Mahindra Manulife Dynamic Term Fund- Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

Mahindra Manulife Dynamic Term Fund- Direct Growth Plan had an NAV of ₹16.3158 as of 15 Sep 2026 and an AUM of ₹49 Cr. Its 1-year, 3-year and 5-year returns are 5.34%, 7.53% and 5.96%, and it sits in the Medium Risk bucket. In our view, the fund suits investors who are comfortable with moderate debt-fund fluctuations and want a portfolio that has stayed positive over longer periods rather than chasing sharp short-term moves.

The fund’s recent return profile is softer than its 3-year track, while its 5-year outcome remains measured. The portfolio leans heavily on government securities and cash-like exposure, which may help limit credit stress but also keeps the return profile relatively steady rather than aggressive.

Quick facts

Particular	Details
NAV	₹16.3158 as of 15 Sep 2026
AUM	₹49 Cr
Expense Ratio	0.39%
Launch Date	20 Aug 2018
Min SIP	₹500
Risk Category	Medium Risk
Benchmark	Nifty 50
Fund Category	Debt
Exit Load	No exit load
Fund Managers	Rahul Pal, Kush Sonigara

The fund is managed by Rahul Pal and Kush Sonigara.

Source data date: as of 15 Sep 2026

Performance

Period	Fund return	Benchmark return
1M	-1.08%	-4.81%
3M	0.91%	-3.63%
1Y	5.34%	-8.27%
3Y	7.53%	5.59%
5Y	5.96%	5.58%

The recent pattern is mixed, but the fund has still held up better than the benchmark over every period shown. The 1-month return was negative, yet it was materially less weak than the benchmark, and the 3-month figure returned to positive territory while the benchmark remained negative. That tells us the fund has been more resilient in the short run, even if it is not moving in a straight line.

Over 1 year, the fund’s 5.34% return stands well ahead of the benchmark’s -8.27%. That gap is meaningful because it shows the fund preserved value far better than the index during a difficult stretch. At the same time, the 3-year return of 7.53% is ahead of the benchmark’s 5.59%, so the longer arc also remains constructive.

The 5-year return of 5.96% is only slightly above the benchmark’s 5.58%, which suggests the fund’s long-run edge is modest rather than large. Our view is that this is a fund with steadier relative behaviour than the benchmark, but not one that has produced dramatic compounding. The recent softness versus the 3-year result suggests some short-term ebb after a stronger medium-term phase.

Source data date: as of 15 Sep 2026

Should you BUY or HOLD Mahindra Manulife Dynamic Term Fund-?

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
Mahindra Manulife Dynamic Term Fund- Direct Growth Plan	5.34%	7.53%	5.96%
Bandhan Dynamic Term Fund Direct Growth Plan	7.32%	7.72%	6.13%
Kotak Dynamic Term Fund Direct Growth Plan	6.88%	7.91%	6.62%
Axis Dynamic Term Fund Direct Growth Plan	6.52%	7.48%	6.24%
360 ONE Dynamic Term Fund Direct Growth Plan	6.25%	8.18%	6.86%
ICICI Pru Dynamic Term Fund Direct Growth Plan	5.89%	7.77%	7.04%

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

The current fund’s 1-year return is below all five peer figures shown, with ICICI Pru Dynamic Term Fund Direct Growth Plan nearest at 5.89% and Bandhan Dynamic Term Fund Direct Growth Plan at 7.32% at the higher end of the set. Its 3-year return of 7.53% is also lower than Kotak, 360 ONE and ICICI Pru, though it remains close to Axis and Bandhan. The 5-year figure is the main weaker spot relative to the peers, because several funds in the set are above 6% and 360 ONE and ICICI Pru are clearly stronger on that horizon. The short-term and long-term picture therefore both lean modestly behind the peer set, even if the gap is not extreme across every period.

Source data date: as of 15 Sep 2026

Portfolio: where your money goes

Holding	Sector	Weight
7.71% Government of India 2066	Government Securities	25.65%
Reverse Repo	Cash & Cash Equivalents and Net Assets	15.09%
7.25% State Government Securities 2037	Government Securities	9.87%
7.24% Government of India 2055	Government Securities	9.79%
7.01% National Bank for Agriculture and Rural Development 2029 **	Corporate Debt	8.01%
9.61% 360 One Prime Limited 2027 **	Corporate Debt	5.1%
8.02% Cholamandalam Investment and Finance Company Ltd 2029 (FRN) **	Floating Rate Instruments	5.07%
7.29% National Housing Bank 2031 **	Corporate Debt	5.05%
8.42% Muthoot Finance Limited 2029 (FRN) **	Floating Rate Instruments	5.05%
9.30% TVS Credit Services Limited 2029 **	Corporate Debt	4.14%

The largest holding is 7.71% Government of India 2066 at 25.65%, so one line item has a very large influence on the portfolio. After that, weights fall sharply into reverse repo at 15.09% and then into single-digit positions, which tells us the fund is not evenly spread across its top holdings.

The drop from the largest position to the tenth holding is steep, from 25.65% to 4.14%. That pattern suggests the portfolio is concentrated in a handful of core positions rather than distributed evenly across many similarly sized holdings. The top 10 holdings together account for approximately 92.82% of the portfolio, and the fund discloses 14 holdings in total, so the visible book is quite concentrated even though the tail still exists.

That mix may make the fund’s behaviour more dependent on a small set of government securities, cash exposure and selected debt instruments. In our view, that is consistent with the fund’s relatively steady profile, but it also means individual position changes could matter more than in a broadly diversified debt portfolio.

To see all holdings, visit the Mahindra Manulife Dynamic Term Fund- Direct Growth Plan page

Source data date: as of 15 Sep 2026

Who should invest

This fund is better suited to investors who are comfortable with Medium Risk and want a debt-oriented holding that has been steadier than the benchmark across the periods shown. The 1-year result is much stronger than the benchmark, while the 3-year and 5-year figures are positive but not especially high. That points to a profile that may work better for a medium- to long-term horizon than for someone looking for fast gains.

The main trade-off is that the portfolio’s concentrated structure may keep the ride relatively controlled, but it also means returns are likely to remain moderate rather than stretching aggressively. Investors who want debt exposure with some resilience versus the benchmark may find the profile relevant, while those expecting strong upside from short-term swings may find it less compelling.

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 Mahindra Manulife Dynamic Term Fund- Direct Growth Plan?

The current NAV is ₹16.3158 as of 15 Sep 2026.

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

The fund’s returns are 5.34% for 1 year, 7.53% for 3 years and 5.96% for 5 years.

How has it performed against the benchmark?

It has stayed ahead of the benchmark across all the periods shown. The gap is especially wide over 1 year, where the fund is positive while the benchmark is negative.

How does it compare with peer funds?

Its 1-year, 3-year and 5-year figures are below several peer returns shown in the comparison table. The comparison is strongest on resilience versus the benchmark, but less strong versus the peer set on raw return numbers.

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 Rahul Pal and Kush Sonigara. There is no exit load.

Bottom line

Mahindra Manulife Dynamic Term Fund- Direct Growth Plan has delivered a steadier-looking return pattern than its benchmark, with the strongest relative showing in the last 1 year and a more moderate advantage over longer horizons. Against the peer set, its return figures are broadly a little softer on the available periods, especially over 1 year and 5 years. The portfolio is concentrated, led by a large government security and a meaningful reverse-repo allocation, which may support stability but can also cap upside. That makes the fund more relevant for investors seeking measured debt exposure than for those aiming for higher-return debt strategies.

Published on 16 September 2026 at 8:12 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.