Two funds. How much do they actually share?

What “overlap %” means

For every stock present in BOTH funds, we take the smaller weight and add it up. If Fund A holds 8% of HDFC Bank and Fund B holds 6% of HDFC Bank, the overlap on that name is 6%. Sum that across every common holding and you have the total overlap. This is the "% of your portfolio you’d own twice" if you put 50% in each fund.

Rules of thumb (Indian context)

• Below 20% overlap — genuine diversification. Adding the second fund spreads your bet meaningfully.
• 20–40%— partial overlap. Still useful if the funds have different sector tilts or fund-manager styles, but you’re paying two expense ratios for a lot of shared exposure.
• Above 40%— heavy overlap. Common between two large-cap funds and between Nifty50-tracking index funds (which are ~100% overlap by design — that doesn’t make them bad, but it makes buying both pointless).
• Above 60%— you’re effectively running one fund through two expense ratios. Pick one, consolidate.

What we don’t show (yet)

This v1 uses each fund’s top-10 published holdings (per Reg 70(3), AMCs publish monthly factsheets — that’s the source). The actual portfolio of a typical equity fund holds 40–80 stocks; overlap on the tail can push the true number up or down by ~5%. The top-10 captures 50–80% of any equity fund’s weight, so it’s a strong directional signal — but not the final word.

Why other Indian platforms paywall this

Tickertape Pro (₹299/month) and ETMoney Genius (paid) both ship fund-overlap analytics. The math takes 50 lines of code; the moat is the maintained holdings dataset. We publish ours and refresh it monthly from AMC factsheets. You don’t need a subscription to see if you’re over-diversified.