DSP Nifty IT Index Fund - Regular - IDCW

DSP Nifty IT Index Fund - Regular - IDCW lags behind most of its peers in the Index Funds category, currently carrying a 1-star rating. TopFund's composite Health Score, which weighs rating, 3-year CAGR, expense ratio and fund size, puts it at 40/100.

Cost: At 0.96%, the expense ratio runs 146% above the Index Funds category average of 0.39%. That gap is worth weighing against the fund's actual performance versus cheaper peers before committing to a long SIP.

Risk-adjusted performance: Over the trailing 1-year period, the fund shows a negative Sharpe ratio of -1.24 — over the past year, returns haven't kept pace with the volatility involved, even before accounting for the risk-free rate. Separately, with 24.75% annualised volatility, this is among the more turbulent funds in its space — expect sharp swings in both directions.

Who should invest: This fund is best suited to cost-conscious investors happy to simply match the market rather than try to beat it. The High risk rating means near-term volatility should be expected — this isn't a fund to check daily.