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Top 5 Best Banking and PSU Debt Funds 2023 - Fincash

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Top 5 Best Banking and PSU Debt Funds 2023

Updated on March 23, 2023 , 19178 views

Banking and PSU Debt Funds are the new sub-category introduced by the Securities and Exchange Board of India (SEBI) in the debt Mutual Fund category. These funds predominantly invests in debt and money market instruments consisting of securities issued by entities such as Banks, Public Financial Institutions, Public Sector Undertakings, etc. This option is considered to maintain an optimum balance of liquidity, safety, and yield.

The Banking and PSU Debt fund belongs to the short term category of debt funds that aims to offer secured returns and minimise risk by Investing in good-quality debt instruments predominately issued by banks and public sector undertakings. Investors who are keen to invest for a short duration, ideally for 2-3 years can invest in this scheme.

Here are some of the best performing Banking and PSU debt Funds 2023 - 2024.

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Banking-PSU-Funds

Top Performing Banking and PSU Debt Funds

FundNAVNet Assets (Cr)3 MO (%)6 MO (%)1 YR (%)3 YR (%)2022 (%)Debt Yield (YTM)Mod. DurationEff. Maturity
UTI Banking & PSU Debt Fund Growth ₹18.5085
↑ 0.00
₹5251.43.410.87.910.37.56%3Y 2M 23D3Y 11M 5D
HDFC Banking and PSU Debt Fund Growth ₹19.3538
↑ 0.00
₹4,8061.42.946.53.37.64%1Y 11M 20D3Y 1M 28D
ICICI Prudential Banking and PSU Debt Fund Growth ₹27.4505
↓ 0.00
₹7,2661.53.15.36.74.37.99%2Y 18D7Y 2M 12D
Kotak Banking and PSU Debt fund Growth ₹54.9609
↑ 0.01
₹5,2571.43.24.36.63.68.15%2Y 7M 2D6Y 10M 17D
Aditya Birla Sun Life Banking & PSU Debt Fund Growth ₹308.486
↑ 0.04
₹7,9941.53.14.26.73.77.76%2Y 4M 10D3Y 4M 13D
Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 24 Mar 23

Top 5 Best Performing Banking and PSU Debt Funds

1. UTI Banking & PSU Debt Fund

The investment objective of the scheme is to generate steady and reasonable income, with low risk and high level of liquidity from a portfolio of predominantly debt & money market securities by Banks and Public Sector Undertakings (PSUs).

UTI Banking & PSU Debt Fund is a Debt - Banking & PSU Debt fund was launched on 3 Feb 14. It is a fund with Moderate risk and has given a CAGR/Annualized return of 7% since its launch.  Ranked 3 in Banking & PSU Debt category.  Return for 2022 was 10.3% , 2021 was 2.8% and 2020 was 8.9% .

Below is the key information for UTI Banking & PSU Debt Fund

UTI Banking & PSU Debt Fund
Growth
Launch Date 3 Feb 14
NAV (24 Mar 23) ₹18.5085 ↑ 0.00   (0.01 %)
Net Assets (Cr) ₹525 on 28 Feb 23
Category Debt - Banking & PSU Debt
AMC UTI Asset Management Company Ltd
Rating
Risk Moderate
Expense Ratio 0.31
Sharpe Ratio 0.8
Information Ratio 0
Alpha Ratio 0
Min Investment 5,000
Min SIP Investment 500
Exit Load NIL
Yield to Maturity 7.56%
Effective Maturity 3 Years 11 Months 5 Days
Modified Duration 3 Years 2 Months 23 Days

Growth of 10,000 investment over the years.

DateValue
28 Feb 18₹10,000
28 Feb 19₹10,499
29 Feb 20₹10,696
28 Feb 21₹11,394
28 Feb 22₹11,837
28 Feb 23₹13,034

UTI Banking & PSU Debt Fund SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹180,000
expected amount after 3 Years is ₹197,169.
Net Profit of ₹17,169
Invest Now

Returns for UTI Banking & PSU Debt Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 24 Mar 23

DurationReturns
1 Month 0.8%
3 Month 1.4%
6 Month 3.4%
1 Year 10.8%
3 Year 7.9%
5 Year 5.5%
10 Year
15 Year
Since launch 7%
Historical performance (Yearly) on absolute basis
YearReturns
2022 10.3%
2021 2.8%
2020 8.9%
2019 -1%
2018 6.8%
2017 6.4%
2016 11.7%
2015 8.6%
2014
2013
Fund Manager information for UTI Banking & PSU Debt Fund
NameSinceTenure
Anurag Mittal1 Dec 211.17 Yr.

Data below for UTI Banking & PSU Debt Fund as on 28 Feb 23

Asset Allocation
Asset ClassValue
Cash5.77%
Debt94.23%
Debt Sector Allocation
SectorValue
Government47.38%
Corporate46.85%
Cash Equivalent5.77%
Credit Quality
RatingValue
AAA100%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
7.38 6/20/2027 12:00:00 Am
Sovereign Bonds | -
21%₹110 Cr1,100,000,000
↓ -150,000,000
Power Finance Corporation Ltd.
Debentures | -
7%₹40 Cr400
↑ 50
National Housing Bank
Debentures | -
7%₹40 Cr400
Axis Bank Limited
Debentures | -
6%₹30 Cr300
National Bank For Agriculture And Rural Development
Debentures | -
5%₹26 Cr250
Export Import Bank Of India
Debentures | -
5%₹25 Cr250
Indian Railway Finance Corporation Limited
Debentures | -
5%₹25 Cr250
Small Industries Development Bank Of India
Debentures | -
5%₹25 Cr250
Rec Limited
Debentures | -
5%₹25 Cr250
ICICI Bank Limited
Debentures | -
4%₹24 Cr250

2. HDFC Banking and PSU Debt Fund

To generate regular income through investments in debt and money market instruments consisting predominantly of securities issued by entities such as Scheduled Commercial Banks and Public Sector undertakings. There is no assurance that the investment objective of the Scheme will be realized.

HDFC Banking and PSU Debt Fund is a Debt - Banking & PSU Debt fund was launched on 26 Mar 14. It is a fund with Moderately Low risk and has given a CAGR/Annualized return of 7.6% since its launch.  Ranked 6 in Banking & PSU Debt category.  Return for 2022 was 3.3% , 2021 was 3.7% and 2020 was 10.6% .

Below is the key information for HDFC Banking and PSU Debt Fund

HDFC Banking and PSU Debt Fund
Growth
Launch Date 26 Mar 14
NAV (24 Mar 23) ₹19.3538 ↑ 0.00   (0.02 %)
Net Assets (Cr) ₹4,806 on 28 Feb 23
Category Debt - Banking & PSU Debt
AMC HDFC Asset Management Company Limited
Rating
Risk Moderately Low
Expense Ratio 0.81
Sharpe Ratio -1.91
Information Ratio 0
Alpha Ratio 0
Min Investment 5,000
Min SIP Investment 300
Exit Load NIL
Yield to Maturity 7.64%
Effective Maturity 3 Years 1 Month 28 Days
Modified Duration 1 Year 11 Months 20 Days

Growth of 10,000 investment over the years.

DateValue
28 Feb 18₹10,000
28 Feb 19₹10,687
29 Feb 20₹11,898
28 Feb 21₹12,805
28 Feb 22₹13,425
28 Feb 23₹13,903

HDFC Banking and PSU Debt Fund SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹180,000
expected amount after 3 Years is ₹200,132.
Net Profit of ₹20,132
Invest Now

Returns for HDFC Banking and PSU Debt Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 24 Mar 23

DurationReturns
1 Month 0.6%
3 Month 1.4%
6 Month 2.9%
1 Year 4%
3 Year 6.5%
5 Year 6.7%
10 Year
15 Year
Since launch 7.6%
Historical performance (Yearly) on absolute basis
YearReturns
2022 3.3%
2021 3.7%
2020 10.6%
2019 10.2%
2018 5.9%
2017 6.3%
2016 10.8%
2015 9.8%
2014
2013
Fund Manager information for HDFC Banking and PSU Debt Fund
NameSinceTenure
Anil Bamboli26 Mar 148.86 Yr.
Priya Ranjan1 May 220.76 Yr.

Data below for HDFC Banking and PSU Debt Fund as on 28 Feb 23

Asset Allocation
Asset ClassValue
Cash21.47%
Debt78.53%
Debt Sector Allocation
SectorValue
Government47.36%
Corporate41.9%
Cash Equivalent10.74%
Credit Quality
RatingValue
AA2.8%
AAA97.2%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
7.01 10/4/2028 12:00:00 Am
Sovereign Bonds | -
6%₹276 Cr28,000,000
7.1 4/18/2029 12:00:00 Am
Sovereign Bonds | -
4%₹193 Cr19,500,000
Small Industries Development Bank Of India
Debentures | -
4%₹174 Cr17,500
↑ 2,500
Power Finance Corporation Ltd.
Debentures | -
4%₹174 Cr1,750
Rural Electrification Corporation Limited
Debentures | -
3%₹149 Cr1,500
Housing And Urban Development Corporation Limited
Debentures | -
3%₹131 Cr1,250
State Bank Of India
Debentures | -
3%₹125 Cr1,250
State Bank Of India
Debentures | -
3%₹124 Cr1,300
6.79 5/15/2027 12:00:00 Am
Sovereign Bonds | -
2%₹103 Cr10,500,000
↓ -4,000,000
Mahanagar Telephone Nigam Limited.
Debentures | -
2%₹102 Cr1,000

3. ICICI Prudential Banking and PSU Debt Fund

The investment objective of the Scheme is to generate regular income through investments in a basket of debt and money market instruments consisting predominantly of securities issued by entities such as Banks and Public Sector Undertakings (PSU) with a view to providing reasonable returns,while maintaining an optimum balance of safety, liquidity and yield.

ICICI Prudential Banking and PSU Debt Fund is a Debt - Banking & PSU Debt fund was launched on 1 Jan 10. It is a fund with Moderate risk and has given a CAGR/Annualized return of 7.9% since its launch.  Ranked 13 in Banking & PSU Debt category.  Return for 2022 was 4.3% , 2021 was 4.2% and 2020 was 9.3% .

Below is the key information for ICICI Prudential Banking and PSU Debt Fund

ICICI Prudential Banking and PSU Debt Fund
Growth
Launch Date 1 Jan 10
NAV (24 Mar 23) ₹27.4505 ↓ 0.00   (0.00 %)
Net Assets (Cr) ₹7,266 on 28 Feb 23
Category Debt - Banking & PSU Debt
AMC ICICI Prudential Asset Management Company Limited
Rating
Risk Moderate
Expense Ratio 0.8
Sharpe Ratio -0.64
Information Ratio 0
Alpha Ratio 0
Min Investment 5,000
Min SIP Investment 100
Exit Load NIL
Yield to Maturity 7.99%
Effective Maturity 7 Years 2 Months 12 Days
Modified Duration 2 Years 18 Days

Growth of 10,000 investment over the years.

DateValue
28 Feb 18₹10,000
28 Feb 19₹10,612
29 Feb 20₹11,782
28 Feb 21₹12,634
28 Feb 22₹13,221
28 Feb 23₹13,863

ICICI Prudential Banking and PSU Debt Fund SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹180,000
expected amount after 3 Years is ₹200,132.
Net Profit of ₹20,132
Invest Now

Returns for ICICI Prudential Banking and PSU Debt Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 24 Mar 23

DurationReturns
1 Month 0.5%
3 Month 1.5%
6 Month 3.1%
1 Year 5.3%
3 Year 6.7%
5 Year 6.7%
10 Year
15 Year
Since launch 7.9%
Historical performance (Yearly) on absolute basis
YearReturns
2022 4.3%
2021 4.2%
2020 9.3%
2019 10.1%
2018 5.7%
2017 5.6%
2016 12.6%
2015 8.6%
2014 10.5%
2013 8.9%
Fund Manager information for ICICI Prudential Banking and PSU Debt Fund
NameSinceTenure
Rahul Goswami27 Sep 1210.35 Yr.
Chandni Gupta15 Jan 158.05 Yr.

Data below for ICICI Prudential Banking and PSU Debt Fund as on 28 Feb 23

Asset Allocation
Asset ClassValue
Cash31.91%
Debt68.09%
Debt Sector Allocation
SectorValue
Government55.99%
Corporate38%
Cash Equivalent6.01%
Credit Quality
RatingValue
AA8.26%
AAA91.74%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
7.42 9/22/2033 12:00:00 Am
Sovereign Bonds | -
20%₹1,477 Cr148,559,470
Small Industries Development Bank Of India
Debentures | -
8%₹604 Cr6,100
7.69 10/30/2034 12:00:00 Am
Sovereign Bonds | -
8%₹565 Cr57,936,820
ICICI Bank Limited
Debentures | -
5%₹372 Cr3,710
↓ -90
National Bank For Agriculture And Rural Development
Debentures | -
3%₹249 Cr25,000
Bharat Sanchar Nigam Limited
Debentures | -
3%₹240 Cr2,540
National Bank For Agriculture And Rural Development
Debentures | -
3%₹224 Cr22,500
↑ 7,500
State Bank Of India
Debentures | -
2%₹133 Cr1,319
Mahanagar Telephone Nigam Limited.
Debentures | -
2%₹125 Cr1,301
State Bank Of India
Debentures | -
1%₹105 Cr1,050

4. Kotak Banking and PSU Debt fund

To generate income by predominantly investing in debt & money market securities issued by Banks & PSUs and Reverse Repos in such securities, sovereign securities issued by the Central Government and State Governments, and / or any security unconditionally guaranteed by the Govt. of India.

Kotak Banking and PSU Debt fund is a Debt - Banking & PSU Debt fund was launched on 29 Dec 98. It is a fund with Moderately Low risk and has given a CAGR/Annualized return of since its launch.  Ranked 19 in Banking & PSU Debt category.  Return for 2022 was 3.6% , 2021 was 3.9% and 2020 was 10.5% .

Below is the key information for Kotak Banking and PSU Debt fund

Kotak Banking and PSU Debt fund
Growth
Launch Date 29 Dec 98
NAV (24 Mar 23) ₹54.9609 ↑ 0.01   (0.02 %)
Net Assets (Cr) ₹5,257 on 28 Feb 23
Category Debt - Banking & PSU Debt
AMC Kotak Mahindra Asset Management Co Ltd
Rating
Risk Moderately Low
Expense Ratio 0.59
Sharpe Ratio -1.39
Information Ratio 0
Alpha Ratio 0
Min Investment 5,000
Min SIP Investment 1,000
Exit Load NIL
Yield to Maturity 8.15%
Effective Maturity 6 Years 10 Months 17 Days
Modified Duration 2 Years 7 Months 2 Days

Growth of 10,000 investment over the years.

DateValue
28 Feb 18₹10,000
28 Feb 19₹10,760
29 Feb 20₹12,032
28 Feb 21₹12,926
28 Feb 22₹13,592
28 Feb 23₹14,100

Kotak Banking and PSU Debt fund SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹180,000
expected amount after 3 Years is ₹203,125.
Net Profit of ₹23,125
Invest Now

Returns for Kotak Banking and PSU Debt fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 24 Mar 23

DurationReturns
1 Month 0.7%
3 Month 1.4%
6 Month 3.2%
1 Year 4.3%
3 Year 6.6%
5 Year 7.1%
10 Year
15 Year
Since launch
Historical performance (Yearly) on absolute basis
YearReturns
2022 3.6%
2021 3.9%
2020 10.5%
2019 10.8%
2018 6.7%
2017 6.2%
2016 10%
2015 8.6%
2014 9.5%
2013 9.8%
Fund Manager information for Kotak Banking and PSU Debt fund
NameSinceTenure
Deepak Agrawal15 Apr 0814.81 Yr.
Abhishek Bisen1 Nov 220.25 Yr.
Vihag Mishra1 Mar 220.92 Yr.

Data below for Kotak Banking and PSU Debt fund as on 28 Feb 23

Asset Allocation
Asset ClassValue
Cash12.33%
Debt87.67%
Debt Sector Allocation
SectorValue
Government53.04%
Corporate44.96%
Cash Equivalent2%
Credit Quality
RatingValue
AA10.96%
AAA89.04%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
7.42 9/22/2033 12:00:00 Am
Sovereign Bonds | -
14%₹715 Cr71,940,613
Housing Development Finance Corporation Limited
Debentures | -
5%₹252 Cr2,550
Small Industries Development Bank Of India
Debentures | -
4%₹199 Cr20,000
National Bank For Agriculture And Rural Development
Debentures | -
4%₹193 Cr1,950
7.69 12/7/2031 12:00:00 Am
Sovereign Bonds | -
4%₹189 Cr19,000,000
Union Bank of India
Domestic Bonds | -
3%₹163 Cr17,500
↑ 17,500
Rural Electrification Corporation Limited
Debentures | -
3%₹159 Cr1,600
Bank Of Baroda
Debentures | -
3%₹155 Cr1,550
National Bank For Agriculture And Rural Development
Debentures | -
3%₹149 Cr15,000
↑ 15,000
Power Finance Corporation Ltd.
Debentures | -
3%₹148 Cr1,500

5. Aditya Birla Sun Life Banking & PSU Debt Fund

(Erstwhile Aditya Birla Sun Life Treasury Optimizer Fund)

An Open-ended short term income scheme with the objective to generate income and capital appreciation by investing 100% of the corpus in a diversified portfolio of debt and money market securities with relatively low levels of interest rate risk.

Aditya Birla Sun Life Banking & PSU Debt Fund is a Debt - Banking & PSU Debt fund was launched on 9 May 08. It is a fund with Moderate risk and has given a CAGR/Annualized return of 7.9% since its launch.  Ranked 9 in Banking & PSU Debt category.  Return for 2022 was 3.7% , 2021 was 3.6% and 2020 was 10.9% .

Below is the key information for Aditya Birla Sun Life Banking & PSU Debt Fund

Aditya Birla Sun Life Banking & PSU Debt Fund
Growth
Launch Date 9 May 08
NAV (24 Mar 23) ₹308.486 ↑ 0.04   (0.01 %)
Net Assets (Cr) ₹7,994 on 28 Feb 23
Category Debt - Banking & PSU Debt
AMC Birla Sun Life Asset Management Co Ltd
Rating
Risk Moderate
Expense Ratio 0.68
Sharpe Ratio -1.58
Information Ratio 0
Alpha Ratio 0
Min Investment 1,000
Min SIP Investment 1,000
Exit Load NIL
Yield to Maturity 7.76%
Effective Maturity 3 Years 4 Months 13 Days
Modified Duration 2 Years 4 Months 10 Days

Growth of 10,000 investment over the years.

DateValue
28 Feb 18₹10,000
28 Feb 19₹10,730
29 Feb 20₹11,926
28 Feb 21₹12,846
28 Feb 22₹13,506
28 Feb 23₹14,026

Aditya Birla Sun Life Banking & PSU Debt Fund SIP Returns

   
My Monthly Investment:
Investment Tenure:
Years
Expected Annual Returns:
%
Total investment amount is ₹180,000
expected amount after 3 Years is ₹200,132.
Net Profit of ₹20,132
Invest Now

Returns for Aditya Birla Sun Life Banking & PSU Debt Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 24 Mar 23

DurationReturns
1 Month 0.6%
3 Month 1.5%
6 Month 3.1%
1 Year 4.2%
3 Year 6.7%
5 Year 6.9%
10 Year
15 Year
Since launch 7.9%
Historical performance (Yearly) on absolute basis
YearReturns
2022 3.7%
2021 3.6%
2020 10.9%
2019 9.9%
2018 6.6%
2017 5.6%
2016 12.3%
2015 8.5%
2014 12.5%
2013 9.6%
Fund Manager information for Aditya Birla Sun Life Banking & PSU Debt Fund
NameSinceTenure
Kaustubh Gupta29 Sep 0913.35 Yr.
Harshil Suvarnkar22 Mar 211.87 Yr.

Data below for Aditya Birla Sun Life Banking & PSU Debt Fund as on 28 Feb 23

Asset Allocation
Asset ClassValue
Cash21.08%
Debt78.92%
Debt Sector Allocation
SectorValue
Corporate47.93%
Government46.29%
Cash Equivalent5.79%
Credit Quality
RatingValue
AA3.56%
AAA96.44%
Top Securities Holdings / Portfolio
NameHoldingValueQuantity
HDFC Bank Limited
Debentures | -
4%₹288 Cr290
↓ -25
Housing And Urban Development Corporation Limited
Debentures | -
3%₹273 Cr2,750
Small Industries Development Bank Of India
Debentures | -
3%₹254 Cr25,500
↑ 3,000
National Bank For Agriculture And Rural Development
Debentures | -
3%₹239 Cr24,000
↑ 24,000
State Bank Of India
Debentures | -
2%₹177 Cr1,850
State Bank Of India
Debentures | -
2%₹175 Cr1,850
National Bank For Agriculture And Rural Development
Debentures | -
2%₹154 Cr1,550
↑ 300
National Bank For Agriculture And Rural Development
Debentures | -
2%₹149 Cr15,000
↑ 7,500
Housing And Urban Development Corporation Limited
Debentures | -
2%₹144 Cr1,450
Hdb Financial Services Limited
Debentures | -
2%₹135 Cr1,350

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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.
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