HDFC Long Term Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

HDFC Long Term Fund Direct Growth Plan is a debt fund with a current NAV of ₹12.5081 as of 17 Sep 2026 and scheme AUM of ₹2,695 Cr. Its 1-year, 3-year and 5-year returns are 1.91%, 5.64% and 0%, and it carries a Medium Risk label.

Our view is that this is better suited to conservative investors who want relatively steady debt exposure and are comfortable with modest return outcomes rather than high growth. The portfolio is dominated by government securities, so the fund’s behaviour should be judged more on stability and interest-rate sensitivity than on equity-style upside.

Quick facts

Particular	Details
NAV	₹12.5081 as of 17 Sep 2026
AUM	₹2,695 Cr
Expense Ratio	0.3%
Launch Date	20 Jan 2023
Min SIP	₹100
Risk Category	Medium Risk
Benchmark	Nifty 50
Fund Category	Debt
Exit Load	No exit load
Fund Managers	Anupam Joshi

The fund is managed by Anupam Joshi.

Source data date: as of 17 Sep 2026

Performance

Period	Fund return	Benchmark return
1M	-1.61%	-3.66%
3M	0.3%	-3.71%
1Y	1.91%	-7.13%
3Y	5.64%	5.82%
5Y	Data not available	Data not available

The recent picture is mixed but not weak. The fund fell over the past month, yet that decline was smaller than the benchmark’s fall, and the 3-month return was positive while the benchmark remained negative. That tells us the portfolio has been holding up better than the benchmark in the near term, even though it has not delivered strong absolute gains.

The 1-year return of 1.91% is modest, but it still compares favourably with the benchmark’s -7.13% over the same period. This gap matters because it suggests the fund has preserved value better than the benchmark during a difficult stretch. For debt-oriented investors, that kind of relative resilience can matter more than headline upside.

Over 3 years, the fund’s 5.64% return is close to the benchmark’s 5.82%. Our interpretation is that the fund has broadly matched the benchmark over a longer stretch, but without showing a clear excess return. The longer-term pattern therefore looks more like steady participation than standout outperformance.

Source data date: as of 17 Sep 2026

Should you BUY or HOLD HDFC Long 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.

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Peer comparison

Fund	1Y return	3Y return	5Y return
HDFC Long Term Fund Direct Growth Plan	1.91%	5.64%	Data not available
Franklin India Long Term Fund Direct Growth Plan	4.06%	Data not available	Data not available
Bandhan Long Term Fund Direct Growth Plan	3.86%	Data not available	Data not available
Aditya Birla SL Long Term Fund Direct Growth Plan	3.18%	6.5%	Data not available
ICICI Pru Long Term Fund Direct Growth Plan	2.5%	6.38%	5.25%
SBI Long Term Fund Direct Growth Plan	2.43%	6.04%	Data not available

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

On recent numbers, the fund trails the stronger peer one-year figures shown by Franklin India Long Term Fund Direct Growth Plan and Bandhan Long Term Fund Direct Growth Plan. Its 1.91% is also below the 2.43% to 3.18% range seen in several peers with available one-year returns, so the near-term picture is not especially competitive.

The longer-term picture is more balanced. At 3 years, the fund’s 5.64% is below Aditya Birla SL Long Term Fund Direct Growth Plan, ICICI Pru Long Term Fund Direct Growth Plan and SBI Long Term Fund Direct Growth Plan, but the gap is not extreme. That means the fund has not built a clear lead over peers on the longer horizon, while the short-term comparison is more clearly softer.

Source data date: as of 17 Sep 2026

Portfolio: where your money goes

Holding	Sector	Weight
7.3% GOI Mat 190653	Government Securities	30.01%
7.09% GOI Mat 050854	Government Securities	19.8%
7.36% GOI Mat 120952	Government Securities	18.03%
6.9% GOI Mat 150465	Government Securities	8.17%
7.34% GOI Mat 220464	Government Securities	7.73%
6.99% GOI Mat 151251	Government Securities	6.28%
6.62% GOI Mat 281151	Government Securities	2.66%
Net Current Assets	Cash & Cash Equivalents and Net Assets	1.97%
7.24% GOI Mat 180855	Government Securities	1.79%
7.16% GOI Mat 200950	Government Securities	1.78%

The largest holding alone accounts for 30.01%, which is a meaningful single-position weight for a debt fund. That position is likely to have greater influence on returns and mark-to-market movement than the smaller holdings beneath it.

Weight then falls fairly sharply from the first holding to the tenth, from 30.01% down to 1.78%. The gap between the top few securities and the smaller positions suggests a portfolio built around a core set of government securities rather than a broad, evenly spread basket.

The top 10 holdings account for approximately 98.22% of the portfolio, and the fund discloses 12 holdings in total. That indicates a highly concentrated structure with only a small tail beyond the displayed positions, so portfolio behaviour is likely to be driven mainly by the largest government securities.

To see all holdings, visit the HDFC Long Term Fund Direct Growth Plan page

Source data date: as of 17 Sep 2026

Who should invest

This fund may suit investors who are comfortable with Medium Risk and want a debt fund with government-security-heavy exposure. The return pattern suggests stability rather than strong growth: the fund has held up better than the benchmark over the last year, while the 3-year result is broadly in line with the benchmark.

Our view is that the fund fits a medium-to-long horizon better than a short trading mindset, because debt funds can still move with interest-rate changes. The main trade-off is that the portfolio may offer steadier behaviour than many equity-oriented options, but the return profile has also been modest, so investors need to accept limited upside in exchange for that structure.

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

No exit load.

Source data date: as of 17 Sep 2026

Frequently asked questions

What is the current NAV of HDFC Long Term Fund Direct Growth Plan?

The current NAV is ₹12.5081 as of 17 Sep 2026. It was up by 0.32% on the latest move available in the fund’s record.

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

The 1-year return is 1.91% and the 3-year return is 5.64%. The 5-year return is not available.

How has the fund performed versus its benchmark?

The fund has done better than the benchmark over 1 year and 3 months, while the 3-year return is slightly below the benchmark. That points to better short-term resilience but only a small difference over the longer measured stretch.

How does it compare with peer funds on available return data?

Its 1-year return is below several peer funds with available one-year figures, and its 3-year return is also behind some peers that report that period. The comparison suggests a softer return profile than the stronger peer numbers available here.

What is the minimum SIP amount?

The minimum SIP amount is ₹100.

What is the risk label, portfolio mix and exit load?

The fund is tagged Medium Risk. Its portfolio is heavily tilted to government securities, and there is no exit load.

Bottom line

This fund’s recent behaviour is better than its benchmark in the short run, while the 3-year result is only slightly lower than the benchmark. Compared with available peer return figures, its recent performance looks softer, especially on the 1-year measure. The portfolio is heavily concentrated in government securities, which supports a more measured debt profile. For investors who want a conservative-leaning debt allocation and can live with modest returns, it may be a fit.

Published on 18 September 2026 at 10:18 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.