SBI PSU Fund: Did you know that this is the only SBI fund that has delivered returns of over 20% annually? Learn how a ₹10,000 SIP turned into ₹35.5 lakh and whether investing in this fund is still worthwhile.

SBI PSU Fund: If you invest in mutual funds, you've likely heard of SBI. But did you know that among SBI's more than 80 plans, there's a hidden gem that has delivered impressive returns over the past 10 years? We're talking about the SBI PSU Fund. This fund invests in public sector companies (PSUs) that were once considered sluggish, but today, those very companies are thriving at rocketing speeds. Let's learn more about this fund.

How much did those who did SIP earn?

The biggest strength of this fund is its consistency. It is the only fund that has delivered a CAGR of over 20% over 3, 5, and 10-year periods.

• If you had started a monthly SIP of Rs 10,000 10 years ago, that money would have grown to around Rs 35.5 lakh today.


• At the same time, it has given a return of about 28% on 5-year SIP, due to which an investment of Rs 6 lakh became more than Rs 12 lakh.

Where does this fund invest its money?

This fund invests most of its money in government-owned power, banking, and oil companies. Its portfolio includes major companies like SBI Bank, NTPC, Power Grid, and Bharat Electronics. As India's infrastructure and energy sector is being emphasized, these companies' profits are filling investors' pockets.

Should you also invest in it?

It's natural to be tempted by profits, but it's important to understand one thing: This is a sector fund, which means it focuses solely on government-owned companies.

Only invest in such funds if you have a long-term horizon and can take some risk. Always seek expert advice before investing.

PC:Prabhat Khabar