Post on 21-Feb-2017
transcript
Product Labelling
This product is suitable for investors who are seeking*: Riskometer
Long term capital appreciation Investment in diversified basket of equity stocks
spanning the entire market capitalization spectrum to provide both long term growth opportunities and liquidity
*Investors should consult their financial advisers if in doubt about whether the product is suitable for them.
Introduction
What is a Multi-cap Fund?
Variation in Market Performance
How Capitalization affects Risk & Returns
SBI Magnum Multi-cap Fund - Philosophy
Investment Management Process
Fund Features
Portfolio Holdings
Performance
What is Multi-Cap Fund?
These can invest in stocks across market capitalization. In other words, they are market capitalization agnostic.
Diversified across all sizes of investible stocks
Portfolio comprises of large cap, midcap and small cap stocks.
Performance of Midcaps and Large caps can vary significantly over time depending of different phase of the market cycle
S&P BSE Large Cap Outperformance
S&P BSE Mid Cap Outperformance
Variation in Market Performance
Source: Bloomberg, Data from 01.01.2006 to 31.01.2017.Past performance may or may not be sustained in future
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
-30%
-25%
-20%
-15%
-10%
-5%
0%
5%
10%
15%
20%
How capitalization affects risk and returns
Large Caps adds stability of returns and liquidity. Mid and Small Caps add high growth
Incr
easi
ng E
xpec
ted
Retu
rns
Increasing Expected Risk
Large Cap
Mid Cap
Small Cap
Source: Bloomberg, Data from 1st January 2006 to 31st Dec 2016. Average Returns are Average 1 year rolling returns for every year.Past performance may or may not be sustained in future
Returns (CAGR)
Risk (Std.Deviati
on)Reward/Risk
Ratio
S&P BSE Large Cap 13.72% 38.04% 0.36
S&P BSE Mid Cap 19.36% 50.63% 0.38
S&P BSE Small Cap 22.08% 61.01% 0.36
SBI Magnum Multicap Fund
Fund Philosophy
Sector Neutral Portfolio: Achieve the full potential of each sector with a range of choices across all capitalization
Bottom Up approach for stock selection
Cash calls only for liquidity purpose
Investment Management Process
A portfolio to provide diversification to all market capitalization as well as to maintain a balance of risk & return
All Capitalization stocks for specific sector
Screening & Ranking
Fundamental Analysis
Sector Portfolio
Fund Mandate
Risk Controls
Bott
om U
p Pr
oces
s
Top Stocks from each sector portfolio
Fund Features
STYLE BOX
Growth Blend Value
Large
Mid
Small
Source: CRISIL Fund Analyser Risk Free rate : FBIL Overnight Mumbai Interbank Outright Rate 6.25% as on 31/Jan/2017. Basis for Ration Calculation : 3 Years Daily Data Points
QUANTITATIVE ANALYSIS
Standard deviation 15.43%
Beta# 0.96
Sharpe ratio 1.15
Expense ratio (Regular Plan) 2.15%
Expense ratio (Direct Plan) 1.26%
Large Cap55.1%Mid Cap
33.9%
Small
Cap7.1%
Cash3.9%
Portfolio Holdings
Data as on 31.01.2017
Top Sector Holdings Top 10 Holdings
Stock Name % of Total AUM
HDFC BANK LTD. 4.93
STATE BANK OF INDIA 4.17
MAHINDRA & MAHINDRA FINANCIAL SERVICES LTD. 3.82
EQUITAS HOLDING LTD. 3.61
INFOSYS LTD. 3.30
HINDUSTAN PETROLEUM CORPORATION LTD. 3.28
INDIAN OIL CORPORATION LTD. 3.07
TATA MOTORS LTD. 3.07
MARUTI SUZUKI INDIA LTD. 2.95
NESTLE INDIA LTD. 2.60
Nature of Instruments % of Total AUM
FINANCIAL SERVICES 26.04
CONSUMER GOODS 12.21
ENERGY 9.35
IT 9.32
AUTOMOBILE 9.22
PHARMA 6.80
CONSTRUCTION 6.28
CEMENT & CEMENT PRODUCTS 3.19
METALS 2.49
INDUSTRIAL MANUFACTURING 2.27
Performance
Past performance may or may not be sustained in future. Returns (in %) other than since inception are absolute, calculated for growth option and in INR are point-to-point (PTP) returns calculated on a standard investment of 10,000/-. Additional benchmark as prescribed by SEBI for equity schemes is used for comparison purposes. Performance calculated for Regular Plan Growth Option. Since inception NAV is assumed as 10 Inception Date: 29/09/2005
3/12/15 to 30/12/16
31/12/14 to 31/12/15
31/12/13 to 31/12/14 Since Inception
Absolute Returns (%)
CAGR Returns (%)
PTP Returns (INR)
SBI Magnum Multicap Fund-Regular-Growth 5.82 9.81 55.98 11.93 35,559
S&P BSE 500 (Scheme Benchmark) 3.78 -0.82 36.96 10.67 31,302
S&P BSE Sensex(Additional Benchmark) 1.95 -5.03 29.89 10.50 30,781
31/12/2015 to 30/12/2016
31/12/2014 to 31/12/2015
31/12/2013 to 31/12/2014
Since Inception-10
0
10
20
30
40
50
60
SBI Magnum Multicap Fund - Reg Plan - GrowthScheme Benchmark: - S&P BSE 500Additional Benchmark: - S&P BSE Sensex
31/12/15 to 30/12/16
31/12/14 to 31/12/15
31/12/13 to 31/12/14 Since Inception
Absolute Returns (%) CAGR Returns (%)
PTP Returns (INR)
SBI Magnum Comma Fund 32.25 -6.14 31.47 10.18 30,218
Nifty Commodities Index (Scheme Benchmark) 24.74 -9.54 16.67 9.04 26,841
S&P BSE Sensex (Additional Benchmark) 1.95 -5.03 29.89 11.61 35,006
Past performance may or may not be sustained in future. Returns (in %) other than since inception are absolute, calculated for growth option and in INR are point-to-point (PTP) returns calculated on a standard investment of 10,000/-. Additional benchmark as prescribed by SEBI for long term debt schemes is used for comparison purposes. Performance calculated for Regular Plan. Since inception NAV is assumed as 10. Inception Date: 08/08/2005
Performance of other Schemes Managed by Mr. Richard D’Souza
31/12/15 to 30/12/16
31/12/14 to 31/12/15
31/12/13 to 31/12/14 Since Inception
Absolute Returns (%) CAGR Returns (%) PTP Returns (INR)
SBI Infrastructure Fund 9.27 2.71 48.06 2.18 12,271Nifty Infrastructure(Scheme Benchmark) -2.05 -8.91 22.71 -3.72 6.977S&P BSE Sensex(Additional Benchmark) 1.95 -5.03 29.89 6.26 17,794
Past performance may or may not be sustained in future. Returns (in %) other than since inception are absolute, calculated for growth option and in INR are point-to-point (PTP) returns calculated on a standard investment of 10,000/-. Additional benchmark as prescribed by SEBI for short term debt schemes is used for comparison purposes. Performance calculated for Regular Plan. Since inception NAV is assumed as 10. Inception Date: 06/07/2007.
31/12/15 to 30/12/16
31/12/14 to 31/12/15
31/12/13 to 31/12/14 Since Inception
Absolute Returns (%) CAGR Returns (%)
PTP Returns (INR)
SBI PSU Fund 16.23 -11.10 41.54 0.87 10,580
S&P BSE PSU(Scheme Benchmark) 12.88 -17.18 39.21 -3.00 8,204
S&P BSE Sensex (Additional Benchmark) 1.95 -5.03 29.89 6.71 15,240
Past performance may or may not be sustained in future. Returns (in %) other than since inception are absolute, calculated for growth option and in INR are point-to-point (PTP) returns calculated on a standard investment of 10,000/-. Additional benchmark as prescribed by SEBI for equity schemes is used for comparison purposes. Performance calculated for Regular Plan. Since inception NAV is assumed as 10. Inception date: 07/07/2010
Performance of other Schemes Managed by Mr. Richard D’Souza
NAV of Schemes for which performance is given
Scheme Name 30/12/2016 31/12/2015 31/12/2014 31/12/2013
SBI Infrastructure Fund - Growth 12.2713 11.2301 10.9349 7.3854
SBI Magnum Comma Fund - Growth 30.2177 22.8488 24.3447 18.5167
SBI Magnum Multi Cap Fund - Growth 35.5592 33.6049 30.6032 19.6197
SBI PSU Fund - Growth 10.58 9.1025 10.2391 7.2339
SBI Funds Management
63% 37%
India’s premier and largest bank with over 200 years experience (Estd: 1806)
Asset base of USD 465bn* Pan-India network of ~23,737 branches and
59,137 ATM’s as at end of September 2016 Servicing over 299 million customers Only Indian bank in Fortune 500 list; ranked
among the top 100 banks in the world
Global leader in asset management Backed by Credit Agricole and Amundi, the parent
company of Amundi Asset Management listed in Euronext Paris
More than 2,000 institutional clients and distributors in 30 countries
Over 100 million retail clients via its partner networks
USD 1054 bn AuM as at end of September 2016 Ranking No 1 in Europe, Top 10 worldwide #
*Source: SBI Analyst Presentation as on end September 2016. USD 1 = INR 66.66# Source : Amundi website as on end September 2016
SBI Funds Management: India’s First Bank Sponsored Funds
Source: SBI Funds Management Private Limited, AMFI; Average AUM (AAUM) for the quarter ending on December 31, 2016
A leading asset manager in India
• Expertise in managing assets across mutual funds, segregated managed accounts, domestic advisory and offshore advisory business
• Multiple asset classes ranging from equities and debt, money market to ETFs and structured funds
• Investment team of 33 professionals with strong track record
• Broad customer base with ~ 5.10 million folios related to individual, corporate and institutional investors
Broad Investor
Base
AUM USD 14.09 bn
Wide Distribution
Network
Experienced Investment
Team
ExtensiveProductRange
Broad Investor
Base
AAUM Rs. 1,41,552 crs
Wide Distribution
Network
Experienced Investment
Team
ExtensiveProductRange
• Mr. Navneet Munot Navneet joined SBIFM as a Chief Investment Officer in 2008. In his current role as CIO, Navneet is
responsible for overseeing investments across various asset classes worth over USD11 billion. His prior stint was with Morgan Stanley Investment Management as Executive Director and head- multi strategy. Prior to Morgan Stanley, Navneet was the Chief Investment Officer - Fixed Income and Hybrid Funds at Birla Sun Life Asset Management Company Ltd. Navneet was associated with the financial services business of the Birla group for 14 years and worked in various areas such as fixed income, equities and foreign exchange.Navneet holds masters degree in accountancy and business statistics from University of Ajmer and is a Chartered Accountant from ICAI. He is a charter holder of the CFA Institute, USA and CAIA Institute, USA. He is also a FRM charter holder of Global Association of Risk professionals (GARP).
• Mr. Richard D’souzaRichard joined SBIFM in 2010. Richard joins us from ASK Investment Managers where he was the portfolio manager for PMS mandates. Prior to joining ASK, Richard was a sell side analyst with various broking firms like Antique Shares, Sunidhi Consulting and Alchemy Shares for 11 years. He started his career in 1992 as a research analyst at Ajit Vajani Share Brokers. Richard is a science graduate from the University of Mumbai.
Biographies
SBIFM: A Complete Framework
ExpertiseHighly experienced
teamStrong industry
relationsComplete in-house
research
ProcessesStructured & Disciplined
Rigorous investment templates
Agility with Flexibility
Risk Management
Six member teamCoherent monitoring
Group Advantage
25 years of experienceBoth domestic and
international strengthsInvestors trust
Disclaimer
Mutual Fund investments are subject to market risks, read all scheme related documents carefully.
This presentation is for information purposes only and is not an offer to sell or a solicitation to buy any mutual fund units/securities. The views expressed herein are based on the basis of internal data, publicly available information & other sources believed to be reliable. Any calculations made are approximations meant as guidelines only, which need to be confirmed before relying on them. These views alone are not sufficient and should not be used for the development or implementation of an investment strategy. It should not be construed as investment advice to any party. All opinions and estimates included here constitute our view as of this date and are subject to change without notice. Neither SBI Funds Management Private Limited, SBI Mutual Fund nor any person connected with it, accepts any liability arising from the use of this information. The recipient of this material should rely on their investigations and take their own professional advice