Best Short Duration Funds in India (2026)
Live · updated 2026-09-16 Ranked by data, refreshed from daily NAVs
This is the complete, data-ranked list of short durations we track - every Direct-Growth scheme in the category with a meaningful track record, ordered by long-term quality (King Score). This page is recomputed from NAV data every day, so it cannot go stale, and every fund on it links to a full research page with returns, risk, SIP outcomes, holdings and manager track record.
Tap any column heading to sort. Every fund name links to its full review.
| # | Fund | RS | King | 3M | 6M | 1Y | 3Y CAGR | 5Y CAGR | 10Y CAGR | Sharpe | Roll 3Y | Worst fall |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Axis Short Duration Fund | 96 | 86 | 1.4% | 3.1% | 6.0% | 7.8% | 6.8% | 7.5% | 1.18 | 8.1% | -2.6% |
| 2 | Sundaram Short Duration Fund (Formerly Known as Principal Short Term Debt Fund) | 87 | 86 | 1.3% | 2.9% | 5.7% | 7.4% | n/a | n/a | 0.93 | 7.8% | -0.7% |
| 3 | Bandhan Short Duration Fund | 99 | 85 | 1.6% | 3.6% | 6.5% | 7.7% | 6.5% | 7.2% | 1.08 | 7.8% | -2.5% |
| 4 | Baroda BNP Paribas Short Duration Fund | 95 | 84 | 1.5% | 3.1% | 5.6% | 7.5% | 6.5% | 7.3% | 0.93 | 8.3% | -2.1% |
| 5 | ICICI Prudential Short Term Fund | 97 | 83 | 1.4% | 3.1% | 6.3% | 7.8% | 7.1% | 7.8% | 1.23 | 8.4% | -3.4% |
| 6 | Nippon India Short Duration Fund | 86 | 83 | 1.2% | 2.8% | 5.8% | 7.7% | 6.7% | 7.3% | 1.11 | 7.9% | -2.9% |
| 7 | HSBC Short Duration Fund | 75 | 83 | 1.3% | 2.8% | 5.4% | 7.3% | n/a | n/a | 0.73 | 7.5% | -0.5% |
| 8 | Aditya Birla Sun Life Short Term Fund | 94 | 82 | 1.4% | 3.0% | 5.9% | 7.6% | 6.8% | 7.5% | 1.01 | 8.2% | -2.8% |
| 9 | Mirae Asset Short Duration Fund | 85 | 81 | 1.4% | 2.7% | 5.5% | 7.4% | 6.4% | n/a | 0.81 | 6.6% | -2.2% |
| 10 | HDFC Short Term Debt Fund | 78 | 80 | 1.2% | 2.8% | 5.7% | 7.5% | 6.5% | 7.4% | 0.94 | 7.9% | -2.7% |
| 11 | SBI Short Term Debt Fund | 71 | 78 | 1.2% | 2.6% | 5.3% | 7.3% | 6.4% | 7.1% | 0.77 | 7.9% | -2.4% |
| 12 | JM Short Duration Fund (Direct) | 74 | 77 | 1.3% | 2.8% | 5.4% | 7.1% | n/a | n/a | 0.63 | 7.5% | -0.5% |
| 13 | TRUSTMF Short Duration Fund | 90 | 76 | 1.4% | 3.0% | 5.5% | 7.1% | 6.2% | n/a | 0.63 | 7.2% | -1.1% |
| 14 | DSP Short Term Fund | 73 | 74 | 1.2% | 2.8% | 5.4% | 7.2% | 6.2% | 7.0% | 0.66 | 7.7% | -2.8% |
| 15 | Canara Robeco Short Duration Fund | 93 | 71 | 1.5% | 3.0% | 5.6% | 7.0% | 6.0% | 6.9% | 0.6 | 7.7% | -2.1% |
The category returns: 1 month to 10 years𝕏 Share this statWhatsApp
Over the last 1 year, the category averaged 5.7% - the best, Bandhan Short Duration Fund, returned 6.5% while the weakest managed 5.3%. That spread is why picking within the category matters. Over 10 years the average compounding rate is 7.0% a year, which turned ₹1 lakh into about ₹196,700.
| Period | Average | Median | Best fund | Weakest |
|---|---|---|---|---|
| 1 month | -0.0% | -0.1% | TRUSTMF Short Duration Fund (0.2%) | -0.2% |
| 3 months | 1.4% | 1.3% | Bandhan Short Duration Fund (1.6%) | 1.2% |
| 6 months | 2.9% | 2.9% | Bandhan Short Duration Fund (3.6%) | 2.6% |
| 1 year | 5.7% | 5.6% | Bandhan Short Duration Fund (6.5%) | 5.3% |
| 3 years (CAGR) | 7.4% | 7.4% | ICICI Prudential Short Term Fund (7.8%) | 7.0% |
| 5 years (CAGR) | 6.8% | 6.5% | BANK OF INDIA Short Term Income Fund (10.8%) | 6.0% |
| 10 years (CAGR) | 7.0% | 7.2% | ICICI Prudential Short Term Fund (7.8%) | 5.8% |
Averages across every qualifying fund, refreshed daily. Best-fund links open that fund's full review.
What ₹1 lakh became
The same returns, translated into money - at the average pace and at the best fund's pace:
| Held for | Average pace | ₹1 lakh → (average) | ₹1 lakh → (best fund) |
|---|---|---|---|
| 1 year | 5.7% a year | ₹105,700 | ₹106,500 |
| 3 years | 7.4% a year | ₹123,900 | ₹125,300 |
| 5 years | 6.8% a year | ₹138,900 | ₹167,000 |
| 10 years | 7.0% a year | ₹196,700 | ₹211,900 |
Pre-tax, from historical returns. The averages smooth over a very bumpy ride - see the worst-fall column in the ranking above for what the journey involved.
The category by the numbers
| Funds that qualify | 18 |
| Combined assets | ₹67,677 Cr |
| Average 3-year return | 7.4% a year (best 7.8%, weakest 7.0%) |
| Average 5-year return | 6.8% a year |
| Average worst-ever fall | -3.8% (deepest: -19.8%) |
| Average expense ratio (Direct) | 0.33% |
| Largest fund by assets | ICICI Prudential Short Term Fund (₹13,306 Cr) |
Put the risk number in rupees: at the average worst fall of -3.8%, ₹1 lakh temporarily becomes about ₹96,200. That is the stretch every ranked fund's investors had to sit through at some point - the ranking rewards the funds that made that wait worthwhile.
Momentum check: what is hot right now
As of 2026-09-16, 8 of the 18 funds here rate RS 90 or above (top-decile recent momentum versus peers). The strongest momentum belongs to Bandhan Short Duration Fund (RS 99/99). Average return over the last 3 months: 1.4%; over 6 months: 2.9%. Momentum is a snapshot, not a ranking criterion here - but it tells you whether this corner of the market is currently in favour.
Before you pick a short duration fund: four checks
- Open the fund's page and look at the worst-fall figure in rupees - decide whether you could genuinely sit through it without selling.
- Check the rolling-return consistency, not just the trailing return: a fund that delivered in most windows beats one lucky streak.
- Compare its expense ratio against the category average shown above - a persistent 0.5% cost gap compounds into lakhs over decades.
- If you already own funds in this category, check the portfolio overlap section on the fund page - two funds owning the same stocks is one bet, not two.
Filter the entire Indian mutual fund universe by 40+ metrics - returns, consistency, drawdown, RS Rating, King Score, cost - then chart, compare and backtest anything you find.
How to read the table
RS (1-99) is recent momentum versus category peers - 99 is the hottest right now. King (0-100) is the long-term quality composite this list is ranked by. 3M/6M are recent returns; 3Y and 5Y CAGR are annualised longer records. Sharpe is return earned per unit of volatility - higher means smoother compounding. Roll 3Y is the median of every 3-year holding period in the fund's history, the fairest single return number a fund has. Worst fall is the deepest peak-to-bottom loss ever - the number that tests whether you would have stayed invested. Missing values show as n/a, usually because the fund is too young for that measurement.
The top 10, decoded𝕏 Share this statWhatsApp
- Axis Short Duration Fund (Short Duration Fund) - King Score 86/100, RS 96/99 right now. 3-year return 7.8% a year, against a worst-ever fall of 2.6% (₹1 lakh briefly ₹97,400). 5-year pace 6.8% a year, median 3-year rolling return 8.1%, sharpe 1.18.
- Sundaram Short Duration Fund (Formerly Known as Principal Short Term Debt Fund) (Short Duration Fund) - King Score 86/100, RS 87/99 right now. 3-year return 7.4% a year, against a worst-ever fall of 0.7% (₹1 lakh briefly ₹99,300). Median 3-year rolling return 7.8%, sharpe 0.93.
- Bandhan Short Duration Fund (Short Duration Fund) - King Score 85/100, RS 99/99 right now. 3-year return 7.7% a year, against a worst-ever fall of 2.5% (₹1 lakh briefly ₹97,500). 5-year pace 6.5% a year, median 3-year rolling return 7.8%, sharpe 1.08.
- Baroda BNP Paribas Short Duration Fund (Short Duration Fund) - King Score 84/100, RS 95/99 right now. 3-year return 7.5% a year, against a worst-ever fall of 2.1% (₹1 lakh briefly ₹97,900). 5-year pace 6.5% a year, median 3-year rolling return 8.3%, sharpe 0.93.
- ICICI Prudential Short Term Fund (Short Duration Fund) - King Score 83/100, RS 97/99 right now. 3-year return 7.8% a year, against a worst-ever fall of 3.4% (₹1 lakh briefly ₹96,600). 5-year pace 7.1% a year, median 3-year rolling return 8.4%, sharpe 1.23.
- Nippon India Short Duration Fund (Short Duration Fund) - King Score 83/100, RS 86/99 right now. 3-year return 7.7% a year, against a worst-ever fall of 2.9% (₹1 lakh briefly ₹97,100). 5-year pace 6.7% a year, median 3-year rolling return 7.9%, sharpe 1.11.
- HSBC Short Duration Fund (Short Duration Fund) - King Score 83/100, RS 75/99 right now. 3-year return 7.3% a year, against a worst-ever fall of 0.5% (₹1 lakh briefly ₹99,500). Median 3-year rolling return 7.5%, sharpe 0.73.
- Aditya Birla Sun Life Short Term Fund (Short Duration Fund) - King Score 82/100, RS 94/99 right now. 3-year return 7.6% a year, against a worst-ever fall of 2.8% (₹1 lakh briefly ₹97,200). 5-year pace 6.8% a year, median 3-year rolling return 8.2%, sharpe 1.01.
- Mirae Asset Short Duration Fund (Short Duration Fund) - King Score 81/100, RS 85/99 right now. 3-year return 7.4% a year, against a worst-ever fall of 2.2% (₹1 lakh briefly ₹97,800). 5-year pace 6.4% a year, median 3-year rolling return 6.6%, sharpe 0.81.
- HDFC Short Term Debt Fund (Short Duration Fund) - King Score 80/100, RS 78/99 right now. 3-year return 7.5% a year, against a worst-ever fall of 2.7% (₹1 lakh briefly ₹97,300). 5-year pace 6.5% a year, median 3-year rolling return 7.9%, sharpe 0.94.
Frequently asked questions
Which is the best short duration fund right now?
On our data-driven ranking as of 2026-09-16, Axis Short Duration Fund scores highest (King Score 86/100). That is a description of its record versus peers, not a recommendation - rankings move as NAVs update, and the right fund depends on your goals and risk tolerance.
Are short duration funds risky?
The category's numbers answer this better than adjectives: the average fund here has seen a worst-ever fall of -3.8%, and the deepest fall in the category is -19.8%. If a temporary loss of that size would make you sell, this category (or its allocation size in your portfolio) deserves a rethink. Risk here is not hypothetical - it is a matter of record.
What returns have short duration funds given historically?
Across the 18 funds we track in this category, the average 3-year return is 7.4% a year, with the best at 7.8% and the weakest at 7.0%. Over 5 years the category average is 6.8% a year. These are records, not projections - the next three years owe nothing to the last three.
What is the average 1-year return of short duration funds right now?
As of 2026-09-16, the 18 qualifying funds averaged 5.7% over the last year (median 5.6%). The best, Bandhan Short Duration Fund, returned 6.5%; the weakest returned 5.3%. One year is weather, not climate - check the 5 and 10 year columns before drawing conclusions.
Which short duration fund gave the highest return in the last 10 years?
ICICI Prudential Short Term Fund leads with 7.8% a year over 10 years - ₹1 lakh became about ₹211,900 pre-tax. The average across funds with a 10-year record is 7.0% a year. A decade-long record says a lot about the past and nothing certain about the next decade.
How is this list ranked?
Funds are ordered by King Score - a 0-100 composite of 3-year returns, rolling consistency, worst drawdown and Sharpe, each measured against category peers. The full formulas are public - see our methodology page. No fund pays to be here and rankings cannot be bought.
Should I invest in the #1 fund on this list?
We cannot tell you that - MF Terminal is descriptive research, not investment advice. A top rank says the past record was strong versus peers. Read the fund's full page, check the drawdowns you would have to sit through, and decide against your own horizon.
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All figures pre-tax, from AMFI NAV history. Rankings are descriptive and change with the data. Nothing here is investment advice or a recommendation to buy, sell or hold any fund. Past performance does not guarantee future returns.