Nippon India Power and Infra Fund SIP Calculator

Fund Overview

Nippon India Power and Infra Fund is India’s largest infrastructure-themed fund, with ₹8,000+ crore invested in the companies building India’s physical and energy infrastructure. Launched in May 2004, the fund targets power utilities, capital goods, construction, and increasingly, the renewable energy transition.

The portfolio is anchored by Reliance Industries, Larsen & Toubro and NTPC, with growing exposure to NTPC Green Energy and BHEL — pure plays on the power supercycle and energy transition that has accelerated through the 2020s.

Who Should Invest

This fund is for aggressive thematic investors who believe India is in a multi-year infrastructure and power capex cycle. It suits investors with a 7+ year horizon who already hold a diversified core portfolio and want a satellite allocation to the highest-conviction infrastructure theme in the market.

It is also a natural fit for investors who cannot directly buy power and capital goods stocks but want concentrated exposure to the theme with professional stock selection.

Key Strengths

• Category-leading performance — 23.1% 5-year CAGR and 22.6% 3-year CAGR, among the best in the infrastructure category
• Power supercycle exposure — strong weights in NTPC, NTPC Green Energy and BHEL capture both conventional and renewable power growth
• High-quality anchors — Reliance Industries and L&T provide scale, balance sheet strength and conglomerate diversification
• Established franchise — running since 2004 through multiple infrastructure cycles

Risks to Consider

• Concentrated sector risk — power and capex are cyclical; a slowdown in government spending or a power price crash hits the whole portfolio
• High volatility — annualized standard deviation of ~19%, with drawdowns exceeding 40% in major corrections
• Interest rate sensitivity — infrastructure and capital goods stocks are sensitive to borrowing costs and global yields
• Momentum dependence — the theme has run hard; valuations of power utilities and capital goods are elevated versus history

How It Compares

Within the infrastructure theme, Nippon India Power and Infra has outrun both HDFC Infrastructure and ICICI Prudential Infrastructure over 5 and 10 years, driven by its heavier power-sector tilt — precisely the segment that outperformed as power demand and renewables capex surged after 2021.

Its benchmark is the NIFTY Infrastructure TRI, which it has beaten by a wide margin over the past five years, though the fund is more volatile than its index-mirroring peers.

Performance Context

The fund suffered through the 2013-2019 infrastructure slowdown — a period that decimated many infra funds — but its power-heavy portfolio was well positioned for the post-2020 revival. In the 2022 energy crisis, power utilities re-rated sharply, and the 2024-26 renewables boom added NTPC Green Energy and BHEL as top performers.

Use Our SIP Calculator with This Fund

To see how a monthly SIP in Nippon India Power and Infra Fund would have performed over any time period, visit our main SIP calculator and select this fund. You can test different investment amounts, start dates, and step-up scenarios using real historical NAV data — not assumed return rates.