HDFC Nifty India Digital Index Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

HDFC Nifty India Digital Index Fund Direct Growth Plan currently has a NAV of ₹8.632 as of 15 Sep 2026 and an AUM of ₹157 Cr. Its 1-year, 3-year and 5-year returns are -5.51%, 0% and 0%, and the scheme sits in the High Risk bucket.

Our view is that this fund is better suited to investors who want focused exposure to India’s digital theme and can accept sharp swings. The portfolio is concentrated in a small set of names, with technology and digital-platform businesses taking the lead, so short-term moves can differ meaningfully from the broader market.

Quick facts

Particular	Details
NAV	₹8.632 as of 15 Sep 2026
AUM	₹157 Cr
Expense Ratio	0.4%
Launch Date	11 Dec 2024
Min SIP	₹100
Risk Category	High Risk
Benchmark	Nifty 50
Fund Category	Index Funds
Exit Load	No exit load
Fund Managers	Arun Agarwal, Nandita Menezes

The fund is managed by Arun Agarwal and Nandita Menezes.

Source data date: as of 15 Sep 2026

Performance

Period	Fund return	Benchmark return
1M	-2.24%	-4.81%
3M	9.03%	-3.63%
1Y	-5.51%	-8.27%
3Y	Data not available	Data not available
5Y	Data not available	Data not available

The recent path has been uneven, but the fund’s 3-month return stands out as a clear rebound after a weaker patch. That is important because the 1-month figure is still negative, so the recovery has not been smooth or linear.

Over the 1-year period, the fund remains negative, yet it has done better than the benchmark over the same stretch. That tells us the strategy has not escaped volatility, but it has held up better than the comparison index over a full year.

The time pattern is more mixed than a simple one-way move. The shorter window shows recovery, while the year-long view still reflects earlier pressure, which is typical of a concentrated theme fund that can move sharply when sentiment changes.

Because 3-year and 5-year figures are not available yet, we do not see a long compounding record here. For now, the most useful read is that the fund has beaten the benchmark in recent windows, but the longer holding-period story is still unproven.

Source data date: as of 15 Sep 2026

Should you BUY or HOLD HDFC Nifty India Digital 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
HDFC Nifty India Digital Index Fund Direct Growth Plan	-5.51%	0%	0%
ICICI Pru NASDAQ 100 Index Fund Direct Growth Plan	32.61%	29.92%	Data not available
Motilal Oswal Nifty India Defence Index Fund Direct Growth Plan	26.23%	Data not available	Data not available
Aditya Birla SL Nifty India Defence Index Fund Direct Growth Plan	26.22%	Data not available	Data not available
Motilal Oswal Nifty Capital Market Index Fund Direct Growth Plan	26.18%	Data not available	Data not available
Tata Nifty Capital Markets Index Fund Direct Growth Plan	25.91%	Data not available	Data not available

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

The comparison data suggests this fund has lagged the stronger short-term returns posted by several theme-focused peers, especially over 1 year. Its own 3-month bounce is encouraging, but the 1-year figure is still negative while the peers shown are firmly positive.

That said, the longer-window picture is not yet settled for most peers in this set, and this fund also lacks a longer live record. So the short-term comparison points one way, but the absence of a deeper history means the broader story is still developing.

Source data date: as of 15 Sep 2026

Portfolio: where your money goes

Holding	Sector	Weight
Eternal Limited	Retailing	8.45%
HCL Technologies Ltd.	IT	7.78%
Tata Consultancy Services Ltd.	IT	7.51%
Infosys Limited	IT	7.08%
Bharti Airtel Ltd.	Telecom	6.37%
One 97 Communications Limited	IT	5.92%
Tech Mahindra Ltd.	IT	5.48%
PB Fintech Limited	IT	5.31%
Info Edge (India) Limited	IT	4.12%
FSN Ecommerce Ventures Limited (Nykaa)	Retailing	3.92%

The top 10 holdings account for approximately 61.94% of the portfolio.

To see all holdings, visit the HDFC Nifty India Digital Index Fund Direct Growth Plan page

The largest holding, Eternal Limited, carries an 8.45% weight, so it could have a noticeable influence on day-to-day movement. The next few positions are also fairly large, which means the fund does not rely on a single name alone, but the top slice still matters meaningfully.

Weights ease down from 8.45% at the top to 3.92% by the tenth holding. That is not an abrupt collapse, but it does show that the portfolio is tilted toward a handful of core positions rather than spread evenly across all 32 disclosed holdings.

With the top 10 making up 61.94% of the portfolio, the tail beyond those names may be important, but less influential individually. In our view, that structure supports a clear theme focus, while also leaving the fund somewhat exposed if a few major digital and technology names move sharply.

Source data date: as of 15 Sep 2026

Who should invest

This fund fits investors who are comfortable with High Risk exposure and want a theme-led equity allocation rather than a broad market core holding. The recent 3-month rebound shows the strategy can recover quickly, but the 1-year return is still negative, so patience is important.

A longer investment horizon makes more sense here because the live record is short and the holding mix is concentrated in digital, IT and telecom names. The main trade-off is accepting sharper swings and uneven short-term results in exchange for participation in a specialised growth theme.

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 15 Sep 2026

Frequently asked questions

What is the current NAV of HDFC Nifty India Digital Index Fund Direct Growth Plan?

The current NAV is ₹8.632 as of 15 Sep 2026.

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

The fund’s 1-year return is -5.51%, while the 3-year and 5-year returns are 0% in the available record. The short-term picture is weaker than the benchmark over 1 year, but the 3-month return has improved sharply.

How has the fund performed against its benchmark?

It has done better than the benchmark over 1 month, 3 months and 1 year. The gap is most visible over 3 months, where the fund is positive while the benchmark is negative.

How does it compare with the peer funds shown here?

The fund’s 1-year return is lower than the peer funds listed here, which have stronger positive 1-year numbers. The longer-horizon comparison is less complete because several peer funds do not yet have 3-year or 5-year figures available.

What is the minimum SIP amount?

The minimum SIP amount is ₹100.

Who manages the fund and what is the exit load?

The fund is managed by Arun Agarwal and Nandita Menezes. There is no exit load.

Bottom line

The fund’s recent rebound is better than its 1-year record, but the longer view is still limited because the scheme is young. It has also lagged the stronger 1-year returns shown by the peer funds in this review, even though it has held up better than the benchmark in the recent windows. The portfolio is concentrated in a narrow set of digital and technology-led names, which can lift upside but also amplify swings. That makes it a better fit for investors who understand theme risk and can stay invested through uneven periods.

Published on 16 September 2026 at 8:19 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.