ICICI Prudential Balanced Advantage Fund vs Nippon India Liquid Fund
Side-by-side comparison of returns, risk, expenses, holdings and performance. AI-powered insights included.
3Y Return
12.2%
3Y Return
6.96%
Chaliye, dekho, we're comparing two popular funds - ICICI Prudential Balanced Advantage Fund and Nippon India Liquid Fund. Fund A is a Hybrid fund with a Moderately High riskometer, while Fund B is a Liquid fund with a Low riskometer. In this article, we'll analyze their performance, risk, and cost to help you decide which one is better.
| Parameter | AICICI Prudential Balanced Advantage Fund - Direct Plan - Growth | BNippon India Liquid Fund - Direct Plan - Growth |
|---|---|---|
| Fund House | ICICI Prudential | Nippon India |
| Category | Hybrid | Liquid |
| NAV (₹) | 84.60 | 6813.87 |
| AUM (₹ Cr) | 7.06 Lac Cr | 3.79 Lac Cr |
| Expense Ratio (%) | 1% | 0.2% |
| Riskometer | Moderately High | Low |
| Volatility | 9.34 | 0.12 |
| Sharpe Ratio | 0.61 | 3.83 |
| 1 Year Return (%) | 4.35% | 6.21% |
| 3 Year Return (%) | 12.2% | 6.96% |
| 5 Year Return (%) | 11.25% | 6.14% |
| Since Launch (%) | 12.54% | 6.87% |
| Min SIP (₹) | 500 | 500 |
| Min Lumpsum (₹) | 1000 | 1000 |
| Launch Date | 2 January 2013 | 1 January 2013 |
| Exit Load | Nil | Nil |
| Fund Manager | Akhil Kakkar; Ihab Dalwai; Manish Banthia; Rajat Chandak; Sharmila D'Silva; Sri Sharma (13.4 years yrs) | Amber Singhania; Kinjal Desai; Vikash Agarwal (1.7 years yrs) |
| Benchmark | Nifty 50 Hybrid Composite Debt 65:35 Index | NIFTY Liquid Index |
| Top 3 Holdings | TVS Motor Company Ltd. (5.25%), ICICI Bank Ltd. (3.97%), HDFC Bank Ltd. (3.65%) | Reserve Bank of India (3.31%), Reserve Bank of India (3.04%), National Bank For Agriculture & Rural Development (1.96%) |
| Asset Allocation | Equity: 68.12% | CD: 4.05% | REITs: 3.85% | SDL: 3.68% | GOI Sec: 3.07% | Debenture: 2.37% | T-Bills: 2.0% | NCD: 1.59% | Sec. Debt: 0.91% | Debt: 0.49% | InvITs: 0.32% | CP: 0.28% | ZCB: 0.23% | GOI FRB: 0.1% | Pref. Shares: 0.1% | ID: -0.59% | Futures: -3.84% | CP: 50.93% | CD: 33.36% | T-Bills: 12.23% | Debenture: 0.79% | SDL: 0.12% | Debt: 0.08% |
| Portfolio Turnover | 451% | 260% |
🤖 AI Verdict – Which is Better?
Haan, Fund A is better for long-term wealth creation. Its 3Y return of 12.2% is higher than Fund B's 6.96%. Lekin, Fund A's expense ratio of 1% is higher than Fund B's 0.2%. However, considering the risk and potential returns, Fund A is a better choice for long-term wealth creation.
Why consider ICICI Prudential Balanced Advantage Fund?
- Expense ratio: 1%
- 3Y return: 12.2%
- AUM: 7.06 Lac Cr
- Sharpe Ratio: 0.61
Why consider Nippon India Liquid Fund?
- Expense ratio: 0.2%
- 3Y return: 6.96%
- AUM: 3.79 Lac Cr
- Sharpe Ratio: 3.83
📈 SIP Suitability
For a monthly SIP of 10+ years, Fund B is a better option. Its consistent returns and lower volatility make it more suitable for long-term investments. Fund A's returns are higher, but its volatility is also higher, which may not be suitable for consistent SIP investments.
⚠️ Risk & Cost Analysis
Comparing the riskometer, volatility, and Sharpe ratio, it's clear that Fund B offers better risk-adjusted returns. Its Sharpe ratio of 3.83 is much higher than Fund A's 0.61. Additionally, Fund B's expense ratio of 0.2% is lower than Fund A's 1%. Lekin, Fund A's returns are higher, but its risk is also higher.
📊 Portfolio Diversification
Chaliye, let's analyze the asset allocation of both funds. Fund A has a diversified portfolio with 68.12% equity and 31.88% debt. Fund B has a more conservative portfolio with 97.17% debt and 2.83% equity. However, Fund B's top holdings are highly concentrated in Reserve Bank of India, which may increase sector risk.
SIP Calculator – Compare Growth Potential
ICICI Prudential Balanced Advantage Fund
₹1175628.80
@12.2% annual return (3Y)
Nippon India Liquid Fund
₹868530.05
@7.0% annual return (3Y)
*Projected returns are illustrative based on historical 3‑year returns. Past performance does not guarantee future returns.
❓ Frequently Asked Questions (Comparison)
Q1: Which fund gives better returns in the long run?
Fund A ka 5Y return 11.25% hai, jabki Fund B ka 5Y return 6.14% hai. Isliye, Fund A fund long run mein better returns deta hai.
Q2: Is the higher risk fund worth it?
Fund A ka riskometer Moderately High hai, aur volatility 9.34 hai. Fund B ka riskometer Low hai, aur volatility 0.12 hai. lekin, Fund A ka Sharpe ratio 0.61 hai, jabki Fund B ka Sharpe ratio 3.83 hai. Haan, Fund A ka expense ratio 1% hai, jabki Fund B ka expense ratio 0.2% hai. lekin, Fund A ka Sharpe ratio Fund B se kam hai, isliye Fund A risk-adjusted returns ke hisaab se kam accha hai.
Q3: Which fund is more cost-effective?
Fund A ka expense ratio 1% hai, jabki Fund B ka expense ratio 0.2% hai. Isliye, Fund B expense ratio Fund A se kam hai, aur yeh fund cost-effective hai.
Mahendra Maurya
6+ Years in Banking, Wealth Management & Financial ServicesFounder & Author of ShareTargetPrice.in. 6+ years in Banking, Wealth Management & Financial Services.
📊 Author & Founder at Share Target Price