the scheme has been broadly competitive rather than consistently outpacing the benchmark by a wide margin.

The return pattern also looks steadier than aggressive. The 5-year path shows progression with some pauses and reversals, which is typical of a debt fund that is influenced by interest-rate moves and credit positioning rather than equity-style momentum. For an investor, that means the fund has delivered reasonable compounding with moderate swings, but without the kind of acceleration seen in higher-growth categories.

On balance, our view is that the recent improvement matters, but it should be read alongside the longer record. The fund has not broken away from the benchmark over multi-year periods; instead, it has stayed in the same general range while preserving a relatively contained return profile.

Source data date: as of 28 Aug 2026

Peer comparison

This assessment is prepared by Uniapps Investment Adviser Pvt. Ltd. under SEBI Registered Investment Adviser registration INA000017639. In the recent period, the fund’s 1-year return sits below the stronger peer figures from Bandhan and Kotak, but it is still above Axis and ICICI Pru on 1 year. Over 3 years, it stands out with the strongest figure in this peer set, while its 5-year return is also competitive and sits between the better and softer longer-run numbers in the group.

The peer picture is therefore mixed but useful. The fund has not led every horizon, yet it has shown a balanced profile across recent and longer periods, with especially good 3-year behavior. That combination suggests it is not just a short-term mover, and it has kept pace well enough over longer stretches to remain credible against similar dynamic term funds.

Source data date: as of 28 Aug 2026

Portfolio: where your money goes

Market-cap distribution: Large Cap 0%, Mid Cap 0%, Small Cap 0%, Other 100%.

The portfolio is entirely in the “other” bucket on a market-cap basis, which fits a debt-oriented strategy rather than an equity style. The largest allocation is to government securities at 47.76%, followed by corporate debt at 38.41%, so the fund is anchored by fixed-income instruments rather than spread across many unrelated asset types.

The top two sectors together account for most of the portfolio, and government securities are materially larger than the next line item. That means interest-rate movements and the pricing of sovereign paper may have a greater influence on behaviour than the smaller sleeves. The finance, cash and REIT/INVIT allocations are all much smaller, so they are likely to add diversification more than dominate outcomes.

Within the stated holdings, the biggest single exposure is 7.26% Government of India 2032 security at 11.03%, which reinforces the portfolio’s tilt toward sovereign debt. Our view is that this structure may support steadier movement over time, but it also means the fund’s results can stay closely tied to the rate environment and credit selection inside the debt book.

Source data date: as of 28 Aug 2026

Who should invest

This fund suits investors who are comfortable with Medium Risk and who can hold through modest ups and downs rather than expecting a straight-line return path. The 1-year number has been better than the benchmark, while the 3-year and 5-year figures show a more measured relationship with the benchmark, so the appeal is in balance rather than standout outperformance.

The main trade-off is that the portfolio is concentrated in government securities and corporate debt, which can help stability but also keeps the fund linked to interest-rate and credit conditions. Investors with a medium-to-long horizon and a preference for debt-style exposure may find the return pattern and portfolio mix acceptable, while those looking for equity-like growth may find it too restrained.

Tax and exit load

Exit load: No exit load.

Source data date: as of 28 Aug 2026

Frequently asked questions

What is the current NAV of 360 ONE Dynamic Term Fund Direct Growth Plan?

The current NAV is ₹25.6168 as of 28 August 2026.

What are the fund’s 1-year, 3-year and 5-year returns?

The 1-year return is 7.01%, the 3-year return is 8.26% and the 5-year return is 6.97%.

How does the fund compare with the benchmark?

It is ahead of the benchmark on 1 year, slightly ahead on 3 years and slightly behind on 5 years. The short-term picture is stronger than the long-term one, but the fund remains broadly close to benchmark behaviour over time.

How does the fund compare with the peer funds listed here?

Its 1-year return is below Bandhan and Kotak, but above Axis and ICICI Pru. On 3 years, it has the strongest figure in this peer set, while its 5-year return remains competitive and close to the better longer-term numbers among the peers.

What is the minimum SIP amount?

The minimum SIP amount is ₹1,000.

What is the risk category and exit load?

The fund is in the Medium Risk category. There is no exit load, and the manager currently named for the scheme is Milan Mody.

Bottom line

360 ONE Dynamic Term Fund Direct Growth Plan shows a return pattern that is steadier than explosive. The 1-year result is better than the benchmark, while the 3-year and 5-year numbers stay close to benchmark-style behaviour, which suggests consistency more than breakout performance. Its portfolio is heavily tilted toward government securities and corporate debt, so the fund may be influenced more by interest-rate and credit conditions than by broad market swings. For investors who want a debt fund with a moderate risk label and a measured compounding profile, that combination may be a reasonable fit.

Published on 31 August 2026 at 2:11 PM IST