Axis Quant Fund completes 3 years, offers 19% CAGR since inception

Axis Mutual Fund-managed Axis Quant Fund completed 3 years of operations in July. The scheme has given a 19.09% return since its inception. It manages assets worth Rs 1117.51 crore as of June 2024.

Launched in July 2021, the scheme has offered 16.91% returns in six months, 36.22% returns in one year, and 18.24% in three years. During the same period the benchmark (BSE 200 - TRI) offered 19.55%, 37.09%, and 20.47% returns, respectively.




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If someone had invested a monthly SIP of Rs 10,000 in this fund since inception, the current value would have been Rs 5.52 lakh with an XIRR of 25.70%.

A monthly SIP made in the fund for a period of three years offered XIRR returns of around 26.14%. In the two-year horizon, the scheme has offered 34.66% SIP returns.

A lump sum investment of Rs 1 lakh in the fund when it was launched would have compounded to Rs 1.71 lakh now with a CAGR of 19.09%. In a three- and two-year period, an investment of Rs 1 lakh would have been Rs 1.64 lakh and Rs 1.62 lakh, respectively, now.

Based on yearly returns for the last three years, the scheme has offered negative returns in 2022. The scheme offered 11.80% in 2021 and lost 2.68% in 2022. The scheme underperformed against its benchmark (BSE 200 - TRI), which offered 29.11% and 5.67% returns in 2021 and 2022, respectively.

In 2023, the scheme delivered 30.70% return against 24.48% by its benchmark. In 2024 so far, the scheme has delivered 20.60% return.


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“Axis Quant Fund seeks to capitalise on the power of data-driven investing. By combining quality growth factors (Q-GARP strategy) with rigorous risk management, the fund aims to deliver consistent returns across market cycles. The fund’s balanced approach, incorporating multiple styles, sectors, and market cap segments, has proven effective,” commented Karthik Kumar, Fund Manager, Axis Mutual Fund

He added, “Strategic sector allocations, such as overweighting Autos, Power, and Capital Goods, contributed significantly to this success. While the quant fund category is relatively new, it’s rapidly gaining traction due to advancements in data analytics and computing power. Axis Quant Fund’s low correlation to traditional funds offers investors valuable portfolio diversification benefits.”

The portfolio of the fund is diversified across 44 stocks, with top 10 stocks accounting for 40.71%. As of June 30, the fund has 97.33% allocation in equity, and 2.67% in others, which include cash and cash equivalents. The scheme is primarily largecap oriented with an allocation of around 65.77%. In midcap, the scheme had 22.89% and 8.68% was in small cap. Around 2.67% was in others.

Axis Quant Fund is an open-ended equity scheme following a quantitative model. The fund adopts a philosophy that aims to identify quality stocks in combination with the tenets of growth and value investing. The approach focuses on selecting a portfolio of quality stocks with growth but at a reasonable price (Q-GARP). The scheme is managed by Karthik Kumar, Ashish Naik, Krishnaa N.

The scheme is suitable for investors seeking capital appreciation over the long-term and want an equity fund that invests in equity and equity related instruments selected based on a quant model.