New Delhi, Sept. 3 -- India's largest banks by market capitalisation have delivered sharply different returns over the past year. While HDFC Bank has declined 26%, SBI has gained 26%, highlighting the divergence within the banking space.

But for mutual fund investors, another question matters: which actively managed mutual funds have the highest allocation to these banking giants?

Excluding index funds and ETFs, the data shows that several banking and financial-services sector funds have sizeable exposure to the country's largest lenders.

The performance gap is significant. SBI delivered the highest one-year return at 26%, followed by Axis Bank at 20%. Kotak Mahindra Bank gained 7%, while ICICI Bank was broadly flat with a 2% return. H...