Bandhan Gilt Fund currently sits at the top of the short and mid‑term gilt mutual fund category, delivering a three‑year compound annual growth rate of 7.5%. This performance outpaces ICICI Pru Gilt Fund’s 7.1% and HDFC Gilt Fund’s 6.4% over the same period, according to ACE MF data released on July 29.
The ranking includes only schemes with assets under management of at least Rs 1,500 crore. Among the top five funds meeting this threshold, ICICI Pru Gilt Fund holds the largest corpus at Rs 8,784.9 crore.
Benchmark comparison is a key metric. Bandhan Gilt Fund beat its benchmark by 0.6 percentage points over three years, while the benchmark returned 6.8%. On a one‑year basis, the fund outperformed the benchmark by 3.7 points, where the benchmark yielded 2.4%.
Short‑term performance also favors Bandhan Gilt Fund. In the one‑month comparison, SBI Gilt Fund leads with a 0.1% return, but Bandhan Gilt Fund remains the top performer in the three‑month chart, posting 4.0%.
On the one‑year front, Bandhan Gilt Fund maintains its lead, achieving a 6.1% return, which is higher than its peers.
Examining multiple return periods provides investors with a comprehensive view. A fund that excels in a recent window may not hold the same edge over longer horizons.
Gilt mutual funds invest exclusively in government securities, eliminating corporate credit risk. However, their returns can fluctuate sharply with changes in interest rates and portfolio duration.
For investors seeking stable, low‑risk exposure, gilt funds offer a predictable return profile linked to government debt instruments.
The consistent outperformance of Bandhan Gilt Fund across various time frames makes it an attractive option for those prioritising steady growth.
Overall, the fund’s strong track record and benchmark advantage position it as a leading choice for investors looking for reliable returns in the short and mid‑term gilt space.