📊 Sectoral · Technology & IT Funds

Best Technology & IT Mutual Funds in India - Compare Top 5

Compare the best technology and IT sector funds in India - ICICI Prudential Technology, SBI Technology Opportunities, Aditya Birla Digital India, Franklin India Technology and HDFC Technology. Pure play on India's IT sector. Live NAV from RightAdvise.

5Funds Compared
₹26.0K CrCombined AAUM
05 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 Technology & IT 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
SBI Technology Opportunities Fund
SBI MF  ·  SBI brand · Broad technology coverage · Large retail investor base
NAV
₹214.35
1Y Return
-8.3%
3Y CAGR
+11.0 % p.a.
5Y CAGR
+11.8 % p.a.
AAUM
₹4.5K Cr
Risk
Very High
Deep Dive →
2
Franklin India Technology Fund
Franklin Templeton MF  ·  India's oldest technology fund · Global tech expertise · Long track record
NAV
₹498.04
1Y Return
-7.1%
3Y CAGR
+14.6 % p.a.
5Y CAGR
+11.3 % p.a.
AAUM
₹1.7K Cr
Risk
Very High
Deep Dive →
3
ICICI Prudential Technology Fund
ICICI Prudential MF  ·  India's largest tech fund · Comprehensive IT sector coverage · Strong track record
NAV
₹191.50
1Y Return
-9.4%
3Y CAGR
+9.8 % p.a.
5Y CAGR
+9.5 % p.a.
AAUM
₹14.2K Cr
Risk
Very High
Deep Dive →
4
Aditya Birla Sun Life Digital India Fund
Aditya Birla MF  ·  Digital economy focus · IT plus digital services · Well-established sector fund
NAV
-
1Y Return
-
3Y CAGR
-
5Y CAGR
-
AAUM
₹4.1K Cr
Risk
Very High
Deep Dive →
5
HDFC Technology Fund
HDFC MF  ·  HDFC research depth · Diversified tech coverage · Large AMC backing
NAV
₹11.37
1Y Return
-14.1%
3Y CAGR
-
5Y CAGR
-
AAUM
₹1.5K 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)
SBI Technology Opportunities Fund ₹214.35 2026-06-04 ₹4.5K Cr Jan–Mar 2026 -8.3% +11.0 % p.a. +11.8 % p.a. +16.2 % p.a. -29.9% 0.41
Franklin India Technology Fund ₹498.04 2026-06-04 ₹1.7K Cr Jan–Mar 2026 -7.1% +14.6 % p.a. +11.3 % p.a. +15.6 % p.a. -30.8% 0.77
ICICI Prudential Technology Fund ₹191.50 2026-06-04 ₹14.2K Cr Jan–Mar 2026 -9.4% +9.8 % p.a. +9.5 % p.a. +16.4 % p.a. -35.1% 0.32
Aditya Birla Sun Life Digital India Fund - ₹4.1K Cr Jan–Mar 2026 - - - - - -
HDFC Technology Fund ₹11.37 2026-06-04 ₹1.5K Cr Jan–Mar 2026 -14.1% - - - -29.7% -
⚠️ 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 Technology & IT Funds?

Technology and IT Funds are sectoral funds that must invest at least 80% of their assets in equity of technology and IT sector companies. This includes IT services companies (TCS, Infosys, Wipro, HCL Tech), software product companies, digital services firms, internet companies and technology enablers. These are high-concentration sector funds - not suitable for conservative investors.

Technology and IT funds offer concentrated exposure to India's most globally competitive sector. India's IT services industry - led by TCS, Infosys, Wipro, HCL Tech and Tech Mahindra - generates $250+ billion in annual revenues and is deeply integrated into global technology supply chains. IT stocks are among the most liquid and well-researched in Indian markets. The sector is unique in that it earns in US dollars and reports in rupees - making it a natural hedge against rupee depreciation.

Indian IT sector funds have been among the best-performing sector funds over 10-year periods, driven by India's structural cost advantage in global IT services. However, the sector is highly sensitive to US economic conditions - a US slowdown or recession significantly reduces technology spending by US clients, hitting Indian IT companies hard. IT sector funds also have significant global exposure - the performance of Indian IT stocks is closely correlated with NASDAQ and global tech sentiment, making these funds more volatile than typical Indian equity funds.

✅ Why Consider Technology & IT Funds

  • India's IT sector has a 30+ year track record of compounding through multiple global cycles
  • Dollar-earning sector - natural hedge against rupee depreciation for Indian investors
  • AI and cloud transformation driving a new multi-year growth cycle for Indian IT companies
  • High return on equity businesses - IT companies are cash-generative with low capital requirements
  • India's structural cost advantage in global IT services is durable and hard to replicate

⚠️ Key Risks to Know

  • Extremely sensitive to US economic slowdown - US is the largest market for Indian IT
  • Currency risk - strong rupee reduces the reported earnings of IT companies
  • High concentration - 80%+ in one sector; no diversification benefit during IT sector downturns
  • Valuation risk - IT stocks often trade at premium valuations, increasing downside in corrections
  • AI disruption risk - automation could reduce demand for traditional IT services over time

✅ Suitable For

  • Investors with strong conviction on India's long-term IT sector growth story
  • Those using IT funds as a satellite (10-15%) alongside diversified equity funds
  • Investors who want natural rupee hedge through dollar-earning sector exposure
  • Experienced investors who monitor US economic conditions and global tech sentiment

❌ May Not Be Suitable For

  • Conservative or first-time investors - sector concentration creates extreme volatility
  • Those who want this as their primary or only equity fund
  • Investors who cannot monitor US economic conditions and global tech trends
  • Those with short investment horizons under 5 years

🌐 Indian IT Funds vs US Technology - What Is the Difference?

Indian IT funds invest primarily in IT services companies (TCS, Infosys, Wipro) that provide outsourced technology services to global clients - mostly US and European corporations. US technology funds (like those tracking NASDAQ) invest in software products and internet platform companies (Apple, Microsoft, Google, Meta). Indian IT is a services business with steady revenues; US tech is a product and platform business with higher volatility and higher growth potential. Indian IT sector funds are less volatile than pure NASDAQ exposure but also have lower return potential in tech bull markets.

📖 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

Technology & IT Fund FAQs

The best technology and IT funds by AUM include ICICI Prudential Technology Fund, SBI Technology Opportunities Fund, Aditya Birla Sun Life Digital India Fund, Franklin India Technology Fund and HDFC Technology Fund. Compare their returns, drawdown and Sharpe ratio in the table above.
Yes - significantly. Indian IT companies earn 60-70% of revenues from US clients. A US recession reduces corporate technology spending, directly impacting the revenues and earnings of Indian IT companies. IT sector funds fell sharply in 2022 when the US technology sector corrected and interest rates rose. Monitor US economic health when investing in IT sector funds.
A diversified equity fund spreads risk across banking, IT, consumer, energy and other sectors. A technology fund concentrates 80%+ in IT. Diversified funds are more stable and suitable for most investors as a core holding. Technology funds suit experienced investors with a specific IT sector view as a satellite allocation.
IT sector funds benefit from rupee depreciation. When the rupee falls against the dollar, Indian IT companies report higher rupee earnings from their dollar revenues. This makes IT stocks a natural hedge against currency depreciation - a useful property for Indian investors worried about long-term rupee weakness.
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.
⚠️ 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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