Top Pharma Mutual Funds in India (2026)
Pharma mutual funds have gained attention as India’s pharmaceutical sector continues to evolve, supported by exports, domestic demand, and manufacturing scale. India’s pharmaceutical market is estimated at around US$50–55 bn, with a strong presence in generics and APIs globally. The sector has seen steady growth in recent years, driven by healthcare spending, diagnostics, and hospital infrastructure, keeping pharma-focused mutual funds relevant in sectoral investing.
Top Pharma Mutual Funds in 2026
Showing 1 - 18 of 18 results
last updated at 8:00 AM IST
| NameMFs (18)↓ | ↓Sub CategorySub Category↓ | ↓PlanPlan↓ | ↓AUMAUM↓ | ↓CAGR 3YCAGR 3Y↓ | ↓Expense RatioExpense Ratio↓ | ↓CAGR 5YCAGR 5Y↓ | ↓NAVNAV↓ | ↓Exit LoadExit Load↓ | ↓Absolute Returns - 1YAbsolute Ret. - 1Y↓ | ↓VolatilityVolatility↓ | ↓AlphaAlpha↓ | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1. | ICICI Pru Pharma Healthcare & Diagnostics (P.H.D) Fund ICICI Pru Pharma Healthcare & Diagnostics (P.H.D) Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 6,293.14 6,293.14 | 28.19 28.19 | 1.05 1.05 | 17.27 17.27 | 43.35 43.35 | 1.00 1.00 | 7.97 7.97 | 13.62 13.62 | 3.44 3.44 | |
| 2. | SBI Healthcare Opp Fund SBI Healthcare Opp Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 4,063.64 4,063.64 | 26.22 26.22 | 0.92 0.92 | 16.80 16.80 | 507.01 507.01 | 0.50 0.50 | 5.63 5.63 | 11.91 11.91 | -0.69 -0.69 | |
| 3. | Mirae Asset Healthcare Fund Mirae Asset Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 2,753.72 2,753.72 | 25.70 25.70 | 0.51 0.51 | 16.14 16.14 | 45.26 45.26 | 1.00 1.00 | 10.99 10.99 | 13.27 13.27 | 1.91 1.91 | |
| 4. | DSP Healthcare Fund DSP Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 2,891.76 2,891.76 | 23.48 23.48 | 0.62 0.62 | 15.19 15.19 | 43.41 43.41 | 0.50 0.50 | 6.27 6.27 | 11.96 11.96 | 1.66 1.66 | |
| 5. | UTI Healthcare Fund UTI Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 1,055.53 1,055.53 | 26.18 26.18 | 1.30 1.30 | 15.18 15.18 | 332.53 332.53 | 1.00 1.00 | 9.39 9.39 | 12.24 12.24 | 3.68 3.68 | |
| 6. | Tata India Pharma & Healthcare Fund Tata India Pharma & Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 1,229.42 1,229.42 | 23.90 23.90 | 0.72 0.72 | 15.10 15.10 | 35.32 35.32 | 0.25 0.25 | 3.81 3.81 | 11.59 11.59 | 1.08 1.08 | |
| 7. | Nippon India Pharma Fund Nippon India Pharma Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 7,898.24 7,898.24 | 23.27 23.27 | 0.93 0.93 | 14.36 14.36 | 579.98 579.98 | 1.00 1.00 | 4.98 4.98 | 12.16 12.16 | -0.24 -0.24 | |
| 8. | Aditya Birla SL Pharma & Healthcare Fund Aditya Birla SL Pharma & Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 858.87 858.87 | 24.48 24.48 | 1.02 1.02 | 14.18 14.18 | 35.07 35.07 | 1.00 1.00 | 6.76 6.76 | 11.80 11.80 | 2.29 2.29 | |
| 9. | LIC MF Healthcare Fund LIC MF Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 78.30 78.30 | 22.53 22.53 | 0.64 0.64 | 11.96 11.96 | 32.36 32.36 | 1.00 1.00 | 6.05 6.05 | 12.23 12.23 | 2.01 2.01 | |
| 10. | ITI Pharma & Healthcare Fund ITI Pharma & Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 211.30 211.30 | 21.89 21.89 | 0.47 0.47 | - - | 17.42 17.42 | 0.50 0.50 | 2.23 2.23 | 13.28 13.28 | -2.10 -2.10 | |
| 11. | Quant Healthcare Fund Quant Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 326.63 326.63 | - - | 0.83 0.83 | - - | 16.04 16.04 | 1.00 1.00 | 6.58 6.58 | 15.30 15.30 | -0.17 -0.17 | |
| 12. | Kotak Healthcare Fund Kotak Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 442.28 442.28 | - - | 0.74 0.74 | - - | 14.64 14.64 | 0.50 0.50 | 10.19 10.19 | 13.17 13.17 | 0.95 0.95 | |
| 13. | WOC Pharma and Healthcare Fund WOC Pharma and Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 556.42 556.42 | - - | 0.67 0.67 | - - | 14.78 14.78 | - - | 12.44 12.44 | 12.79 12.79 | 2.46 2.46 | |
| 14. | HDFC Pharma and Healthcare Fund HDFC Pharma and Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 1,976.86 1,976.86 | - - | 0.94 0.94 | - - | 18.81 18.81 | 1.00 1.00 | 15.19 15.19 | 13.03 13.03 | 5.50 5.50 | |
| 15. | Bajaj Finserv Healthcare Fund Bajaj Finserv Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 300.45 300.45 | - - | 0.74 0.74 | - - | 10.05 10.05 | 1.00 1.00 | 8.35 8.35 | 12.21 12.21 | 3.38 3.38 | |
| 16. | PGIM India Healthcare Fund PGIM India Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 85.19 85.19 | - - | 0.65 0.65 | - - | 10.44 10.44 | 0.50 0.50 | 8.75 8.75 | 11.94 11.94 | 3.45 3.45 | |
| 17. | Baroda BNP Paribas Health and Wellness Fund Baroda BNP Paribas Health and Wellness Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 515.19 515.19 | - - | 0.60 0.60 | - - | 9.59 9.59 | 1.00 1.00 | - - | 11.35 11.35 | -0.51 -0.51 | |
| 18. | Bandhan Healthcare Fund Bandhan Healthcare Fund | Sectoral Fund - Pharma & Health Care Sectoral Fund - Pharma & Health Care | Growth Growth | 294.70 294.70 | - - | 0.71 0.71 | - - | 9.83 9.83 | 0.50 0.50 | - - | 14.09 14.09 | 2.60 2.60 |
Disclaimer: Please note that the above table is for informational purposes only, and is not recommendatory. Please do your own research or consult your financial advisor before investing. The data is derived from Tickertape Mutual Fund Screener and is subject to real-time updates.
Selection criteria: 5Y CAGR: Sorted from highest to lowest, Plan: Growth, Category: Equity, Sub-Category: Sectoral Fund - Pharma & Health Care
Selection criteria: 5Y CAGR: Sorted from highest to lowest, Plan: Growth, Category: Equity, Sub-Category: Sectoral Fund - Pharma & Health Care
What are Pharma Mutual Funds?
Pharma mutual funds are sectoral or thematic mutual funds that invest mainly in companies linked to the Pharma space. These may include pharmaceutical firms, hospitals, diagnostic chains, biotech companies, medical equipment makers, and Pharma service providers. Their performance depends largely on how the Pharma sector performs rather than the broader market. In India, these funds are usually treated as equity mutual funds if they invest predominantly in stocks. Health care mutual funds can offer focused exposure to a defensive and growth-oriented sector, but they also carry concentration risk because the portfolio is tied to a single theme or industry segment.
Overview of the Top Pharma Mutual Funds
SBI Healthcare Opp Fund
SBI Healthcare Opp Fund is a sectoral equity scheme that invests in pharmaceutical, hospital, diagnostics, and healthcare-related companies. It offers focused exposure to the healthcare sector, with returns linked to industry growth, regulation, demand trends, and company-specific developments across the healthcare ecosystem.
ICICI Pru Pharma Healthcare & Diagnostics (P.H.D) Fund
ICICI Pru Pharma Healthcare & Diagnostics Fund invests in companies across pharmaceuticals, hospitals, diagnostics, and allied healthcare businesses. It provides sector-focused equity exposure, with performance depending on healthcare demand, regulatory changes, sector valuations, and the fund’s stock selection across healthcare segments.
Mirae Asset Healthcare Fund
Mirae Asset Healthcare Fund is a thematic equity fund that invests in healthcare-related companies, including pharma firms, hospitals, and diagnostics businesses. It offers targeted exposure to the sector, with returns driven by healthcare demand, regulation, market trends, and portfolio allocation decisions.
UTI Healthcare Fund
UTI Healthcare Fund invests primarily in pharmaceutical and healthcare companies, including hospitals, diagnostics, and related businesses. The fund provides concentrated sector exposure, so performance depends on healthcare industry trends, export demand, policy changes, and the fund’s strategy across different healthcare segments.
Tata India Pharma & Healthcare Fund
Tata India Pharma & Healthcare Fund is a sector-focused equity scheme investing in pharmaceutical and healthcare-related companies. It offers exposure to businesses such as drug manufacturers, hospitals, and diagnostics firms, with returns influenced by industry growth, regulation, demand conditions, and overall market sentiment.
How to Invest in Pharma Mutual Funds?
Here’s how you can identify and invest in the Pharma mutual funds with Tickertape Mutual Fund Screener -
- Launch Tickertape Mutual Fund Screener.
- Select “Pharma Mutual Funds” in the category
- Sort out the best healthcare mutual funds based on over 50 fundamental and technical filters.
- After identifying the Pharma mutual funds in India that align with your investment thesis, click on “Place Order” to invest in the fund.
With Tickertape Mutual Fund Screener, you can invest via ‘lumpsum’ or start a ‘SIP’ in Pharma Mutual Funds. Moreover, by connecting your portfolio, you can perform a deep analysis and assess its performance.
Taxation of Pharma Mutual Funds
Capital gains tax depends on how long the units are held. The table below summarises the applicable rates for pharma mutual funds.
Capital gains tax depends on how long the units are held. The table below summarises the applicable rates for Pharma mutual funds.
| Holding Period | Tax Treatment |
|---|---|
| Short-Term (12 months) | Gains are taxed at 20%. |
| Long-Term (more than 12 months) | Gains are taxed at 12.5%. The first ₹1.25 lakh of long-term gains in a financial year is exempt. |
Benefits of Investing in Pharma Mutual Funds
Sector Growth
India’s broader healthcare sector was valued at about US$ 372 bn in 2023 and is projected to reach US$ 638 bn by 2025. This growth reflects rising healthcare spending, demand for diagnostics, insurance coverage, and hospital expansion. India’s pharmaceutical market, meanwhile, was around US$ 55 bn in 2025, showing that healthcare fund exposure goes beyond pharma alone.
Policy Support
The Union Budget 2025-26 allocated ₹99,858 cr to Pharma, up 9.78% from ₹90,958 cr in FY25. A higher policy push can benefit segments such as hospitals, diagnostics, medical devices, and pharmaceutical manufacturing over time.
Broader Theme
Healthcare funds are not limited to drug makers. Scheme documents show they can include pharmaceuticals and biotechnology, Pharma services, hospitals and diagnostics, and Pharma research, analytics, and technology. That gives investors access to multiple Pharma-linked business models within one theme.
Defensive Nature
Pharma demand is often less cyclical than many other sectors because spending on medicines, diagnostics, and hospital services tends to continue even during slower economic phases. That makes Pharma funds a sectoral category that some investors track for relative resilience, even though market returns can still fluctuate.
Risks of Investing in Pharma Mutual Funds
Sector Risk
Pharma mutual funds are sectoral funds, so performance depends heavily on one part of the market rather than the broader economy. Scheme documents typically require these funds to invest predominantly in pharma- and Pharma-related companies, thereby increasing concentration risk compared with diversified equity funds.
Regulatory Risk
Healthcare and Pharma companies can be affected by changes in drug pricing rules, quality standards, export compliance, and product approvals. Since these businesses operate in heavily regulated segments, policy changes can influence margins, product pipelines, and valuations.
Valuation Risk
Healthcare funds can go through long periods of outperformance and underperformance depending on earnings cycles, export demand, and market sentiment. Even though the Nifty Pharma and Nifty Pharma indices track major listed Pharma companies, sector indices can still move differently from the broader market because of valuation resets and sector rotation.
Stock Concentration
Pharma indices in India have a limited number of constituents. The Nifty Pharma Index Fund comprises up to 20 tradable, listed companies. That means fund performance can be meaningfully influenced by a relatively small set of stocks.
Global Exposure
A large part of Indian healthcare and pharma earnings is linked to exports and international markets. India exported pharmaceutical products to 191 countries in 2024-25, with pharma exports totalling US$ 30.5 bn. That global footprint creates growth opportunities, but it also adds currency, compliance, and overseas demand risk.
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Factors to Consider Before Investing in Pharma Mutual Funds
Portfolio Concentration
Investors should check how concentrated the fund is across subsectors such as pharmaceuticals, hospitals, diagnostics, biotech, or Pharma technology. A Pharma fund with most of its allocation in a single segment may behave very differently from one spread across the broader Pharma ecosystem.
Sector Drivers
The Pharma theme is shaped by multiple moving parts, including domestic Pharma spending, exports, hospital capacity, diagnostics demand, and medical devices growth. For example, India’s hospital market was valued at US$ 98.98 bn in 2023 and is projected to reach US$ 193.59 bn by 2032, while the medical devices market is expected to grow to US$ 50 bn by 2030.
Risk Tolerance
Pharma mutual funds are equity-oriented sectoral funds, not broad diversified products. They may suit investors who understand theme-specific volatility and can handle periods when the Pharma sector lags the wider market. This is important because sector funds can experience sharper swings based on earnings, regulation, and sentiment.
Fund Strategy
Investors should review the expense ratio, benchmark, portfolio style, and whether the fund is actively managed or, in practice, benchmark-aware. Since several healthcare funds invest in a relatively compact opportunity set, fund management approach and stock selection can make a visible difference to outcomes over time.
Conclusion
Pharma mutual funds provide focused exposure to a sector shaped by domestic demand, exports, and policy support. Their performance depends on Pharma industry trends, fund strategy, and market conditions, and they can be more concentrated than diversified funds. To compare Pharma mutual funds and evaluate key metrics such as returns, risk, expense ratio, and portfolio composition, investors can use the Tickertape Mutual Fund Screener, which offers multiple filters to analyse and compare schemes in one place.
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Frequently Asked Questions About Pharma Mutual Funds
What are pharma mutual funds?
Pharma mutual funds are sectoral or thematic mutual funds that invest mainly in Pharma-related companies. These may include pharmaceutical firms, hospitals, diagnostics chains, biotech companies, medical equipment makers, and Pharma service providers. Their performance depends largely on the Pharma sector rather than the broader market.How to invest in pharma mutual funds?
Here’s how you can invest in Pharma Mutual Funds,
- Launch Tickertape Mutual Fund Screener.
- Select the Pharma Mutual Funds that aligns with your investment goals.
- Click on “Place Order” and select the option “SIP” or "Lumpsum". Enter the amount and confirm “OK”
Your order will be placed.Which health care mutual fund is best?
The following are the best healthcare mutual funds based on 1Y returns as of 20th April, 2026: Disclaimer: This information is for educational purposes only and does not constitute investment advice or a recommendation.Is a health care mutual fund good?
A Pharma mutual fund may be relevant for investors seeking focused exposure to the Pharma sector and willing to accept sector-specific risk. These funds can benefit from long-term trends such as rising Pharma demand, but they can also be volatile due to their concentration in a single theme. Disclaimer: This is for educational purposes only and not a recommendation. Whether a Pharma mutual fund is suitable depends on an investor’s financial goals, risk appetite, and investment horizon. Investors should assess these factors carefully and consult a financial advisor before investing.How to choose pharma mutual funds before investing?
Investors can review the fund’s portfolio mix, expense ratio, consistency of past performance, risk measures, and concentration in the Pharma segments before investing. The Tickertape Mutual Fund Screener can help compare Pharma mutual funds using filters such as returns, risk, expense ratio, AUM, and other key fund details.Why should you invest in pharma mutual funds?
Pharma mutual funds offer exposure to sectors related to medicines, hospitals, diagnostics, and Pharma services. Some investors track this category for sector-specific growth potential and diversification within equities. Disclaimer: This is for educational purposes only and not a recommendation. Sectoral mutual funds can be volatile and may not suit every investor. Investment decisions should be based on individual financial goals, risk tolerance, and time horizon.What are the advantages of investing in pharma mutual funds?
Pharma mutual funds provide targeted exposure to Pharma-related businesses through a single fund. They offer access to multiple segments such as pharma, hospitals, diagnostics, and biotech, while staying within the mutual fund route. They also help investors participate in a sector that is often tracked for its essential-demand characteristics.What are the risks of investing in pharma mutual funds?
Pharma mutual funds carry sector concentration risk because they invest primarily in a single industry. Their returns can be affected by regulatory changes, pricing pressure, export-related issues, valuation shifts, and company-specific developments within the Pharma space. They may also underperform when the sector lags the broader market.Who should consider investing in pharma mutual funds?
Pharma mutual funds may be relevant for investors who understand sector-specific volatility and want limited exposure to the Pharma theme within a broader portfolio. They may suit those with a higher risk tolerance and a long-term view. Disclaimer: This is for educational purposes only and not a recommendation. Pharma mutual funds may not be suitable for every investor. Investors should evaluate their financial goals, risk appetite, and investment horizon, and consult a financial advisor before making any investment decision.
