Best Business Cycle Funds
Rotates sectors to ride the phases of the economic cycle.
Data updated · 19 direct-growth funds ranked by a transparent 0–100 Smart Score
| ⚖ VS | Fund | Score ↓ | Verdict | 1Y | 3Y | 5Y | Sharpe | Sortino | Std Dev | Alpha | Beta | VR★ | P/E | Expense | AUM | Age |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Kotak BusIness Cycle Kotak | 77 | Buy | 3.5% | 15.3% | — | 0.78 | 0.88 | 15.3 | 4.2 | 0.94 | — | 30.6 | 0.79% | ₹3.5k Cr | 4.0y | |
| Mahindra Manulife Business Cycle Mahindra Manulife | 76 | Buy | 5.8% | 17.4% | — | 0.81 | 0.93 | 16.4 | 4.9 | 1.01 | — | 20.7 | 0.91% | ₹1.4k Cr | 3.0y | |
| Invesco India BusIness Cycle Invesco | 76 | Buy | 11.2% | — | — | 1.31 | 1.96 | 17.6 | 17.1 | 1.16 | — | 38.8 | 0.79% | ₹1.4k Cr | 1.6y | |
| ICICI Pru BusIness Cycle ICICI Pru | 73 | Buy | -3.9% | 14.1% | 15.4% | 0.82 | 0.83 | 14.1 | 4.3 | 0.87 | — | 24.4 | 0.97% | ₹15.9k Cr | 5.7y | |
| HSBC BusIness Cycles HSBC | 64 | Buy | 1.9% | 16.0% | 15.6% | 0.64 | 0.70 | 20.4 | 3.2 | 1.20 | 2★ | 31.9 | 1.12% | ₹1.2k Cr | 12.1y | |
| ABSL BusIness Cycle Aditya Birla Sun Life | 56 | Hold | 6.3% | 12.5% | — | 0.67 | 0.60 | 14.9 | 2.2 | 0.94 | — | — | 1.73% | ₹1.8k Cr | 4.8y | |
| Sundaram BusIness Cycle Sundaram | 56 | Hold | 2.6% | — | — | 0.08 | 0.12 | 14.7 | 4.9 | 0.97 | — | 45.5 | 1.17% | ₹1.7k Cr | 2.2y | |
| Axis BusIness Cycles Axis | 52 | Hold | 2.7% | 13.2% | — | 0.64 | 0.61 | 15.8 | 1.9 | 1.00 | — | 30.5 | 1.62% | ₹2.2k Cr | 3.6y | |
| Tata BusIness Cycle Tata | 46 | Hold | 1.1% | 11.8% | 14.7% | 0.58 | 0.48 | 15.3 | 0.9 | 0.97 | — | 30.3 | 0.89% | ₹2.6k Cr | 5.1y | |
| Baroda BNP Paribas BusIness Cycle Baroda BNP Paribas | 42 | Avoid | 2.3% | 12.6% | 11.4% | 0.65 | 0.61 | 15.8 | 2.1 | 1.00 | — | 29.7 | 1.03% | ₹574 Cr | 5.0y | |
| HDFC BusIness Cycle HDFC | 41 | Avoid | 1.8% | 11.3% | — | 0.54 | 0.47 | 15.2 | 0.5 | 0.94 | — | 33.6 | 1.16% | ₹2.8k Cr | 3.8y | |
| DSP BusIness Cycle DSP | 40 | Avoid | -0.1% | — | — | -0.33 | -0.45 | 13.8 | -0.2 | 0.92 | — | 21.8 | 1.27% | ₹1.5k Cr | 1.8y | |
| Bandhan BusIness Cycle Bandhan | 36 | Avoid | -3.3% | — | — | -0.43 | -0.58 | 15.3 | 0.7 | 1.04 | — | 21.1 | 0.97% | ₹1.1k Cr | 2.0y | |
| Motilal Oswal BusIness Cycle Motilal Oswal | 35 | Avoid | -1.8% | — | — | — | — | — | — | — | — | 42.8 | 1.46% | ₹1.5k Cr | 2.1y | |
| Union BusIness Cycle Union | 31 | Avoid | 3.0% | — | — | 0.09 | 0.12 | 15.4 | 0.7 | 1.00 | — | 30.7 | 1.89% | ₹518 Cr | 2.5y | |
| Quant BusIness Cycle Quant | 29 | Avoid | 4.0% | 12.3% | — | 0.48 | 0.44 | 20.6 | -0.1 | 1.21 | — | 29.1 | 1.44% | ₹989 Cr | 3.3y | |
| Edelweiss BusIness Cycle Edelweiss | 24 | Avoid | 3.4% | — | — | -0.58 | -0.76 | 16.8 | -3.1 | 1.10 | — | 30.0 | 1.24% | ₹1.5k Cr | 2.1y | |
| Bank Of India BusIness Cycle Bank of India | 24 | Avoid | 4.1% | — | — | -0.46 | -0.61 | 15.6 | -0.5 | 1.00 | — | 27.4 | 1.36% | ₹463 Cr | 2.1y | |
| ITI BusIness Cycle ITI | 5 | Avoid | — | — | — | — | — | — | — | — | — | 29.1 | 1.76% | ₹116 Cr | 0.6y |
Business Cycle funds — quick answers
›Which is the best Business Cycle mutual fund right now?
Kotak BusIness Cycle currently ranks #1 of 19 Business Cycle funds with a FundLens Smart Score of 77/100 (Buy). It returned 15.3% over 3 years at a 0.79% expense ratio (direct plan). Rankings are recomputed from data updated 20 Sept 2026.
›Which Business Cycle fund has the best risk-adjusted returns?
Invesco India BusIness Cycle leads the category on the Sortino ratio at 1.96 (Sharpe 1.31) — meaning it has delivered the most return per unit of downside risk among Business Cycle funds.
›Which Business Cycle fund has the lowest expense ratio?
Invesco India BusIness Cycle charges 0.79% a year (direct plan) — the lowest in the category. Lower fees compound in your favour over long holding periods.
›Which is the smallest Business Cycle fund by AUM?
ITI BusIness Cycle manages ₹116 Cr, the smallest in the category. Smaller funds can be nimbler, but check track record and costs before treating size alone as an edge.
›How long should I stay invested in a Business Cycle fund?
Business Cycle funds carry very high risk, so a horizon of 7+ years is generally sensible. Rotates sectors to ride the phases of the economic cycle. This is research, not investment advice.
Want these answers conversationally? Ask FundLens · New to the ratios? Sharpe vs Sortino, explained