HSBC Financial Services Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

HSBC Financial Services Fund Direct Growth Plan is an equity fund with a High Risk profile. Its NAV is ₹12.6053 as of 15 Sep 2026, and its scheme AUM is ₹962 Cr. The fund’s 1-year, 3-year and 5-year returns are 10.06%, 0% and 0% respectively, so our view is that the recent picture is better than the longer-run record, which remains short because the fund launched only in February 2025.

For investors, this looks suitable only if they can handle sharp swings and are comfortable with a thematic allocation that is still building its track record. It has also lagged the benchmark over the periods that can be compared directly, so the fund needs more time before long-term consistency can be judged with confidence.

Quick facts

Particular	Details
NAV	₹12.6053 as of 15 Sep 2026
AUM	₹962 Cr
Expense Ratio	0.99%
Launch Date	27 Feb 2025
Min SIP	₹500
Risk Category	High Risk
Benchmark	Nifty 50
Fund Category	Equity
Exit Load	Nil upto 10% of units and 1% for remaining units or before 1Y, Nil after 1Y
Fund Managers	Gautam Bhupal, Mayank Chaturvedi

The fund is managed by Gautam Bhupal and Mayank Chaturvedi.

Source data date: as of 15 Sep 2026

Performance

Period	Fund return	Benchmark return
1M	-2.5%	-4.81%
3M	-0.34%	-3.63%
1Y	10.06%	-8.27%
3Y	Data not available	Data not available
5Y	Data not available	Data not available

The fund has been weak in the very recent period, but the decline is much smaller than the benchmark’s fall. That tells us the strategy has held up better than the index over the last one and three months, even though the absolute returns are still negative.

The 1-year figure is the clearer positive in the table. The fund is up 10.06% while the benchmark is down 8.27%, so the fund has materially outpaced the reference index over that horizon. That said, one strong year after launch does not yet create a long record, especially for a focused equity strategy.

Because the scheme began in February 2025, 3-year and 5-year comparisons are not yet available in a meaningful way. We therefore read the pattern as a short history of recovery and resilience rather than as proof of a stable cycle. The last few months show some choppiness, but the one-year result suggests the fund has been able to convert that volatility into a positive outcome so far.

Compared with the benchmark, the main takeaway is that the fund has been ahead over the only longer window available, while also showing less weakness in the shorter windows. Our view is that the current record is encouraging, but it is still too early to judge whether the outperformance can persist through a full market cycle.

Source data date: as of 15 Sep 2026

Should you BUY or HOLD HSBC Financial Services?

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
HSBC Financial Services Fund Direct Growth Plan	10.06%	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. On available one-year data, the fund trails every peer listed here, while its short history means there is no 3-year or 5-year peer-style comparison for it yet. That creates a split picture: the fund has shown better resilience versus the benchmark, but peer return data suggest that its recent gains have been more modest than several similar equity themes. The absence of a longer record keeps the judgement cautious rather than definitive.

Source data date: as of 15 Sep 2026

Portfolio: where your money goes

Holding	Sector	Weight
ICICI Bank Limited	Bank	9.6%
HDFC Bank Limited	Bank	8.72%
Shriram Finance Limited	Finance	5.1%
Nippon Life India Asset Management Ltd	Finance	5.05%
State Bank of India	Bank	4.61%
Kotak Mahindra Bank Limited	Bank	4.34%
Axis Bank Limited	Bank	4.12%
TREPS	Cash & Cash Equivalents and Net Assets	3.5%
PB Fintech Limited	IT	3.42%
Billionbrains Garage Ventures Ltd.	Domestic Equities	3.36%

The top 10 holdings account for approximately 51.82% of the portfolio.

To see all holdings, visit the HSBC Financial Services Fund Direct Growth Plan page

The largest holding, ICICI Bank Limited, is 9.6%, which gives it the single biggest influence among the disclosed positions. The next few positions are also meaningful, but the tenth holding is only 3.36%, so the weight profile does taper down after the top names rather than staying flat.

Because the top 10 holdings make up about 51.82% of the portfolio, the fund appears moderately concentrated in its disclosed leaders. That leaves a substantial part of the scheme across the remaining 29 disclosed holdings, so the portfolio is not confined to only a handful of positions. The mix may therefore balance large financial-sector bets with a broader tail of smaller allocations.

From an investor perspective, this structure could mean that a few positions are likely to have greater influence on outcomes, especially when bank and finance names move together. At the same time, the long tail may help reduce reliance on any one holding alone. We would read this as a focused portfolio rather than an extremely narrow one.

Source data date: as of 15 Sep 2026

Who should invest

This fund suits investors with a high tolerance for volatility and a willingness to stay invested for long enough to absorb sharp swings. The risk profile is High Risk, and the recent performance history is still short, so the main fit is for someone who can tolerate uncertainty while the strategy matures.

The benchmark comparison is encouraging over one year, but the peer comparison on available one-year returns is less supportive. That means the trade-off is clear: the fund has shown resilience against the index, yet it has not matched the stronger short-term gains seen in several themed peers. Investors who prefer steadier outcome visibility may find the short history limiting, while those seeking a focused equity exposure can still consider it only with a long horizon.

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: Nil upto 10% of units and 1% for remaining units or before 1Y, Nil after 1Y.

Source data date: as of 15 Sep 2026

Frequently asked questions

What is the current NAV of HSBC Financial Services Fund Direct Growth Plan?
Its NAV is ₹12.6053 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 10.06%, while the 3-year and 5-year returns are Data not available because the scheme has a short history.

How has it performed against the benchmark?
Over 1 year, the fund has returned 10.06% versus -8.27% for Nifty 50. Over 1 month and 3 months, it has also fallen less than the benchmark.

How does it compare with peer funds on 1-year returns?
On the available one-year figures, it trails the listed peer funds, which range from 25.46% to 69.16%. The comparison is still useful, but the fund’s shorter track record should be kept in mind.

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

Who manages the fund and what is the exit load?
The fund is managed by Gautam Bhupal and Mayank Chaturvedi. Exit load is nil up to 10% of units and 1% for the remaining units if units are sold on or before 1 year, and nil after 1 year.

Bottom line

HSBC Financial Services Fund Direct Growth Plan has shown a better one-year outcome than the benchmark, but its very short history means the longer-term picture is still incomplete. The available peer comparison also suggests that its recent return has been more modest than several themed peers. With a High Risk profile and a portfolio led by financials, the fund looks suited to investors who can accept volatility, want a focused equity allocation and are comfortable waiting for a fuller track record to develop.

Published on 16 September 2026 at 12:45 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.