What is tracking error and how does it affect NIFTY 100 index funds?

Tracking error measures the annualized standard deviation of daily return differences between an index fund and the NIFTY 100 benchmark. A lower tracking error indicates that the fund manager replicates the index with minimal drift and tighter cash drag management.

How does the total expense ratio (TER) impact long-term returns for NIFTY 100 index funds?

The total expense ratio (TER) is the recurring annual management fee deducted from fund NAV. In passive index investing tracking NIFTY 100, selecting direct growth plans with lower expense ratios compounds over 3Y, 5Y, and 10Y horizons into significantly higher net wealth accumulation.

What is the difference between tracking error and tracking difference for NIFTY 100 funds?

Tracking difference is the cumulative absolute return gap between the fund and the NIFTY 100 benchmark over a specific holding period (primarily driven by TER and transaction costs), whereas tracking error measures the volatility of daily excess returns over time.

Historical product comparison

NIFTY 100 funds and ETFs

This page compares products tracking NIFTY 100 across past periods where they had enough overlapping history. It shows their record across comparable holding periods.

A win rate is the share of comparable historical periods in which a product had the highest result. It describes past comparisons, not a future prediction.

Snapshot: 26 Aug 2026

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Data view

Results by holding period

Product	Available history	1Y win rate
Principal Nifty 100 Equal Weight Fund - Direct Plan - Growth Option	Jan 2013 to Dec 2021	39.08% 998 comparable periods
Sundaram Smart Nifty 100 Equal Weight Fund Direct Plan - Growth	Jan 2017 to Dec 2021	38.22% 976 comparable periods
HDFC NIFTY 100 Equal Weight Index Fund - Direct Plan - Growth Option	Feb 2022 to Aug 2026	30.01% 863 comparable periods
Edelweiss Nifty 100 Quality 30 Index Fund - Direct Plan - Growth	Oct 2021 to Aug 2026	25.78% 958 comparable periods
Kotak NIFTY 100 Low Volatility 30 Index Fund - Direct Plan - Growth	Jun 2024 to Aug 2026	20.74% 299 comparable periods
Sundaram Nifty 100 Equal Weight Fund (Formerly Known as Principal Nifty 100 Equal Weight Fund) - Direct Plan - GROWTH	Jan 2022 to Aug 2026	13.35% 899 comparable periods
Kotak Nifty 100 Equal Weight Index Fund - Direct Plan - Growth	Dec 2024 to Aug 2026	9.76% 164 comparable periods
BANDHAN NIFTY 100 INDEX FUND - Direct Plan - Growth	Feb 2022 to Aug 2026	8.90% 865 comparable periods
Axis Nifty 100 Index Fund - Direct Plan - Growth Option	Oct 2019 to Aug 2026	8.84% 1323 comparable periods
HDFC NIFTY 100 Index Fund - Direct Plan - Growth Option	Feb 2022 to Aug 2026	0.00% 863 comparable periods