Aditya Birla SL Nifty India Defence Index Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

Aditya Birla SL Nifty India Defence Index Fund Direct Growth Plan has a NAV of ₹13.9623 as of 28 Aug 2026 and an AUM of ₹1,283 Cr. Its 1-year, 3-year and 5-year returns are 31.8928%, Data not available and Data not available, and the scheme carries a High Risk profile. Our view is that the fund has delivered strong recent traction, but the portfolio is still tied closely to a defence and industrial theme, so investors need to be comfortable with sharp swings.

For investors who want a focused thematic allocation and can tolerate high volatility, the fund’s recent return profile and sector mix will be the main points to weigh. The benchmark has moved differently over the same periods, so the comparison is more about theme-driven behaviour than broad-market stability.

Quick facts

Metric	Value
NAV	₹13.9623
AUM	₹1,283 Cr
Expense Ratio	0.31%
Launch Date	30 Aug 2024
Min SIP	₹500
Risk Category	High Risk
Benchmark	Nifty 50
Fund Category	Index Funds
Exit Load	0.05% on or before 30D, Nil after 30D
Fund Managers	Mehul Dama, Priya Sridhar

The fund is managed by Mehul Dama and Priya Sridhar.

Source data date: as of 28 Aug 2026

Performance

Period	Fund return	Benchmark return
1M	4.57%	-0.85%
3M	9.36%	3.39%
1Y	31.89%	-2.29%
3Y	Data not available	Data not available
5Y	Data not available	Data not available

The short-term pattern is clearly positive. The fund has stayed ahead of the benchmark over 1 month, 3 months and 1 year, which tells us the theme has continued to find buyers even when the broader benchmark has been flat or negative in places.

The 1-year return is the most important headline number here because the fund has less than two years of history. A 31.89% return versus -2.29% for the benchmark shows that the strategy has done far better than the broader index over that stretch, although the gap also reflects how differently a defence-focused fund can behave from a market benchmark like Nifty 50.

At the same time, the path has not been one-way. The monthly and quarterly movement shows pauses and pullbacks along the way, so the return profile is still more choppy than smooth. That is consistent with a concentrated thematic fund: upside can be strong when the segment is in favour, but the same structure can also amplify reversals.

We would read the recent figures as a sign of momentum rather than maturity. Because the fund was launched only in August 2024, the lack of 3-year and 5-year history limits any judgement about how it behaves across a full cycle.

Source data date: as of 28 Aug 2026

Should you BUY or HOLD Aditya Birla SL Nifty India Defence Index?

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.

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Peer comparison

Fund	1Y return	3Y return	5Y return
ICICI Pru NASDAQ 100 Index Fund Direct Growth Plan	35.235%	31.2535%	Data not available
Motilal Oswal Nifty Capital Market Index Fund Direct Growth Plan	32.3519%	Data not available	Data not available
Tata Nifty Capital Markets Index Fund Direct Growth Plan	32.0816%	Data not available	Data not available
Motilal Oswal Nifty India Defence Index Fund Direct Growth Plan	31.9037%	Data not available	Data not available
Aditya Birla SL Nifty India Defence Index Fund Direct Growth Plan	31.8928%	Data not available	Data not available

This assessment is prepared by Uniapps Investment Adviser Pvt. Ltd. under SEBI Registered Investment Adviser registration INA000017639. On 1-year returns, the fund is broadly in line with the other defence index fund shown and only slightly behind the nearby capital-markets indices. That suggests the recent outcome has been competitive, but not meaningfully distinct from the rest of the themed group.

For longer horizons, the picture is limited because 3-year and 5-year figures are not available for the fund, while only one peer in this set has a usable 3-year figure. That means the available comparison leans heavily toward recent performance, and the short-term story is more informative here than any long-term peer pattern.

Source data date: as of 28 Aug 2026

Portfolio: where your money goes

Market cap segment	Weight
Large cap	56.82%
Mid cap	21.24%
Small cap	21.93%
Other	0%

Sector	Weight	Top holdings
CAPITAL GOODS	60.39%	BHARAT ELECTRONICS LIMITED (17.82%), HINDUSTAN AERONAUTICS LIMITED (17.47%)
AUTOMOBILE & ANCILLARIES	14.56%	BHARAT FORGE LIMITED (13.04%)
SHIP BUILDING	12.61%	MAZAGON DOCK SHIPBUILDERS LIMITED (5.54%), COCHIN SHIPYARD LIMITED (3.89%)
CHEMICALS	11.36%	SOLAR INDUSTRIES INDIA LIMITED (10.2%)
IRON & STEEL	0.57%	MISHRA DHATU NIGAM LIMITED (0.52%)

The market-cap mix is reasonably balanced for a thematic fund, but it is still tilted toward larger companies. Large caps account for 56.82%, while mid caps and small caps together make up 43.17%, so the portfolio is not restricted to only one size bucket.

The sector picture is far more concentrated. Capital Goods alone is 60.39%, which is materially higher than the next sector weights, and that means the fund’s behaviour may be driven most by defence and industrial names inside that segment. Automobiles and ancillaries, ship building and chemicals are meaningful secondary exposures, but none comes close to the capital-goods weight.

In our view, Bharat Electronics and Hindustan Aeronautics are the clearest individual anchors because they are the two largest holdings listed, and together they sit within the dominant sector bucket. That concentration could support strong upside when the theme is in favour, but it may also make the portfolio more sensitive to any reversal in sentiment around defence-linked industrial stocks.

Source data date: as of 28 Aug 2026

Who should invest

This fund suits investors who are comfortable with High Risk and who want a thematic allocation rather than a core diversified equity holding. The current return profile is strong over 1 year, but the absence of longer history means the fund has not yet shown how it behaves across different market cycles.

The benchmark comparison also suggests that returns can diverge sharply from a broad-market index, which is a feature some investors will want and others will avoid. A medium- to long-term horizon is more appropriate, because a defence theme can move in bursts and the portfolio is concentrated enough that short holding periods may not give the strategy enough time to play out.

The main trade-off is clear: you get exposure to a focused segment with strong recent momentum, but you accept concentration in one dominant sector and the possibility of wider swings than a diversified equity 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: 0.05% on or before 30D, Nil after 30D.

Source data date: as of 28 Aug 2026

Frequently asked questions

What is the current NAV of Aditya Birla SL Nifty India Defence Index Fund Direct Growth Plan?

The current NAV is ₹13.9623 as of 28 Aug 2026.

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

The 1-year return is 31.8928%, while the 3-year and 5-year returns are Data not available.

How has the fund performed versus Nifty 50?

It has outperformed Nifty 50 over 1 month, 3 months and 1 year. The fund’s 1-year return is 31.89% compared with -2.29% for the benchmark.

How much can I start with through SIP?

The minimum SIP amount is ₹500.

What is the risk level of this fund?

The fund is categorised as High Risk. It also has a defence-themed portfolio with a heavy weight in Capital Goods, so investors need comfort with concentrated sector exposure.

Who manages the fund and what is the exit load?

The fund is managed by Mehul Dama and Priya Sridhar. The exit load is 0.05% on or before 30D, and nil after 30D.

Bottom line

This fund’s recent return profile is strong, but it is still too early to read it as a full-cycle track record. Compared with the peer set shown, the 1-year figure is competitive, while the longer-term view remains limited by the fund’s short history. The portfolio is clearly concentrated in Capital Goods, which may drive performance when the defence theme is strong. That makes the fund more suitable for investors who can accept higher volatility and want a focused thematic exposure rather than broad equity stability.

Published on 31 August 2026 at 5:00 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.