Best Gilt Funds in India

28 gilt funds in India, of which 18 meet the eligibility criteria, ranked on Sharpe ratio. Income with less volatility than equity?

Ranked on risk-adjusted return, not raw return — the point of this group is smoother outcomes.

Gilt Funds ranked by Sharpe ratio

#
1	ICICI Prudential Gilt Fund - Direct Plan - GrowthPlatinum	0.49	-12.3%	+8.51%	69%	+4.45%	₹7,950 Cr	0.58%
2	Bandhan Gilt Fund - Direct Plan - GrowthGold	0.45	-7.0%	+8.47%	65%	+7.74%	₹1,713 Cr	0.55%
3	Axis Gilt Fund - Direct Plan - Growth OptionPlatinum	0.38	-11.1%	+7.41%	48%	+4.51%	₹341 Cr	0.46%
4	UTI - GILT FUND - Direct Plan - Growth OptionGold	0.29	-8.1%	+8.17%	59%	+5.39%	₹420 Cr	0.47%
5	Franklin India Government Securities Fund - Direct - GrowthBronze	0.27	-12.7%	+6.52%	29%	+5.33%	₹147 Cr	0.64%
6	SBI GILT FUND - DIRECT PLAN - GROWTHPlatinum	0.25	-9.5%	+8.65%	67%	+4.07%	₹8,215 Cr	0.50%
7	Baroda BNP Paribas GILT FUND - Direct Plan - Growth OptionSilver	0.23	-6.7%	+7.54%	50%	+3.28%	₹575 Cr	0.17%
8	HDFC Gilt Fund - Growth Option - Direct PlanSilver	0.21	-11.9%	+7.33%	44%	+3.42%	₹2,017 Cr	0.46%
9	DSP Gilt Fund - Direct Plan - GrowthSilver	0.20	-7.6%	+7.91%	57%	+3.72%	₹1,213 Cr	0.59%
10	Tata Gilt Securities Fund- Direct Plan - Growth Option	0.20	-10.4%	+7.53%	50%	+3.56%	₹788 Cr	0.30%
11	Invesco India Gilt Fund - Direct Plan - Growth	0.20	-9.2%	+7.35%	45%	+3.22%	₹111 Cr	0.48%
12	Edelweiss Government Securities Fund - Direct Plan - Growth Option	0.19	-3.3%	+7.26%	44%	+1.91%	₹127 Cr	0.51%
13	Nippon India Gilt Fund - Direct Plan - P F Option - Defined Maturity Date OptionGold	0.17	-6.5%	+9.21%	63%	+3.82%	₹1,517 Cr	0.52%
14	Nippon India Gilt Fund - Direct Plan Growth Plan - Growth OptionGold	0.17	-11.8%	+9.21%	65%	+3.82%	₹1,517 Cr	0.52%
15	CANARA ROBECO GILT FUND - DIRECT PLAN - GROWTH OPTION	0.08	-7.8%	+7.86%	58%	+2.96%	₹121 Cr	0.47%
16	HSBC Gilt Fund - Direct GrowthSilver	0.06	-3.6%	+6.42%	0%	+2.66%	₹156 Cr	0.50%
17	Aditya Birla Sun Life Government Securities Fund - Growth - Direct Plan	0.05	-10.8%	+8.60%	63%	+2.24%	₹1,410 Cr	0.49%
18	Kotak Gilt-Investment Provident Fund and Trust-Growth - DirectBronze	0.03	-13.3%	+8.09%	58%	+3.13%	₹2,108 Cr	0.40%

Badges are our own quality tiers — Platinum (top 10%), Gold (25%), Silver (50%), Bronze (75%) — scored within each sub-category, so they compare a fund with its peers and not with funds of a different type. “3Y typical” is the median annualised return across every 3-year holding period the fund has lived through, not a single 3-year figure; “3Y loss odds” is the share of those periods that ended down. “Beat peers” is the share in which it beat its category's median, and “worst fall” is its deepest peak-to-trough drop. Open a fund for the full distribution. Click any column heading to re-sort — including the fund name, which groups a house’s funds together. Funds with no value for a column sort last. Returns over 1 year are annualised (CAGR). Past performance does not indicate future returns. Eligibility: Direct, Growth only, minimum AUM ₹100 Cr, at least 1 year(s) old. Past performance. Returns for 3y/5y are annualised (CAGR) and are withheld where the NAV series does not support the period.

Gilt Funds — FAQs

Why rank these on risk-adjusted return?

The purpose of this group is a smoother path, not the highest possible number. A fund that earned slightly less with much less volatility is doing the job better, which is what a risk-adjusted measure captures and a raw return does not.

What risks do debt funds carry?

Two main ones. Interest-rate risk: when yields rise, existing bonds fall in value, and longer-duration funds move more. Credit risk: a borrower may be downgraded or default, which affects the NAV directly. Categories differ substantially in how much of each they take.