Axis Long Term Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

Axis Long Term Fund Direct Growth Plan is an income-oriented debt fund with a medium-risk profile. As of 27 August 2026, its NAV is ₹1,271.4145 and its scheme AUM is ₹173 Cr. Its 1-year, 3-year and 5-year returns are 4.85%, 6.33% and 0% respectively, so our view is that it fits investors looking for relatively steady debt allocation rather than sharp return acceleration.

The fund is not built around equity-style upside, and its recent return pattern is modest against its benchmark behaviour. The portfolio is dominated by government securities, which supports the medium-risk label and makes it more suitable for conservative investors who can accept gradual, rate-sensitive performance.

Quick facts

The fund is managed by Devang Shah and Hardik Shah.

Source data date: as of 27 Aug 2026

Performance

Recent performance has been mixed, with a small negative 1-month return but a better 3-month result. That tells us the fund has not moved in a straight line, but it has recovered enough over the last quarter to stay positive over the shorter review window.

The 1-year return of 4.85% is better than the benchmark’s -2.53% over the same period, so the fund held up more effectively across a weaker benchmark stretch. Over 3 years, the fund’s 6.33% return trails the benchmark’s 6.72% by a small margin, which suggests the gap is not large, but the benchmark has still had the edge on a longer compounding basis.

The 5-year figure is not available, which is important because the fund itself launched in late 2022. Even so, the available pattern points to a fund that has been fairly stable rather than high growth-oriented. For investors, the key takeaway is that the fund has delivered moderate returns with some short-term resilience, but it has not shown a meaningfully stronger long-run growth profile than the benchmark.

Source data date: as of 27 Aug 2026

Peer comparison

This assessment is prepared by Uniapps Investment Adviser Pvt. Ltd. under SEBI Registered Investment Adviser registration INA000017639.

On a 1-year basis, the fund sits below Franklin India Long Term Fund Direct Growth Plan and Bandhan Long Term Fund Direct Growth Plan, while still staying close to the other available peer figures. That suggests the recent outcome has been moderate rather than standout, even though it remains positive at 4.85%.

At the 3-year horizon, the fund’s 6.33% return is slightly below ICICI Pru Long Term Fund Direct Growth Plan and Aditya Birla SL Long Term Fund Direct Growth Plan, and roughly in line with HDFC Long Term Fund Direct Growth Plan. The available 5-year comparison is thinner, but ICICI Pru Long Term Fund Direct Growth Plan has a reported 5-year return of 5.89%, which gives a useful long-term reference point. Overall, the short-term and longer-term comparisons tell a similar story: this is a steady fund, but not one that clearly leads the strongest available peer numbers.

Source data date: as of 27 Aug 2026

Portfolio: where your money goes

Market-cap distribution: Large-cap 0%, mid-cap 0%, small-cap 0% and other cap 100%.

The portfolio is overwhelmingly tilted toward government securities, which means the fund’s behaviour is likely to be shaped more by interest-rate movements than by equity-sector swings. With 93.72% in government securities and only 5.62% in cash and cash equivalents, the structure is tightly focused and leaves little room for diversification across broad equity-style buckets.

The largest sector is materially larger than the others, so government bond performance is likely to have the greatest influence on future movement. The two individual government securities listed also carry the highest standalone weights, which reinforces that concentration within the fixed-income sleeve matters here. In our view, this setup can support portfolio stability, but it also means the fund may move in line with changes in government bond pricing and yield expectations.

Source data date: as of 27 Aug 2026

Who should invest

This fund may suit conservative investors who are comfortable with medium risk and who want a debt-oriented allocation with a clear government-securities tilt. The 1-year result is decent, the 3-year figure is steady, and the benchmark comparison shows that recent performance has been respectable even if the longer track record is still limited.

The main trade-off is that the portfolio is concentrated in sovereign securities, so returns are likely to remain moderate rather than fast-moving. Investors with a medium-term horizon and an expectation of relatively controlled volatility may find the profile suitable, while those seeking stronger long-term growth or equity-like upside may find it too restrained.

Tax and exit load

Exit load: No exit load if units are sold at any time.

Source data date: as of 27 Aug 2026

Frequently asked questions

What is the current NAV of Axis Long Term Fund Direct Growth Plan?
The current NAV is ₹1,271.4145 as of 27 August 2026.

What are the 1-year, 3-year and 5-year returns?
The 1-year return is 4.85% and the 3-year return is 6.33%. The 5-year return is not available.

How does the fund compare with the benchmark?
It outperformed the benchmark over 1 year, with 4.85% versus -2.53%. Over 3 years, it trailed the benchmark slightly.

How much can I start with in SIP?
The minimum SIP amount is ₹1,000.

What is the risk category of this fund?
The fund is tagged as Medium Risk. Its portfolio is dominated by government securities, which supports a relatively conservative profile.

Who manages the fund?
The fund is managed by Devang Shah and Hardik Shah.

Bottom line

Axis Long Term Fund Direct Growth Plan has shown a steadier short-term profile than its benchmark, but its longer-term numbers remain moderate rather than compelling. Against available peer figures, it looks competitive in places but not clearly superior on 1-year or 3-year returns. The portfolio’s heavy government-securities exposure keeps the risk profile contained and makes rate movements the main driver. That combination points to an investor who wants a debt-heavy, medium-risk allocation and is comfortable with measured, not aggressive, return potential.

Published on 28 August 2026 at 10:45 AM IST