📊 Category Deep Dive · Nifty 50 Index Funds

Best Nifty 50 Index Funds in India — Compare Direct Growth Plans

Compare the best Nifty 50 index funds in India — UTI, Nippon India, SBI, Kotak and ABSL Nifty 50 direct growth plans. Live NAV, returns, AAUM and tracking error from RightAdvise database. Find the best nifty index fund for direct growth investing.

5Funds Compared
₹43.0K CrCombined AAUM
06 Jun 2026Data As Of
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All data pulled live from RightAdvise database  ·  NAV updated daily  ·  AAUM from latest AMFI quarterly filing  ·  Returns calculated from daily NAV history
Comparison

Top 5 Index Funds — At a Glance

Sorted by 5-year CAGR. Click any fund for full analysis — rolling returns, drawdown chart, NAV history and risk ratios.

1
Nippon India Index Fund — Nifty 50
Nippon India MF  ·  Long track record · Low expense ratio · Reliable Nifty 50 tracking
NAV
₹42.93
1Y Return
-4.1%
3Y CAGR
+9.2 % p.a.
5Y CAGR
+9.6 % p.a.
AAUM
₹3.1K Cr
Risk
Very High
Deep Dive →
2
UTI Nifty 50 Index Fund
UTI MF  ·  One of India's oldest index funds · Large AUM · Consistently low tracking error
NAV
₹163.67
1Y Return
-4.2%
3Y CAGR
+9.2 % p.a.
5Y CAGR
+9.6 % p.a.
AAUM
₹26.0K Cr
Risk
Very High
Deep Dive →
3
SBI Nifty Index Fund
SBI MF  ·  Large AUM · Backed by India's largest bank · Consistent index tracking
NAV
₹217.51
1Y Return
-4.2%
3Y CAGR
+9.1 % p.a.
5Y CAGR
+9.5 % p.a.
AAUM
₹11.6K Cr
Risk
Very High
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4
Aditya Birla Sun Life Nifty 50 Index Fund
ABSL MF  ·  Competitive expense ratio · Part of large AMC ecosystem
NAV
₹242.90
1Y Return
-4.2%
3Y CAGR
+9.2 % p.a.
5Y CAGR
+9.5 % p.a.
AAUM
₹1.2K Cr
Risk
Very High
Deep Dive →
5
Kotak Nifty 50 Index Fund
Kotak Mahindra MF  ·  Low expense ratio · Clean passive tracking · Growing AUM
NAV
₹15.45
1Y Return
-4.1%
3Y CAGR
+9.1 % p.a.
5Y CAGR
AAUM
₹1.0K Cr
Risk
Very High
Deep Dive →
Performance

₹1 Lakh Invested — How It Grew

If you had invested ₹1 lakh 5 years ago in each fund, here is how much it would be worth today. Calculated from 5 years of daily NAV in the RightAdvise database.

5-Year Growth of ₹1 Lakh Direct Plan · Growth Option · All funds rebased to ₹1,00,000
Data Table

Full Comparison Table

💡 What is AAUM? AAUM stands for Average Assets Under Management — the average value of all investor money a fund managed during a specific quarter. Reported to SEBI every quarter via AMFI. More reliable than a single-day AUM snapshot.

FundNAVAAUM1Y Return 3Y CAGR 5Y CAGR 10Y CAGR Max Drawdown Sharpe (3Y)
Nippon India Index Fund — Nifty 50 ₹42.93 2026-06-05 ₹3.1K Cr Jan–Mar 2026 -4.1% +9.2 % p.a. +9.6 % p.a. +12.0 % p.a. -38.2% 0.29
UTI Nifty 50 Index Fund ₹163.67 2026-06-05 ₹26.0K Cr Jan–Mar 2026 -4.2% +9.2 % p.a. +9.6 % p.a. +12.1 % p.a. -38.4% 0.29
SBI Nifty Index Fund ₹217.51 2026-06-05 ₹11.6K Cr Jan–Mar 2026 -4.2% +9.1 % p.a. +9.5 % p.a. +12.0 % p.a. -38.4% 0.26
Aditya Birla Sun Life Nifty 50 Index Fund ₹242.90 2026-06-05 ₹1.2K Cr Jan–Mar 2026 -4.2% +9.2 % p.a. +9.5 % p.a. +11.7 % p.a. -37.6% 0.29
Kotak Nifty 50 Index Fund ₹15.45 2026-06-05 ₹1.0K Cr Jan–Mar 2026 -4.1% +9.1 % p.a. -16.5% 0.28
⚠️ Data Note: Returns (what is CAGR?) calculated from daily NAV data in RightAdvise database. AAUM from official AMFI quarterly filings. Max Drawdown calculated over full available NAV history. Sharpe Ratio uses 3-year daily NAV and 6.5% risk-free rate. Educational purposes only. Past performance does not guarantee future returns.
Education

What Are Index Funds?

As per SEBI, Index Funds are passively managed schemes that replicate a specific market index. These funds hold all 50 stocks of the Nifty 50 in the same proportion as the index. There is no active stock selection. The fund's job is to minimise the difference between its returns and the index returns — this difference is called tracking error.

A Nifty 50 index fund does not try to beat the market — it tries to be the market. It holds all 50 companies in the Nifty 50 in exactly the same weights as the index. This mechanical replication means the fund's returns closely mirror the Nifty 50 — minus a small cost called the expense ratio and tracking error. The best nifty 50 index fund direct growth plans in India charge just 0.1 to 0.2% per year — making them the most cost-efficient way to invest in Indian equities.

If you are searching for the best index fund in India or the best nifty index fund for a direct growth plan, the five funds on this page — UTI Nifty 50 Index Fund, Nippon India Index Fund Nifty 50, SBI Nifty Index Fund, Kotak Nifty 50 Index Fund and ABSL Nifty 50 Index Fund — are among the most established index funds in India. When comparing index funds, two metrics matter most: tracking error (lower is better) and expense ratio (lower is better). All other things being equal, the fund that most closely replicates the index at the lowest cost wins.

✅ Why Consider Index Funds

  • Very low expense ratio — 0.1 to 0.2% vs 0.5 to 1.0% for active large cap funds
  • No fund manager risk — returns track the Nifty 50 index, not a single person's decisions
  • Instant diversification across India's 50 largest, most liquid companies
  • Transparent — you always know exactly what the fund holds and in what proportion
  • Consistent returns — no chance of significantly underperforming the Nifty 50 index
  • Ideal as a core, long-term equity holding — simple, low-cost, and effective

⚠️ Key Risks to Know

  • Cannot beat the index — returns will always be slightly below Nifty 50 due to costs
  • No downside protection — when the Nifty 50 falls, the fund falls by the same amount
  • Concentrated in the top 50 companies — no exposure to mid cap or small cap growth
  • Subject to full equity market volatility — can fall 30 to 50% in severe bear markets
  • Tracking error — small deviations from index returns due to costs and rebalancing
  • Heavy concentration in a few sectors — banking, IT, oil — reflects index composition

✅ Suitable For

  • First-time equity investors who want simple, low-cost market exposure
  • Long-term investors (5+ years) who believe in India's large cap equity growth story
  • Cost-conscious investors who want to minimise fees and maximise net returns
  • Those who prefer passive, rules-based investing over active fund management
  • Investors building a core portfolio — index fund as the foundation

❌ May Not Be Suitable For

  • Those seeking returns above the Nifty 50 index — active or mid/small cap funds are needed
  • Investors wanting exposure to mid cap or small cap companies — Nifty 50 covers only top 50
  • Those with investment horizons under 3 years — equity market volatility applies here too
  • Anyone looking for downside protection or guaranteed returns

📊 Index Funds vs Active Large Cap Funds — The Key Debate

Should you invest in a Nifty 50 index fund or an actively managed large cap fund? Research consistently shows that over 10+ year periods, a significant majority of active large cap funds in India fail to beat the Nifty 50 index after accounting for their higher expense ratios (0.5 to 1.0% vs 0.1 to 0.2%). That said, some active funds have consistently outperformed. The honest answer: if you are unsure, a low-cost Nifty 50 index fund is a very strong default for large cap equity exposure.

📖 Learn the Metrics
CAGR, Sharpe Ratio, Sortino & Std Dev — Explained
What do these numbers actually mean? Read before you invest.
📖 Learn the Metrics
Drawdown & Rolling Returns — Explained Simply
Why max drawdown and rolling returns reveal more than CAGR.
Common Questions

Index Fund FAQs

When looking for the best nifty 50 index fund direct growth plan, the two most important metrics are tracking error (how closely the fund follows the index) and expense ratio (annual cost). UTI Nifty 50 Index Fund is one of India's oldest and largest index funds with consistently low tracking error. Nippon India Index Fund Nifty 50 plan has a long track record and low expense ratio. SBI Nifty Index Fund has large AUM. Kotak Nifty 50 Index Fund has a very competitive expense ratio. Compare their returns and AAUM in the table above. All five are good choices — choose based on lowest expense ratio and tracking error.
UTI Nifty 50 Index Fund is one of India's oldest and most established index funds with large AUM and consistently low tracking error. It is a strong choice for passive Nifty 50 investing. However, whether it is the single best nifty index fund depends on your preference — Kotak Nifty 50 Index Fund and Nippon India Index Fund Nifty 50 also have very low expense ratios and strong tracking. For pure passive investing, any of the five funds on this page is a sound choice. Pick the one with the lowest expense ratio in the current period.
The Nifty 50 index funds on this page track India's 50 largest companies. For broader exposure, you may also consider Nifty 500 index funds (500 companies across large, mid and small caps) or Nifty Next 50 index funds (ranks 51 to 100). The best index mutual funds in India for most investors remain the simple, low-cost Nifty 50 index fund — it covers the most liquid and widely studied segment of the Indian market with the lowest tracking error and expense ratios.
Research consistently shows that over 10+ year periods, a large proportion of actively managed large cap funds in India fail to beat the Nifty 50 after accounting for their higher expense ratios. Index funds cost 0.1 to 0.2% per year; active large cap funds cost 0.5 to 1.0%. Over 20 years, this cost difference compounds significantly. If you are unsure, a low-cost Nifty 50 index fund is a very strong default for large cap equity exposure.
AAUM (Average Assets Under Management) is the average corpus of the fund across an entire quarter, as officially reported to AMFI. All AUM data on RightAdvise is from official AMFI quarterly AAUM disclosures — the same data filed by AMCs with SEBI.
⚠️ RightAdvise.com is NOT registered with SEBI. All content is for educational purposes only. Mutual Fund investments are subject to market risks. Please read all scheme-related documents carefully and consult a SEBI-registered investment advisor before investing.
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