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Multi CapVSLiquid Fund

SBI Focused Fund vs Kotak Mahindra Liquid Fund

Side-by-side comparison of returns, risk, expenses, holdings and performance. AI-powered insights included.

3Y Return

18.13%

VS

3Y Return

6.93%

Chaliye, let's start with Fund A, SBI Focused Fund, which is a Multi Cap fund, while Fund B, Kotak Mahindra Liquid Fund, is a Liquid Fund. Dekho, in this comparison, we'll see how these two funds fare in terms of returns, risk, and expense ratio. Lekin, in this write-up, we'll focus on Fund A's returns and risk profile, while discussing the merits of Fund B as a liquid fund.

ParameterASBI Focused Fund - Direct Plan - GrowthBKotak Mahindra Liquid Fund - Direct Plan - Growth
Fund HouseSBI Mutual FundKotak Mahindra
CategoryMulti CapLiquid Fund
NAV (₹)432.215622.79
AUM (₹ Cr)4.60 Lac Cr3.18 Lac Cr
Expense Ratio (%)1.47%0.12%
RiskometerVery HighLow
Volatility13.250.11
Sharpe Ratio0.883.91
1 Year Return (%)12.11%6.17%
3 Year Return (%)18.13%6.93%
5 Year Return (%)15.02%6.11%
Since Launch (%)15.63%50.63%
Min SIP (₹)500500
Min Lumpsum (₹)10001000
Launch Date2 January 20131 January 2013
Exit LoadNilNil
Fund ManagerPradeep Kesavan; Rama Iyer Srinivasan (17.0 years yrs)Harsha Upadhyaya (3.5 years yrs)
BenchmarkNifty 500 Multicap 50:25:25 TRINIFTY Liquid Index
Top 3 HoldingsAlphabet Inc Class A (11.14%), State Bank of India (6.96%), ICICI Bank Ltd. (6.59%)State Bank of India CD (8.5%), HDFC Bank CD (7.2%), Reliance Industries T-Bills (6.8%)
Asset AllocationEquity: 76.29% | Forgn. Eq: 14.88% | Debenture: 0.74% | T-Bills: 0.16%T-Bills: 65.00% | CD: 20.00% | CP: 10.00% | Cash: 5.00%
Portfolio Turnover45%207%

🤖 AI Verdict – Which is Better?

Haan, after analyzing the data, we can see that Fund A offers higher returns in the long run, with a 5Y return of 15.02% compared to Fund B's 6.11%. Lekin, it's essential to consider the risk factor, and Fund A's riskometer is Very High, which might not be suitable for all investors. Dekho, considering the expense ratio, Fund B is a more cost-effective option, with an expense ratio of 0.12% compared to Fund A's 1.47%. Sach ye hai, based on these factors, we can conclude that Fund B is a better option for long-term wealth creation.

Why consider SBI Focused Fund?

  • Expense ratio: 1.47%
  • 3Y return: 18.13%
  • AUM: 4.60 Lac Cr
  • Sharpe Ratio: 0.88

Why consider Kotak Mahindra Liquid Fund?

  • Expense ratio: 0.12%
  • 3Y return: 6.93%
  • AUM: 3.18 Lac Cr
  • Sharpe Ratio: 3.91

📈 SIP Suitability

Chaliye, let's analyze the consistency and return stability of both funds. Dekho, over the 3Y period, Fund A offers a return of 18.13%, while Fund B provides a return of 6.93%. Haan, this suggests that Fund A is more suitable for a long-term SIP, as it provides higher returns with a lower risk profile compared to Fund B.

⚠️ Risk & Cost Analysis

Sach ye hai, let's compare the riskometer, volatility, and Sharpe ratio of both funds. Fund A has a riskometer of Very High, while Fund B has a riskometer of Low. Dekho, the Sharpe ratio of Fund B is 3.91, while Fund A's Sharpe ratio is 0.88. Haan, this suggests that Fund B offers better risk-adjusted returns compared to Fund A. Lekin, considering the expense ratio, Fund B is a more cost-effective option.

📊 Portfolio Diversification

Chaliye, let's analyze the asset allocation and top holdings concentration of both funds. Dekho, Fund A has an asset allocation of 76.29% in Equity, while Fund B has an asset allocation of 65% in T-Bills and 20% in CD. Haan, this suggests that Fund A has a higher concentration in Equity, which might increase its risk profile. Lekin, Fund B's diversified asset allocation makes it a more stable option.

SIP Calculator – Compare Growth Potential

SBI Focused Fund

1695258.29

@18.1% annual return (3Y)

Kotak Mahindra Liquid Fund

867076.87

@6.9% 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?

Based on 5Y/3Y returns, Fund A offers a higher return of 15.02% compared to Fund B's 6.11%.

Q2: Is the higher risk fund worth it?

Considering the volatility and Sharpe ratio, Fund B offers better risk-adjusted returns compared to Fund A.

Q3: Which fund is more cost-effective?

Based on the expense ratio, Fund B is a more cost-effective option, with an expense ratio of 0.12% compared to Fund A's 1.47%.

Mahendra Maurya

Mahendra Maurya

6+ Years in Banking, Wealth Management & Financial Services

Founder & Author of ShareTargetPrice.in. 6+ years in Banking, Wealth Management & Financial Services.

📊 Author & Founder at Share Target Price

⚠️ Disclaimer: Mutual fund investments are subject to market risks. Past performance does not guarantee future returns. AI-generated insights are based solely on historical data and do not constitute investment advice. Please consult your SEBI-registered financial advisor.