Nippon India Arbitrage Fund Vs ICICI Prudential Equity Arbitrage Fund

Updated on September 3, 2025 , 991 views

Nippon India Arbitrage Fund (Formerly known as Reliance Arbitrage Fund)and ICICI Prudential Equity Arbitrage Fund both belong to the arbitrage category of Hybrid Fund. Arbitrage funds are a type of Mutual Funds that leverage on the price differences of different markets to earn profits. Arbitrage Funds are named after the arbitrage strategy that they use. The returns of these funds are dependent on the Volatility of the invested asset on the Market. They make use of the market inefficiencies to generate returns for their investors. Though both Reliance/Nippon India Arbitrage Fund Vs ICICI Prudential Equity Arbitrage Fund belong to the same category there differ in some parameters like AUM, NAV, performances, etc. So, to make a better investment decision, let's have a look at both the schemes in a detailed manner.

Nippon India Arbitrage Fund (Formerly Reliance Arbitrage Fund)

Important Information: From October 2019, Reliance Mutual Fund has been renamed as Nippon India Mutual Fund. Nippon Life has acquired majority (75%) stakes in Reliance Nippon Asset Management (RNAM). The company will continue to run its operations without any change in structure and management.

Nippon India Arbitrage Advantage Fund was launched in the year 2010. The fund seeks to generate Income by taking advantage of the arbitrage opportunities that potentially exists between cash and derivative market. As the fund also invests in debt and money market securities, it profits from regular income.

Some of the top holdings of Reliance/Nippon Arbitrage Fund as on 30th June 2018 are Cash Offset For Derivatives, HDFC Bank Ltd, Housing Development Finance Corp Ltd, Axis Bank Ltd, ICICI Bank Ltd. etc.

ICICI Prudential Equity Arbitrage Fund

ICICI Prudential Equity Arbitrage Fund was launched in the year 2006. The aim of the fund is to generate low volatility returns by using arbitrage and other derivative strategies in equity markets and investments in short-term debt Portfolio.

Some of the top holdings of the fund as on 30th June 2018 are Cash Offset For Derivatives, Housing Development Finance Corp Ltd, Sun Pharmaceuticals Industries Ltd, Housing Development Finance Corporation Limited, etc.

Nippon India Arbitrage Fund Vs ICICI Prudential Equity Arbitrage Fund

Both Nippon India Arbitrage Fund Vs ICICI Prudential Equity Arbitrage Fund belong to the same category of arbitrage fund. However, there are numerous differences between them. So, let us analyze the differences between both the schemes on the Basis of four sections given below.

Basics Section

Being the first section, it compares parameters such as current NAV, AUM, scheme category, Fincash Rating, and many more. With respect the sub category, both the scheme belong to Arbitrage Category

Based on Fincash Rating, it can be said that both the funds are rated as 4-Star.

The summary of the basics section is tabulated as follows.

Parameters
Basics	NAV
	Net Assets (Cr)
	Launch Date
	Rating
	Category
	Sub Cat.
	Category Rank
	Risk
	Expense Ratio
	Sharpe Ratio
	Information Ratio
	Alpha Ratio
	Benchmark
	Exit Load

Nippon India Arbitrage Fund Growth Fund Details
₹26.7916 ↓ -0.02 (-0.06 %)
₹15,383 on 31 Jul 25
14 Oct 10
☆☆☆☆
Hybrid
Arbitrage
3
Moderately Low
1.07
0.26
0
0
Not Available
0-1 Months (0.25%),1 Months and above(NIL)

ICICI Prudential Equity Arbitrage Fund Growth Fund Details
₹34.649 ↓ -0.02 (-0.06 %)
₹31,526 on 31 Jul 25
30 Dec 06
☆☆☆☆
Hybrid
Arbitrage
4
Moderate
0.9
1.21
0
0
Not Available
0-1 Months (0.25%),1 Months and above(NIL)

Performance Section

Compounded Annual Growth Rate or CAGR returns is the comparable parameter forming part of the basics section. The CAGR returns are compared at different time intervals such as 1 Month Return, 6 Month Return, 3 Year Return, and Return since Inception. The comparison of performance section shows that Reliance Arbitrage Fund has performed better than ICICI Prudential Equity Arbitrage Fund. The table given below summarizes the comparison of the performance section.

Parameters
Performance	1 Month
	3 Month
	6 Month
	1 Year
	3 Year
	5 Year
	Since launch

Nippon India Arbitrage Fund Growth Fund Details
0.3%
1.4%
3.1%
6.4%
6.9%
5.6%
6.8%

ICICI Prudential Equity Arbitrage Fund Growth Fund Details
0.3%
1.4%
3.3%
6.7%
7%
5.7%
6.9%

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Yearly Performance Section

The comparison of the absolute returns for a particular year earned by both the schemes is done in the yearly performance section. The comparison of absolute returns states that both the funds have n performed closely. The table given below shows the summary comparison of the absolute returns section.

Parameters
Yearly Performance	2024
	2023
	2022
	2021
	2020

Nippon India Arbitrage Fund Growth Fund Details
7.5%
7%
4.2%
3.8%
4.3%

ICICI Prudential Equity Arbitrage Fund Growth Fund Details
7.6%
7.1%
4.2%
3.9%
4.3%

Other Details Section

Being the last section in the comparison, it includes parameters such as minimum SIP investment and minimum lumpsum investment. The minimum lump sum investment for both the schemes is same, that is, INR 5,000. However, the minimum SIP investment is different for both the schemes. The SIP amount in case of ICICI Prudential Equity Arbitrage Fund is INR 1,000 and of Reliance Arbitrage Fund is INR 100.

ICICI Prudential Equity Arbitrage Fund is jointly managed by Kayzad Eghlim and Manish Banthia.

The fund is currently managed jointly by Payal Kaipunjal and Kinjal Desai.

The summary comparison of the other details section is tabulated as follows.

Parameters
Other Details	Min SIP Investment
Other Details	Min Investment
Fund Manager

Nippon India Arbitrage Fund Growth Fund Details
₹100
₹5,000
Vikash Agarwal - 0.96 Yr.

ICICI Prudential Equity Arbitrage Fund Growth Fund Details
₹1,000
₹5,000
Nikhil Kabra - 4.68 Yr.

Growth of 10k Investments over the years

Growth of 10,000 investment over the years.

Nippon India Arbitrage Fund Growth Fund Details

Date	Value
31 Aug 20	₹10,000
31 Aug 21	₹10,401
31 Aug 22	₹10,754
31 Aug 23	₹11,457
31 Aug 24	₹12,314
31 Aug 25	₹13,117

Growth of 10,000 investment over the years.

ICICI Prudential Equity Arbitrage Fund Growth Fund Details

Date	Value
31 Aug 20	₹10,000
31 Aug 21	₹10,412
31 Aug 22	₹10,760
31 Aug 23	₹11,480
31 Aug 24	₹12,350
31 Aug 25	₹13,188

Detailed Portfolio Comparison

Asset Allocation

Nippon India Arbitrage Fund Growth Fund Details

Asset Class	Value
Cash	97.1%
Debt	3.09%
Other	0.04%

Equity Sector Allocation

Sector	Value
Financial Services	20.95%
Basic Materials	7.33%
Health Care	6.62%
Industrials	6.5%
Consumer Cyclical	6.21%
Energy	6.09%
Technology	4.76%
Consumer Defensive	3.71%
Communication Services	3.37%
Utility	3.1%
Real Estate	1.51%

Debt Sector Allocation

Sector	Value
Cash Equivalent	89.87%
Corporate	7.22%
Government	3.1%

Credit Quality

Rating	Value
AAA	100%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
Nippon India Money Market Dir Gr Investment Fund \| -	11%	₹1,752 Cr	4,132,789
Nippon India Liquid Dir Gr Investment Fund \| -	4%	₹601 Cr	926,589 ↓ -578,963
Future on Reliance Industries Ltd Derivatives \| -	3%	-₹504 Cr	3,614,500 ↑ 914,500
Reliance Industries Ltd (Energy) Equity, Since 31 Dec 17 \| RELIANCE	3%	₹502 Cr	3,614,500 ↑ 914,500
Future on State Bank of India Derivatives \| -	2%	-₹375 Cr	4,680,750 ↑ 924,000
Future on Axis Bank Ltd Derivatives \| -	2%	-₹373 Cr	3,474,375 ↑ 726,250
State Bank of India (Financial Services) Equity, Since 31 Jan 23 \| SBIN	2%	₹373 Cr	4,680,750 ↑ 924,000
Hdfc Bank Limited_28/08/2025 Derivatives \| -	2%	-₹371 Cr	1,829,850 ↑ 1,261,700
Axis Bank Ltd (Financial Services) Equity, Since 31 Jul 23 \| 532215	2%	₹371 Cr	3,474,375 ↑ 726,250
HDFC Bank Ltd (Financial Services) Equity, Since 31 Jan 23 \| HDFCBANK	2%	₹369 Cr	1,829,850 ↓ -669,900

Asset Allocation

ICICI Prudential Equity Arbitrage Fund Growth Fund Details

Asset Class	Value
Cash	97.46%
Debt	2.75%
Other	0.03%

Equity Sector Allocation

Sector	Value
Financial Services	19.97%
Energy	8.76%
Consumer Cyclical	7.63%
Industrials	6.25%
Technology	5.65%
Basic Materials	5.4%
Health Care	5.3%
Communication Services	4.72%
Consumer Defensive	4.14%
Utility	3.96%
Real Estate	1.42%

Debt Sector Allocation

Sector	Value
Cash Equivalent	83.73%
Corporate	11.94%
Government	4.53%

Credit Quality

Rating	Value
AAA	100%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
ICICI Pru Money Market Dir Gr Investment Fund \| -	15%	₹4,855 Cr	125,374,734 ↑ 45,306,153
Future on HDFC Bank Ltd Derivatives \| -	5%	-₹1,566 Cr	7,718,150 ↓ -257,950
HDFC Bank Ltd (Financial Services) Equity, Since 30 Nov 21 \| HDFCBANK	5%	₹1,558 Cr	7,718,150 ↓ -257,950
Future on Reliance Industries Ltd Derivatives \| -	4%	-₹1,366 Cr	9,792,000 ↑ 1,666,000
Reliance Industries Ltd (Energy) Equity, Since 31 Aug 18 \| RELIANCE	4%	₹1,361 Cr	9,792,000 ↑ 1,666,000
Future on Bharti Airtel Ltd Derivatives \| -	4%	-₹1,113 Cr	5,791,675 ↓ -115,900
Bharti Airtel Ltd (Communication Services) Equity, Since 31 Dec 23 \| BHARTIARTL	4%	₹1,109 Cr	5,791,675 ↓ -115,900
Future on Mahindra & Mahindra Ltd Derivatives \| -	3%	-₹910 Cr	2,829,000 ↑ 377,400
Mahindra & Mahindra Ltd (Consumer Cyclical) Equity, Since 31 Jul 14 \| M&M	3%	₹906 Cr	2,829,000 ↑ 377,400
Future on Tata Consultancy Services Ltd Derivatives \| -	3%	-₹884 Cr	2,892,575 ↑ 991,900

As a result, from the above-mentioned pointers, it can be said that both the schemes differ on account of numerous parameters. Therefore, individuals should pay extra caution before Investing in any of the schemes. They should check whether the scheme matches their investment objective or not and understand its modalities completely. This will help them to achieve their goals on time along with ensuring their investment is safe.