Bandhan Multi Asset Allocation Fund Crosses ₹2,700 Crore AUM At Two-Year Milestone

Bandhan Mutual Fund announced that the Bandhan Multi Asset Allocation Fund has completed two years since launch, achieving assets under management (AUM) of over ₹2,700 crore. The fund’s growth comes amid rising investor interest in strategies that diversify across equities, commodities and fixed income.

A lump‑sum investment of ₹10,000 at inception is now valued at ₹14,046, reflecting gains of nearly 40% over slightly more than two years. Over the past year, the fund delivered a 20.96% return, while the one‑year SIP return stood at 25.4%.

Fund Performance and Investor Returns

The fund has recorded notable growth in value since inception, with an initial ₹10,000 investment rising to ₹14,046. This increase equates to gains of roughly 40% over the two‑year period. Over the last one year, the fund generated returns of 20.96% based on reported performance data.

The scheme also achieved a one‑year SIP return of 25.4%, indicating strong periodic investment outcomes. These results reflect improved investor appetite for multi‑asset strategies during the evaluation period.

Multi‑Asset Strategy and Allocation Structure

The scheme follows a diversified multi‑asset framework instead of concentrating solely on equity or debt exposure. Its target allocation includes 50% domestic equities and 15% each in gold and silver, as well as arbitrage positions.

A further 10% each is invested in international equities and fixed income instruments. This structure is designed to balance growth potential with risk mitigation across asset classes.

Equity Diversification Across Market Segments

Within its equity allocation, the fund invests across large, mid and small‑cap stocks. This spread reduces reliance on any particular segment of the market.

Such diversification helps the portfolio participate in broader market opportunities. Exposure to different capitalisation tiers may also smooth performance when specific segments underperform.

Broader Portfolio Composition and Market Drivers

According to Bandhan Mutual Fund, the scheme seeks to enhance risk‑adjusted outcomes by combining asset classes influenced by distinct market drivers. The portfolio provides exposure to global equities, precious metals, government and corporate bonds and money market instruments.

This multi‑layered structure supports resilience in shifting market environments. The inclusion of gold, silver and fixed income components can offset volatility from equity positions.

Tax Treatment Under Current Regulations

Despite its diversified structure, the scheme is classified as an equity fund for taxation. This classification may influence post‑tax returns for investors under prevailing tax rules.

Equity taxation applies irrespective of the multi‑asset allocation framework. As a result, tax outcomes may differ from those expected under other hybrid or balanced fund categories.

Read More: Equity Mutual Fund Inflows Drop 14% MoM to ₹24,028 Crore in January 2026.  

Conclusion

Bandhan Multi Asset Allocation Fund’s two‑year milestone reflects strong AUM growth and consistent performance across equity, commodity and debt components. The fund’s diversified allocation framework aims to optimise risk‑adjusted returns while reducing dependence on any single asset class.

With rising investor interest in multi‑asset strategies, the scheme’s broad‑based exposure across domestic and international markets continues to support its overall momentum. Its equity‑based tax classification remains an important factor for assessing net investment outcomes.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.