Nippon India Credit Risk Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

Nippon India Credit Risk Fund Direct Growth Plan currently has a NAV of ₹42.3857 as of 09 Sep 2026 and an AUM of ₹1,573 Cr. Its 1-year, 3-year and 5-year returns are 8.17%, 8.99% and 7.92%, and the risk category is Medium Risk.

Our view is that this is a credit-risk debt fund with steady medium-term numbers rather than sharp short-term moves. The return pattern is more stable over 3Y and 5Y than the benchmark, but the recent 1-year outcome is only slightly ahead of the benchmark, so the fund looks more suitable for investors who can accept credit risk for a smoother return path over a longer holding period.

Quick facts

Particular	Details
NAV	₹42.3857 as of 09 Sep 2026
AUM	₹1,573 Cr
Expense Ratio	0.7%
Launch Date	01 Jan 2013
Min SIP	₹100
Risk Category	Medium Risk
Benchmark	Nifty 50
Fund Category	Debt
Exit Load	Nil for 10% of units and 1% for remaining units on or before 12M, Nil after 12M
Fund Managers	Sushil Budhia, Kinjal Desai

The fund is managed by Sushil Budhia and Kinjal Desai.

Source data date: as of 09 Sep 2026

Performance

Period	Fund return	Benchmark return
1M	0.45%	-4.69%
3M	2.1%	0.93%
1Y	8.17%	-7.16%
3Y	8.99%	6%
5Y	7.92%	5.87%

The recent 1-month and 3-month moves suggest a fund that has stayed positive while the benchmark has been more uneven, especially over the last month. That kind of pattern is useful for investors who prefer a debt allocation with less day-to-day noise than an equity-style benchmark.

Over 1 year, the fund has clearly held up better than the benchmark, which posted a negative return. That gap matters because it shows the fund did not simply ride a broad market trend; it delivered a better outcome in a weaker benchmark environment.

The 3-year and 5-year figures are also ahead of the benchmark, and the longer horizon looks more consistent than the short stretch of monthly performance. In our view, the fund’s recent stability does not look like a sharp outlier against its longer track record; instead, it fits a pattern of moderate compounding with some short-term fluctuation.

For investors, the main takeaway is that the fund has been able to stay ahead of the benchmark across all the listed periods, but the margin is not uniform. The 3-year result is stronger than the 5-year result, which suggests the path has improved in the more recent medium-term window.

Source data date: as of 09 Sep 2026

Should you BUY or HOLD Nippon India Credit Risk?

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
Nippon India Credit Risk Fund Direct Growth Plan	8.17%	8.99%	7.92%
Bank of India Credit Risk Fund Direct Growth Plan	17.99%	10.12%	27.79%
Aditya Birla SL Credit Risk Fund Direct Growth Plan	13.04%	13.21%	10.92%
DSP Credit Risk Fund Direct Growth Plan	11.4%	16.84%	13.37%
ICICI Pru Credit Risk Fund Direct Growth Plan	8.82%	9.17%	8.03%
Axis Credit Risk Fund Direct Growth Plan	8.76%	8.86%	7.7%

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

On 1-year returns, the fund trails Bank of India Credit Risk Fund Direct Growth Plan, Aditya Birla SL Credit Risk Fund Direct Growth Plan and DSP Credit Risk Fund Direct Growth Plan, while staying close to ICICI Pru Credit Risk Fund Direct Growth Plan and Axis Credit Risk Fund Direct Growth Plan. That means the short-term peer picture is respectable, but not the strongest among the listed funds.

The longer-term comparison is more balanced. The fund’s 3-year and 5-year returns are ahead of ICICI Pru Credit Risk Fund Direct Growth Plan and Axis Credit Risk Fund Direct Growth Plan, but below Bank of India Credit Risk Fund Direct Growth Plan, Aditya Birla SL Credit Risk Fund Direct Growth Plan and DSP Credit Risk Fund Direct Growth Plan where data is available.

So the short-term and longer-term pictures tell slightly different stories: recent numbers are middle-of-the-pack against this peer set, while the 3-year and 5-year outcomes remain steady but not the most aggressive in the group.

Source data date: as of 09 Sep 2026

Portfolio: where your money goes

Holding	Sector	Weight
Triparty Repo	Cash & Cash Equivalents and Net Assets	7.74%
10.5% Triumph Composites Limited**	Corporate Debt	4.75%
8.55% Aditya Birla Real Estate Limited**	Corporate Debt	3.49%
7.44% National Bank for Agriculture and Rural Development**	Corporate Debt	3.47%
8.45% Adani Airport Holdings Limited**	Corporate Debt	3.46%
5% GMR Airports Limited**	Corporate Debt	3.44%
9.75% Delhi International Airport Limited**	Corporate Debt	3.23%
6.66% National Bank for Agriculture and Rural Development**	Corporate Debt	3.12%
HDFC Bank Limited**	Certificate of Deposit	3.08%
10.4% Muthoot Fincorp Ltd	Corporate Debt	2.86%

The top 10 holdings account for approximately 38.64% of the portfolio.

To see all holdings, visit the Nippon India Credit Risk Fund Direct Growth Plan page

The largest position, Triparty Repo, is 7.74%, so no single disclosed holding dominates the table. The gap from the largest holding to the tenth holding is modest rather than dramatic, which suggests the visible sleeve is distributed across several credit exposures instead of being concentrated in just one or two names.

At the same time, the top 10 holdings together account for 38.64% of the portfolio, and the fund has 49 disclosed holdings overall. That combination points to a longer tail beyond the listed positions, so the portfolio may be somewhat diversified within the credit-risk bucket even though corporate debt appears frequently among the largest names.

For investors, this mix could mean that individual position movements may matter, but the fund is not built around a single large bet. The balance between repo, corporate debt and a certificate of deposit may help reduce reliance on any one security while still keeping the portfolio clearly tied to credit selection.

Source data date: as of 09 Sep 2026

Who should invest

This fund fits investors who are comfortable taking medium risk in exchange for the possibility of better debt-fund returns over a long holding period. The 1-year result is weaker than the 3-year and 5-year pattern, so it may suit investors who can look past short periods of variation and focus on a longer runway.

Its benchmark comparison is favorable across the listed periods, which supports the case for someone wanting a debt allocation that has done better than the broad reference index. The trade-off is that the portfolio uses credit exposure, so investors need to accept that returns can move differently from a more conservative short-duration or government-securities style fund.

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 for 10% of units and 1% for the remaining units if sold within 12 months. No exit load applies after 12 months.

Source data date: as of 09 Sep 2026

Frequently asked questions

What is the current NAV of Nippon India Credit Risk Fund Direct Growth Plan?
Its current NAV is ₹42.3857 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 8.17%, 8.99% and 7.92%.

How has the fund compared with its benchmark?
It has stayed ahead of the benchmark across 1 month, 3 months, 1 year, 3 years and 5 years. The benchmark’s 1-year return is negative, while the fund remains positive over the same period.

How does it compare with the listed peer funds?
Its 1-year result is lower than Bank of India Credit Risk Fund Direct Growth Plan, Aditya Birla SL Credit Risk Fund Direct Growth Plan and DSP Credit Risk Fund Direct Growth Plan, but it stays close to ICICI Pru Credit Risk Fund Direct Growth Plan and Axis Credit Risk Fund Direct Growth Plan. Over 3 years and 5 years, it remains ahead of some peers and behind others.

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 Sushil Budhia and Kinjal Desai. The exit load is nil for 10% of units and 1% for the remaining units if sold within 12 months, and there is no exit load after 12 months.

Bottom line

Nippon India Credit Risk Fund Direct Growth Plan has a steadier medium-term profile than its benchmark, with recent returns that are positive but not exceptional against the listed peer set. The longer-term numbers remain respectable, and the portfolio’s spread across 49 disclosed holdings suggests that performance is not driven by a single large position. For investors who can live with Medium Risk and a credit-oriented debt profile, it is more of a measured long-horizon fund than a short-term return chase.

Published on 10 September 2026 at 10:20 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.