+91-22-489139097 Best Performing Infrastructure Mutual Funds 2026 – 2027
With India’s rising Capital Expenditure and renewed private participation, the infrastructure sector is once again attracting strong investor attention. From green energy and transport corridors to digital connectivity, the next wave of growth is expected to come from infrastructure-linked companies — making these funds an exciting long-term theme.
The infrastructure story of India has always been a symbol of growth and resilience. From highways and power grids to airports and digital networks, every milestone has strengthened the country’s economic foundations.
Over the past decade, infrastructure as a theme has played a pivotal role in India’s development narrative. A major boost came when the government intensified its focus on connectivity, smart cities, logistics, renewable energy, and affordable housing.
This renewed focus has translated into higher capital expenditure, stronger investor confidence, and steady performance among infrastructure-linked companies. No wonder, infrastructure Mutual Funds are once again in the spotlight for long-term investors.
What are Infrastructure Mutual Funds?
Infrastructure mutual funds are sectoral Equity Funds that invest primarily in companies engaged in the development, construction, and operation of infrastructure projects.
These may include businesses in -
- Power and energy
- Metals and mining
- Construction and Real Estate
- Logistics and transportation
- Telecom and utilities
Because they are sector-specific, their returns are directly linked to how well India’s infrastructure sector performs.
💡 Example - When the government increases capital spending on roads and railways, stocks of construction, cement, and steel companies often see a rally — which benefits infrastructure funds.
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Why Infrastructure Funds Are in the Spotlight
Strong Government Push - Increased capital expenditure on transport, energy, and logistics networks.
Private Participation - Growing PPP (Public-Private Partnership) projects across highways, ports, and airports.
Rising Urbanisation - Demand for housing, power, and smart infrastructure is rising rapidly.
Long-Term Growth Theme - India’s GDP expansion is directly tied to infrastructure capacity.
As a result, many top-performing infrastructure funds have delivered strong double-digit returns in the recent past.
Fund selection Methodology used to Select 8 Best Gold Funds
7 Best Infrastructure Sector Funds in India FY 26 - 27
Fund NAV Net Assets (Cr) 3 MO (%) 6 MO (%) 1 YR (%) 3 YR (%) 5 YR (%) 2025 (%) Franklin Build India Fund Growth ₹146.988
↑ 1.19 ₹3,214 6.4 4.3 5.6 22.6 21 3.7 Bandhan Infrastructure Fund Growth ₹49.859
↑ 0.34 ₹1,502 13.3 5.3 -0.4 19.6 18.7 -6.9 DSP India T.I.G.E.R Fund Growth ₹360.598
↑ 3.90 ₹5,789 16.6 16.5 16.8 25 23.7 -2.5 Nippon India Power and Infra Fund Growth ₹385.256
↑ 3.16 ₹7,707 13.9 13 12.2 23.8 23.6 -0.5 Kotak Infrastructure & Economic Reform Fund Growth ₹68.907
↑ 0.59 ₹2,373 12.7 7.3 6.6 17.2 20.3 -3.7 Aditya Birla Sun Life Infrastructure Fund Growth ₹105.75
↑ 1.05 ₹1,169 16.9 12.8 13.5 20.2 19.6 0.7 Invesco India Infrastructure Fund Growth ₹68.34
↑ 0.95 ₹1,457 20.1 15.1 6.5 22.4 21.1 -7.1 Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 17 Jun 26 Research Highlights & Commentary of 7 Funds showcased
Commentary Franklin Build India Fund Bandhan Infrastructure Fund DSP India T.I.G.E.R Fund Nippon India Power and Infra Fund Kotak Infrastructure & Economic Reform Fund Aditya Birla Sun Life Infrastructure Fund Invesco India Infrastructure Fund Point 1 Upper mid AUM (₹3,214 Cr). Lower mid AUM (₹1,502 Cr). Upper mid AUM (₹5,789 Cr). Highest AUM (₹7,707 Cr). Lower mid AUM (₹2,373 Cr). Bottom quartile AUM (₹1,169 Cr). Bottom quartile AUM (₹1,457 Cr). Point 2 Established history (16+ yrs). Established history (15+ yrs). Oldest track record among peers (22 yrs). Established history (22+ yrs). Established history (18+ yrs). Established history (20+ yrs). Established history (18+ yrs). Point 3 Top rated. Rating: 5★ (upper mid). Rating: 4★ (upper mid). Rating: 4★ (lower mid). Rating: 4★ (lower mid). Rating: 3★ (bottom quartile). Rating: 3★ (bottom quartile). Point 4 Risk profile: High. Risk profile: High. Risk profile: High. Risk profile: High. Risk profile: High. Risk profile: High. Risk profile: High. Point 5 5Y return: 20.96% (lower mid). 5Y return: 18.68% (bottom quartile). 5Y return: 23.66% (top quartile). 5Y return: 23.64% (upper mid). 5Y return: 20.26% (lower mid). 5Y return: 19.55% (bottom quartile). 5Y return: 21.11% (upper mid). Point 6 3Y return: 22.57% (upper mid). 3Y return: 19.64% (bottom quartile). 3Y return: 25.03% (top quartile). 3Y return: 23.77% (upper mid). 3Y return: 17.23% (bottom quartile). 3Y return: 20.19% (lower mid). 3Y return: 22.44% (lower mid). Point 7 1Y return: 5.57% (bottom quartile). 1Y return: -0.36% (bottom quartile). 1Y return: 16.81% (top quartile). 1Y return: 12.25% (upper mid). 1Y return: 6.58% (lower mid). 1Y return: 13.49% (upper mid). 1Y return: 6.55% (lower mid). Point 8 Alpha: 0.00 (lower mid). Alpha: 0.00 (lower mid). Alpha: 0.00 (bottom quartile). Alpha: 7.84 (upper mid). Alpha: 5.47 (upper mid). Alpha: 8.54 (top quartile). Alpha: 0.00 (bottom quartile). Point 9 Sharpe: 0.37 (lower mid). Sharpe: 0.06 (bottom quartile). Sharpe: 0.68 (top quartile). Sharpe: 0.54 (upper mid). Sharpe: 0.41 (lower mid). Sharpe: 0.55 (upper mid). Sharpe: 0.28 (bottom quartile). Point 10 Information ratio: 0.00 (upper mid). Information ratio: 0.00 (lower mid). Information ratio: 0.00 (lower mid). Information ratio: 0.64 (top quartile). Information ratio: -0.18 (bottom quartile). Information ratio: 0.05 (upper mid). Information ratio: 0.00 (bottom quartile). Franklin Build India Fund
Bandhan Infrastructure Fund
DSP India T.I.G.E.R Fund
Nippon India Power and Infra Fund
Kotak Infrastructure & Economic Reform Fund
Aditya Birla Sun Life Infrastructure Fund
Invesco India Infrastructure Fund
All the funds mentioned above are ideal, we are giving you detailed analysis of 5 funds.
The Scheme seeks to achieve capital appreciation by investing in companies engaged directly or indirectly in infrastructure related activities. Below is the key information for Franklin Build India Fund Returns up to 1 year are on The investment objective of the scheme is to seek to generate long-term capital growth through an active diversified portfolio of predominantly equity and equity related instruments of companies that are participating in and benefiting from growth in Indian infrastructure and infrastructural related activities. However, there can be no assurance that the investment objective of the scheme will be realized. Research Highlights for Bandhan Infrastructure Fund Below is the key information for Bandhan Infrastructure Fund Returns up to 1 year are on To generate capital appreciation, from a portfolio that is substantially constituted of equity securities and equity related securities of corporates, which could benefit from structural changes brought about by continuing liberalization in economic policies by the government and/or continuing investments in infrastructure, both by the public and private sector. Research Highlights for DSP India T.I.G.E.R Fund Below is the key information for DSP India T.I.G.E.R Fund Returns up to 1 year are on (Erstwhile Reliance Diversified Power Sector Fund) The primary investment objective of the scheme is to generate long term capital appreciation by investing predominantly in equity and equity related securities of companies in the power sector. Research Highlights for Nippon India Power and Infra Fund Below is the key information for Nippon India Power and Infra Fund Returns up to 1 year are on The investment objective of the Scheme is to generate long-term capital appreciation from a diversified portfolio of predominantly (at least 65%) equity and equity-related securities of companies involved in economic development of India as a result of potential investments in infrastructure and unfolding economic reforms. Research Highlights for Kotak Infrastructure & Economic Reform Fund Below is the key information for Kotak Infrastructure & Economic Reform Fund Returns up to 1 year are on 1. Franklin Build India Fund
Franklin Build India Fund
Growth Launch Date 4 Sep 09 NAV (17 Jun 26) ₹146.988 ↑ 1.19 (0.82 %) Net Assets (Cr) ₹3,214 on 30 Apr 26 Category Equity - Sectoral AMC Franklin Templeton Asst Mgmt(IND)Pvt Ltd Rating ☆☆☆☆☆ Risk High Expense Ratio 2.01 Sharpe Ratio 0.37 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 500 Exit Load 0-1 Years (1%),1 Years and above(NIL) Growth of 10,000 investment over the years.
Date Value Returns for Franklin Build India Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 17 Jun 26 Duration Returns 1 Month 1.2% 3 Month 6.4% 6 Month 4.3% 1 Year 5.6% 3 Year 22.6% 5 Year 21% 10 Year 15 Year Since launch 17.4% Historical performance (Yearly) on absolute basis
Year Returns 2025 3.7% 2024 27.8% 2023 51.1% 2022 11.2% 2021 45.9% 2020 5.4% 2019 6% 2018 -10.7% 2017 43.3% 2016 8.4% Fund Manager information for Franklin Build India Fund
Name Since Tenure Data below for Franklin Build India Fund as on 30 Apr 26
Equity Sector Allocation
Sector Value Asset Allocation
Asset Class Value Top Securities Holdings / Portfolio
Name Holding Value Quantity 2. Bandhan Infrastructure Fund
Bandhan Infrastructure Fund
Growth Launch Date 8 Mar 11 NAV (17 Jun 26) ₹49.859 ↑ 0.34 (0.69 %) Net Assets (Cr) ₹1,502 on 30 Apr 26 Category Equity - Sectoral AMC IDFC Asset Management Company Limited Rating ☆☆☆☆☆ Risk High Expense Ratio 2.1 Sharpe Ratio 0.06 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 100 Exit Load 0-365 Days (1%),365 Days and above(NIL) Growth of 10,000 investment over the years.
Date Value Returns for Bandhan Infrastructure Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 17 Jun 26 Duration Returns 1 Month 4% 3 Month 13.3% 6 Month 5.3% 1 Year -0.4% 3 Year 19.6% 5 Year 18.7% 10 Year 15 Year Since launch 11.1% Historical performance (Yearly) on absolute basis
Year Returns 2025 -6.9% 2024 39.3% 2023 50.3% 2022 1.7% 2021 64.8% 2020 6.3% 2019 -5.3% 2018 -25.9% 2017 58.7% 2016 10.7% Fund Manager information for Bandhan Infrastructure Fund
Name Since Tenure Data below for Bandhan Infrastructure Fund as on 30 Apr 26
Equity Sector Allocation
Sector Value Asset Allocation
Asset Class Value Top Securities Holdings / Portfolio
Name Holding Value Quantity 3. DSP India T.I.G.E.R Fund
DSP India T.I.G.E.R Fund
Growth Launch Date 11 Jun 04 NAV (17 Jun 26) ₹360.598 ↑ 3.90 (1.09 %) Net Assets (Cr) ₹5,789 on 30 Apr 26 Category Equity - Sectoral AMC DSP BlackRock Invmt Managers Pvt. Ltd. Rating ☆☆☆☆ Risk High Expense Ratio 1.89 Sharpe Ratio 0.68 Information Ratio 0 Alpha Ratio 0 Min Investment 1,000 Min SIP Investment 500 Exit Load 0-12 Months (1%),12 Months and above(NIL) Growth of 10,000 investment over the years.
Date Value Returns for DSP India T.I.G.E.R Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 17 Jun 26 Duration Returns 1 Month 3.6% 3 Month 16.6% 6 Month 16.5% 1 Year 16.8% 3 Year 25% 5 Year 23.7% 10 Year 15 Year Since launch 17.7% Historical performance (Yearly) on absolute basis
Year Returns 2025 -2.5% 2024 32.4% 2023 49% 2022 13.9% 2021 51.6% 2020 2.7% 2019 6.7% 2018 -17.2% 2017 47% 2016 4.1% Fund Manager information for DSP India T.I.G.E.R Fund
Name Since Tenure Data below for DSP India T.I.G.E.R Fund as on 30 Apr 26
Equity Sector Allocation
Sector Value Asset Allocation
Asset Class Value Top Securities Holdings / Portfolio
Name Holding Value Quantity 4. Nippon India Power and Infra Fund
Nippon India Power and Infra Fund
Growth Launch Date 8 May 04 NAV (17 Jun 26) ₹385.256 ↑ 3.16 (0.83 %) Net Assets (Cr) ₹7,707 on 30 Apr 26 Category Equity - Sectoral AMC Nippon Life Asset Management Ltd. Rating ☆☆☆☆ Risk High Expense Ratio 1.85 Sharpe Ratio 0.54 Information Ratio 0.64 Alpha Ratio 7.84 Min Investment 5,000 Min SIP Investment 100 Exit Load 0-1 Years (1%),1 Years and above(NIL) Growth of 10,000 investment over the years.
Date Value Returns for Nippon India Power and Infra Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 17 Jun 26 Duration Returns 1 Month 2.3% 3 Month 13.9% 6 Month 13% 1 Year 12.2% 3 Year 23.8% 5 Year 23.6% 10 Year 15 Year Since launch 18% Historical performance (Yearly) on absolute basis
Year Returns 2025 -0.5% 2024 26.9% 2023 58% 2022 10.9% 2021 48.9% 2020 10.8% 2019 -2.9% 2018 -21.1% 2017 61.7% 2016 0.1% Fund Manager information for Nippon India Power and Infra Fund
Name Since Tenure Data below for Nippon India Power and Infra Fund as on 30 Apr 26
Equity Sector Allocation
Sector Value Asset Allocation
Asset Class Value Top Securities Holdings / Portfolio
Name Holding Value Quantity 5. Kotak Infrastructure & Economic Reform Fund
Kotak Infrastructure & Economic Reform Fund
Growth Launch Date 25 Feb 08 NAV (17 Jun 26) ₹68.907 ↑ 0.59 (0.86 %) Net Assets (Cr) ₹2,373 on 30 Apr 26 Category Equity - Sectoral AMC Kotak Mahindra Asset Management Co Ltd Rating ☆☆☆☆ Risk High Expense Ratio 2.01 Sharpe Ratio 0.41 Information Ratio -0.18 Alpha Ratio 5.47 Min Investment 5,000 Min SIP Investment 1,000 Exit Load 0-1 Years (1%),1 Years and above(NIL) Growth of 10,000 investment over the years.
Date Value Returns for Kotak Infrastructure & Economic Reform Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 17 Jun 26 Duration Returns 1 Month 4.1% 3 Month 12.7% 6 Month 7.3% 1 Year 6.6% 3 Year 17.2% 5 Year 20.3% 10 Year 15 Year Since launch 11.1% Historical performance (Yearly) on absolute basis
Year Returns 2025 -3.7% 2024 32.4% 2023 37.3% 2022 15.6% 2021 57.3% 2020 3.4% 2019 3.6% 2018 -19.6% 2017 45.3% 2016 9.2% Fund Manager information for Kotak Infrastructure & Economic Reform Fund
Name Since Tenure Data below for Kotak Infrastructure & Economic Reform Fund as on 30 Apr 26
Equity Sector Allocation
Sector Value Asset Allocation
Asset Class Value Top Securities Holdings / Portfolio
Name Holding Value Quantity
Note: Always review the fund’s performance over multiple timeframes — 1 year, 3 years, and 5 years — to assess consistency.
How to Pick Best Infrastructure Funds to Invest
Some of the important parameters to choose a right infrastructure fund are:
1. Performance Consistency
Choose funds that have consistently outperformed their benchmark indices (like Nifty Infrastructure Index) across at least 4–5 years. Avoid being swayed by short-term returns.
2. Fund Size (AUM)
An ideal AUM should be neither too small nor too large. A mid-sized fund often allows better flexibility and liquidity.
3. Fund House & Manager Track Record
The experience of the fund manager and the credibility of the AMC matter greatly. Review how their other funds have performed in volatile markets.
4. Investment Horizon
Since infrastructure is a cyclical sector, investors should have a long-term horizon (ideally 5+ years) to ride out short-term Volatility.
5. Risk Profile
These are high-risk, high-reward investments. Investors with moderate-to-high risk tolerance and knowledge of equity markets are better suited for them.
Key Government Initiatives Supporting Infrastructure Growth
India has outlined several long-term initiatives to boost its infrastructure ecosystem. Some of the key focus areas include:
National Infrastructure Pipeline (NIP) - A multi-trillion rupee plan to strengthen core infrastructure projects across the nation.
PM Gati Shakti - A unified platform to coordinate infrastructure development across ministries for faster execution.
Smart Cities Mission - Urban renewal and retrofitting initiatives for sustainable city development.
Affordable Housing and Power for All - Continued emphasis on housing, roads, and electrification.
Renewable Energy Expansion - Focus on solar, wind, and green hydrogen infrastructure.
Together, these initiatives aim to build the backbone for India’s economic growth in the decades ahead.
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Should You Invest in Infrastructure Funds?
✅ Ideal For:
- Long-term investors (5+ years)
- Those who believe in India’s infrastructure growth story
- Investors seeking thematic exposure within their diversified Portfolio
🚫 Avoid If:
- You prefer short-term returns
- You have low risk tolerance
- You don’t track sectoral developments
Pro Tip - Limit exposure to 10–15% of your total equity portfolio to manage sector risk effectively.
How to Invest in Infrastructure Funds?
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!
FAQs on Infrastructure Funds
1. Are infrastructure funds suitable for beginners?
A: Not ideally. These funds are best for investors who understand equity market cycles and can stay invested long term.
2. How are infrastructure funds taxed?
A: They are treated like equity funds — short-term gains (less than 1 year) are taxed at 15%, and long-term gains (above ₹1 lakh) are taxed at 10%.
3. How much should I invest in this theme?
A: Generally, not more than 10–15% of your total equity portfolio.
4. What is the benchmark index for these funds?
A: Most funds track the Nifty Infrastructure Index or S&P BSE India Infrastructure Index.
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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Research Highlights for Franklin Build India Fund