3 Best ESG Funds To Invest In India In 2021

1. SBI Magnum Equity ESG Fund – Regular Plan – Growth:

This is a CRISIL 1-star rated ESG fund and is the oldest fund from the category. Expense ratio of the fund is over 2 percent. The 1-year return from this fund has been 63 percent as against the Nifty 50 return of 72 percent.

The fund has over 90 percent investment in Indian stocks, with over 70 percent in large cap stocks. SIP in the fund can be started for as less as Rs. 500

Top 10 stocks in the portfolio of the fund include Infosys, HDFC Bank, TCS, ICICI Bank, Bharti Airtel, L&T, Axis Bank, Page Industries and Divis Laboratories among others.

2. Quantum India ESG Equity Fund – Regular Plan – Growth

This is a thematic fund from the Quantum Mutual fund AMC. The fund has segregated its corpus with 59 percent funds in large cap stocks, 25 percent in mid cap and 4 percent in small cap stocks.

The expense ratio of the scheme is 1.68 percent and is categorized to be a high risk carrying mutual fund as per the Mutual fund risk o meter.

The fund’s 10 top stock holding include TCS, Infosys, HDFC, Wipro, Tata Motors, Tata Chemicals, Tata Consumer Products and Havells India among others. Minimum Lump Sum and SIP investment in this Quantum Fund can be made for Rs. 500.

3. Axis ESG Equity Regular Growth:

The thematic fund carries an expense ratio of 2.11 percent. The fund has 71 percent in Indian stocks of which over 53 percent is in large cap stocks, 9.4 percent in mid cap and over 1 percent in small cap stocks.

For the lump sum and SIP investment, an investor need to park in a minimum of Rs. 5000 and Rs. 1000, respectively.

Some of the top stock holdings of the fund include Avenue Supermart, Bajaj Finance, Kotak Mahindra Bank, Wipro, Nestle, Info Edge, HDFC and Torrent Power among others.