Axis Dynamic Term Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?
- September 10, 2026
- Posted by: Chaitanya Auti
- Category: Mutual Funds
Axis Dynamic Term Fund Direct Growth Plan currently has a NAV of ₹34.8215 as of 09 Sep 2026 and a scheme AUM of ₹992 Cr. Its 1-year, 3-year and 5-year returns are 6.61%, 7.52% and 6.28%, respectively, and the fund sits in the Medium Risk bucket.
Our view is that this is a steady debt fund with a moderate return profile rather than a sharp return seeker. The portfolio leans heavily on government securities, certificates of deposit and cash-like exposures, which helps explain the relatively controlled pattern of returns and its appeal for investors who prefer lower volatility with some credit and duration exposure.
Quick facts
| Particular | Details |
|---|---|
| NAV | ₹34.8215 as of 09 Sep 2026 |
| AUM | ₹992 Cr |
| Expense Ratio | 0.32% |
| Launch Date | 01 Jan 2013 |
| Min SIP | ₹1,000 |
| Risk Category | Medium Risk |
| Benchmark | Nifty 50 |
| Fund Category | Debt |
| Exit Load | No exit load |
| Fund Managers | Devang Shah, Hardik Shah |
The fund is managed by Devang Shah and Hardik Shah.
Source data date: as of 09 Sep 2026
Performance
| Period | Fund return | Benchmark return |
|---|---|---|
| 1M | -0.13% | -4.69% |
| 3M | 2.10% | 0.93% |
| 1Y | 6.61% | -7.16% |
| 3Y | 7.52% | 6.00% |
| 5Y | 6.28% | 5.87% |
The short-term pattern has been reasonably stable. Over one month, the fund was almost flat while the benchmark stayed weaker, and the three-month period shows a modest rebound. That suggests the portfolio has not relied on dramatic swings to generate returns, which is consistent with a debt scheme built around interest-rate and credit positioning rather than aggressive market moves.
Over one year, the fund has held up much better than the benchmark, which posted a negative return in the same period. That gap matters because it shows the fund cushioned the weaker market backdrop far better than the benchmark. The one-year figure also sits below the 3-year return, so the recent pace is acceptable but not the strongest part of the record.
The 3-year and 5-year numbers are close to each other and both are positive, which points to a fairly consistent longer-term compounding pattern. The 3-year return is slightly better than the benchmark, while the 5-year return is also ahead by a narrower margin. Our view is that the fund has delivered a measured profile: not a standout short-term mover, but one that has preserved a stable return path across changing conditions.
Source data date: as of 09 Sep 2026
Should you BUY or HOLD Axis Dynamic Term?
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 Axis Dynamic Term? Thinking of investing now?
Peer comparison
| Fund | 1Y return | 3Y return | 5Y return |
|---|---|---|---|
| Axis Dynamic Term Fund Direct Growth Plan | 6.61% | 7.52% | 6.28% |
| Bandhan Dynamic Term Fund Direct Growth Plan | 7.36% | 7.66% | 6.14% |
| Kotak Dynamic Term Fund Direct Growth Plan | 6.57% | 7.87% | 6.64% |
| 360 ONE Dynamic Term Fund Direct Growth Plan | 6.48% | 8.19% | 6.91% |
| ICICI Pru Dynamic Term Fund Direct Growth Plan | 6.02% | 7.82% | 7.09% |
This assessment is prepared by Uniapps Investment Adviser Pvt. Ltd. under SEBI Registered Investment Adviser registration INA000017639.
On the recent one-year figure, the fund trails Bandhan Dynamic Term Fund Direct Growth Plan and is marginally ahead of Kotak Dynamic Term Fund Direct Growth Plan, while staying above ICICI Pru Dynamic Term Fund Direct Growth Plan. That places its near-term return in the middle of this comparison set on the available numbers.
The longer horizon looks a little different. Its 3-year return is below Kotak Dynamic Term Fund Direct Growth Plan, 360 ONE Dynamic Term Fund Direct Growth Plan and ICICI Pru Dynamic Term Fund Direct Growth Plan, though it remains ahead of Bandhan Dynamic Term Fund Direct Growth Plan on the 5-year measure. The 5-year return is also below Kotak, 360 ONE and ICICI Pru, so the fund’s longer-run edge appears narrower than its short-term comparison suggests.
Overall, the short-term and long-term comparisons do not tell the same story. The fund looks competitive on recent stability, but several peers show a stronger 3-year and 5-year compounding record. That makes this a more balanced than leading return profile within the peer set.
Source data date: as of 09 Sep 2026
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Portfolio: where your money goes
| Holding | Sector | Weight |
|---|---|---|
| Clearing Corporation of India Ltd | Cash & Cash Equivalents and Net Assets | 13.67% |
| 7.3% Government of India (19/06/2053) | Government Securities | 7.32% |
| 7.24% Government of India (18/08/2055) | Government Securities | 6.72% |
| Net Receivables / (Payables) | Cash & Cash Equivalents and Net Assets | 6.35% |
| HDFC Bank Limited (19/11/2026) ** | Certificate of Deposit | 4.97% |
| HDFC Bank Limited (14/12/2026) | Certificate of Deposit | 4.95% |
| Kotak Mahindra Bank Limited (29/01/2027) ** | Certificate of Deposit | 4.9% |
| Small Industries Dev Bank of India (04/02/2027) ** | Certificate of Deposit | 4.89% |
| 7.52% Power Grid Corporation of India Limited (23/03/2033) ** | Corporate Debt | 3.42% |
| 7.09% Government of India (05/08/2054) | Government Securities | 3.33% |
The top 10 holdings account for approximately 60.52% of the portfolio.
To see all holdings, visit the Axis Dynamic Term Fund Direct Growth Plan page
The largest holding, Clearing Corporation of India Ltd, stands at 13.67%, which is a meaningful single-position exposure for a debt fund but still not extreme in isolation. The next few holdings fall away quickly into the 7% to 3% range, so influence is not dominated by just one or two positions.
By the tenth holding, the weight has reduced to 3.33%, showing a clear step-down from the top slice. That kind of spread may help keep the portfolio from becoming overly dependent on one security, while still leaving the top positions important to overall behaviour.
Because the top 10 holdings already cover 60.52% of the portfolio and the fund discloses 41 holdings in total, the rest is spread across a fairly long tail. Our view is that this points to moderate concentration at the top with enough diversification below it to soften the effect of any single holding.
Source data date: as of 09 Sep 2026
Who should invest
This fund is better suited to investors who are comfortable with medium risk and want debt-oriented exposure with a relatively stable return pattern. The 1-year result is positive, the 3-year trend is steady, and the 5-year record shows only a modest shift versus the benchmark, so it fits best in a patient, medium-horizon allocation rather than a short-term return chase.
The main trade-off is that the fund may deliver steadier behaviour than equities, but it is not designed to produce high-growth outcomes. Investors who value controlled volatility, a bond-heavy portfolio mix and a return pattern that has generally stayed ahead of the benchmark may find it easier to hold through normal rate cycles.
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: No exit load.
Source data date: as of 09 Sep 2026
Frequently asked questions
What is the current NAV of Axis Dynamic Term Fund Direct Growth Plan?
Its current NAV is ₹34.8215 as of 09 Sep 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 6.61%, 7.52% and 6.28%.
How does the fund compare with its benchmark?
It has outpaced the benchmark across the 1-year, 3-year and 5-year periods shown here. The strongest gap is over one year, where the benchmark was negative.
How does it compare with peer funds on recent returns?
Its recent return sits in the middle of the peer group shown here. Some peers are ahead on 1-year and especially on 3-year and 5-year numbers, while others are closer to it.
What is the minimum SIP amount?
The minimum SIP amount is ₹1,000.
What are the main portfolio and tax features?
The portfolio is led by government securities, certificates of deposit and cash-like exposures, with the largest holding at 13.67%. For tax, units held less than 1 year face 20% short-term capital gains tax, while units held more than 1 year face 12.5% long-term capital gains tax; there is no exit load.
Bottom line
Axis Dynamic Term Fund Direct Growth Plan has shown a steadier recent profile than its benchmark, and its longer-term numbers also stay comfortably positive. Against peers, the fund looks competitive but not clearly ahead on the longer horizon, which makes it more of a balanced debt option than a category leader on returns.
The risk label is Medium Risk, and the portfolio mix is built around government securities, certificates of deposit and cash-like assets. That combination may suit investors who want debt exposure with moderate volatility and a reasonably diversified holding base rather than a concentrated credit bet.
Published on 10 September 2026 at 2:20 PM 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.