Top 5 Mutual Fund Picks for Investing in India’s EV Future: Do You Own?

India's electric vehicle (EV) sector is growing very fast, thanks to strong government support, more people wanting EVs, and big investments from companies. With many more EV sales expected, the country is quickly moving towards cleaner transport. This all-around growth is helping India become a world leader in affordable electric transport.  

Do you want to ride on India’s emerging EV wave? Here are the top picks for EV-focused mutual funds that you can choose from.  

Best Mutual Fund Picks for Investing in EVs 

1. UTI Transportation & Logistics Fund  

As an older thematic fund launched in April 2004, UTI Transportation & Logistics Fund boasts a long and stable performance history. It has actively updated its portfolio to include EV stocks, auto ancillaries, and logistics, alongside traditional automobile giants. With a 10-year CAGR of 14% and a 5-year CAGR of 26.88%, it holds 14.2% in EV stocks, including Hero MotoCorp (4.78%) and Tata Motors (4.01%). 

This fund manages ₹3,447.34 crore, has grown by nearly 27% annually over three years, and charges an expense ratio of 0.84%.  

2. Aditya Birla SL Transportation and Logistics Fund  

This fund aims to capture opportunities across the entire transportation value chain, including EV manufacturing, supply chain, and smart mobility. It has a 24.35% exposure to EV stocks, with key holdings like Tata Motors (8.65%), Samvardhana Motherson International (5.32%), and Hero MotoCorp (4.02%). The scheme generally tracks its benchmark, the Nifty Transportation & Logistics TRI. 

It manages ₹1,470.99 crore, is a newer fund with no 3-year CAGR yet, and has an expense ratio of 0.85%. 

3. HDFC Transportation and Logistics Fund  

Launched in August 2023, this fund focuses on India’s push for clean transport. Its portfolio blends large-cap (59.94%) and small-cap (26.14%) stocks, balancing market leaders with new disruptors. It holds 16.04% in EV stocks, featuring Bosch (6.39%), Gabriel India (3.52%), and OLA Electric Mobility (2.28%), and has shown steady initial returns. 

This fund manages ₹1,330.00 crore, is also relatively new with no 3-year CAGR, and has an expense ratio of 0.93%.  

4. Bandhan Transportation and Logistics Fund  

Launched in October 2022, this fund focuses on mobility, infrastructure, and logistics, with a significant 26.88% exposure to EV stocks—the highest among its peers. Its top holdings include Hero MotoCorp (6.71%), Bosch (5.17%), and Tata Motors (5.02%). The fund has delivered a robust 28.54% CAGR over two years, reflecting gains in its core theme. 

It manages ₹547.88 crore, is a newer fund without a 3-year CAGR yet, and has an expense ratio of 0.88%.  

5. Navi Flexi Cap Fund  

Although not a dedicated sector fund, the Navi Flexi Cap Fund, launched in July 2018, offers exposure to high-growth sectors, including EVs. With a flexible investment strategy across large, mid, and small-cap companies, 11.98% of its assets are in EV stocks. Top holdings include Bharat Electronics (3.28%), Samvardhana Motherson International (1.67%), and UNO Minda (1.26%). It has a competitive CAGR of 14.58% since inception. 
 
This fund manages ₹255.21 crore, has delivered nearly 20% annual growth over three years, and charges a low expense ratio of 0.43%.  

Read more: Jio BlackRock Mutual Fund: What is Aladdin's Magic that Everyone’s Talking About? 

Conclusion 

Electric mobility is undoubtedly a transformative theme in India, benefiting from strong policy support and immense economic potential. For investors keen to position their portfolios in line with India's high-growth sectors, these EV-focused mutual funds offer a diversified pathway.  

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.