SBI Floating Interest Rates Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

SBI Floating Interest Rates Fund Direct Growth Plan has a NAV of ₹14.4775 as of 15 Sep 2026 and an AUM of ₹688 Cr. Its 1-year, 3-year and 5-year returns are 6.57%, 7.44% and 6.7%, and the scheme sits in the Medium Risk category.

Our view is that this fund fits investors who want a debt allocation with a relatively steady return profile and are comfortable with modest swings rather than very low movement. Its longer history shows a consistent, if unspectacular, compounding pattern, while the portfolio is built around government securities and high-quality debt instruments.

Quick facts

Particular	Details
NAV	₹14.4775 as of 15 Sep 2026
AUM	₹688 Cr
Expense Ratio	0.25%
Launch Date	27 Oct 2020
Min SIP	₹500
Risk Category	Medium Risk
Benchmark	Nifty 50
Fund Category	Debt
Exit Load	0.10% on or before 3D, Nil after 3D
Fund Managers	Ardhendu Bhattacharya, Rajeev Radhakrishnan

The fund is managed by Ardhendu Bhattacharya and Rajeev Radhakrishnan.

Source data date: as of 15 Sep 2026

Performance

Period	Fund return	Benchmark return
1M	0.01%	-4.81%
3M	1.59%	-3.63%
1Y	6.57%	-8.27%
3Y	7.44%	5.59%
5Y	6.7%	5.58%

The recent return pattern has been steady rather than sharp. The 1-month and 3-month figures show small gains for the fund while the benchmark has been weaker over the same windows, which suggests the fund has held up better in the latest stretch.

Over 1 year, the gap is wider: the fund’s 6.57% return contrasts with the benchmark’s negative 8.27%. That is a meaningful difference in behaviour, and it points to the fund having been much more resilient than the benchmark in the latest annual period.

The longer view is calmer and more balanced. The 3-year return of 7.44% is stronger than the benchmark’s 5.59%, while the 5-year return of 6.7% is also ahead of the benchmark’s 5.58%. The series suggests gradual compounding with only moderate variation, which is what we would expect from a floating-rate debt strategy rather than an equity-like growth profile.

In our view, the important takeaway is that the fund’s short-term resilience and longer-term compounding have broadly lined up. It has not shown explosive upside, but it has maintained a more stable return path than the benchmark across the periods shown here.

Source data date: as of 15 Sep 2026

Should you BUY or HOLD SBI Floating Interest Rates?

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
Axis Floating Interest Rates Fund Direct Growth Plan	7.24%	8.25%	7.17%
Franklin India Floating Interest Rates Fund Direct Growth Plan	6.75%	8.03%	7.17%
Bandhan Floating Interest Rates Fund Direct Growth Plan	6.75%	7.82%	6.76%
ICICI Pru Floating Interest Rates Fund Direct Growth Plan	6.68%	7.74%	7.05%
SBI Floating Interest Rates Fund Direct Growth Plan	6.57%	7.44%	6.7%

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

The fund’s 1-year return is below the stronger figures in this group, but it remains close to the mid-pack range rather than far away from it. The 3-year and 5-year numbers also sit below the strongest peer figures available, which means the fund has been more measured than the better-performing peers over longer periods.

That said, the short-term and longer-term pictures do not conflict. Across 1 year, 3 years and 5 years, the fund stays in a reasonably narrow band and shows a steady profile, while the peer set includes some funds that have compounded a bit faster over time. Our view is that the comparison favours funds with slightly stronger medium-term compounding, but SBI’s consistency still matters for investors who value smoother debt-style behaviour.

Source data date: as of 15 Sep 2026

Portfolio: where your money goes

Holding	Sector	Weight
6.84% State Government of Gujarat 2031	Government Securities	15.03%
7.57% State Government of Gujarat 2031	Government Securities	7.38%
National Bank for Agriculture and Rural Development	Corporate Debt	7.27%
Axis Bank Ltd.	Certificate of Deposit	7.13%
Sundaram Finance Ltd.	Commercial Paper	7.05%
Punjab National Bank	Certificate of Deposit	7.01%
7.00% State Government of Tamil Nadu 2031	Government Securities	6.49%
Bank of Baroda	Certificate of Deposit	6.36%
Bharti Telecom Ltd.	Corporate Debt	5.76%
Canara Bank	Certificate of Deposit	5.65%

The top 10 holdings account for approximately 75.13% of the portfolio.

To see all holdings, visit the SBI Floating Interest Rates Fund Direct Growth Plan page

The largest holding, 6.84% State Government of Gujarat 2031, has a weight of 15.03%, which is large enough to matter in day-to-day portfolio behaviour. After that, the weights step down fairly quickly into the 7% range, so no single security dominates the visible list by an overwhelming margin.

The drop from the first holding to the tenth holding, Canara Bank at 5.65%, is meaningful but not extreme. That pattern suggests the portfolio is built around a few sizeable positions rather than a fully even spread, yet the spread across government securities, certificates of deposit, commercial paper and corporate debt may still help keep individual issuer impact in check.

With 19 disclosed holdings and the top 10 making up about 75.13% of the portfolio, the structure appears moderately concentrated. In our view, that concentration may make the largest positions more influential, but the remaining holdings can still add diversification across issuers and instrument types within the debt bucket.

Source data date: as of 15 Sep 2026

Who should invest

This fund may suit investors who are comfortable with Medium Risk and want a debt allocation that is not purely static. The return pattern over 1 year, 3 years and 5 years shows consistency rather than dramatic jumps, and the benchmark comparison has been favourable across the periods shown.

The better fit is likely to be someone with a medium- to longer-term horizon who values steady compounding and can accept that floating-rate debt funds will not behave like equity funds. The main trade-off is that the portfolio may not deliver high upside in strong risk-on markets, but it may offer a more stable path than many growth-oriented alternatives.

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: 0.10% on or before 3D, Nil after 3D.

Source data date: as of 15 Sep 2026

Frequently asked questions

What is the current NAV of SBI Floating Interest Rates Fund Direct Growth Plan?
Its NAV is ₹14.4775 as of 15 Sep 2026.

What are the 1-year, 3-year and 5-year returns?
The fund’s returns are 6.57% for 1 year, 7.44% for 3 years and 6.7% for 5 years.

How does it compare with the benchmark?
It has outperformed the benchmark across the periods shown. The benchmark’s 1-year figure is negative, while the fund has stayed positive over 1 month, 3 months, 1 year, 3 years and 5 years.

How does it compare with peer funds?
Its 1-year, 3-year and 5-year figures are below the stronger peer numbers shown, although the gap is not wide in every case. The return pattern still looks steady rather than erratic.

Is there an exit load?
Yes. The exit load is 0.10% on or before 3D, and nil after 3D.

Who manages the fund and what is the risk category?
The fund is managed by Ardhendu Bhattacharya and Rajeev Radhakrishnan. It is tagged as Medium Risk, which suits investors who are comfortable with moderate fluctuations in a debt-oriented portfolio.

Bottom line

SBI Floating Interest Rates Fund Direct Growth Plan has shown steadier performance than the benchmark across the periods shown, with the longer 3-year and 5-year figures also holding up reasonably well. In the peer set, it sits behind the stronger compounding numbers, but not by a gap that changes the overall story: this remains a measured floating-rate debt fund rather than a high-octane return seeker. The portfolio is also fairly concentrated in its largest positions, so the big holdings matter. That combination may suit investors who prefer consistency, debt exposure and moderate risk.

Published on 16 September 2026 at 4:39 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.