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Tata Floating Interest Rates Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

  • September 17, 2026
  • Posted by: Chaitanya Auti
  • Category: Mutual Funds
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Tata Floating Interest Rates Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

Tata Floating Interest Rates Fund Direct Growth Plan has a NAV of ₹13.9816 as of 16 Sep 2026 and scheme AUM of ₹113 Cr. Its 1-year, 3-year and 5-year returns are 6.5%, 7.45% and 6.73%, and the scheme sits in the Balanced Risk category. Our view is that this looks suited to investors who want debt-oriented exposure with a steadier return pattern than a broad equity benchmark, but who can still tolerate some movement in rates and credit conditions.

The fund has held up better over 1 year than the benchmark, while the 3-year and 5-year numbers show a more even compounding pattern. With a short portfolio list led by government securities and high-quality corporate debt, it may appeal to investors looking for a floating-rate debt fund with moderate risk rather than a cash-like parking option.

Table of Contents

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  • Quick facts
  • Performance
  • Should you BUY or HOLD Tata Floating Interest Rates?
  • Peer comparison
  • Portfolio: where your money goes
  • Who should invest
  • Tax and exit load
  • Frequently asked questions
    • What is the current NAV of Tata Floating Interest Rates Fund Direct Growth Plan?
    • What are the 1-year, 3-year and 5-year returns?
    • How has the fund performed against the benchmark?
    • How does it compare with the peer funds listed here?
    • Is there a minimum SIP amount?
    • What are the fund manager, risk category and exit load details?
  • Bottom line
  • Explore mutual funds with Univest
  • RIA disclosure

Quick facts

Particular Details
NAV ₹13.9816 as of 16 Sep 2026
AUM ₹113 Cr
Expense Ratio 0.3%
Launch Date 07 Jul 2021
Min SIP ₹500
Risk Category Balanced Risk
Benchmark Nifty 50
Fund Category Debt
Exit Load No exit load
Fund Managers Akhil Mittal

The fund is managed by Akhil Mittal.

Source data date: as of 16 Sep 2026

Performance

Period Fund return Benchmark return
1M 0.21% -4.41%
3M 1.47% -3.6%
1Y 6.5% -7.76%
3Y 7.45% 5.74%
5Y 6.73% 5.67%

The last month and the last three months were modestly positive for the fund, while the benchmark was negative over both stretches. That gap matters because it shows the scheme has been more stable than the benchmark in the near term, even though debt returns do not always move smoothly month to month.

Over 1 year, the fund’s 6.5% return stands in clear contrast to the benchmark’s -7.76%. That is a meaningful difference, and it points to a much more resilient path through the period than the benchmark line.

The longer view is more balanced. At 3 years, the fund’s 7.45% return is above the benchmark’s 5.74%, and at 5 years the gap narrows to 6.73% versus 5.67%. Our read is that the scheme has not simply ridden one short burst of performance; it has also compounded in a relatively steady way over longer periods.

The pattern in the fund’s path suggests occasional bumps, but not the kind of sharp drawdowns that are typical of more volatile categories. For investors, that makes the return profile look more consistent than spectacular, with the main strength coming from steadier compounding rather than sudden jumps.

Source data date: as of 16 Sep 2026

Should you BUY or HOLD Tata Floating Interest Rates?

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 Tata Floating Interest Rates? Thinking of investing now?

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Peer comparison

Fund 1Y return 3Y return 5Y return
Tata Floating Interest Rates Fund Direct Growth Plan 6.5% 7.45% 6.73%
Axis Floating Interest Rates Fund Direct Growth Plan 7.19% 8.26% 7.18%
Bandhan Floating Interest Rates Fund Direct Growth Plan 6.81% 7.84% 6.77%
Franklin India Floating Interest Rates Fund Direct Growth Plan 6.75% 8.03% 7.18%
ICICI Pru Floating Interest Rates Fund Direct Growth Plan 6.7% 7.75% 7.05%
SBI Floating Interest Rates Fund Direct Growth Plan 6.56% 7.44% 6.71%

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

On 1-year performance, the fund trails Axis, Bandhan, Franklin India and ICICI Pru, but it stays close enough to the group that the gap is not dramatic. The immediate picture is therefore solid rather than leading.

At 3 years, the fund remains behind Axis, Franklin India, Bandhan and ICICI Pru, though it is still ahead of SBI on the same measure. The 5-year comparison is similar: Axis and Franklin India are ahead, ICICI Pru is also above the fund, while Bandhan and SBI sit slightly below or very near it. That mix suggests the fund is not the strongest name across every horizon, but its longer-run outcome is still broadly competitive.

The short-term and long-term comparisons tell a consistent story. This is not a fund that has recently surged ahead of its peers, yet it has maintained a respectable return profile across 1, 3 and 5 years without breaking away into extremes.

Source data date: as of 16 Sep 2026

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Portfolio: where your money goes

Holding Sector Weight
SGS Andhra Pradesh 7.70% (06/12/2029) # $$ Government Securities 8.93%
** 07.59 % National Housing Bank – 08/09/2027 # Corporate Debt 8.8%
** 07.35 % Exim – 27/07/2028 # Corporate Debt 8.78%
** 07.53 % Poonawalla Fincorp Ltd – 24/09/2027 Corporate Debt 8.73%
** 06.47 % Indian Railways Finance Corporation Ltd – 30/05/2028 # Corporate Debt 8.64%
SDL Gujarat 8.35% (06/03/2029) # Government Securities 4.53%
** 08.20 % Can Fin Homes Ltd – 18/05/2027 # $$ Corporate Debt 4.41%
** 08.30 % Godrej Properties Ltd – 19/03/2027 # Corporate Debt 4.41%
** 08.23 % John Deere Financial India Pvt Ltd – 05/05/2028 # Corporate Debt 4.39%
** 08.30 % Tata Projects Ltd – 07/01/2028 # Corporate Debt 4.38%

The largest holding is SGS Andhra Pradesh 7.70% (06/12/2029) # $$ at 8.93% of the portfolio. That is a meaningful single-position weight, but it is not extreme for a debt fund built around income securities and floating-rate exposure.

The weights remain fairly close together through the top 10 list, moving from 8.93% at the top to 4.38% at the tenth holding. That tells us the portfolio is not dominated by one security alone; instead, several positions may contribute in a fairly balanced way.

The top 10 holdings account for approximately 66% of the portfolio, and the scheme discloses 20 holdings in total. Our view is that this points to moderate concentration at the visible top end, but also a long enough tail that the fund is not limited to a very small set of securities.

To see all holdings, visit the Tata Floating Interest Rates Fund Direct Growth Plan page

Source data date: as of 16 Sep 2026

Who should invest

This fund may suit investors with moderate risk tolerance who want a debt-oriented allocation rather than equity-like volatility. The Balanced Risk label and the relatively steady 1-year, 3-year and 5-year pattern point to a profile that can work better for medium- to longer-term holding periods than for very short cash management.

The main trade-off is that the return profile is steadier than an equity fund, but still tied to interest-rate and credit conditions. Compared with the benchmark and several peers, the fund has held up well without trying to chase aggressive outcomes, so it may fit investors who value consistency and are comfortable accepting moderate movement for that steadier path.

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 16 Sep 2026

Frequently asked questions

What is the current NAV of Tata Floating Interest Rates Fund Direct Growth Plan?

The current NAV is ₹13.9816 as of 16 Sep 2026.

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

The fund’s returns are 6.5% for 1 year, 7.45% for 3 years and 6.73% for 5 years.

How has the fund performed against the benchmark?

It has outperformed the benchmark over 1 year, 3 years and 5 years. The benchmark return is -7.76% for 1 year, 5.74% for 3 years and 5.67% for 5 years.

How does it compare with the peer funds listed here?

Its 1-year return is below Axis, Bandhan, Franklin India and ICICI Pru, and its 3-year and 5-year returns are also generally behind the stronger peer figures. It remains broadly competitive, though not the strongest across the listed horizons.

Is there a minimum SIP amount?

Yes, the minimum SIP amount is ₹500.

What are the fund manager, risk category and exit load details?

The fund is managed by Akhil Mittal. Its risk category is Balanced Risk, and it has no exit load.

Bottom line

Tata Floating Interest Rates Fund Direct Growth Plan shows a steadier longer-term return pattern than its benchmark, and its 1-year result also stands ahead of the benchmark by a wide margin. Against peers, the fund is generally competitive but not the strongest across the available horizons. The portfolio leans on government securities and corporate debt, with the top holdings spread relatively closely, which may support a more balanced income profile. It looks best suited to investors seeking a moderate-risk debt fund with a reasonably even compounding path.

Published on 17 September 2026 at 10:40 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.



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