+91-22-489139097 Best Arbitrage Mutual Funds 2025
Generally, people willing to invest in arbitrage funds look for the best arbitrage funds. But what are Arbitrage funds?
An arbitrage fund is a popular short-term financial investment in India. Arbitrage funds are Mutual Funds that leverage the differential price between the cash Market and derivative market to generate mutual fund returns.
The returns generated by arbitrage funds are dependent on the Volatility of the stock market. Arbitrage mutual funds are hybrid in nature and in times of high or persistent volatility, these funds offer relatively risk-free returns to investors. Before Investing in these funds it is important to understand arbitrage funds taxation and know the best arbitrage funds.
Why Invest in Arbitrage Funds?
Here are some of the benefits of investing in arbitrage funds:
1. Negligible Risk
Arbitrage funds are not 100% risk-free but they do carry negligible risk. They Bank on the mispricing happening in the markets. This gives the investor a safer option compared to other short-term funds since these funds offer better returns during market volatility.
2. Returns
These funds generally give a return of about 7-9% of the amount invested. This is higher compared to Liquid Funds or short-term debt funds in low rate enviornment (When RBI is reducing rate).
Thus, making arbitrage funds a lucrative investment option.
Talk to our investment specialist
3. Favourable Taxation
One of the biggest benefits of investing in these funds is the tax treatment. Equity Funds attract long term Capital gains. If the gains are made up to INR 1 lakh then it counts under tax-free. Tax at 10% applies to gains above INR 1 lakh.
Arbitrage Funds Taxation
As mentioned above, these funds are taxed favourably. They are said to be a combination of good Debt fund returns and the tax treatment of equity mutual funds. Arbitrage schemes are taxed similar to equity funds making it an attractive investment for people in higher tax brackets. For example, if you belong to a 30% tax bracket, investing in equity arbitrage funds can lower your tax rates to 10% for LTCG and 15% for STCG.
Top 7 Arbitrage Mutual Funds 2025 - 2026
Fund NAV Net Assets (Cr) 3 MO (%) 6 MO (%) 1 YR (%) 3 YR (%) 5 YR (%) 2024 (%) UTI Arbitrage Fund Growth ₹35.937
↑ 0.01 ₹10,106 1.5 2.8 6.5 7.2 5.8 7.7 SBI Arbitrage Opportunities Fund Growth ₹34.6692
↑ 0.01 ₹39,859 1.4 2.8 6.5 7.3 6 7.5 Invesco India Arbitrage Fund Growth ₹32.719
↑ 0.01 ₹27,151 1.4 2.8 6.4 7.2 5.9 7.6 Kotak Equity Arbitrage Fund Growth ₹38.4079
↑ 0.01 ₹72,279 1.4 2.7 6.4 7.3 6 7.8 ICICI Prudential Equity Arbitrage Fund Growth ₹35.1663
↑ 0.01 ₹32,196 1.4 2.8 6.4 7.1 5.8 7.6 Aditya Birla Sun Life Arbitrage Fund Growth ₹27.2283
↑ 0.01 ₹24,256 1.4 2.8 6.4 7.1 5.8 7.5 Edelweiss Arbitrage Fund Growth ₹19.8589
↑ 0.00 ₹16,687 1.4 2.7 6.4 7.2 5.8 7.7 Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 12 Dec 25 Research Highlights & Commentary of 7 Funds showcased
Commentary UTI Arbitrage Fund SBI Arbitrage Opportunities Fund Invesco India Arbitrage Fund Kotak Equity Arbitrage Fund ICICI Prudential Equity Arbitrage Fund Aditya Birla Sun Life Arbitrage Fund Edelweiss Arbitrage Fund Point 1 Bottom quartile AUM (₹10,106 Cr). Upper mid AUM (₹39,859 Cr). Lower mid AUM (₹27,151 Cr). Highest AUM (₹72,279 Cr). Upper mid AUM (₹32,196 Cr). Lower mid AUM (₹24,256 Cr). Bottom quartile AUM (₹16,687 Cr). Point 2 Established history (19+ yrs). Established history (19+ yrs). Established history (18+ yrs). Oldest track record among peers (20 yrs). Established history (18+ yrs). Established history (16+ yrs). Established history (11+ yrs). Point 3 Rating: 3★ (lower mid). Rating: 2★ (bottom quartile). Rating: 3★ (lower mid). Rating: 4★ (upper mid). Rating: 4★ (upper mid). Rating: 3★ (bottom quartile). Top rated. Point 4 Risk profile: Moderately Low. Risk profile: Moderately Low. Risk profile: Moderately Low. Risk profile: Moderately Low. Risk profile: Moderate. Risk profile: Moderate. Risk profile: Moderately Low. Point 5 5Y return: 5.81% (lower mid). 5Y return: 5.96% (upper mid). 5Y return: 5.95% (upper mid). 5Y return: 5.98% (top quartile). 5Y return: 5.80% (bottom quartile). 5Y return: 5.75% (bottom quartile). 5Y return: 5.83% (lower mid). Point 6 3Y return: 7.23% (upper mid). 3Y return: 7.26% (upper mid). 3Y return: 7.22% (lower mid). 3Y return: 7.32% (top quartile). 3Y return: 7.14% (bottom quartile). 3Y return: 7.12% (bottom quartile). 3Y return: 7.16% (lower mid). Point 7 1Y return: 6.54% (top quartile). 1Y return: 6.53% (upper mid). 1Y return: 6.45% (upper mid). 1Y return: 6.44% (lower mid). 1Y return: 6.44% (lower mid). 1Y return: 6.42% (bottom quartile). 1Y return: 6.37% (bottom quartile). Point 8 1M return: 0.55% (lower mid). 1M return: 0.54% (bottom quartile). 1M return: 0.55% (upper mid). 1M return: 0.55% (top quartile). 1M return: 0.55% (upper mid). 1M return: 0.55% (lower mid). 1M return: 0.52% (bottom quartile). Point 9 Alpha: 0.00 (top quartile). Alpha: 0.00 (upper mid). Alpha: 0.00 (upper mid). Alpha: 0.00 (lower mid). Alpha: 0.00 (lower mid). Alpha: 0.00 (bottom quartile). Alpha: -0.68 (bottom quartile). Point 10 Sharpe: 0.85 (top quartile). Sharpe: 0.79 (upper mid). Sharpe: 0.55 (lower mid). Sharpe: 0.58 (upper mid). Sharpe: 0.55 (lower mid). Sharpe: 0.41 (bottom quartile). Sharpe: 0.39 (bottom quartile). UTI Arbitrage Fund
SBI Arbitrage Opportunities Fund
Invesco India Arbitrage Fund
Kotak Equity Arbitrage Fund
ICICI Prudential Equity Arbitrage Fund
Aditya Birla Sun Life Arbitrage Fund
Edelweiss Arbitrage Fund
*Below is the list of Arbitrage funds sorted on last 1 year return and having AUM > 100 Crore.
(Erstwhile UTI SPREAD Fund) The investment objective of the scheme is to provide capital appreciation and dividend distribution through arbitrage opportunities arising out of price differences between the cash and derivative market by investing predominantly in equity and equity-related securities, derivatives and the balance portion in debt securities. However, there can be no assurance that the investment objective of the scheme will be realised. Below is the key information for UTI Arbitrage Fund Returns up to 1 year are on To provide capital appreciation and regular income for unitholders by identifying profitable arbitrage opportunities between the spot and derivative market segments as also through investment of surplus cash in debt and money market instruments. Research Highlights for SBI Arbitrage Opportunities Fund Below is the key information for SBI Arbitrage Opportunities Fund Returns up to 1 year are on The primary investment objective of the scheme is to generate income through arbitrage opportunities emerging out of mis-pricing between the cash market and the derivatives market and through deployment of surplus cash in fixed income instruments. Research Highlights for Invesco India Arbitrage Fund Below is the key information for Invesco India Arbitrage Fund Returns up to 1 year are on The investment objective of the scheme is to generate capital appreciation and income by predominantly investing in arbitrage opportunities in the cash and derivatives segment of the equity market, and by investing the balance in debt and money market instruments. However, there is no assurance that the objective of the scheme will be realized Research Highlights for Kotak Equity Arbitrage Fund Below is the key information for Kotak Equity Arbitrage Fund Returns up to 1 year are on The investment objective of Income Optimiser Plan under the scheme is to seek to generate low volatility returns by using arbitrage and other derivative strategies in equity markets and investments in short-term debt portfolio. Research Highlights for ICICI Prudential Equity Arbitrage Fund Below is the key information for ICICI Prudential Equity Arbitrage Fund Returns up to 1 year are on (Erstwhile Aditya Birla Sun Life Enhanced Arbitrage Fund) An Open ended Equity Scheme with an investment objective to generate income by investing predominantly in equity and equity related instruments. Scheme intends to take advantage from the price differentials / mis-pricing prevailing for stock / index in various market segments (Cash & Futures). Research Highlights for Aditya Birla Sun Life Arbitrage Fund Below is the key information for Aditya Birla Sun Life Arbitrage Fund Returns up to 1 year are on The investment objective of the Scheme is to generate income by predominantly investing in arbitrage opportunities in the cash and the derivative segments of the equity markets and the arbitrage opportunities available within the derivative segment and by investing the balance in debt and money market instruments. However, there is no assurance that the investment objective of the scheme will be realized. Research Highlights for Edelweiss Arbitrage Fund Below is the key information for Edelweiss Arbitrage Fund Returns up to 1 year are on 1. UTI Arbitrage Fund
UTI Arbitrage Fund
Growth Launch Date 22 Jun 06 NAV (12 Dec 25) ₹35.937 ↑ 0.01 (0.02 %) Net Assets (Cr) ₹10,106 on 31 Oct 25 Category Hybrid - Arbitrage AMC UTI Asset Management Company Ltd Rating ☆☆☆ Risk Moderately Low Expense Ratio 0.78 Sharpe Ratio 0.85 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 500 Exit Load 0-30 Days (0.5%),30 Days and above(NIL) Growth of 10,000 investment over the years.
Date Value 30 Nov 20 ₹10,000 30 Nov 21 ₹10,413 30 Nov 22 ₹10,777 30 Nov 23 ₹11,555 30 Nov 24 ₹12,442 30 Nov 25 ₹13,265 Returns for UTI Arbitrage Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 12 Dec 25 Duration Returns 1 Month 0.5% 3 Month 1.5% 6 Month 2.8% 1 Year 6.5% 3 Year 7.2% 5 Year 5.8% 10 Year 15 Year Since launch 6.8% Historical performance (Yearly) on absolute basis
Year Returns 2024 7.7% 2023 7.2% 2022 4% 2021 3.9% 2020 4.4% 2019 6.2% 2018 6.2% 2017 5.7% 2016 6.5% 2015 7.6% Fund Manager information for UTI Arbitrage Fund
Name Since Tenure Amit Sharma 2 Jul 18 7.34 Yr. Sharwan Kumar Goyal 1 Jan 21 4.83 Yr. Data below for UTI Arbitrage Fund as on 31 Oct 25
Asset Allocation
Asset Class Value Cash 97.03% Debt 3.37% Other 0.05% Equity Sector Allocation
Sector Value Financial Services 31.05% Basic Materials 9.05% Consumer Cyclical 8.95% Consumer Defensive 5.76% Industrials 5.06% Technology 4.37% Health Care 4.35% Energy 4.1% Communication Services 2.77% Utility 1.9% Real Estate 1.79% Debt Sector Allocation
Sector Value Cash Equivalent 89.81% Corporate 7.48% Government 3.08% Securitized 0.04% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity UTI Money Market Dir Gr
Investment Fund | -13% ₹1,342 Cr 4,201,929
↓ -32,466 Future on ICICI Bank Ltd
Derivatives | -4% -₹442 Cr 3,262,700
↑ 281,400 ICICI Bank Ltd (Financial Services)
Equity, Since 30 Sep 24 | ICICIBANK4% ₹439 Cr 3,262,700
↑ 281,400 Future on HDFC Bank Ltd
Derivatives | -4% -₹417 Cr 4,197,050
↓ -17,050 HDFC Bank Ltd (Financial Services)
Equity, Since 30 Apr 22 | HDFCBANK4% ₹414 Cr 4,197,050
↓ -17,050 Future on Reliance Industries Ltd
Derivatives | -4% -₹354 Cr 2,363,000
↓ -314,000 Reliance Industries Ltd (Energy)
Equity, Since 31 Aug 23 | RELIANCE3% ₹351 Cr 2,363,000
↓ -314,000 Future on Axis Bank Ltd
Derivatives | -3% -₹318 Cr 2,562,500
↓ -459,375 Axis Bank Ltd (Financial Services)
Equity, Since 31 Oct 23 | 5322153% ₹316 Cr 2,562,500
↓ -459,375 Future on State Bank of India
Derivatives | -3% -₹315 Cr 3,341,250
↓ -230,250 2. SBI Arbitrage Opportunities Fund
SBI Arbitrage Opportunities Fund
Growth Launch Date 3 Nov 06 NAV (12 Dec 25) ₹34.6692 ↑ 0.01 (0.02 %) Net Assets (Cr) ₹39,859 on 31 Oct 25 Category Hybrid - Arbitrage AMC SBI Funds Management Private Limited Rating ☆☆ Risk Moderately Low Expense Ratio 0.95 Sharpe Ratio 0.79 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 500 Exit Load 0-1 Months (0.5%),1 Months and above(NIL) Growth of 10,000 investment over the years.
Date Value 30 Nov 20 ₹10,000 30 Nov 21 ₹10,419 30 Nov 22 ₹10,838 30 Nov 23 ₹11,658 30 Nov 24 ₹12,534 30 Nov 25 ₹13,359 Returns for SBI Arbitrage Opportunities Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 12 Dec 25 Duration Returns 1 Month 0.5% 3 Month 1.4% 6 Month 2.8% 1 Year 6.5% 3 Year 7.3% 5 Year 6% 10 Year 15 Year Since launch 6.7% Historical performance (Yearly) on absolute basis
Year Returns 2024 7.5% 2023 7.4% 2022 4.6% 2021 4% 2020 3.5% 2019 6% 2018 6.2% 2017 5.3% 2016 6.4% 2015 7.3% Fund Manager information for SBI Arbitrage Opportunities Fund
Name Since Tenure Neeraj Kumar 5 Oct 12 13.08 Yr. Ardhendu Bhattacharya 27 Dec 24 0.85 Yr. Data below for SBI Arbitrage Opportunities Fund as on 31 Oct 25
Asset Allocation
Asset Class Value Cash 94.23% Debt 6.12% Other 0.04% Equity Sector Allocation
Sector Value Financial Services 27.65% Industrials 7.24% Basic Materials 7.07% Technology 6.25% Energy 5.83% Consumer Cyclical 5.59% Consumer Defensive 4.95% Health Care 3.96% Communication Services 3.36% Utility 2.8% Real Estate 1.61% Debt Sector Allocation
Sector Value Cash Equivalent 89.12% Corporate 7.98% Government 3.14% Securitized 0.13% Credit Quality
Rating Value AA 1.12% AAA 98.88% Top Securities Holdings / Portfolio
Name Holding Value Quantity SBI Savings Dir Gr
Investment Fund | -8% ₹3,306 Cr 726,722,883 Future on HDFC Bank Ltd
Derivatives | -7% -₹2,679 Cr 26,952,750
↑ 29,150 HDFC Bank Ltd (Financial Services)
Equity, Since 30 Apr 22 | HDFCBANK7% ₹2,661 Cr 26,952,750
↑ 29,150 Future on ICICI Bank Ltd
Derivatives | -5% -₹1,882 Cr 13,891,500
↓ -144,900 ICICI Bank Ltd (Financial Services)
Equity, Since 30 Jun 21 | ICICIBANK5% ₹1,869 Cr 13,891,500
↓ -144,900 SBI Liquid Dir Gr
Investment Fund | -3% ₹1,223 Cr 2,909,726
↑ 238,580 Future on Reliance Industries Ltd
Derivatives | -3% -₹1,137 Cr 7,602,500
↓ -189,500 Reliance Industries Ltd (Energy)
Equity, Since 30 Nov 21 | RELIANCE3% ₹1,130 Cr 7,602,500
↓ -189,500 SBI Magnum Low Duration Dir Gr
Investment Fund | -3% ₹1,080 Cr 2,904,125 Future on Tata Consultancy Services Ltd
Derivatives | -2% -₹896 Cr 2,914,100
↑ 700 3. Invesco India Arbitrage Fund
Invesco India Arbitrage Fund
Growth Launch Date 30 Apr 07 NAV (12 Dec 25) ₹32.719 ↑ 0.01 (0.03 %) Net Assets (Cr) ₹27,151 on 31 Oct 25 Category Hybrid - Arbitrage AMC Invesco Asset Management (India) Private Ltd Rating ☆☆☆ Risk Moderately Low Expense Ratio 1.06 Sharpe Ratio 0.55 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 500 Exit Load 0-15 Days (0.5%),15 Days and above(NIL) Growth of 10,000 investment over the years.
Date Value 30 Nov 20 ₹10,000 30 Nov 21 ₹10,374 30 Nov 22 ₹10,845 30 Nov 23 ₹11,652 30 Nov 24 ₹12,542 30 Nov 25 ₹13,355 Returns for Invesco India Arbitrage Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 12 Dec 25 Duration Returns 1 Month 0.5% 3 Month 1.4% 6 Month 2.8% 1 Year 6.4% 3 Year 7.2% 5 Year 5.9% 10 Year 15 Year Since launch 6.6% Historical performance (Yearly) on absolute basis
Year Returns 2024 7.6% 2023 7.4% 2022 5.1% 2021 3.5% 2020 4.3% 2019 5.9% 2018 5.9% 2017 5.5% 2016 6.5% 2015 7.6% Fund Manager information for Invesco India Arbitrage Fund
Name Since Tenure Deepak Gupta 11 Nov 21 3.97 Yr. Kuber Mannadi 1 Sep 22 3.17 Yr. Data below for Invesco India Arbitrage Fund as on 31 Oct 25
Asset Allocation
Asset Class Value Cash 96.52% Debt 3.86% Other 0.04% Equity Sector Allocation
Sector Value Financial Services 28.77% Industrials 8.47% Consumer Cyclical 8.45% Basic Materials 7.36% Energy 5.08% Consumer Defensive 4.52% Technology 4.29% Health Care 4.1% Communication Services 3.7% Utility 2.9% Real Estate 1.76% Debt Sector Allocation
Sector Value Cash Equivalent 93.65% Corporate 4.64% Government 2.11% Credit Quality
Rating Value AA 30.34% AAA 69.66% Top Securities Holdings / Portfolio
Name Holding Value Quantity Invesco India Liquid Dir Gr
Investment Fund | -8% ₹2,284 Cr 6,190,471
↑ 1,961,285 ICICI Bank Ltd (Financial Services)
Equity, Since 31 Oct 24 | ICICIBANK5% ₹1,417 Cr 10,532,200
↑ 2,302,300 Icici Bank Limited November 2025 Future
Derivatives | -5% -₹1,346 Cr 9,937,200
↑ 9,804,900 HDFC Bank Ltd (Financial Services)
Equity, Since 31 Jan 23 | HDFCBANK4% ₹1,174 Cr 11,886,600
↑ 1,282,600 Hdfc Bank Limited November 2025 Future
Derivatives | -4% -₹1,156 Cr 11,631,950
↑ 11,620,950 Invesco India Money Market Dir Gr
Investment Fund | -4% ₹1,119 Cr 3,474,000
↓ -1,562,904 Eternal Ltd (Consumer Cyclical)
Equity, Since 31 May 25 | 5433204% ₹1,036 Cr 32,604,125
↓ -1,341,025 Eternal Limited November 2025 Future
Derivatives | -4% -₹1,033 Cr 32,279,175
↑ 32,271,900 Future on Reliance Industries Ltd
Derivatives | -2% -₹628 Cr 4,197,000
↓ -4,407,000 Reliance Industries Ltd (Energy)
Equity, Since 31 Dec 22 | RELIANCE2% ₹624 Cr 4,197,000
↓ -4,407,000 4. Kotak Equity Arbitrage Fund
Kotak Equity Arbitrage Fund
Growth Launch Date 29 Sep 05 NAV (12 Dec 25) ₹38.4079 ↑ 0.01 (0.03 %) Net Assets (Cr) ₹72,279 on 31 Oct 25 Category Hybrid - Arbitrage AMC Kotak Mahindra Asset Management Co Ltd Rating ☆☆☆☆ Risk Moderately Low Expense Ratio 0.97 Sharpe Ratio 0.58 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 500 Exit Load 0-30 Days (0.25%),30 Days and above(NIL) Growth of 10,000 investment over the years.
Date Value 30 Nov 20 ₹10,000 30 Nov 21 ₹10,420 30 Nov 22 ₹10,832 30 Nov 23 ₹11,641 30 Nov 24 ₹12,551 30 Nov 25 ₹13,365 Returns for Kotak Equity Arbitrage Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 12 Dec 25 Duration Returns 1 Month 0.6% 3 Month 1.4% 6 Month 2.7% 1 Year 6.4% 3 Year 7.3% 5 Year 6% 10 Year 15 Year Since launch 6.9% Historical performance (Yearly) on absolute basis
Year Returns 2024 7.8% 2023 7.4% 2022 4.5% 2021 4% 2020 4.3% 2019 6.1% 2018 6.3% 2017 5.8% 2016 6.7% 2015 7.5% Fund Manager information for Kotak Equity Arbitrage Fund
Name Since Tenure Hiten Shah 3 Oct 19 6.08 Yr. Data below for Kotak Equity Arbitrage Fund as on 31 Oct 25
Asset Allocation
Asset Class Value Cash 95.88% Debt 4.49% Other 0.04% Equity Sector Allocation
Sector Value Financial Services 25.46% Basic Materials 12.44% Consumer Cyclical 9.18% Industrials 7.64% Health Care 6.25% Consumer Defensive 5.47% Energy 4.34% Technology 4.25% Utility 3.97% Communication Services 2.32% Real Estate 1.3% Debt Sector Allocation
Sector Value Cash Equivalent 88.18% Corporate 8.04% Government 4.04% Securitized 0.12% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity Kotak Money Market Dir Gr
Investment Fund | -11% ₹8,210 Cr 17,707,373 Kotak Savings Fund Dir Gr
Investment Fund | -5% ₹3,495 Cr 761,313,627
↓ -32,790,110 HDFC Bank Ltd.-NOV2025
Derivatives | -3% -₹2,235 Cr 22,486,200
↑ 22,486,200 HDFC Bank Ltd (Financial Services)
Equity, Since 30 Apr 22 | HDFCBANK3% ₹2,220 Cr 22,486,200
↓ -7,091,700 ICICI Bank Ltd (Financial Services)
Equity, Since 31 Dec 19 | ICICIBANK2% ₹1,798 Cr 13,364,400
↓ -5,520,200 ICICI Bank Ltd.-NOV2025
Derivatives | -2% -₹1,793 Cr 13,241,900
↑ 13,241,900 ETERNAL LIMITED-NOV2025
Derivatives | -2% -₹1,486 Cr 46,448,450
↑ 46,448,450 Eternal Ltd (Consumer Cyclical)
Equity, Since 30 Nov 24 | 5433202% ₹1,476 Cr 46,448,450
↓ -9,210,150 Reliance Industries Ltd (Energy)
Equity, Since 31 May 18 | RELIANCE2% ₹1,332 Cr 8,959,500
↓ -9,015,000 RELIANCE INDUSTRIES LTD.-NOV2025
Derivatives | -2% -₹1,313 Cr 8,777,500
↑ 8,715,000 5. ICICI Prudential Equity Arbitrage Fund
ICICI Prudential Equity Arbitrage Fund
Growth Launch Date 30 Dec 06 NAV (12 Dec 25) ₹35.1663 ↑ 0.01 (0.03 %) Net Assets (Cr) ₹32,196 on 31 Oct 25 Category Hybrid - Arbitrage AMC ICICI Prudential Asset Management Company Limited Rating ☆☆☆☆ Risk Moderate Expense Ratio 0.9 Sharpe Ratio 0.55 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 1,000 Exit Load 0-1 Months (0.25%),1 Months and above(NIL) Growth of 10,000 investment over the years.
Date Value 30 Nov 20 ₹10,000 30 Nov 21 ₹10,409 30 Nov 22 ₹10,792 30 Nov 23 ₹11,567 30 Nov 24 ₹12,444 30 Nov 25 ₹13,250 Returns for ICICI Prudential Equity Arbitrage Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 12 Dec 25 Duration Returns 1 Month 0.6% 3 Month 1.4% 6 Month 2.8% 1 Year 6.4% 3 Year 7.1% 5 Year 5.8% 10 Year 15 Year Since launch 6.9% Historical performance (Yearly) on absolute basis
Year Returns 2024 7.6% 2023 7.1% 2022 4.2% 2021 3.9% 2020 4.3% 2019 5.9% 2018 6.2% 2017 5.5% 2016 6.8% 2015 7.6% Fund Manager information for ICICI Prudential Equity Arbitrage Fund
Name Since Tenure Nikhil Kabra 29 Dec 20 4.84 Yr. Sharmila D’mello 31 Jul 22 3.26 Yr. Darshil Dedhia 13 Sep 24 1.13 Yr. Ajaykumar Solanki 23 Aug 24 1.19 Yr. Archana Nair 1 Feb 24 1.75 Yr. Data below for ICICI Prudential Equity Arbitrage Fund as on 31 Oct 25
Asset Allocation
Asset Class Value Cash 97.47% Debt 2.94% Other 0.04% Equity Sector Allocation
Sector Value Financial Services 23.65% Consumer Cyclical 9.19% Basic Materials 7.97% Energy 7.56% Industrials 6.32% Communication Services 5.12% Consumer Defensive 4.99% Technology 4.6% Health Care 4.49% Utility 4.23% Real Estate 1.39% Debt Sector Allocation
Sector Value Cash Equivalent 87.91% Corporate 8.08% Government 4.41% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity ICICI Pru Money Market Dir Gr
Investment Fund | -16% ₹5,027 Cr 127,933,512 Future on HDFC Bank Ltd
Derivatives | -5% -₹1,545 Cr 15,539,700
↓ -1,001,000 HDFC Bank Ltd (Financial Services)
Equity, Since 30 Nov 21 | HDFCBANK5% ₹1,534 Cr 15,539,700
↓ -1,001,000 Future on Reliance Industries Ltd
Derivatives | -4% -₹1,252 Cr 8,370,500
↓ -1,006,000 Reliance Industries Ltd (Energy)
Equity, Since 31 Aug 18 | RELIANCE4% ₹1,244 Cr 8,370,500
↓ -1,006,000 Future on Bharti Airtel Ltd
Derivatives | -3% -₹1,072 Cr 5,175,600
↓ -2,090,000 Bharti Airtel Ltd (Communication Services)
Equity, Since 31 Dec 23 | BHARTIARTL3% ₹1,063 Cr 5,175,600
↓ -2,090,000 Future on Mahindra & Mahindra Ltd
Derivatives | -3% -₹889 Cr 2,533,200
↑ 91,000 Mahindra & Mahindra Ltd (Consumer Cyclical)
Equity, Since 31 Jul 14 | M&M3% ₹883 Cr 2,533,200
↑ 91,000 Future on ITC Ltd
Derivatives | -2% -₹746 Cr 17,633,600
↑ 6,324,800 6. Aditya Birla Sun Life Arbitrage Fund
Aditya Birla Sun Life Arbitrage Fund
Growth Launch Date 24 Jul 09 NAV (12 Dec 25) ₹27.2283 ↑ 0.01 (0.02 %) Net Assets (Cr) ₹24,256 on 31 Oct 25 Category Hybrid - Arbitrage AMC Birla Sun Life Asset Management Co Ltd Rating ☆☆☆ Risk Moderate Expense Ratio 1.01 Sharpe Ratio 0.41 Information Ratio 0 Alpha Ratio 0 Min Investment 1,000 Min SIP Investment 1,000 Exit Load 0-30 Days (0.5%),30 Days and above(NIL) Growth of 10,000 investment over the years.
Date Value 30 Nov 20 ₹10,000 30 Nov 21 ₹10,413 30 Nov 22 ₹10,784 30 Nov 23 ₹11,556 30 Nov 24 ₹12,423 30 Nov 25 ₹13,229 Returns for Aditya Birla Sun Life Arbitrage Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 12 Dec 25 Duration Returns 1 Month 0.5% 3 Month 1.4% 6 Month 2.8% 1 Year 6.4% 3 Year 7.1% 5 Year 5.8% 10 Year 15 Year Since launch 6.3% Historical performance (Yearly) on absolute basis
Year Returns 2024 7.5% 2023 7.1% 2022 4.1% 2021 3.8% 2020 4.1% 2019 6.2% 2018 6% 2017 5.6% 2016 6.5% 2015 7.6% Fund Manager information for Aditya Birla Sun Life Arbitrage Fund
Name Since Tenure Lovelish Solanki 15 Dec 14 10.88 Yr. Mohit Sharma 3 Mar 25 0.66 Yr. Krina Mehta 2 Oct 25 0.08 Yr. Data below for Aditya Birla Sun Life Arbitrage Fund as on 31 Oct 25
Asset Allocation
Asset Class Value Cash 93.54% Debt 6.86% Other 0.04% Equity Sector Allocation
Sector Value Financial Services 27.12% Consumer Cyclical 8.59% Basic Materials 8.41% Industrials 6.8% Energy 6.74% Consumer Defensive 4.79% Technology 4.21% Health Care 4.11% Communication Services 3.67% Utility 3.23% Real Estate 1.53% Debt Sector Allocation
Sector Value Cash Equivalent 90.03% Corporate 8.01% Government 2.3% Securitized 0.05% Credit Quality
Rating Value AA 21.98% AAA 78.02% Top Securities Holdings / Portfolio
Name Holding Value Quantity Aditya BSL Money Mgr Dir Gr
Investment Fund | -11% ₹2,585 Cr 67,406,765
↑ 2,607,517 Aditya BSL FRF Dir Gr
Investment Fund | -5% ₹1,158 Cr 31,635,768
↓ -5,500,000 Reliance Industries Ltd (Energy)
Equity, Since 30 Jun 18 | RELIANCE5% ₹1,153 Cr 7,754,500
↑ 149,000 Reliance_(25/11/2025)
Derivatives | -5% -₹1,130 Cr 7,550,500
↑ 6,988,000 Future on HDFC Bank Ltd
Derivatives | -4% -₹963 Cr 9,523,400
↑ 140,100 HDFC Bank Ltd (Financial Services)
Equity, Since 31 Dec 21 | HDFCBANK4% ₹936 Cr 9,485,300
↑ 155,100 Future on ICICI Bank Ltd
Derivatives | -3% -₹839 Cr 6,194,300
↑ 213,500 ICICI Bank Ltd (Financial Services)
Equity, Since 31 May 24 | ICICIBANK3% ₹833 Cr 6,194,300
↑ 213,500 Future on Axis Bank Ltd
Derivatives | -3% -₹680 Cr 5,479,375
↑ 71,250 Axis Bank Ltd (Financial Services)
Equity, Since 30 Sep 23 | 5322153% ₹675 Cr 5,479,375
↑ 71,250 7. Edelweiss Arbitrage Fund
Edelweiss Arbitrage Fund
Growth Launch Date 27 Jun 14 NAV (12 Dec 25) ₹19.8589 ↑ 0.00 (0.01 %) Net Assets (Cr) ₹16,687 on 31 Oct 25 Category Hybrid - Arbitrage AMC Edelweiss Asset Management Limited Rating ☆☆☆☆☆ Risk Moderately Low Expense Ratio 1.07 Sharpe Ratio 0.39 Information Ratio -1.4 Alpha Ratio -0.68 Min Investment 5,000 Min SIP Investment 500 Exit Load 0-30 Days (0.25%),30 Days and above(NIL) Growth of 10,000 investment over the years.
Date Value 30 Nov 20 ₹10,000 30 Nov 21 ₹10,408 30 Nov 22 ₹10,803 30 Nov 23 ₹11,585 30 Nov 24 ₹12,465 30 Nov 25 ₹13,269 Returns for Edelweiss Arbitrage Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 12 Dec 25 Duration Returns 1 Month 0.5% 3 Month 1.4% 6 Month 2.7% 1 Year 6.4% 3 Year 7.2% 5 Year 5.8% 10 Year 15 Year Since launch 6.2% Historical performance (Yearly) on absolute basis
Year Returns 2024 7.7% 2023 7.1% 2022 4.4% 2021 3.8% 2020 4.5% 2019 6.2% 2018 6.1% 2017 5.8% 2016 6.7% 2015 8% Fund Manager information for Edelweiss Arbitrage Fund
Name Since Tenure Bhavesh Jain 27 Jun 14 11.36 Yr. Amit Vora 6 Nov 24 0.99 Yr. Pranavi Kulkarni 1 Jul 24 1.34 Yr. Hetul Raval 22 Sep 25 0.11 Yr. Data below for Edelweiss Arbitrage Fund as on 31 Oct 25
Asset Allocation
Asset Class Value Cash 96.72% Debt 3.67% Other 0.03% Equity Sector Allocation
Sector Value Financial Services 25.68% Basic Materials 9.21% Energy 7.87% Technology 7% Consumer Cyclical 6.11% Industrials 5.9% Consumer Defensive 5.35% Health Care 3.98% Communication Services 3.54% Utility 3.51% Real Estate 1.33% Debt Sector Allocation
Sector Value Cash Equivalent 92.2% Corporate 4.78% Government 3.41% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity Edelweiss Liquid Dir Gr
Investment Fund | -8% ₹1,277 Cr 3,676,401
↑ 143,959 Future on Reliance Industries Ltd
Derivatives | -4% -₹728 Cr 4,865,500
↑ 234,500 Reliance Industries Ltd (Energy)
Equity, Since 30 Apr 18 | RELIANCE4% ₹723 Cr 4,865,500
↑ 234,500 Future on HDFC Bank Ltd
Derivatives | -4% -₹645 Cr 6,491,650
↓ -452,650 HDFC Bank Ltd (Financial Services)
Equity, Since 31 Mar 21 | HDFCBANK4% ₹641 Cr 6,491,650
↓ -452,650 Edelweiss Money Market Dir Gr
Investment Fund | -3% ₹425 Cr 132,665,055 Future on JSW Steel Ltd
Derivatives | -2% -₹340 Cr 2,804,625
↑ 61,425 Future on Axis Bank Ltd
Derivatives | -2% -₹340 Cr 2,736,875
↓ -1,174,375 JSW Steel Ltd (Basic Materials)
Equity, Since 31 Dec 24 | JSWSTEEL2% ₹338 Cr 2,804,625
↑ 61,425 Axis Bank Ltd (Financial Services)
Equity, Since 31 Jul 21 | 5322152% ₹337 Cr 2,736,875
↓ -1,174,375
Things to Consider as an Investor
1. Risk
As trades are carried out on the stock exchange, there’s no counter party risk involved in these funds. Even though the fund manager is buying and selling shares in cash and futures market, there is no risk exposure to equities as is the case with other diversified equity mutual funds. Though the ride looks smooth, do not get too comfortable with these funds. As more people start trading into arbitrage funds, there will be not many arbitrage opportunities available. The spread between cash and future market prices will erode, leaving little for the arbitrage focused investors.
2. Return
Arbitrage Funds may be a good opportunity to make reasonable returns for those who can understand it and then make the most of it. The fund manager tries to generate an Alpha using price differentials in markets. Historically, arbitrage funds have been found to give returns in the Range of 7%-8% over a period of 5-10 years. If you are looking to earn moderate returns via a Portfolio which has a perfect blend of debt and equity in a volatile market, arbitrage funds may be your thing. However, you need to keep one thing in mind that there are no guaranteed returns in arbitrage funds.
3. Cost
Cost becomes an important consideration while evaluating arbitrage funds. These funds charge an annual fee called expense ratio which is expressed as a percentage of the fund’s assets. It includes fund manager’s fee and fund management charges. Due to frequent trading, arbitrage funds would incur huge transaction costs and has a high turnover ratio. Additionally, the fund may levy exit loads for a period of 30 to 60 days to discourage investors from exiting early. All these costs may lead to increase in the expense ratio of the fund. A high expense ratio puts a downward pressure on your take-home returns.
4. Investment Horizon
Arbitrage funds may be suitable for investors having a short to medium term horizon of 3 to 5 years. As these funds charge exit loads, you may consider them only when you are ready to stay invested for a period of at least 3-6 months. At the same time, you need to understand that fund returns are highly dependent on the existence of high volatility. So, choosing a lump sum investment would make sense over Systematic investment plan (SIPs). In absence of volatility, liquid funds may give better returns than arbitrage funds over the same investment horizon. Hence, you need to keep the overall market scenario in mind while choosing arbitrage funds.
5. Financial Goals
If you have short to medium term Financial goals, then arbitrage funds are your thing. Instead of a regular savings bank account, you may use these funds to park excess funds in order to create an emergency fund and earn higher returns on them. In case you were already invested in riskier havens equity funds, then you may begin a Systematic Transfer Plan (STP) from the equity funds to a less risky haven like arbitrage funds as you approach completion of the financial goal. This would reduce your portfolio’s overall risk profile but at the same time reduce the returns also. You cannot expect to earn double-digit returns in arbitrage funds.
How to Invest in Arbitrage Funds Online?
Open Free Investment Account for Lifetime at Fincash.com.
Complete your Registration and KYC Process
Upload Documents (PAN, Aadhaar, etc.). And, You are Ready to Invest!
All efforts have been made to ensure the information provided here is accurate. However, no guarantees are made regarding correctness of data. Please verify with scheme information document before making any investment.
You Might Also Like
AMFI Registration No. 112358 | CIN: U74999MH2016PTC282153
Shepard Technologies Pvt. Ltd. (with ARN code 112358) makes no warranties or representations, express or implied, on products offered through the platform. It accepts no liability for any damages or losses, however caused, in connection with the use of, or on the reliance of its product or related services. Terms and conditions of the website are applicable.
©2025 Shepard Technologies Private Limited. All Rights Reserved
Research Highlights for UTI Arbitrage Fund