DSP Business Cycle Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

DSP Business Cycle Fund Direct Growth Plan has a NAV of ₹10.187 as of 15 Sep 2026 and scheme AUM of ₹1,469 Cr. Its 1-year, 3-year and 5-year returns are 1.88%, 0% and 0%, and it sits in the High Risk category. Our view is that this is a newer equity fund with a volatile near-term record, so it may suit investors who can accept marked swings and want to judge it over a longer holding period rather than only on recent numbers.

The fund’s benchmark behaviour has also been uneven, which makes the recent picture less comfortable than the headline AUM might suggest. The portfolio leans meaningfully into banks and cash-like instruments, so the fund can move quite differently from a plain market-cap style equity scheme.

Quick facts

Particular	Details
NAV	₹10.187 as of 15 Sep 2026
AUM	₹1,469 Cr
Expense Ratio	0.62%
Launch Date	17 Dec 2024
Min SIP	₹100
Risk Category	High Risk
Benchmark	Nifty 50
Fund Category	Equity
Exit Load	0.50% on or before 1M, Nil after 1M
Fund Managers	Anish Tawakley, Sandeep Yadav, Aparna Karnik

The fund is managed by Anish Tawakley, Sandeep Yadav and Aparna Karnik.

Source data date: as of 15 Sep 2026

Performance

Period	Fund return	Benchmark return
1M	-5.02%	-4.81%
3M	-3.42%	-3.63%
1Y	1.88%	-8.27%
3Y	Data not available	Data not available
5Y	Data not available	Data not available

The fund’s short-term pattern has been choppy. Over 1 month, it declined more than the benchmark, but over 3 months it held up slightly better. That tells us the recent path has been uneven rather than steady, with small gains and pullbacks appearing in quick succession.

The 1-year number looks better in relative terms because the fund is positive while the benchmark is negative. Even so, the absolute 1.88% return is modest for an equity fund, which means the recent improvement has not yet translated into a strong compounding profile.

Because the scheme was launched in December 2024, there is no true 3-year or 5-year history to judge. In our view, that makes the short record more important than usual, and it also means investors should be careful not to read too much into one positive year.

The recent series suggests the fund can recover after weak patches, but the pace of that recovery has been limited. For now, the evidence points to a fund that has preserved some relative resilience versus the benchmark over 1 year, while still showing enough short-term volatility to require patience.

Source data date: as of 15 Sep 2026

Should you BUY or HOLD DSP Business Cycle?

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
DSP Business Cycle Fund Direct Growth Plan	1.88%	Data not available	Data not available
ICICI Pru Strategic Metal and Energy Equity FoF Direct Growth Plan	69.16%	37.12%	Data not available
HDFC Pharma and Healthcare Fund Direct Growth Plan	27.47%	Data not available	Data not available
SBI Automotive Opportunities Fund Direct Growth Plan	27.05%	Data not available	Data not available
Kotak Healthcare Fund Direct Growth Plan	26.51%	Data not available	Data not available
Motilal Oswal Active Momentum Fund Direct Growth Plan	25.46%	Data not available	Data not available

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

The fund’s 1-year return trails the strongest peer figures by a wide margin, even though it is still ahead of the benchmark over the same period. That combination matters: the scheme has beaten the broad market benchmark over 1 year, but it has not matched the more aggressive returns seen in several specialist peers.

For longer periods, meaningful comparison is limited because the fund has not been in existence long enough to show 3-year or 5-year results. Among the peers shown, one fund does have a strong 3-year figure, but most of the others also only show 1-year data. So the short-term comparison is much more informative here than any long-horizon comparison.

Our reading is that the current fund looks relatively restrained against faster-moving thematic peers, while still showing enough benchmark resilience to remain relevant for investors who prefer a more measured equity exposure.

Source data date: as of 15 Sep 2026

Portfolio: where your money goes

Holding	Sector	Weight
TREPS / Reverse Repo Investments	Cash & Cash Equivalents and Net Assets	15.24%
Nifty Sep26	Derivatives-Futures	9.92%
ICICI Bank Limited	Bank	9.44%
HDFC Bank Limited	Bank	8.49%
Axis Bank Limited	Bank	5.77%
Bharti Airtel Limited	Telecom	4.60%
Larsen & Toubro Limited	Infrastructure	4.20%
Mahindra & Mahindra Limited	Automobile & Ancillaries	3.36%
Reliance Industries Limited	Crude Oil	3.36%
NTPC Limited	Power	2.76%

The top 10 holdings account for approximately 67.14% of the portfolio.

To see all holdings, visit the DSP Business Cycle Fund Direct Growth Plan page

The largest holding, TREPS / Reverse Repo Investments, is 15.24%, which is large enough to matter but still leaves room for several equity positions to shape the fund. That mix can make the portfolio feel more defensive than a fully invested equity basket at times, especially with cash-like and futures exposures appearing near the top.

Weight then falls away gradually rather than collapsing after the first few positions. The top three disclosed positions together are already sizeable, and the tenth holding is still 2.76%, so the fund is not relying on just one or two names to drive the outcome.

At the same time, 67.14% across the top 10 holdings out of 39 disclosed holdings suggests a meaningful core at the top and a long tail beneath it. In our view, that may leave the fund with a fairly active, selective profile rather than a broadly diversified index-like spread.

Source data date: as of 15 Sep 2026

Who should invest

This fund is better suited to investors who are comfortable with High Risk equity exposure and can stay invested through uneven periods. The current record is short, the 1-year return is only modest, and the 1-month and 3-month behaviour has been unstable, so a short holding period would not fit the way it has behaved so far.

It may appeal more to investors who want an actively managed equity scheme with a selective portfolio and who are willing to accept that the outcome may differ meaningfully from the benchmark in the near term. The main trade-off is between the possibility of a differentiated equity outcome and the uncertainty that comes with a limited track record and a portfolio that can move sharply.

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: 0.50% if units are sold within 1 month; nil after 1 month.

Source data date: as of 15 Sep 2026

Frequently asked questions

What is the current NAV of DSP Business Cycle Fund Direct Growth Plan?

The current NAV is ₹10.187 as of 15 Sep 2026.

How has the fund performed over 1 year, 3 years and 5 years?

Its 1-year return is 1.88%, while 3-year and 5-year returns are not available because the scheme is still too new for those periods.

How does it compare with the benchmark?

Over 1 year, the fund has done better than the Nifty 50 benchmark, which is at -8.27%. In the shorter 1-month and 3-month windows, the comparison is mixed and much less decisive.

How does it compare with the peer funds shown?

Its 1-year return is much lower than the strongest peer figures shown, but it is still ahead of the benchmark over the same period. The peer set also includes funds with longer track records that are not available for this scheme yet.

What is the minimum SIP amount?

The minimum SIP amount is ₹100.

What is the risk profile, portfolio style and exit load?

The fund is classified as High Risk. Its top holdings include a sizeable cash-like allocation, a futures position and several large banks, and the exit load is 0.50% if units are sold within 1 month, with no exit load after that.

Bottom line

This fund’s recent record is mixed: it has outpaced the benchmark over 1 year, but the shorter 1-month and 3-month periods have been uneven and the fund does not yet have a long history. Against the peer set shown, the 1-year return is modest, while longer-term comparisons are mostly not available for now. The High Risk label, the meaningful cash-and-futures presence near the top of the portfolio, and the concentrated top holdings suggest an actively managed equity scheme that may suit patient investors who can tolerate variability.

Published on 16 September 2026 at 8:37 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.