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 | 80 | Strong Buy | 7.6% | 16.6% | — | 0.74 | 1.01 | 15.4 | 2.7 | 0.94 | — | 30.5 | 0.81% | ₹3.4k Cr | 3.9y | |
| ICICI Pru BusIness Cycle ICICI Pru | 80 | Strong Buy | 1.0% | 16.2% | 16.3% | 0.95 | 1.05 | 14.5 | 5.6 | 0.89 | — | 25.0 | 0.95% | ₹16.1k Cr | 5.6y | |
| Invesco India BusIness Cycle Invesco | 76 | Buy | 16.5% | — | — | 1.41 | 2.12 | 17.7 | 17.1 | 1.16 | — | 38.6 | 0.72% | ₹1.3k Cr | 1.5y | |
| MahIndra Manulife BusIness Cycle Mahindra Manulife | 71 | Buy | 11.3% | — | — | 0.76 | 1.02 | 15.7 | 6.0 | 1.04 | — | 20.9 | 0.94% | ₹1.4k Cr | 3.0y | |
| Sundaram BusIness Cycle Sundaram | 53 | Hold | 6.3% | — | — | 0.10 | 0.14 | 14.7 | 4.3 | 0.96 | — | 36.6 | 1.25% | ₹1.7k Cr | 2.2y | |
| HSBC BusIness Cycles HSBC | 52 | Hold | 4.9% | 16.6% | 15.9% | 0.63 | 0.74 | 20.4 | 1.9 | 1.20 | 2★ | 30.4 | 1.15% | ₹1.2k Cr | 12.0y | |
| Baroda BNP Paribas BusIness Cycle Baroda BNP Paribas | 52 | Hold | 7.3% | 14.7% | — | 0.66 | 0.80 | 16.1 | 1.4 | 1.01 | — | 29.5 | 1.03% | ₹564 Cr | 5.0y | |
| ABSL BusIness Cycle Aditya Birla Sun Life | 49 | Hold | 12.5% | 14.2% | — | 0.55 | 0.76 | 14.9 | -0.4 | 0.94 | — | — | 1.81% | ₹1.8k Cr | 4.8y | |
| Axis BusIness Cycles Axis | 48 | Hold | 7.5% | 14.4% | — | 0.64 | 0.69 | 15.9 | 1.0 | 1.00 | — | 31.4 | 1.61% | ₹2.1k Cr | 3.5y | |
| Tata BusIness Cycle Tata | 45 | Hold | 4.5% | 12.9% | 15.1% | 0.77 | 0.56 | 15.8 | 3.2 | 0.98 | — | 28.3 | 0.90% | ₹2.6k Cr | 5.1y | |
| Motilal Oswal BusIness Cycle Motilal Oswal | 41 | Avoid | -0.6% | — | — | — | — | — | — | — | — | 42.6 | 1.29% | ₹1.5k Cr | 2.0y | |
| HDFC BusIness Cycle HDFC | 40 | Avoid | 6.0% | 12.6% | — | 0.45 | 0.60 | 15.1 | -1.9 | 0.94 | — | 32.9 | 1.15% | ₹2.7k Cr | 3.8y | |
| Quant BusIness Cycle Quant | 39 | Avoid | 9.8% | 13.0% | — | 0.73 | 0.47 | 21.0 | 4.2 | 1.20 | — | 28.8 | 1.39% | ₹989 Cr | 3.3y | |
| DSP BusIness Cycle DSP | 39 | Avoid | 4.8% | — | — | -0.26 | -0.35 | 13.8 | -0.1 | 0.92 | — | 22.9 | 1.41% | ₹1.4k Cr | 1.7y | |
| Bandhan BusIness Cycle Bandhan | 36 | Avoid | 0.9% | — | — | -0.40 | -0.55 | 15.4 | 0.1 | 1.04 | — | 21.4 | 0.92% | ₹1.2k Cr | 1.9y | |
| Union BusIness Cycle Union | 33 | Avoid | 8.3% | — | — | 0.13 | 0.17 | 15.4 | 0.4 | 1.00 | — | 28.5 | 1.90% | ₹510 Cr | 2.5y | |
| Bank Of India BusIness Cycle Bank of India | 26 | Avoid | 8.6% | — | — | -0.43 | -0.58 | 15.7 | -1.0 | 1.00 | — | 28.9 | 1.31% | ₹461 Cr | 2.0y | |
| Edelweiss BusIness Cycle Edelweiss | 23 | Avoid | 7.7% | — | — | -0.54 | -0.72 | 16.8 | -3.4 | 1.10 | — | 27.6 | 1.38% | ₹1.4k Cr | 2.1y | |
| ITI BusIness Cycle ITI | 8 | Avoid | — | — | — | — | — | — | — | — | — | 27.9 | 1.78% | ₹115 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 80/100 (Strong Buy). It returned 16.6% over 3 years at a 0.81% expense ratio (direct plan). Rankings are recomputed from data updated 03 Sept 2026.
›Which Business Cycle fund has the best risk-adjusted returns?
Invesco India BusIness Cycle leads the category on the Sortino ratio at 2.12 (Sharpe 1.41) — 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 0.72% 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 ₹115 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