📊 Category Deep Dive · Value & Contra Funds

Best Value & Contra Mutual Funds in India — Compare Top 5

Compare the best value and contra funds in India — ICICI Prudential Value, SBI Contra, HSBC Value, Nippon India Value and UTI Value. Patient, contrarian investing in undervalued Indian stocks. Live NAV and returns from RightAdvise.

5Funds Compared
₹1.36 L 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 Value & Contra 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 Contra Fund
SBI MF  ·  Second largest value fund · Pure contrarian approach · Invests in out-of-favour sectors
NAV
₹405.05
1Y Return
-1.4%
3Y CAGR
+15.7 % p.a.
5Y CAGR
+17.9 % p.a.
AAUM
₹46.9K Cr
Risk
Very High
Deep Dive →
2
ICICI Prudential Value Discovery Fund
ICICI Prudential MF  ·  India's largest value fund · Sankaran Naren's contrarian approach · Long track record
NAV
₹497.53
1Y Return
-1.5%
3Y CAGR
+16.7 % p.a.
5Y CAGR
+17.1 % p.a.
AAUM
₹58.9K Cr
Risk
Very High
Deep Dive →
3
Nippon India Value Fund
Nippon India MF  ·  Research-driven value selection · Patient long-term approach · Large investor base
NAV
₹240.13
1Y Return
-0.9%
3Y CAGR
+18.9 % p.a.
5Y CAGR
+16.5 % p.a.
AAUM
₹8.7K Cr
Risk
Very High
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4
UTI Value Fund
UTI MF  ·  India's oldest fund house · Quality-value blend · Steady long-term performance
NAV
₹175.37
1Y Return
-2.1%
3Y CAGR
+15.3 % p.a.
5Y CAGR
+13.3 % p.a.
AAUM
₹7.9K Cr
Risk
Very High
Deep Dive →
5
HSBC Value Fund
HSBC MF  ·  Global value investing expertise · Systematic value identification · Disciplined approach
NAV
₹124.85
1Y Return
+3.4%
3Y CAGR
+20.8 % p.a.
5Y CAGR
AAUM
₹14.0K 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)
SBI Contra Fund ₹405.05 2026-06-04 ₹46.9K Cr Jan–Mar 2026 -1.4% +15.7 % p.a. +17.9 % p.a. +16.2 % p.a. -44.7% 0.80
ICICI Prudential Value Discovery Fund ₹497.53 2026-06-04 ₹58.9K Cr Jan–Mar 2026 -1.5% +16.7 % p.a. +17.1 % p.a. +15.6 % p.a. -36.7% 1.00
Nippon India Value Fund ₹240.13 2026-06-04 ₹8.7K Cr Jan–Mar 2026 -0.9% +18.9 % p.a. +16.5 % p.a. +16.5 % p.a. -38.6% 0.94
UTI Value Fund ₹175.37 2026-06-04 ₹7.9K Cr Jan–Mar 2026 -2.1% +15.3 % p.a. +13.3 % p.a. +13.9 % p.a. -36.7% 0.81
HSBC Value Fund ₹124.85 2026-06-04 ₹14.0K Cr Jan–Mar 2026 +3.4% +20.8 % p.a. -19.6% 0.98
⚠️ 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 Value & Contra Funds?

As per SEBI, Value Funds must follow a value investment strategy and invest at least 65% in equity. Contra Funds must follow a contrarian investment strategy — investing in out-of-favour stocks or sectors. An AMC can offer either a value fund OR a contra fund — not both. Both categories are taxed as equity funds — long-term gains above ₹1 lakh taxed at 10% LTCG.

Value and Contra funds are built on the same fundamental idea — buying good businesses when they are unloved and cheap, waiting patiently for the market to recognise their worth. Value funds use systematic screens to find stocks trading below their intrinsic value — typically low Price-to-Earnings, low Price-to-Book or high dividend yield relative to peers. Contra funds go a step further — they specifically invest in sectors or stocks that are currently out of favour with the market, making a contrarian bet on mean reversion.

The best value funds in India have delivered strong long-term returns because Indian markets tend to overprice momentum and underprice value during bull markets — creating buying opportunities for patient investors. ICICI Prudential Value Discovery Fund, managed by Sankaran Naren, is India's largest value fund and a prime example of how contrarian investing has rewarded patient investors. SBI Contra Fund takes the purest contrarian approach — actively seeking sectors that are deeply out of favour. Both strategies require patience — value investing can underperform growth strategies for extended periods before delivering outsized returns.

✅ Why Consider Value & Contra Funds

  • Buy cheap, sell expensive — value investing buys quality businesses at discount to intrinsic value
  • Mean reversion tendency — out-of-favour sectors and stocks tend to recover over market cycles
  • Lower downside in bear markets — cheap stocks have less far to fall than expensive momentum stocks
  • Long-term alpha potential — patient value investing has historically rewarded investors in India
  • Portfolio diversifier — value funds often hold different stocks than growth-oriented equity funds

⚠️ Key Risks to Know

  • Value traps — cheap stocks can stay cheap or get cheaper if the business is genuinely deteriorating
  • Extended underperformance vs growth funds — value investing requires patience measured in years
  • Requires conviction — holding out-of-favour stocks while momentum stocks rally is psychologically hard
  • India market rewards momentum — growth-oriented investing has outperformed value in many periods
  • Contra bets can be wrong — industries do not always recover the way the fund manager expects

✅ Suitable For

  • Patient long-term investors with 7+ year horizon who believe in value investing philosophy
  • Investors looking to diversify their portfolio with a style different from growth funds
  • Those who understand and are comfortable with extended periods of underperformance
  • Contrarian investors who like to buy when others are selling and sell when others are buying

❌ May Not Be Suitable For

  • Investors who need consistent short-term performance — value funds can lag for 3-5 year periods
  • Those who cannot tolerate holding unloved, out-of-favour stocks while momentum stocks rally
  • Investors with horizons under 5 years — value investing needs time to play out
  • Those who prefer following market momentum rather than going against it

💡 Value Investing vs Growth Investing — Which Wins in India?

Historically, growth investing (backing companies with strong earnings momentum at premium valuations) has outperformed value investing during India's bull markets — particularly 2014-2018 and 2020-2024. But value and contra funds have delivered during recovery phases after sharp corrections — 2009 recovery, 2014 PSU rally, 2021-2022 banking recovery. Value investing requires patience measured in years, not months. The best results come from combining both styles in a portfolio rather than choosing one exclusively.

📖 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

Value & Contra Fund FAQs

ICICI Prudential Value Discovery Fund is India's largest value fund by AUM at over ₹58,000 crore. SBI Contra Fund is the second largest with a pure contrarian approach. HSBC Value Fund, Nippon India Value Fund and UTI Value Fund are also established players in this category. Compare their 5-year returns and risk metrics in the table above.
Value funds use systematic screens to identify stocks trading below intrinsic value — low PE, low PB ratios. Contra funds specifically invest in sectors and stocks currently out of favour with the market — making a directional contrarian bet. Contra is a more aggressive form of value investing. Both strategies require patience and can underperform growth funds for extended periods.
Minimum 7 years, ideally 10+ years. Value and contra investing can underperform growth strategies for 3-5 year periods before delivering returns. The biggest mistakes value fund investors make are exiting during underperformance phases — just when patience is most needed. SIP investing helps stay disciplined through the underperformance cycle.
ICICI Pru Value Discovery Fund (₹58,000 Cr AUM) uses a value framework to identify cheap quality businesses. SBI Contra Fund (₹46,000 Cr AUM) takes a purer contrarian approach — actively seeking out-of-favour sectors. ICICI Pru suits investors who want systematic value; SBI Contra suits those who want a true contrarian mandate. Compare their 5-year CAGR and max drawdown in the table above.
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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