LIC MF Arbitrage Fund-Direct Plan-Weekly IDCW

LIC MF Arbitrage Fund-Direct Plan-Weekly IDCW ranks among the stronger performers in the Silver category, currently carrying a 3-star rating. It has delivered steady, if unspectacular, returns over a full market cycle. TopFund's composite Health Score, which weighs rating, 3-year CAGR, expense ratio and fund size, puts it at 81/100.

Cost: At 0.32%, the expense ratio runs 19% above the Silver category average of 0.27%. 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 modest Sharpe ratio of 0.37 — returns have only marginally compensated for the risk taken. Separately, annualised volatility of 0.9% is on the lower side, suggesting a comparatively smoother ride.

Who should invest: This fund is best suited to investors whose goals and risk appetite align with a Commodities fund.