Franklin India NSE Nifty 50 Index Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

Franklin India NSE Nifty 50 Index Fund Direct Growth Plan had a NAV of ₹200.5626 as of 09 Sep 2026 and manages ₹732 Cr. Its 1-year, 3-year and 5-year returns are -4.93%, 6.71% and 7.12%, and it sits in the High Risk bucket.

Our view is that this is a plain index strategy for investors who want Nifty 50 exposure through a low-cost direct plan and can stay patient through short-term swings. The portfolio is concentrated in large, well-known names, so the fund is tied closely to the direction of the benchmark rather than to manager calls.

Quick facts

Particular	Details
NAV	₹200.5626 as of 09 Sep 2026
AUM	₹732 Cr
Expense Ratio	0.25%
Launch Date	01 Jan 2013
Min SIP	₹500
Risk Category	High Risk
Benchmark	Nifty 50
Fund Category	Index Funds
Exit Load	No exit load
Fund Managers	Shyam Sundar Sriram

The fund is managed by Shyam Sundar Sriram.

Source data date: as of 09 Sep 2026

Performance

Period	Fund return	Benchmark return
1M	-4.66%	-4.69%
3M	1.45%	0.93%
1Y	-4.93%	-7.16%
3Y	6.71%	6%
5Y	7.12%	5.87%

The recent pattern is mixed but not unusual for a broad-market index fund. Over 1 month, the fund and the benchmark were both weak, but the fund held up marginally better. The 3-month figure improved into positive territory, which suggests a modest rebound after a softer patch.

The longer view is more important here. The fund’s 3-year and 5-year returns remain ahead of the benchmark, which tells us that the index tracking has not merely worked over a brief window; it has also compounded more steadily than the benchmark over these horizons. That is consistent with a fund whose role is to mirror the market closely rather than to take active calls.

The 1-year number is still negative, but it is less weak than the benchmark. For investors, that means the fund has recently participated in the same broad-market volatility, yet its longer-term trend remains stronger than the benchmark on the same time frame. The result is a profile that looks steady over full cycles even when shorter periods remain choppy.

Source data date: as of 09 Sep 2026

Should you BUY or HOLD Franklin India NSE Nifty 50 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
Franklin India NSE Nifty 50 Index Fund Direct Growth Plan	-4.93%	6.71%	7.12%
ICICI Pru NASDAQ 100 Index Fund Direct Growth Plan	33.02%	30.03%	Data not available
Aditya Birla SL Nifty India Defence Index Fund Direct Growth Plan	32.69%	Data not available	Data not available
Motilal Oswal Nifty India Defence Index Fund Direct Growth Plan	31.48%	Data not available	Data not available
Tata Nifty Capital Markets Index Fund Direct Growth Plan	25.59%	Data not available	Data not available
Motilal Oswal Nifty Capital Market Index Fund Direct Growth Plan	24.6%	Data not available	Data not available

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

The current fund trails the strongest 1-year peer figures by a wide margin, which mainly reflects the very different themes those peers track. Its 3-year and 5-year returns are stronger than the benchmark embedded in this fund’s own structure, and that matters more for a passive Nifty 50 product than a short burst of one-year performance. The peer set also tells a split story: the current fund looks modest on the recent 1-year lens, but its longer-term numbers remain consistent with a broad-market index strategy that has stayed disciplined through different market phases.

Source data date: as of 09 Sep 2026

Portfolio: where your money goes

Holding	Sector	Weight
HDFC Bank Ltd	Bank	10.21%
ICICI Bank Ltd	Bank	9.16%
Reliance Industries Ltd	Crude Oil	7.87%
Bharti Airtel Ltd	Telecom	5.34%
Larsen & Toubro Ltd	Infrastructure	4.11%
State Bank of India	Bank	3.78%
Infosys Ltd	IT	3.53%
Axis Bank Ltd	Bank	3.15%
Bajaj Finance Ltd	Finance	2.72%
Mahindra & Mahindra Ltd	Automobile & Ancillaries	2.7%

The top 10 holdings account for approximately 52.57% of the portfolio.

To see all holdings, visit the Franklin India NSE Nifty 50 Index Fund Direct Growth Plan page

HDFC Bank Ltd is the largest holding at 10.21%, so it is likely to have the greatest influence among the listed positions. The next few holdings are still meaningful, but the weights step down fairly quickly from the top two into the mid-single-digit names. That pattern suggests a portfolio that is broad, yet still anchored by a handful of very large companies.

Because the top 10 holdings together make up about 52.57% of the portfolio, the listed positions are clearly significant but not overwhelming on their own. With 50 holdings disclosed in total, the fund appears to spread exposure beyond the leaders rather than rely on just a small cluster of stocks. Even so, the biggest names could still move the fund more than the smaller positions when those large-cap stocks are volatile.

Source data date: as of 09 Sep 2026

Who should invest

This fund fits investors who are comfortable with High Risk equity exposure and want simple Nifty 50 participation through a direct growth plan. The 3-year and 5-year numbers show that the longer holding period has been more rewarding than the recent 1-year stretch, so the fund is better suited to investors with a multi-year horizon rather than a short-term need.

The main trade-off is straightforward: you get broad large-cap market exposure at a low expense ratio, but you must accept market swings and periods where the 1-year number can turn negative. The portfolio is built around large, established companies, which can make the fund easier to understand, but it also means returns will largely follow the benchmark’s market cycle rather than a unique active view.

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 Franklin India NSE Nifty 50 Index Fund Direct Growth Plan?
The current NAV is ₹200.5626 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 -4.93%, 6.71% and 7.12%.

How has the fund performed versus the benchmark?
It has done better than the benchmark over 3 years and 5 years, and it has also been less weak over 1 year. Over 1 month and 3 months, the gap is small and reflects normal tracking behaviour.

How does it compare with the peer funds listed here?
Its 1-year return is much lower than the themed peer funds shown here, but its 3-year and 5-year numbers are more relevant for a Nifty 50 index strategy. Those peer funds also have many missing longer-term figures, so the comparison is most useful on the 1-year view.

What is the minimum SIP amount?
The minimum SIP amount is ₹500.

Who manages the fund, and what is the exit load?
Shyam Sundar Sriram manages the fund. The exit load is nil, so no exit load applies when units are sold.

Bottom line

Franklin India NSE Nifty 50 Index Fund Direct Growth Plan has looked softer over the recent 1-year period, but its 3-year and 5-year returns remain ahead of the benchmark tracked by the scheme. That makes the fund more interesting for long-term large-cap exposure than for near-term performance chasing. The High Risk tag reflects normal equity volatility, while the portfolio stays anchored in large, familiar companies. For investors who want a simple Nifty 50 index allocation and can hold through cycles, the longer-term pattern is the more relevant one.

Published on 10 September 2026 at 1:04 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.