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Top Dynamic Bond Gilt Funds Rated by FINCASH for 2025 - 2026

Updated on November 5, 2026 , 818 views

Dynamic bond Gilt Funds is a category of Debt fund. The fund invests in fixed Income securities consisting of varying maturity periods. Here, the major role is of the fund manager who decides on which funds they need to invest based on their perception of the interest rate scenario. According to their viewpoint about the interest rate movement, they invest in funds across various maturity periods of debt instruments. Hence, investors who are puzzled about the interest rate scenario can ideally prefer Investing in this fund.

Here are the best Dynamic Bond Gilt Funds that you could choose while investing in this fund.

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Top Rated Dynamic Bond Gilt Funds

FundNAVNet Assets (Cr)3 MO (%)6 MO (%)1 YR (%)3 YR (%)2025 (%)Debt Yield (YTM)Mod. DurationEff. MaturityExit Load
Aditya Birla Sun Life Government Securities Fund Growth ₹81.5949
↓ -0.19
₹1,175-0.61.51.6536.95%6Y 11M 16D20Y 14D 0-90 Days (0.5%),90 Days and above(NIL)
ICICI Prudential Gilt Fund Growth ₹107.588
↓ -0.21
₹9,118-0.823.26.36.87.8%9Y 1M 13D20Y 9M 4D NIL
SBI Magnum Gilt Fund Growth ₹68.7184
↓ -0.07
₹8,0670.82.63.46.14.57.03%5Y 3M 22D15Y 5M 1D NIL
UTI Gilt Fund Growth ₹65.6953
↓ -0.26
₹415-0.31.23.96.45.17.38%9Y 1M 28D28Y 6M 7D NIL
Nippon India Gilt Securities Fund Growth ₹39.0849
↓ -0.12
₹9,118-0.22.22.95.73.70.07%6Y 9M 18D17Y 4M 10D 0-15 Days (0.25%),15 Days and above(NIL)
DSP Government Securities Fund Growth ₹98.1165
↓ -0.38
₹1,083-0.91.72.35.94.56.98%7Y 7M 6D19Y 2M 8D 0-7 Days (0.1%),7 Days and above(NIL)
Bandhan Government Securities Fund - Investment Plan Growth ₹37.6827
↓ 0.00
₹1,6860.53.86.67.63.75.29%9M 14D1Y 9M 25D NIL
TATA Gilt Securities Fund Growth ₹79.4474
↓ -0.05
₹769-1.51.61.65.34.77.44%10Y 1M 20D24Y 10M 2D 0-180 Days (0.5%),180 Days and above(NIL)
HDFC Gilt Fund Growth ₹56.9946
↓ -0.13
₹1,885-0.81.62.35.85.17.2%6Y 10M 13D17Y 2M 8D NIL
Invesco India Gilt Fund Growth ₹2,890.71
↓ -6.75
₹105-1.21.425.74.27.39%8Y 10M 17D21Y 9M 7D NIL
Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 6 Nov 26

Research Highlights & Commentary of 10 Funds showcased

CommentaryAditya Birla Sun Life Government Securities FundICICI Prudential Gilt FundSBI Magnum Gilt FundUTI Gilt FundNippon India Gilt Securities FundDSP Government Securities FundBandhan Government Securities Fund - Investment PlanTATA Gilt Securities FundHDFC Gilt FundInvesco India Gilt Fund
Point 1Lower mid AUM (₹1,175 Cr).Highest AUM (₹9,118 Cr).Upper mid AUM (₹8,067 Cr).Bottom quartile AUM (₹415 Cr).Top quartile AUM (₹9,118 Cr).Lower mid AUM (₹1,083 Cr).Upper mid AUM (₹1,686 Cr).Bottom quartile AUM (₹769 Cr).Upper mid AUM (₹1,885 Cr).Bottom quartile AUM (₹105 Cr).
Point 2Oldest track record among peers (27 yrs).Established history (27+ yrs).Established history (25+ yrs).Established history (24+ yrs).Established history (18+ yrs).Established history (27+ yrs).Established history (17+ yrs).Established history (27+ yrs).Established history (25+ yrs).Established history (18+ yrs).
Point 3Top rated.Rating: 4★ (top quartile).Rating: 4★ (upper mid).Rating: 4★ (upper mid).Rating: 4★ (upper mid).Rating: 3★ (lower mid).Rating: 3★ (lower mid).Rating: 3★ (bottom quartile).Rating: 3★ (bottom quartile).Rating: 3★ (bottom quartile).
Point 4Risk profile: Moderate.Risk profile: Moderate.Risk profile: Moderate.Risk profile: Moderate.Risk profile: Moderate.Risk profile: Moderate.Risk profile: Moderate.Risk profile: Moderate.Risk profile: Moderate.Risk profile: Moderate.
Point 51Y return: 1.58% (bottom quartile).1Y return: 3.25% (upper mid).1Y return: 3.42% (upper mid).1Y return: 3.92% (top quartile).1Y return: 2.88% (upper mid).1Y return: 2.26% (lower mid).1Y return: 6.62% (top quartile).1Y return: 1.59% (bottom quartile).1Y return: 2.32% (lower mid).1Y return: 1.97% (bottom quartile).
Point 61M return: 0.47% (lower mid).1M return: 0.77% (top quartile).1M return: 0.67% (top quartile).1M return: 0.36% (bottom quartile).1M return: 0.67% (upper mid).1M return: -0.07% (bottom quartile).1M return: 0.41% (bottom quartile).1M return: 0.62% (upper mid).1M return: 0.47% (lower mid).1M return: 0.64% (upper mid).
Point 7Sharpe: -0.71 (bottom quartile).Sharpe: -0.50 (upper mid).Sharpe: -0.74 (bottom quartile).Sharpe: -0.38 (top quartile).Sharpe: -0.57 (upper mid).Sharpe: -0.45 (upper mid).Sharpe: 0.36 (top quartile).Sharpe: -0.64 (lower mid).Sharpe: -0.64 (bottom quartile).Sharpe: -0.59 (lower mid).
Point 8Information ratio: 0.00 (top quartile).Information ratio: 0.00 (top quartile).Information ratio: 0.00 (upper mid).Information ratio: 0.00 (upper mid).Information ratio: 0.00 (upper mid).Information ratio: 0.00 (lower mid).Information ratio: 0.00 (lower mid).Information ratio: 0.00 (bottom quartile).Information ratio: 0.00 (bottom quartile).Information ratio: 0.00 (bottom quartile).
Point 9Yield to maturity (debt): 6.95% (bottom quartile).Yield to maturity (debt): 7.80% (top quartile).Yield to maturity (debt): 7.03% (lower mid).Yield to maturity (debt): 7.38% (upper mid).Yield to maturity (debt): 0.07% (bottom quartile).Yield to maturity (debt): 6.98% (lower mid).Yield to maturity (debt): 5.29% (bottom quartile).Yield to maturity (debt): 7.44% (top quartile).Yield to maturity (debt): 7.20% (upper mid).Yield to maturity (debt): 7.39% (upper mid).
Point 10Modified duration: 6.96 yrs (upper mid).Modified duration: 9.12 yrs (bottom quartile).Modified duration: 5.31 yrs (top quartile).Modified duration: 9.16 yrs (bottom quartile).Modified duration: 6.80 yrs (upper mid).Modified duration: 7.60 yrs (lower mid).Modified duration: 0.79 yrs (top quartile).Modified duration: 10.14 yrs (bottom quartile).Modified duration: 6.87 yrs (upper mid).Modified duration: 8.88 yrs (lower mid).

Aditya Birla Sun Life Government Securities Fund

  • Lower mid AUM (₹1,175 Cr).
  • Oldest track record among peers (27 yrs).
  • Top rated.
  • Risk profile: Moderate.
  • 1Y return: 1.58% (bottom quartile).
  • 1M return: 0.47% (lower mid).
  • Sharpe: -0.71 (bottom quartile).
  • Information ratio: 0.00 (top quartile).
  • Yield to maturity (debt): 6.95% (bottom quartile).
  • Modified duration: 6.96 yrs (upper mid).

ICICI Prudential Gilt Fund

  • Highest AUM (₹9,118 Cr).
  • Established history (27+ yrs).
  • Rating: 4★ (top quartile).
  • Risk profile: Moderate.
  • 1Y return: 3.25% (upper mid).
  • 1M return: 0.77% (top quartile).
  • Sharpe: -0.50 (upper mid).
  • Information ratio: 0.00 (top quartile).
  • Yield to maturity (debt): 7.80% (top quartile).
  • Modified duration: 9.12 yrs (bottom quartile).

SBI Magnum Gilt Fund

  • Upper mid AUM (₹8,067 Cr).
  • Established history (25+ yrs).
  • Rating: 4★ (upper mid).
  • Risk profile: Moderate.
  • 1Y return: 3.42% (upper mid).
  • 1M return: 0.67% (top quartile).
  • Sharpe: -0.74 (bottom quartile).
  • Information ratio: 0.00 (upper mid).
  • Yield to maturity (debt): 7.03% (lower mid).
  • Modified duration: 5.31 yrs (top quartile).

UTI Gilt Fund

  • Bottom quartile AUM (₹415 Cr).
  • Established history (24+ yrs).
  • Rating: 4★ (upper mid).
  • Risk profile: Moderate.
  • 1Y return: 3.92% (top quartile).
  • 1M return: 0.36% (bottom quartile).
  • Sharpe: -0.38 (top quartile).
  • Information ratio: 0.00 (upper mid).
  • Yield to maturity (debt): 7.38% (upper mid).
  • Modified duration: 9.16 yrs (bottom quartile).

Nippon India Gilt Securities Fund

  • Top quartile AUM (₹9,118 Cr).
  • Established history (18+ yrs).
  • Rating: 4★ (upper mid).
  • Risk profile: Moderate.
  • 1Y return: 2.88% (upper mid).
  • 1M return: 0.67% (upper mid).
  • Sharpe: -0.57 (upper mid).
  • Information ratio: 0.00 (upper mid).
  • Yield to maturity (debt): 0.07% (bottom quartile).
  • Modified duration: 6.80 yrs (upper mid).

DSP Government Securities Fund

  • Lower mid AUM (₹1,083 Cr).
  • Established history (27+ yrs).
  • Rating: 3★ (lower mid).
  • Risk profile: Moderate.
  • 1Y return: 2.26% (lower mid).
  • 1M return: -0.07% (bottom quartile).
  • Sharpe: -0.45 (upper mid).
  • Information ratio: 0.00 (lower mid).
  • Yield to maturity (debt): 6.98% (lower mid).
  • Modified duration: 7.60 yrs (lower mid).

Bandhan Government Securities Fund - Investment Plan

  • Upper mid AUM (₹1,686 Cr).
  • Established history (17+ yrs).
  • Rating: 3★ (lower mid).
  • Risk profile: Moderate.
  • 1Y return: 6.62% (top quartile).
  • 1M return: 0.41% (bottom quartile).
  • Sharpe: 0.36 (top quartile).
  • Information ratio: 0.00 (lower mid).
  • Yield to maturity (debt): 5.29% (bottom quartile).
  • Modified duration: 0.79 yrs (top quartile).

TATA Gilt Securities Fund

  • Bottom quartile AUM (₹769 Cr).
  • Established history (27+ yrs).
  • Rating: 3★ (bottom quartile).
  • Risk profile: Moderate.
  • 1Y return: 1.59% (bottom quartile).
  • 1M return: 0.62% (upper mid).
  • Sharpe: -0.64 (lower mid).
  • Information ratio: 0.00 (bottom quartile).
  • Yield to maturity (debt): 7.44% (top quartile).
  • Modified duration: 10.14 yrs (bottom quartile).

HDFC Gilt Fund

  • Upper mid AUM (₹1,885 Cr).
  • Established history (25+ yrs).
  • Rating: 3★ (bottom quartile).
  • Risk profile: Moderate.
  • 1Y return: 2.32% (lower mid).
  • 1M return: 0.47% (lower mid).
  • Sharpe: -0.64 (bottom quartile).
  • Information ratio: 0.00 (bottom quartile).
  • Yield to maturity (debt): 7.20% (upper mid).
  • Modified duration: 6.87 yrs (upper mid).

Invesco India Gilt Fund

  • Bottom quartile AUM (₹105 Cr).
  • Established history (18+ yrs).
  • Rating: 3★ (bottom quartile).
  • Risk profile: Moderate.
  • 1Y return: 1.97% (bottom quartile).
  • 1M return: 0.64% (upper mid).
  • Sharpe: -0.59 (lower mid).
  • Information ratio: 0.00 (bottom quartile).
  • Yield to maturity (debt): 7.39% (upper mid).
  • Modified duration: 8.88 yrs (lower mid).

Why Are These Top Performers?

Fincash has employed the following parameters for shortlisting the top performing funds:

  • Past Returns: Return analysis of last 3 years.

  • Parameters & Weights: Information ratio with some modifications for our ratings and rankings.

  • Qualitative & Quantitative Analysis: Quantitative measures like Average Maturity, Credit Quality, Expense Ratio, Sharpe Ratio, Sortino Ratio, Alpa, including fund age and the size of the fund has been considered. Qualitative analysis like the reputation of the fund along with the fund manager is one of the important parameters that you would see in the listed funds.

  • Asset Size: The minimum AUM criteria for debt Mutual Funds are INR 100 Crores with some exceptions at times for new funds that are doing well in the Market.

  • Performance with Respect to Benchmark: Peer average.

Smart Tips to Invest in Dynamic Bond Gilt Funds

Some of the important tips to consider while investing in dynamic bond gilt funds are:

  • Investment Tenure: Investors planning to invest in dynamic bond gilt funds should stay invested for minimum 3-5 years.

  • Invest via a SIP: SIP or Systematic Investment plan is the most efficient way to invest in a Mutual Fund. They not only provide a systematic way of investing, but also ensures regular investment growth. You can invest in a SIP with an amount as low as INR 500.

Disclaimer:
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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