Nippon India Innovation Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?
- September 18, 2026
- Posted by: Chaitanya Auti
- Category: Mutual Funds
Nippon India Innovation Fund Direct Growth Plan is priced at ₹15.359 as of 17 September 2026, with scheme assets of ₹3,107 Cr. Its 1-year, 3-year and 5-year returns are 0.22%, 13.88% and 0% respectively, and the fund sits in the High Risk bucket. Our view is that the fund still looks like a high-volatility equity choice, with a stronger multi-year history than its latest one-year outcome, so it suits investors who can stay patient through uneven short-term swings.
The fund has moved better over 3 years than over 1 year, while its 5-year figure is not available as a meaningful positive compounding record in this case. That pattern, together with a portfolio led by growth-sensitive names across retailing, IT and auto ancillaries, suggests this is better viewed as a thematic-style equity holding than a steady core allocation.
Quick facts
| Particular | Details |
|---|---|
| NAV | ₹15.359 as of 17 Sep 2026 |
| AUM | ₹3,107 Cr |
| Expense Ratio | 0.62% |
| Launch Date | 28 Aug 2023 |
| Min SIP | ₹100 |
| Risk Category | High Risk |
| Benchmark | Nifty 50 |
| Fund Category | Equity |
| Exit Load | 1% on or before 1Y, Nil after 1Y |
| Fund Managers | Vinay Sharma, Rishit Parikh |
The fund is managed by Vinay Sharma and Rishit Parikh.
Source data date: as of 17 Sep 2026
Performance
| Period | Fund return | Benchmark return |
|---|---|---|
| 1M | -2.96% | -3.66% |
| 3M | 2.96% | -3.71% |
| 1Y | 0.22% | -7.13% |
| 3Y | 13.88% | 5.82% |
| 5Y | 0% | Data not available |
The recent pattern is mixed but not weak in relative terms. Over 1 month, the fund declined, yet it still held up better than the benchmark. Over 3 months and 1 year, it stayed ahead of the benchmark by a wide margin, which tells us that the fund has been more resilient than Nifty 50 through a soft patch in the broader market.
The 3-year picture is more constructive. The fund’s 13.88% return is well above the benchmark’s 5.82%, which suggests the strategy has been able to compound through a longer holding period despite the choppiness visible in the shorter windows. That said, the fund’s path has not been smooth, so the stronger 3-year number should be read as a sign of recovery and selective upside rather than low-volatility consistency.
The 5-year line needs context because the fund has been live only since August 2023. For investors, that means the longer-term evidence available here is really the 3-year track record and the observed pattern inside it. On that basis, our view is that the fund has beaten the benchmark over every matching period in the table, but the margin of comfort comes from accepting sharper swings along the way.
Source data date: as of 17 Sep 2026
Should you BUY or HOLD Nippon India Innovation?
A fund’s past returns alone don’t tell you whether you should buy it today or continue holding it.
The right decision depends on factors such as your current allocation, purchase price, risk profile, investment horizon and the role this fund plays in your overall portfolio.
Already holding Nippon India Innovation? Thinking of investing now?
Peer comparison
| Fund | 1Y return | 3Y return | 5Y return |
|---|---|---|---|
| Nippon India Innovation Fund Direct Growth Plan | 0.22% | 13.88% | 0% |
| ICICI Pru Strategic Metal and Energy Equity FoF Direct Growth Plan | 69.8% | 36.32% | Data not available |
| HDFC Pharma and Healthcare Fund Direct Growth Plan | 25.31% | Data not available | Data not available |
| Kotak Healthcare Fund Direct Growth Plan | 25.27% | Data not available | Data not available |
| Motilal Oswal Active Momentum Fund Direct Growth Plan | 24.51% | Data not available | Data not available |
| PGIM India Healthcare Fund Direct Growth Plan | 22.75% | Data not available | Data not available |
Compared with the peer set, the fund’s 1-year return is far lower than the strongest recent performers in this group. That does not automatically make it unattractive, but it does mean the fund has not matched the recent momentum seen in the more defensive or specialised peer names included here.
Over 3 years, the fund sits below the one peer with an available 3-year figure, while its own 3-year return is still clearly ahead of the benchmark. That creates a split picture: the fund has improved on the index, but not at the level shown by the strongest peer with a like-for-like longer window.
This assessment is prepared by Uniapps Investment Adviser Pvt. Ltd. under SEBI Registered Investment Adviser registration INA000017639.
Source data date: as of 17 Sep 2026
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Portfolio: where your money goes
| Holding | Sector | Weight |
|---|---|---|
| Eternal Limited | Retailing | 5.03% |
| Info Edge (India) Limited | IT | 4.70% |
| Trent Limited | Retailing | 3.66% |
| Samvardhana Motherson International Limited | Automobile & Ancillaries | 3.11% |
| 3M India Limited | Diversified | 3.08% |
| Swiggy Limited | Retailing | 3.08% |
| Varun Beverages Limited | FMCG | 3.03% |
| ZF Commercial Vehicle Control Systems India Limited | Automobile & Ancillaries | 2.76% |
| FSN E-Commerce Ventures Limited | Retailing | 2.67% |
| Bajaj Finserv Limited | Finance | 2.53% |
The largest holding, Eternal Limited, carries a 5.03% weight, so no single position dominates the portfolio on its own. The gap from the first holding to the tenth is modest rather than extreme, which suggests the top layer is built from several similar-sized positions instead of one oversized bet.
The top 10 holdings account for approximately 33.65% of the portfolio, while the fund discloses 58 holdings in total. That combination points to a portfolio that is spread across a broad tail, even though the headline names are concentrated enough to matter for performance. In our view, this structure may leave the fund influenced by a relatively small group of growth-oriented businesses, but it also reduces reliance on any single company.
Because more holdings are disclosed, the remaining positions could still play a meaningful role, especially if they are linked to the same thematic style. Still, the visible top end shows a fairly balanced weight profile, with retailing, IT and auto ancillary names taking several of the largest slots rather than one sector or one stock carrying the portfolio.
To see all holdings, visit the Nippon India Innovation Fund Direct Growth Plan page
Source data date: as of 17 Sep 2026
Who should invest
This fund suits investors who are comfortable with High Risk equity exposure and can tolerate uneven short-term moves. The 1-year result has been muted, but the 3-year record is stronger and sits ahead of the benchmark, so the holding period matters a lot here.
Our view is that it fits better as a longer-horizon satellite allocation than as a core stability holding. The trade-off is clear: the portfolio can benefit from exposure to innovative and growth-sensitive businesses, but it may also swing more than a plain-vanilla benchmark fund.
Tax and exit load
| Holding period | Tax rate | Description |
|---|---|---|
| Units held less than 1 year | 20% | Short-term capital gains tax |
| Units held more than 1 year | 12.5% | Long-term capital gains tax |
Exit load: 1% on or before 1 year; nil after 1 year.
Source data date: as of 17 Sep 2026
Frequently asked questions
What is the current NAV of Nippon India Innovation Fund Direct Growth Plan?
The current NAV is ₹15.359 as of 17 September 2026.
What are the fund’s 1-year, 3-year and 5-year returns?
The fund’s 1-year, 3-year and 5-year returns are 0.22%, 13.88% and 0% respectively.
How does the fund compare with its benchmark?
It has outpaced Nifty 50 across the matching periods shown here, including a 3-year return of 13.88% versus the benchmark’s 5.82%. The 1-year figure is also better than the benchmark’s -7.13%.
How does it compare with the peer funds shown here?
Its recent return is much lower than the strongest peer returns in the list, while the 3-year result is also below the peer with an available 3-year figure. The shorter and longer windows therefore tell different stories.
What is the minimum SIP amount?
The minimum SIP amount is ₹100.
What are the exit load and fund manager details?
The exit load is 1% on or before 1 year and nil after 1 year. The fund is managed by Vinay Sharma and Rishit Parikh.
Bottom line
Nippon India Innovation Fund Direct Growth Plan has a mixed short-term record but a more encouraging 3-year pattern, and it has stayed ahead of the benchmark in the periods shown here. Among the peer returns available, its recent numbers are weaker than the better-performing specialised funds, but the portfolio still shows a broad spread across 58 holdings with no single position dominating. The High Risk label and growth-tilted holding mix make it suitable for investors who can accept volatility in exchange for possible long-term upside.
Published on 18 September 2026 at 9:19 AM IST
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RIA disclosure
Mutual fund investments are subject to market risks. Read all scheme-related documents carefully before investing. This review is prepared by Uniapps Investment Adviser Pvt. Ltd. (earlier known as Uniapps Global Research Pvt. Ltd.) under SEBI Registered Investment Adviser registration INA000017639 for general informational purposes and is not personalized investment advice.