Synopsis: The article lists out the highest performing mutual funds within the Defence sector that has delivered 23% returns in previous 6 months. These funds have given robust returns from April to September, 2025.
Defence mutual funds put money into solely shares within the defence sector that contribute to the nation’s defence infrastructure, similar to arms, ammunition, automobiles, plane and satellite tv for pc producers, shipbuilding, naval tech, and extra. Listed below are 4 Defence Mutual Funds which have supplied robust returns in final 6 months-
1. HDFC defence Fund
- Class: Thematic Fairness
- AUM: ₹7,024.28 Crore
- Expense Ratio: 0.75
- 6 month Return: 23.45%
- Minimal SIP: ₹100
- Exit Load: 1% if redeemed inside 1 12 months
2. Motilal Oswal Nifty India defence Index Fund Direct Development
- Class: Index Fund (Passive)
- AUM: ₹3,703.30 Crore
- Expense Ratio: 0.44
- 6 month return: 23.24%
- Minimal SIP: ₹500
- Exit Load: No fees
Additionally learn: High 10 Greatest Performing Small Cap Mutual Funds in India Delivering Upto 37.5% Returns
3. Aditya Birla Solar Life Nifty India defence Index Fund Direct Development
- Class: Index Fund (Passive)
- AUM: ₹721.83 Crore
- Expense Ratio: 0.31
- 6 month return: 23.42%
- Minimal SIP: ₹500
- Exit Load: No fees
4. Groww Nifty India defence ETF FoF Direct Development
- Class: FoF(ETF-based)
- AUM: ₹78.84
- Expense Ratio: 0.21
- 6 month return: 23.68%
- Minimal SIP: ₹500
- Exit Load: 1% if redeemed inside 30 days
| Fund Title | AUM(Crore) | 1 12 months return | 6 month return | Key Holdings | Notes |
| HDFC defence Fund | ₹7,024.28 | 14.60% | 23.24% | BEL (18.88%), HAL (15.21%), Photo voltaic Industries (11.67%), Bharat forge, BEML and so on., | India’s first pure play defence mutual fund with 90% portfolio in defence and allied shares |
| Motilal Oswal Nifty India defence Index Fund Direct Development | ₹3,703.30 Crore | 21.91 | 23.24% | BEL (20.64%), HAL (20.47%), Photo voltaic Industries (11.55%), Bharat forge, Mazagaon Dock Shipbuilders | Tracks NIfty India defence Index, Low value with robust monitoring accuracy |
| Aditya Birla Solar Life Nifty India defence Index Fund Direct Development | ₹721.83 Crore | 22.28 | 23.42% | BEL (20.62%), HAL (20.46%), Photo voltaic Industries (11.54%), Bharat forge, Mazagaon Dock Shipbuilders | Appropriate for passive traders in search of |
| Groww Nifty India defence ETF FoF Direct Development | ₹78.84 | 21.85 | 23.68% | Groww Nifty India Defence ETF (100% holding) | Greatest for SIP Buyers preferring ETF publicity |
HDFC Defence mutual fund provides the best return, An preliminary funding of ₹1,00,000 (Lumpsum)provides you ₹2,54,500 in simply 2.4 years(154.5%).
Conclusion
Defence mutual funds are very dangerous as a result of they’re very unstable. The vast majority of defence funds are holding extra in BEL, HAL and Photo voltaic Industries funds. All 4 funds give round 23% returns within the final 6 months. These funds are finest for Long run investments.
Written by Yatheendra N
