Authors: Mohammad Ameer Sohail, Professor Dr. S. Narender
Abstract: Mutual funds have emerged as one of the most accessible and systematically managed investment instruments in India, particularly for retail investors seeking professionally guided market participation. This article examines the comparative performance of three private sector mutual funds — ABSL Frontline Equity Fund, Axis Long Term Equity Fund, and ICICI Prudential Balanced Advantage Fund — against three public sector counterparts: LIC MF Balanced Advantage Fund, SBI Exchange Traded Fund Sensex, and UTI Nifty ETF. Performance evaluation is conducted using six quantitative metrics: standard deviation, alpha, beta, R-squared, Sharpe ratio, and expense ratio. The empirical findings indicate that while SBI ETF Sensex delivered the highest one-year return of 10.72%, ICICI Prudential Balanced Advantage Fund demonstrated the most favourable risk-adjusted profile with the lowest standard deviation (13.86%) and the highest alpha (1.25). The study concludes that neither sector categorically outperforms the other, and investment decisions should be grounded in individual risk tolerance, investment horizon, and return expectations.
