Best Gilt Funds in India

31 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	0.58	-12.3%	+8.53%	69%	+6.39%	₹8,890 Cr	0.58%
2	Bandhan Gilt Fund - Direct Plan - GrowthPlatinum	0.47	-7.0%	+8.49%	64%	+9.45%	₹1,883 Cr	0.56%
3	Axis Gilt Fund - Direct Plan - Growth OptionPlatinum	0.43	-11.1%	+7.42%	48%	+5.94%	₹405 Cr	0.46%
4	UTI - GILT FUND - Direct Plan - Growth OptionSilver	0.35	-8.1%	+8.19%	59%	+5.95%	₹423 Cr	0.69%
5	SBI GILT FUND - DIRECT PLAN - GROWTHGold	0.30	-9.5%	+8.66%	67%	+4.84%	₹8,306 Cr	0.50%
6	Baroda BNP Paribas GILT FUND - Direct Plan - Growth OptionSilver	0.29	-6.7%	+7.56%	50%	+4.09%	₹638 Cr	0.17%
7	Franklin India Government Securities Fund - Direct - GrowthBronze	0.27	-12.7%	+6.51%	29%	+6.36%	₹149 Cr	0.64%
8	HDFC Gilt Fund - Growth Option - Direct PlanGold	0.27	-11.9%	+7.34%	44%	+5.43%	₹2,029 Cr	0.46%
9	Invesco India Gilt Fund - Direct Plan - Growth	0.26	-9.2%	+7.36%	44%	+5.29%	₹131 Cr	0.47%
10	Tata Gilt Securities Fund- Direct Plan - Growth OptionBronze	0.25	-10.4%	+7.54%	50%	+5.37%	₹878 Cr	0.30%
11	DSP Gilt Fund - Direct Plan - GrowthSilver	0.24	-7.6%	+7.93%	57%	+5.46%	₹1,260 Cr	0.59%
12	Nippon India Gilt Fund - Direct Plan - P F Option - Defined Maturity Date OptionGold	0.20	-6.5%	+9.23%	63%	+5.37%	₹1,552 Cr	0.52%
13	Nippon India Gilt Fund - Direct Plan Growth Plan - Growth OptionGold	0.20	-11.8%	+9.23%	65%	+5.37%	₹1,552 Cr	0.52%
14	Edelweiss Government Securities Fund - Direct Plan - Growth Option	0.19	-3.3%	+7.29%	44%	+4.04%	₹127 Cr	0.51%
15	HSBC Gilt Fund - Direct GrowthBronze	0.12	-3.6%	+6.47%	0%	+4.01%	₹160 Cr	0.50%
16	CANARA ROBECO GILT FUND - DIRECT PLAN - GROWTH OPTION	0.11	-7.8%	+7.87%	57%	+3.63%	₹122 Cr	0.47%
17	Kotak Gilt-Investment Provident Fund and Trust-Growth - Direct	0.09	-13.3%	+8.11%	58%	+4.69%	₹2,207 Cr	0.40%
18	Aditya Birla Sun Life Government Securities Fund - Growth - Direct Plan	0.05	-10.8%	+8.63%	63%	+4.32%	₹1,410 Cr	0.49%

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.