NIPPON INDIA BALANCED ADVANTAGE FUND - IDCW Option

NIPPON INDIA BALANCED ADVANTAGE FUND - IDCW Option ranks among the stronger performers in the Dynamic Asset Allocation category, backed by a 4-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 80/100.

Cost: At 0.85%, the expense ratio is meaningfully cheaper — about 14% below the Dynamic Asset Allocation category average of 0.99% (based on 126 comparable funds). Lower costs compound in your favour over long holding periods.

Risk-adjusted performance: Over the trailing 1-year period, the fund shows a negative Sharpe ratio of -0.07 — over the past year, returns haven't kept pace with the volatility involved, even before accounting for the risk-free rate. Separately, with 152.91% 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 investors whose goals and risk appetite align with a Hybrid fund. The High risk rating means near-term volatility should be expected — this isn't a fund to check daily.