Nifty PSU Bank Historical Returns
The Nifty PSU Bank index tracks public-sector (government-owned) banks. Figures come from the NAV of a fund that tracks it, so returns include dividends and are after fund costs.
Price history
Month-end values, on a log scale (equal distances are equal percentage changes). Hover a year-end point for its value.
About Nifty PSU Bank
The Nifty PSU Bank index tracks public-sector (government-owned) banks.
What it means for investors. PSU banks have gone through long cycles: deep falls during periods of bad loans and strong rises during recoveries. Its history is a reminder that a sector can lag for years.
Returns over time
| Series | 1Y | 3Y | 5Y | 10Y | 15Y | 20Y | Max fall | Data to |
|---|---|---|---|---|---|---|---|---|
| Nifty PSU Bank | 2.7% | 19.4% | 23.9% | 9.5% | 5.9% | n/a | −81% | 23 Oct 2026 |
Annualised (CAGR) for periods of a year or more, ending on each series' latest date. “n/a” means the series does not go back that far. Max fall: the largest fall from a previous peak over the whole history.
AMFI NAV history (daily NAV file; earlier history via mfapi.in, which republishes AMFI NAVs), stored and cleaned by MFIC. Proxy: Kotak Nifty PSU Bank ETF (total return after fund costs (proxy)). Data 13 Nov 2007 to 23 Oct 2026. Latest level: NSE daily index closing values. Returns use the fund NAV history, which includes dividends.
Mutual funds linked to Nifty PSU Bank
MFIC groups that invest in this market, with medians for each group (medians across open-ended schemes, regular plans (etfs for etf categories), growth option, from amfi navs; NAVs as of 23 Oct 2026).
| Fund group | Link | Schemes | 1Y median | 3Y CAGR median | 5Y CAGR median | Ahead of benchmark TRI, 3Y |
|---|---|---|---|---|---|---|
| Equity ETF: Sector: Banking & financial services (ETFs) | Track this market | 39 | −6.1% | +8.6% | +6.7% | – |
| Equity ETF: Sector: PSU (ETFs) | Track this market | 6 | −9.1% | +15.3% | +20.1% | – |
| Index Fund: Sector: Banking & financial services | Track this market | 24 | −6.9% | +8.0% | +5.9% | – |
| Index Fund: Sector: PSU | Track this market | 2 | −18.3% | n/a | n/a | – |
| Sectoral/Thematic: Banking & financial services | Main market of active funds | 28 | −7.6% | +9.4% | +7.7% | 11 of 17 |
| Sectoral/Thematic: PSU | Main market of active funds | 5 | −6.1% | +16.7% | +18.2% | 0 of 4 |
Groups follow AMFI categories; theme groups are MFIC's own grouping from scheme names. "Ahead of benchmark TRI" compares each scheme's 3-year return with its own benchmark's total return index as published by AMFI; it is not shown for index funds and ETFs, which aim to match their index. Listed by how closely the group follows this market, not ranked. Open a group for every scheme in it.
Calendar-year returns
| Year | Return |
|---|---|
| 2026 to 23 Oct | −5.1% |
| 2025 | 30.6% |
| 2024 | 14.7% |
| 2023 | 32.5% |
| 2022 | 73.5% |
| 2021 | 43.4% |
| 2020 | −30.9% |
| 2019 | −19.1% |
| 2018 | −16.9% |
| 2017 | 21.7% |
| 2016 | 4.5% |
| 2015 | −32.1% |
Over 18 complete calendar years since 2008, Nifty PSU Bank rose in 11. Best: 2009 (+76.2%). Worst: 2011 (−41.1%).
Year-end to year-end, from AMFI NAV history (daily NAV file; earlier history via mfapi.in, which republishes AMFI NAVs), stored and cleaned by MFIC.
Falls from peak and recovery
| Peak | Bottom | Fall | Months down | Back to peak | Months to recover | Events in the fall |
|---|---|---|---|---|---|---|
| Feb 2026 | Mar 2026 | −20.3% | 1 | not yet | — | — |
| Jun 2024 | Mar 2025 | −29.8% | 9 | Oct 2025 | 8 | General election results 2024; Union Budget 2024 |
| Nov 2010 | May 2020 | −80.7% | 114 | Dec 2023 | 43 | US credit rating downgrade; Taper tantrum; Rupee record low (2013); General election results 2014; and 11 more |
| Oct 2009 | Feb 2010 | −16.5% | 4 | Apr 2010 | 3 | — |
| Jan 2008 | Mar 2009 | −61.6% | 14 | Oct 2009 | 7 | January 2008 sell-off; Lehman Brothers bankruptcy; RBI cuts repo rate (GFC) |
Each fall of 10% or more from a previous high, measured on daily data. The 5 deepest are shown. “Back to peak” is the first date it regained the previous high.
Rolling returns: the range of outcomes
| Holding period | Periods | Median | Worst | Best | Middle half | Positive |
|---|---|---|---|---|---|---|
| 1 year | 215 | 11.8% | −65.4% | 122.6% | −18.2% to 42.9% | 57% |
| 3 years | 191 | 3.0% | −31.9% | 60.9% | −6.2% to 24.3% | 57% |
| 5 years | 167 | 1.7% | −20.8% | 45.8% | −4.1% to 9.0% | 56% |
| 10 years | 107 | 2.5% | −13.4% | 16.8% | −2.7% to 6.8% | 64% |
Every holding period starting at a month-end in the history (overlapping). Annualised for periods over a year.
How it has moved with other assets
| Compared with | Correlation | Months |
|---|---|---|
| Nifty 50 | 0.73 | 226 |
| Gold (domestic, ₹) | −0.13 | 226 |
| 10-year G-Sec (bond fund) | 0.06 | 226 |
| USD/INR | −0.48 | 226 |
| Nifty Bank | 0.78 | 141 |
| Nifty IT | 0.02 | 75 |
Correlation of monthly returns over the months both series have: +1 moves together, 0 unrelated, −1 opposite. Relationships change over time.
Nifty PSU Bank and the Nifty 50, year by year
| Year | Nifty PSU Bank | Nifty 50 |
|---|---|---|
| 2026 to 23 Oct | −5.1% | −12.9% |
| 2025 | 30.6% | 11.6% |
| 2024 | 14.7% | 9.6% |
| 2023 | 32.5% | 20.9% |
| 2022 | 73.5% | 5.3% |
| 2021 | 43.4% | 25.2% |
| 2020 | −30.9% | 15.5% |
| 2019 | −19.1% | 13.2% |
| 2018 | −16.9% | 4.3% |
| 2017 | 21.7% | 29.7% |
| 2016 | 4.5% | 4.0% |
| 2015 | −32.1% | −3.3% |
| 2014 | 61.8% | 31.8% |
| 2013 | −32.7% | 6.9% |
| 2012 | 42.9% | 28.3% |
Fund NAVs (AMFI), after fund costs.
Questions
- What has Nifty PSU Bank returned over the long run?
- Calculated from Kotak Nifty PSU Bank ETF, Nifty PSU Bank returned 9.5% a year over the 10 years to 23 Oct 2026, and 19.4% a year over 3 years. Past returns do not indicate future returns.
- What was the biggest fall in Nifty PSU Bank?
- In the data available from Nov 2007, the largest fall from a previous peak was −80.7%, from Nov 2010 to May 2020, and it regained the peak in Dec 2023 (43 months after the bottom). There were 5 falls of 10% or more, 4 of them 20% or more.
- How often has Nifty PSU Bank been positive over one year?
- Across 215 one-year periods starting at month-ends, 57% were positive; the range was −65.4% to 122.6%. Over five-year periods (167), 56% were positive, with annualised returns from −20.8% to 45.8%.
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