Expense ratio in mutual funds includes annual operating costs such as management fees, allocation charges, advertisement costs etc. Here is a list of top 20 funds with lowest expense ratios in October 2025
Note : *NA implies that Fund is relatively new. Not enough data available
Below are the top mutual funds with lowest expense ratio in india:
BHARAT Bond FOF - April 2031 Direct (G) is a Debt fund that has delivered a 1 Year return of 8.7%, a 3 Years return of 8.9% and a 5 Years return of 6.7%. The fund has an expense ratio of 0.1% and an AUM of ₹4731 crores as of 2025-10-18. It was Launched on 2020-07-23. The minimum SIP investment is ₹1000 and the minimum lump sum investment is ₹5000. The fund allocates 095.73% to debt and 4.27% to other assets.
Kotak US Specific Equity Passive FoF Direct (G) is a International Equity fund that has delivered a 1 Year return of 29.1% and a 3 Years return of 34.7%. The fund has an expense ratio of 0.3% and an AUM of ₹3717 crores as of 2025-10-18. It was Launched on 2021-02-02. The minimum SIP investment is ₹1000 and the minimum lump sum investment is ₹5000. The fund allocates 99.95% to equities and 0.05% to other assets.
HDFC Overnight Fund Direct (G) is a Debt fund that has delivered a 1 Year return of 6.0%, a 3 Years return of 6.4% and a 5 Years return of 5.3%. The fund has an expense ratio of 0.1% and an AUM of ₹12851 crores as of 2025-10-18. It was Launched on 2013-01-01. The minimum SIP investment is ₹1000 and the minimum lump sum investment is ₹5000. The fund allocates 07.69% to debt and 92.31% to other assets.
ICICI Prudential Liquid Fund Direct (G) is a Debt fund that has delivered a 1 Year return of 6.8%, a 3 Years return of 7.1% and a 5 Years return of 5.7%. The fund has an expense ratio of 0.2% and an AUM of ₹45629 crores as of 2025-10-18.The minimum SIP investment is ₹1000 and the minimum lump sum investment is ₹1000. The fund allocates 094.51% to debt and 5.49% to other assets.
HDFC Gold ETF Fund of Fund Direct (G) is a Precious Metals fund that has delivered a 1 Year return of 63.6%, a 3 Years return of 34.5% and a 5 Years return of 18.9%. The fund has an expense ratio of 0.2% and an AUM of ₹6329 crores as of 2025-10-18. It was Launched on 2013-01-01. The minimum SIP investment is ₹1000 and the minimum lump sum investment is ₹5000. The fund allocates 01.05% to other assets.
HDFC Floating Rate Debt Fund Direct (G) is a Debt fund that has delivered a 1 Year return of 8.3%, a 3 Years return of 8.2% and a 5 Years return of 6.8%. The fund has an expense ratio of 0.3% and an AUM of ₹15446 crores as of 2025-10-18. It was Launched on 2013-01-01. The minimum SIP investment is ₹1000 and the minimum lump sum investment is ₹5000. The fund allocates 097.14% to debt and 2.86% to other assets.
Nippon India Arbitrage Fund Direct (G) is a Debt fund that has delivered a 1 Year return of 7.1%, a 3 Years return of 7.6% and a 5 Years return of 6.4%. The fund has an expense ratio of 0.4% and an AUM of ₹15516 crores as of 2025-10-18.The minimum SIP investment is ₹1000 and the minimum lump sum investment is ₹5000. The fund allocates -0.37% to equities, 22.48% to debt and 77.90% to other assets.
Parag Parikh Flexi Cap Fund Direct (G) is a Equity fund that has delivered a 1 Year return of 7.3%, a 3 Years return of 22.8% and a 5 Years return of 23.0%. The fund has an expense ratio of 0.6% and an AUM of ₹119723 crores as of 2025-10-18. It was Launched on 2013-05-24. The minimum SIP investment is ₹1000 and the minimum lump sum investment is ₹5000. The fund allocates 77.24% to equities, 21.44% to debt and 1.32% to other assets.
Kotak Nifty SDL Apr 2027 Top 12 Equal Weight Index Fund Direct (G) is a Debt fund that has delivered a 1 Year return of 7.7% and a 3 Years return of 8.1%. The fund has an expense ratio of 0.2% and an AUM of ₹7340 crores as of 2025-10-18. It was Launched on 2022-02-11. The minimum SIP investment is ₹1000 and the minimum lump sum investment is ₹5000. The fund allocates 097.70% to debt and 2.30% to other assets.
BHARAT Bond ETF FOF - April 2032 Direct (G) is a Debt fund that has delivered a 1 Year return of 8.2% and a 3 Years return of 8.9%. The fund has an expense ratio of 0.1% and an AUM of ₹4471 crores as of 2025-10-18. It was Launched on 2021-12-15. The minimum SIP investment is ₹1000 and the minimum lump sum investment is ₹5000. The fund allocates 096.83% to debt and 3.17% to other assets.
