Investime - Dec 2019

VOL XVI ISSUE 12 December 2019
Contents
03 Editorial
04 Better a diamond with a flaw than a pebble without!!
06 Good time to Invest in Midcaps?
07 Importance of Guaranteed Products in Financial Planning
08 Debt Market Outlook & Investment Strategy
09 Q2 FY20 Earnings: Corporate tax cut drives profits
10 Selected Funds – Equity
13 Selected Funds – Hybrid / Others
14 Selected Funds – Debt
18 Other Information
20 PMS & AIF
24 Bonds & Fixed Deposits

Editorial
Dear Reader
Easing global risk factors took the centre stage over the month. While roll-coaster ride of US-China trade deal talks continued
grabbing the headlines, global markets rallied on positive cues as the White House signalled that the US-China administrations
were getting close to reaching a trade deal in phase-one. Likewise, PM Johnson looks increasingly confident of garnering numbers
in UK parliament to get the Brexit deal sanctioned. US Federal Reserve lowered target range for the federal funds rate for 3rd
successive time in the calendar year, very much in-line with market expectations. The decision comes in light of the implications of
global developments for the economic outlook as well as muted inflation pressures even though US labour market remained strong
and economic activity rose at a moderate pace.
Asian economic integration got closer as 16 countries from Southeast Asia and East Asia as well as China, Australia and New
Zealand came together to sign one of the largest regional free trade agreements in the world. India, however, decided to opt out of
the deal as anticipated increase in imports would have impacted domestic Agricultural sector, MSMEs and traders, undermining
the GoI's efforts to boost the manufacturing sector.
On domestic front, Q2FY20 earnings season started on an optimistic note as corporates earnings showed signs of revival largely
driven by corporate tax cuts and lower base effect. Likewise, India's trade deficit improved due sharp slowdown in non-oil imports.
However, inflation played a spoil sport as CPI for October 2019 rose to a 16 month high mainly on account of sharp rise in food
inflation but remained fairly within RBI's target range. Q2FY20 GDP growth will be declared shortly, similarly, RBI Fifth Bi-monthly
MPC will be held on 5th December to decide on benchmark policy rates and arrive at macroeconomic projections. Both these
events are expected to be closely watched given lacklustre economic activity in Q1, slowdown in consumption and sluggish private
capex. Several institutions such as SBI and Moody's have revised domestic GDP outlook downwards on the back of weak domestic
demand.
GoI's reformist initiatives aimed at reviving demand such as corporate tax cuts, strengthening balance sheets of PSBs, pro export
focused measures, repo-linked lending products as well as above normal monsoon, benign inflation, range bound crude are several
factors working in favour of domestic equities. Following corporate tax cuts, domestic equities have been re-rated upwards are
currently trading at fair valuations and deep value has emerged in quality Midcaps. On debt side, whereas short to medium-end of
the yield curve looks relatively attractive, series of defaults and downgrades continue to impact lower rated credit space. Going
forward, critical global risk factors such as developments of US-China trade deal, UK parliamentary proceedings over Brexit deal,
geopolitical stand-off in Middle East, protests in Hong Kong will be closely watched. On domestic front, curtailing demand
slowdown is at the top of GoI's agenda coupled with resolving liquidity issues in NBFC sector that has spooked the financial sector.
Second half of FY20 looks critical in recouping domestic demand as GoI's rural support schemes and infrastructure spending drive
might potentially have a multiplier effect on domestic economy.
“Down cycles are not fun, but they form the basis for enormous future profitability” – Stephen Schwarzman
Udayan Sharma
Head- Wealth Management, SME and Emerging Businesses
Aditya Birla Finance Limited
December 2019 Investime 03

Better a diamond with a flaw
than a pebble without!!
Saurabh Bhatia - Head, Fixed Income and Fund Manager
DSP Investment Managers Pvt. Ltd.
In older times, when the two stroke (Bajaj!!) scooter didn't Scenario 1
start; we would just tilt the scooter a little and it would be up Growth turn around can be materialised through a fiscal fed
and running. Similarly, if the grand old Premier Padmini fast-tracked growth. This type of growth turnaround
refused to move, we would open the bonnet; give it some reflects higher fiscal deficit (hence higher interest rates),
fresh air, a little push and it would be up and running. Older higher CAD (hence weakening pressure on currency) thereby
generation will relate with the problems of their times. stoking inflation. Herein, RBI tends to maintain tight
liquidity conditions to wane off imminent inflationary
We related the revival in growth on similar lines: cut rates, pressures. This model of growth decreases immunity of
provide liquidity, add some political stability, pray to rain economy making it more vulnerable to global shocks.
gods (they have been generous) and growth is up and
running. 1. Fiscal push to fast track growth,
2. Fiscal fed growth drives consumption thereby pushing
Over the last two decades, global down turns have been imports and hence worsening CAD
largely driven by key events. The current phase of global 3. Worsening CAD weakens currency
growth slowdown is largely driven by escalation of trade war 4. Weakening currency ignites inflation concerns & hence
in the backdrop of protectionism theme. 5. RBI would maintain tight liquidity to suppress this
impact on inflation.
With no end seen to escalation of trade war, we expect the
conventional rate actions to have lesser bearing for reviving We were in this phase in 2009 – 2013 and briefly flirted with
growth prospects as the economic environment remains this mode of fast paced growth in 2018 – 2019.
less conducive to pass the mantle from public investment
to private investments.
Scenario 2
We are made to see through events as visibility remains very On the other hand, growth can also be materialised by
poor. Few months back, uncertainty persisted as markets keeping macro stability intact; as disciplined fiscal
waited for the domestic election outcome to pave the way approach will help to keep interest rates benign and allow
ahead. Few months from now, markets will watch out / wait RBI to maintain easier liquidity. This model seeds
for outcome of US elections implying 'uncertainty' to sustainable growth momentum and more importantly
prevail for a sustained period. Uncertainty is detrimental to allows the mantle to pass from public investment to private
growth momentum and lower growth momentum negates investments. Moving from scenario 1 to scenario 2 is
upside risks to inflation. Interest rates will remain benign till indeed the most painful as we undo the past excesses to
this combination is at play. pave the path for sustainable growth cycle.
Confining ourselves to Indian economy, we take solace from
two critical factors; firstly India is blessed with a strong Macro
Impact
In the
Stability Price
political mandate, a critical enabler to attract riskier capital
as and when it finds opportunity to move and secondly the
Fiscal Deficit
intent of the government to abstain from deteriorating 1
Repo vs
4
fiscal stance. Liquidity 1 year Treasury Bill
In this backdrop we attempt to identify the phase of interest Current Account

Deficit
rate cycle and plot the way ahead. We use our in house
frame work Macro – Impact – Price for the same.
2 Demand - Supply
Inflation 10 Year Benchmark
(of Bonds)
Macro In the
Impact
Stability Price
Fiscal Deficit Growth

1 Repo vs
5 Liquidity 1 year Treasury Bill
Currency Yield Curves
3
Current Account Global Scenario
2 Deficit
Demand - Supply
Inflation 10 Year Benchmark
(of Bonds) 1. With the intent to keep fiscal and CAD are under control
4 2. Interest rates would bear lesser upside risks from
inflation and growth
3
Growth 3. Global scenario can have a bearing on the currency;
triggering central bank to control momentum of the
trend in currency movements
Currency Yield Curves 4. Extent of central bank intervention has a bearing on
Global Scenario currency thereby impacting liquidity conditions

Better a diamond with a flaw
than a pebble without!!
Saurabh Bhatia - Head, Fixed Income and Fund Manager
DSP Investment Managers Pvt. Ltd.
This phase is typically characterised by problem of cost of risks on fiscal slippage as reflected in higher spreads
money as well as problem of availability of money; phase we between repo and government securities. Whilst the fiscal
were in September to December 2018. It begins with the math indeed looks challenging, one off revenues from RBI
easing the cost of money as evidenced in RBI cutting rates capital reserve, prospects of interim dividend and ability of
since February followed by an intermediate phase of system to shove some expenditure into next fiscal will help
liquidity infusion and eventually addressing the problem of to bridge the fiscal gap to a certain extent.
availability of money.
Spreads between repo rate and government securities
The intermediate phase is usually pretty long as it marks the continue to remain high than historical average.
widening difference in haves and have not's in context to Additionally, with the intent of the government to maintain
liquidity. We are in this intermediate phase wherein banks fiscal discipline and the macro backdrop of benign interest
are flushed with liquidity and large part of industry is rates; it becomes too difficult to resist ignore government
grappling for liquidity. securities as the most favourable risk reward play through
the remaining part of this fiscal.
Hence, on one hand where banks are sitting on high liquidity
for a prolonged period feel the pinch of lower earnings as SDL have considerably outperformed since the onset of this
excess cash doesn't yield much. On the other hand financial year. Lowering of bank SLR holdings (post OMO)
corporate, financial institutions who are struggling to raise coupled with lower than expected supply has aided to
/ refinance capital tend to lose their sheen (equity) whilst compress spreads. Whenever the spreads between SDL and
some may fall of cliff. As a lot of clean up happens through (very) long end government securities trade close to 20 – 25
this phase; riskier capital, which is a lot cheaper now, starts bps, one of the two has to make way; either the yields on
making inroads into the economy thereby solving the long end government securities head lower or the yields on
problem of availability of money. SDL move higher. At current spreads of ~25 bps and the
positive environment for rates, we expect longer end of the
Longer this intermediate phase lasts, deeper we endure a curve to outperform in the medium term.
pain which seems inevitable. Hence, instead of wide talk of
fiscal stimulus to reboot the economy; dose of savings Corporate Bonds
stimulus will do a world of good as the same can be directed Bonds have benefitted with the easing liquidity conditions.
towards infrastructure growth. Repeat of RBI bonds issued We expect this segment to outperform in the near term as
in early 2000's may be of great help in this regard. sustained period of easy liquidity will aid this segment to
remain range bound with a softening bias.
A fiscal stimulus to drive consumption can lean towards
scenario 1 as mentioned above and revisit the problem of Identifying the opportunity for a favourable risk reward:
2009 – 2013. It must be noted that the revenue As a thumb rule, if the cost of money for the government
expenditure constitutes close to 90% of the total goes up; cost of money for corporate can't come down. As
expenditure and unless we improve the quality of fiscal evidenced above, the spreads between repo and
deficit any misadventure on fiscal front (for a fast tracked government securities continue to remain as wide as they
growth) may disturb the apple cart and negate the rate cut were in September when growth rates were higher; central
initiative by RBI. banks (especially RBI and Federal Reserve) were on a rate
hike mode amidst a looser fiscal policy. With things turning
How do these scenarios affect interest rates? on the head since then, the spreads between repo and
We analyse the same through the layers of interest rates government securities continue to remain at 100 – 125 bps
and more importantly dwell upon the drivers of returns for making this segment the most favourable risk reward play.
fixed income. Duration segment needs a disciplined fiscal regime to
outperform amidst slowing growth prospects. We are in this
Fixed Deposits 2017 Sep-18 May-19 Sep-19
phase and hence we expect this segment to outperform in
When this gap
the medium term. Risks to the view would emanate from
{
Bank Lending Rate (MCLR) 7.80 8.50 8.40 8.15 closes, AAA Corp.
When this bonds face the potential slippage in the fiscal front; albeit it is too difficult
gap opens, Spreads 80 -40 65 125 problem of cost to price this unknown risk in the portfolio especially at
low rated of money and low
credit market
3 Yr AAA Corporate Bonds* 7.00 9.00 7.80 6.90
rated corp bonds
current spreads.
thrives 10 Yr Government Securities* 6.50 8.10 7.30 6.60 face the problem
Spreads 50 160 130 120
of availability of In context to fixed income investments, with so much twists
money. and turns amidst lower visibility of government actions, we
Repo Rate 6.00 6.50 6.00 5.40
recommend to apportion investments into roll down and
*Yields on widely traded category of respective layer open ended category. This helps to tick the right boxes –
Liquidity, predictability, returns and lower volatility - to
meet expectations on fixed income investments.
Government Securities and SDL's
We expect government securities to provide the favourable
risk reward through the remaining part of this fiscal. We may
remain exposed to higher amount of volatility through the
next 2 months owing to higher supply. That said, higher
maturities in January'20 would ease out demand supply
pressure on the sovereign bonds. Markets are also weary of

Good time to Invest in Midcaps?
Ravi Gopalakrishnan – Head – Equities

Principal Asset Management Co.
There has been a supportive global risk environment which 31% lower than its peak market cap indicating that there is
is driving EM equity in recent months. The trade talk enough headroom left, on a relative basis, for midcaps to
between US and China seemed positive while the US Fed grow. Further, the valuation premium that the midcap index
further cut rates by 25 bps in October. The Indian macro enjoyed vis-à-vis the large cap indices in recent years has
environment is mixed with consumer demand still tepid turned to a discount. The Nifty Midcap 100 index currently
while other macro factors like stable currency, moderate is trading at a PE multiple of 15.9X as compared to 25.6X in
bond yields, low oil prices, deleveraging by corporates etc. Aug 2018.
are positive. The monsoons have been well spread and likely
to positively impact the rabi output. The rural demand may Midcap outperformance as compared to Nifty 50
revive led by higher prices of farm produce like pulses, fruits
and vegetables, wheat and milk.
The government's recent move to cut corporate tax rates

makes equity market valuations relatively reasonable and
adds a positive factor for long term investment. With this
move India becomes a competitive investment destination
globally, thus potentially attracting more Institutional
flows. The government's privatization program and
progress on the cases undergoing insolvency resolution
also contribute to the positive sentiments in the markets.
While the frontline indices like S&P BSE Sensex and Nifty Source: NSE; Data as on 30th Sep 2019
50 are making newer highs, the mid and small cap Speaking about the returns, midcaps have outperformed
segments of the markets have seen a lot of volatility in the the large caps in the long run. A study of investments made
last few quarters. While we expect the markets to move in a in Nifty 50 TRI and Nifty Midcap 100 TRI on Jan 1, 2003 till
range with an upward bias, there would be a broadening of Sep 30, 2019 states that an investor made 13.1X returns in
the type of stocks which are moving up. As such, we expect Nifty 50 TRI whereas Nifty Midcap 100 TRI delivered 20.7X
the smaller larger cap stocks and mid cap stocks to do returns. An analysis of daily rolling returns on 3 years, 5
relatively better over the next year. The 2Q earnings were years and 10 years investment periods shows that the
very much in line with market estimates, with certain midcaps outperform large cap returns 67%, 85% and 99%
sectors like cement and financials showing better than of the times respectively.
anticipated performance.
We analyzed the calendar year performance of the NIFTY
The midcap indices are trading at 2-year lows. We have 50TRI and NIFTY Midcap100 TRI. In 2006, 2008, 2011 and
seen a significant correction in the midcaps – both in terms 2013 midcaps lagged the performance by 11%, 7%, 6%
of price and time. Select stocks in these segments provide and 12% respectively. But in each of the following years,
attractive investment opportunities. they outperformed large caps by 23%, 25%, 12% and 25%.
In 2018 and CYTD2019, the midcaps' underperformance is
Nifty Midcap 100 - Market Cap (INR Tn) 19% and 14%. Going by the historical trends, the midcap
Index could potentially outperform the large cap index in the
cap coming years.
25
21.9
20
In Midcaps, we would look for companies undergoing a
16.7 17.0 16.7
15.9
15.1
business transformation or restructuring to re-focus their
15 business on the high growth areas. Value Migration and
11.0
10 9.0
Value Unlocking are other themes where potential
8.2
6.5 6.7 6.9 investment opportunities in midcap stocks can be
5
2.8
3.6
2.8 discovered. Technology driven changes to the economy
0
provide significant opportunities in the New Age Economy
like e-commerce, movie exhibitions, logistics, e-vehicles,
Sep-19
Dec-05
Dec-06
Dec-07
Dec-08
Dec-09
Dec-10
Dec-11
Dec-12
Dec-13
Dec-14
Dec-15
Dec-16
Dec-17
Dec-18
etc.; Emerging Segments like, insurance & asset

Source: Bloomberg; Data as on 26th Sep 2019. management, etc. also provide interesting investments
ideas.
It is interesting to note that the market capitalization of
large cap index like Nifty 50 Index is near its all-time highs.
However, the market cap of the Nifty Midcap 100 is about

Importance of Guaranteed
Products in Financial Planning
Santosh Singh - AVP & Training Head - Third Party Distribution
Aditya Birla Sun Life Insurance Company Ltd.
Over the last few years, there has been a conspicuous most and market is not very conducive. How long can you
change in the household investment pattern. In FY'13, delay your goals and wait for market to be favourable? It has
investment proportion in Physical Vs Financial asset was happened in the past when Sensex has given negative or
68:32, means, the most preferred household investment meagre return in rolling 10 years. So, it's important to have
was in Real Estate and Gold. No one knew that this trend will some component of your investment in guaranteed
surreptitiously get upended in six Years. In FY'19, the products even if it comes at a cost and can be used for
proportion is 39:61 and its projected to be 34:66 (Karvy meeting non-negotiable future goals.
Wealth Report' 2019). However, despite of reversal in the
investment pattern, still the ratio of total wealth in Financial Guaranteed products may give lesser return in comparison
Vs Non-Financial asset is 20:80 (Credit Suisse Global to other products but what it offers is the peace of mind.
wealth outlook 2019). As developing countries move to While investing in guaranteed products, time horizon
developed economies, the share of financial wealth goes should always be kept in mind. Longer the period of
up. Developed countries like US, UK, Japan, Singapore, Guarantee, the better it is, as it avoids the risk of
Sweden and Switzerland has completely flipped trend and reinvestment and interest rate fluctuation. Guaranteed
has Financial wealth more than non-financial wealth. products can be a good bet when interest rate has the
Globally the pie of Financial wealth has been 55% of gross possibility of moving southwards in future. In Jan'2015, the
household assets. India being a developing nation, has repo rate use to be 8% and within 5-year, it has come down
great future in espousing financial asset. to 5.15%(Oct'19). While selecting the guaranteed
products, the offered rate should always be evaluated in
Among various asset class, debt has largest investment future perspective even if other products are offering better
which accentuate that when it comes to investing money, rates in the current scenario. Long term guaranteed
normal behaviour of risk aversion cuts across national insurance products can be a good option considering
boundaries returns are guaranteed for next 20-25 years and when the
saving is made for non-negotiable goals. Also, in a scenario
Classification of individual wealth in key Asset Class
when inflation rate is hovering around 4%, the real rate of
Physical Asset Proportion FY'19 India Proportion FY'19 World
return is also favourable.
Equity 18.89 25.7
Debt (Including Cash) 41.51 45.5
Alternate Asset* 22.27 13 To conclude, it's good thought to have certain portion of
Real Estate 17.33 15.8 your investment in guaranteed product which can help you
Total 100 100 to meet non-negotiable goals come whatever may.
*Includes Gold, Gems and other Precious Metals
In equity class, 90% of wealth are owned by Promotors &

Institutions and only 10% are being owned by retail
investors. So, the larger pie of retail investors investment
lies in risk averse instruments and the proof of the pudding
is of 41% investment in debt (including cash).
The underlying principle of financial planning is based on

identifying future Goals and acting on it. When it comes to
identifying goals, generally, it begets out of emotions E.g.
Child Education & Children Marriage planning, tension free
Golden Years, timely discharge of loans, legacy planning,
meeting long term aspirations etc. These all goals originate
from heart but achieving these goals requires scientific
approach. By saying scientific approach, it involves
prioritizing of goals, selecting right asset class, earmarking
money against each goal, product mix, risk appetite,
contingency planning etc. Financial planning is based on
certain future assumptions, most prominent ones are future
return, Inflation, Solution guaranteed or non-guaranteed
and risk attached to each financial instrument. However,
most of the time return takes so prominence that we don't
see through the risk associated with the instrument. Look at
your investment pattern, is it only the return which
determines the selection of a financial instrument or basis
the priority of goal we choose the instrument? Think of any
non-negotiable goal and envision you need the money, the

Debt Market Outlook &
Investment Strategy
Recently, global ratings agency Moody's has cut its outlook RBI identified further scope for monetary easing by
for India's credit rating to 'negative' from 'stable'. Reason continuing its accommodative stance until growth revives.
cited by Moody's was ongoing economic slowdown, This is also reflected by the 1Yr-OIS curve which is currently
financial stress in rural households, weak job creation, and at 5.07%
the liquidity crunch in NBFC sector. However, Moody's
continued India's long term rating to Baa2, the second Fiscal deficit on rise
lowest investment grade score, after upgrading the same During the first half of FY20, the fiscal deficit of central
from Baa3 in Nov 2017. Responding to the report, government stood at Rs. 6.5 Lakh crore, 9.6% higher as
government officials have been countering that the Indian compared with Rs. 5.95 Lakh crore in the same period of
economy's fundamentals continue to remain strong with last fiscal year. This is 92.6% of the budgeted target for the
stable inflation, comfortable current account deficit and entire fiscal. The widening of deficit can mainly be
offers robust prospects of growth in near future. attributed to lower collection in terms of tax revenue, lower
non-debt capital receipts along with higher capital
Falling GDP increases worry expenditure. Going ahead, market is expecting a fiscal
Real GDP growth for Q1FY20 was 5%, lowest since 2013, slippage by around 0.4-0.5% for the FY20 on account of
while Nominal GDP growth was at 8%, lowest since lower corporate tax collections post tax rate cut and
Q3FY03. Slowdown has been led by lacklustre growth in the inconsistent GST collections. Moody's in its report also
manufacturing, financial services, construction and lower projected a fiscal deficit of 3.7% of GDP for FY20 as
consumption during the quarter. Going ahead, market compared to the GOI's budgeted target of 3.3% citing a
expects the Q2FY20 GDP number to fall below 5% on prolonged period of slower economic growth.
account of weak consumer demand and slower government
spending amid global trade conflicts. Various challenges Our Assessment
such as lower economic growth, widening fiscal deficit, and Taking all the parameters into consideration, we see a
stress in financial sector continues to drag the Indian mismatch of demand and supply of bonds, especially at the
economy. In fact, RBI, in its latest MPC meet, has also longer end of the curve. Hence the yields of old benchmark
lowered the growth forecast for FY20 to 6.1% from 6.9% 10Yr G-Sec is high at around 6.7% as market is factoring a
projected earlier. fiscal slippage due to muted revenue collections both on
Direct and Indirect side. Government is expected to borrow
Recently, the government has undertaken series of reforms more from the market in Q4FY20 even after some
in various sectors including financial, housing, corporates, expenditure rationalization. Also, there are chances of
etc. to strengthen the economy. The measures taken by upward bias in yields if RBI does not opt for Open Market
Govt. is expected to attract capital inflows, drive Operation (OMO) purchases of government securities.
consumption and support economy as a whole which could
lead to positive outlook on India going ahead. In this backdrop, we continue with neutral stance on
duration strategies and maintain our preference for AAA
Inflation in rising mode accruals as a core strategy with a focus on short to medium-
Consumer Price Index (CPI) Inflation for Oct 2019, rose to a end of the curve. Also, if the rate cutting cycle continues
16 month high of 4.6% (y-o-y) mainly on account of rise in along with surplus system liquidity, short term bonds are
food inflation. Core Inflation has moderated and reached a expected to benefit from it. Hence from a risk reward matrix,
record low of 3.47% during the month, fuel inflation on the short / medium Corporate Bond and Banking & PSU Debt
other hand, continued to decline for the 4th consecutive funds looks attractive.
month. This, 16-month high CPI inflation, has marginally
lowered the chances steep rate cuts in the next RBI's Investment Strategy Summary
monetary policy, as it could be challenge to take any easy Debt Categories Investment Horizon Stance
decision given low economic growth and inflation firming Overnight 1 to 7 days Neutral
up. However, we believe that the rise in vegetable prices is a Liquid Upto 3 months Neutral
temporary phenomena and will stabilise as Kharif produce Arbitrage 3 months to 1 year Neutral
arrives and due to better prospects for Rabi sowing due to Ultra Short Duration 3 to 6 months Overweight
above normal monsoon. Money Market 3 to 6 months Overweight
CPI on a rise but Core inflation falls Low Duration 6 to 12 months Overweight
Short Duration, Corporate bonds and Banking & PSU Debt 1 to 3 year Overweight
Credit risk & Medium Duration 1 to 3 year Underweight
Dynamic Bond Fund 3 years and above Neutral
Gilt Tactical Call Neutral
Source: CMIE
RBI in its Oct policy meet, cut the repo rate by 25 bps to
5.15% while maintaining its stance to accommodative. The
rate cut was widely expected by the market as inflation was
below 4%. Going ahead, market expects more rate cuts as

Q2 FY20 Earnings: Corporate tax
cut drives profits
Financials, Auto drive profitability in NIFTY 50 Consumer Staples (FMCG) – Most FMCG companies met
Firms shrugged aside global slowdown worries, trade street estimates as moderation in demand in rural India
tensions and geopolitical face-offs as reduction in impacted the sector during Q2FY20 as well. Liquidity
corporate tax largely drove better-than-expected crunch continues to be faced by the small distributors and
profitability and arrested the pace of earnings downgrades. wholesalers which has a negative impact on the overall
Out of the 50, 36 companies reported earnings either inline growth. Stable monsoon drives hope for a revival in
or beating street estimates. More importantly, the trend in H2FY20. Firms like Hindustan Unilever, Marico have benign
earnings revision showed signs of revival which had skewed commodity outlook which are likely to lead to margin
significantly in favor of downgrades in the past 2 quarters. expansion in H2FY20.
Industrials – Industrials delivered results in-line with
estimates. L&T reported robust domestic execution and
positive order inflows. Corporate tax cuts haven't spurred
substantial recovery in private capex and public sector
continues to drive bulk of ordering. Management
commentary suggests weak trends in Q3 FY20 with a slight
offset from festive season demand in the consumer
durables segment.
Materials
Ÿ Cement – Aggregate volumes dropped ~3% YoY in
2QFY20 due to heavy rains and tight liquidity
conditions. While volume growth came in line for most
of the players, realizations were weak across India in the
quarter, with the decline being more prominent for
Source: Bloomberg, Elara Capital
Note: Beat estimates: Reported earnings > +5% above estimates; Inline with
companies based in south/east than north/central.
estimates: Reported earnings ranging between +/- 5% of estimates;
Variable costs fell for most companies with benefits
Below Estimates: Reported earnings < -5% below estimates. Upgrade/
accruing from the drop in fuel costs. Government driven
Downgrade ratio = Companies beating estimates/ Companies missing estimates Infrastructure sector order flows are likely to drive
earnings trajectory in H2FY20.
Sector BFSI Auto IT FMCG Industrials Materials Energy Telecom Ÿ Metals – Weak global growth driving weaker demand for
Inline/ Inline/ Inline/
metals impacted metals/mining space in Q2. JSW
Results
Beat
Beat
Miss
Inline Inline
Miss
Miss Miss Steel's results came in below estimates impacted by
lower than expected steel volumes and blended
realizations. Hindustan Zinc's EBITDA was in-line with
Sectoral Snapshot street estimates.
BFSI Energy – Overall oil and gas companies reported below
Ÿ Banks – Corporate banks such as Axis Bank Ltd. were estimated results on account of lower refining margins.
affected by one-time Deferred Tax Asset (DTA) charge, Reliance Industries weakness in petrochemical was offset
though margins remain healthy. Banks witnessed by stronger profitability in consumer companies.
moderation in loan book growth (except Axis and HDFC Petrochemical margin contracted sequentially led by the
Bank) led by a slowdown in economic environment, global supply glut arising mainly from US-China trade
while retail loan growth remains steady. Margins were tensions.
largely stable, though the CASA mix continued to
moderate. Asset quality trends were mixed amidst the Telecom – Another disappointing quarter for incumbent
challenging macros with corporate lenders reporting telecom players marred by Supreme Court's judgement on
better than expected slippages (such as State Bank, Adjusted Gross Revenues (AGR) calculation in favour of
ICICI Bank). Department of Telecom (DoT). Both Bharti Airtel and
Vodafone reported highest quarterly losses in India's
Ÿ NBFCs – Vehicle financiers witnessed a slowdown in corporate history aggregating upwards of Rs. 70,000 cr. An
growth, driven by both demand side and liquidity issues. already overleveraged sector yearns for much needed relief
In housing finance, growth trends remained mixed. Early package from GoI as inclusion of Spectrum charges and
trends point to demand slowdown, some pressure on Licensing fees in AGR computation have proved to be back-
margins and asset quality. breakers for incumbents.
Automobiles – On overall basis, sector witnessed a decline Q2FY20 earnings started on a positive note with most
in revenues in Q2 driven by sharp volume contraction of the NIFTY 50 companies declaring results meeting or beating
OEMs and suppliers. Q2FY20 margins were better than street estimates. Whereas Performances of banks were in
expected on account of raw material cost benefit from line or better than expectations as lenders continue to
commodity price correction. PAT of most of the companies sustain Net Interest Margins (NIMs), IT companies faced
were boosted by corporate tax rate cuts. Most OEMs expect pressure on select verticals exposed to uncertainty in EU,
benign commodity prices to support margins in H2FY20, however deal wins continued to be strong. Cost saving
transition to BS VI norms might bring some degree of initiatives drove margin expansion of Auto makers & festive
uncertainty in H2FY20. season buying drove positive management commentaries
for Automobiles. Industrials reported a mixed quarter as
Information Technology – IT firms reported mixed private capex remained muted and public sector drove order
performance on revenue front as TCS, HCL Technologies flows. FMCG firms continued to see moderation in rural
missed estimates whereas Infosys Ltd. reported margin demand. Favorable factors such as government spending
expansion after 5 quarters. Management commentaries on Infra focused sectors, festive season, stable monsoon
indicate pressure on select verticals like BFS, retail and and benign commodity prices are anticipated to drive
manufacturing. Telecom, media and life sciences have been revival expectations in H2FY20, however, domestic risk
the key growth vectors for the quarter. Despite headwinds in factors such as weak consumption, subdued private capex,
select verticals, big deal wins continue to be strong for liquidity crunch for select NBFCs and overhanging global
larger players. growth fears, delayed US-China trade deal, geopolitical
issues in Gulf may cap upside for corporate earnings
growth.

LARGE CAP FUNDS
Performance Portfolio Attributes Market
Capitalisation (%) AUM
Exposure
CAGR (%) Top 5 Top 10 No. Up Down Risk (Rs. Crs.)
Scheme Name Style Rolling Returns (%) to Portfolio
Stocks Stocks of Capture Capture Adjusted Large Mid Small Oct
Sensitive Volatility
(%) (%) Stocks Ratio Ratio Return Cap Cap Cap 2019
1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs 1 Yr 3 Yrs 5 Yrs Sectors (%)
Core Schemes
Axis Bluechip Fund(G) Focused 21.9 19.2 10.7 15.6 - 21.0 18.2 11.0 38.2 59.5 0.0 24 103.6 60.3 10.7 1.4 83.4 0.4 - 8,749
ICICI Pru Bluechip Fund(G) Diversified 9.0 12.4 8.8 13.8 12.7 9.1 12.4 9.2 29.9 47.2 5.9 54 90.7 101.2 11.2 0.6 84.5 3.2 0.3 24,132
Mirae Asset Large Cap Fund-Reg(G) Diversified 12.4 15.0 11.5 17.0 14.8 12.8 14.8 11.9 31.2 50.0 6.0 64 101.6 100.9 11.5 0.8 85.8 10.6 1.5 15,897
Sundaram Select Focus(G) Focused 15.3 16.0 8.5 12.1 8.7 15.3 15.6 9.0 40.8 63.9 5.1 30 99.7 89.4 10.9 0.9 85.8 9.9 - 1,046
Category Median 12.9 12.1 8.4 12.9 10.5 12.4 12.1 8.9 86.4 6.7 0.1
Benchmark - Largecap 100 Index 12.3 14.7 9.0 13.2 10.8 13.0 14.5 10.2 34.5 52.5 100.0 100.0 11.0 0.7
Satellite Schemes
Aditya Birla SL Frontline Equity Fund(G) Diversified 8.5 10.5 8.0 13.7 11.6 9.0 10.8 8.6 33.0 49.5 5.7 63 90.4 116.0 11.8 0.4 86.3 9.6 1.6 21,211
Motilal Oswal Focused 25 Fund-Reg(G) Focused 17.9 13.0 10.2 - - 18.1 13.3 10.9 44.0 71.3 0.0 21 100.9 120.1 13.5 0.6 87.2 9.3 3.0 1,184
MULTI CAP FUNDS

Selected Funds – Equity

Exposure
Scheme Name Style Rolling Returns (%) to Portfolio
Core Schemes
Axis Focused 25 Fund(G) Focused 19.4 18.9 12.9 15.9 - 17.5 18.5 13.4 37.6 64.5 0.0 24 111.4 72.9 14.1 1.2 82.6 15.4 - 8,800
Invesco India Contra Fund(G) Contra 7.0 14.6 10.7 16.5 13.2 7.6 14.8 11.4 31.1 47.2 5.6 50 111.4 112.4 13.6 0.7 66.6 22.1 8.0 4,486
Kotak Standard Multicap Fund(G) Diversified 13.8 14.2 11.3 16.9 13.6 13.8 14.1 11.7 30.0 45.1 4.2 51 96.6 85.1 11.8 0.8 72.1 16.7 1.5 28,348
L&T India Value Fund-Reg(G) Value 3.3 8.7 10.2 17.4 - 3.9 9.4 11.0 27.9 42.4 8.8 83 95.2 127.1 14.4 0.3 61.6 26.5 10.5 8,032
Tata Equity P/E Fund(G) Value 7.6 11.0 10.7 16.0 12.7 7.7 11.4 11.2 38.2 54.9 0.0 36 89.9 98.4 13.5 0.5 66.0 23.2 6.3 5,485
Category Median 7.6 10.6 7.8 13.5 11.3 7.8 11.1 8.7 67.9 17.7 8.5
Benchmark – Multicap 500 Index 9.3 13.2 8.6 12.9 10.2 10.2 13.5 9.9 28.1 42.7 100.0 100.0 12.3 0.6
Satellite Schemes
Aditya Birla SL Equity Fund(G) Diversified 7.3 10.8 10.4 16.2 12.1 8.6 11.1 10.9 30.9 46.0 5.1 69 94.1 104.7 12.6 0.5 74.8 16.8 6.2 11,594
Motilal Oswal Multicap 35 Fund-Reg(G) Focused 10.5 12.3 13.2 - - 11.8 12.7 13.7 36.0 61.0 0.0 26 93.8 91.4 14.3 0.6 90.3 6.2 2.4 13,513
Performance as on Nov 15th, 2019; Risk Free Rate: 5.55%; Please refer to page no. 17 for additional notes.
December 2019
Investime 10
LARGE & MID CAP FUNDS
Exposure
Scheme Name Rolling Returns (%) to Portfolio
Core Schemes
DSP Equity Opportunities Fund-Reg(G) 11.8 11.3 10.5 15.3 12.3 12.6 11.7 11.2 28.3 41.5 8.4 62 89.8 94.4 13.2 0.5 58.2 36.9 3.1 5,631
Invesco India Growth Opp Fund(G) 13.4 15.8 10.8 15.6 12.9 13.4 15.5 11.2 25.7 39.1 1.7 44 91.5 65.9 11.5 1.1 57.8 35.8 1.8 1,991
Mirae Asset Emerging Bluechip-Reg(G)* 14.7 16.2 16.2 23.2 - 15.1 16.2 16.4 24.5 38.3 4.5 63 112.2 98.3 14.7 0.9 55.4 35.9 8.0 8,868
Sundaram Large and Mid Cap Fund(G) 12.9 15.2 11.6 14.5 11.0 13.3 15.2 12.0 24.1 42.1 0.1 34 104.1 92.0 13.7 0.9 56.4 39.4 - 871
Category Median 9.1 11.1 9.5 14.4 11.3 9.0 11.6 10.1 55.4 35.9 4.5
Benchmark – Large & Midcap 250 Index 6.2 12.6 9.7 14.3 11.4 7.3 13.3 11.0 17.4 26.5 100.0 100.0 13.7 0.6
Satellite Schemes
IDFC Core Equity Fund-Reg(G) 4.1 9.6 8.4 11.3 8.9 5.1 10.2 9.2 27.4 40.5 4.7 65 88.6 100.4 13.4 0.4 52.0 35.4 10.2 2,886
MID CAP FUNDS

Exposure
Core Schemes
DSP Midcap Fund-Reg(G) 10.1 10.6 11.2 16.6 15.4 9.9 11.2 12.1 16.7 31.8 1.9 50 78.9 59.8 14.9 0.7 20.2 66.0 6.3 6,691
Franklin India Prima Fund(G) 5.8 9.2 10.0 17.6 15.1 6.0 9.9 10.6 15.3 28.4 2.7 62 72.3 57.9 13.7 0.5 15.2 68.8 8.9 7,510
Kotak Emerging Equity Scheme(G) 9.0 9.9 11.3 17.3 14.7 9.5 10.7 12.1 17.4 30.5 2.4 68 83.5 67.4 15.3 0.6 13.8 65.4 17.1 5,341
Category Median 4.2 8.9 8.7 16.3 14.1 5.4 9.8 9.7 12.1 67.1 14.6
Benchmark – Midcap 100 Index -3.4 6.7 7.8 12.6 10.3 -2.3 9.2 9.9 12.0 21.8 100.0 100.0 18.4 0.2
Satellite Schemes
L&T Midcap Fund-Reg(G) -0.7 10.1 10.7 18.2 14.3 0.7 11.0 11.6 12.6 22.9 4.7 82 84.3 67.7 15.5 0.7 11.5 67.8 16.2 5,831
Sundaram Mid Cap Fund(G) 0.8 5.6 8.6 15.4 13.7 1.9 6.7 9.6 18.0 30.4 0.0 62 74.9 75.3 15.6 0.2 6.1 69.4 21.8 5,883
SMALL CAP FUNDS

Exposure
Core Schemes
HDFC Small Cap Fund-Reg(G) -8.7 10.3 9.3 14.4 11.9 -8.4 11.3 10.5 14.3 26.4 4.0 75 84.2 57.7 16.8 0.7 3.6 15.6 67.8 9,137
Nippon India Small Cap Fund(G)* -4.1 10.2 10.6 19.9 - -3.7 11.6 12.1 12.2 21.7 1.6 116 94.1 66.8 19.1 0.7 6.9 9.2 74.5 8,425
SBI Small Cap Fund-Reg(G)* 8.3 14.4 16.3 23.8 18.1 7.9 15.1 16.8 18.9 34.1 0.8 47 96.4 56.6 18.6 1.3 7.5 12.5 67.4 2,915
December 2019
Category Median -2.6 5.6 7.8 14.3 11.7 -1.2 7.1 9.0 1.7 15.6 67.8
Benchmark – Smallcap 100 Index -8.5 1.3 2.7 8.1 6.9 -7.5 4.4 5.8 12.9 23.0 100.0 100.0 23.1 -0.1
Satellite Schemes
Aditya Birla SL Small Cap Fund(G) -11.6 1.0 6.6 13.3 11.4 -11.2 3.3 8.3 15.9 27.4 1.4 61 79.2 79.5 20.2 -0.2 1.7 12.2 72.0 2,283
L&T Emerging Businesses Fund-Reg(G) -7.3 9.6 11.0 - - -7.6 10.6 12.0 13.6 24.4 5.9 84 79.6 55.6 16.4 0.6 0.0 24.5 65.4 6,112
*Only SIP/STP available as per Scheme Information Document
Investime 11
ELSS
Exposure
Stocks Stocks of Capture Capture Adjusted Large Mid Small Nov
Core Schemes
Axis Long Term Equity Fund(G) 19.1 17.1 11.9 19.3 - 17.7 16.8 12.4 37.8 65.2 0.0 32 100.8 65.1 12.5 1.2 71.7 22.1 1.5 21,492
DSP Tax Saver Fund-Reg(G) 15.3 12.1 10.8 16.1 13.3 15.5 12.4 11.4 29.2 42.9 6.9 65 94.5 98.7 13.0 0.6 77.9 12.0 8.1 6,103
Invesco India Tax Plan(G) 10.8 13.6 10.2 16.0 14.1 11.3 13.6 10.7 35.2 52.8 1.6 40 96.2 90.2 11.7 0.7 69.9 16.8 7.7 962
Mirae Asset Tax Saver Fund-Reg(G) 13.9 17.3 - - - 14.5 16.9 - 30.1 48.0 5.0 56 112.7 94.0 12.9 1.0 74.7 17.4 7.2 2,671
Category Median 9.1 11.1 8.6 13.5 11.2 9.1 11.6 9.2 71.8 17.3 9.7
Benchmark – Multicap 500 Index 9.3 13.2 8.6 12.9 10.2 10.2 13.5 9.9 28.1 42.7 100.0 100.0 12.3 0.6
Satellite Schemes
Aditya Birla SL Tax Relief '96(G) 5.5 12.3 10.5 16.0 11.7 6.0 12.4 11.0 38.9 59.7 0.0 45 99.2 103.8 12.2 0.7 45.0 41.4 10.3 9,814
SECTOR / THEMATIC FUNDS

Scheme Name Rolling Returns (%) Portfolio
Volatility
1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs 1 Yr 3 Yrs 5 Yrs
Core Schemes
Aditya Birla SL India GenNext Fund(G) 16.6 15.8 13.4 17.3 16.8 16.9 15.7 13.7 24.1 36.1 66 93.5 77.6 12.6 1.1 60.3 28.4 6.8 1,276
Mirae Asset Great Consumer Fund-Reg(G) 13.6 17.9 12.2 16.5 - 14.6 17.5 12.6 26.9 43.7 38 104.7 89.7 13.7 1.1 53.2 30.6 14.3 931
Tata India Consumer Fund-Reg(G) 2.4 20.1 - - - 3.8 19.5 - 34.9 55.1 32 114.5 93.2 15.4 1.2 52.8 36.7 8.8 1,447
Category Median 10.3 15.4 11.1 14.0 12.4 10.9 15.3 11.5 57.9 26.9 10.7
Benchmark – Consumption Index 6.6 14.7 9.5 13.8 14.1 9.3 14.5 10.6 44.4 67.7 100.0 100.0 13.5 0.8
Core Schemes
Nippon India Pharma Fund(G) -4.1 1.9 3.5 12.0 14.5 -4.9 2.7 4.5 45.3 77.2 18 85.5 53.0 14.0 -0.1 59.0 31.7 9.3 2,430
Category Median -2.3 -1.2 -0.3 10.5 13.3 -3.0 -0.4 1.2 58.1 28.6 12.8
Benchmark – Pharma Index -15.6 -9.9 -6.6 5.1 9.1 -18.5 -6.1 -3.8 73.3 100.0 100.0 100.0 19.7 -1.2
Core Schemes
Franklin Build India Fund(G) 5.7 8.7 9.3 18.3 14.4 7.3 9.8 10.3 36.5 57.8 33 93.7 85.3 16.3 0.4 70.3 2.9 19.5 1,260
Category Median 4.5 7.9 5.5 9.6 5.7 6.0 9.4 6.9 43.0 20.9 31.2
Benchmark – Infra Index 7.0 8.1 1.7 5.2 0.7 9.5 8.1 3.5 52.8 70.2 100.0 100.0 16.7 0.3
December 2019
Investime 12
AGGRESSIVE HYBRID FUNDS
Performance Portfolio Attributes Portfolio
Exposure (%) AUM
CAGR (%) Rolling Returns (%) Top 5 Top 10 Exposure to No. Risk Modified (Rs. Crs.)
Scheme Name Portfolio Debt Mid &
Stocks Stocks Sensitive of Adjusted Duration Oct
Volatility Equity & Small
(%) (%) Sectors (%) Stocks Return (Yrs) 2019
1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs 1 Yr 3 Yrs 5 Yrs Others Cap
Core Schemes
ICICI Pru Equity & Debt Fund(G) 6.7 9.7 9.2 14.3 13.4 6.7 9.9 9.4 27.8 43.8 11.2 91 9.8 0.3 1.4 72.7 27.3 12.1 23,950
Sundaram Equity Hybrid Fund(G) 12.1 11.4 8.2 10.3 8.3 12.2 11.3 8.4 26.2 39.0 1.8 48 8.2 0.5 3.3 74.7 25.3 21.0 1,824
Category Median 9.7 8.3 7.8 12.6 10.4 9.5 8.4 8.1 2.2 73.3 26.7 15.3
Benchmark – Hybrid 35+65 - Aggressive Index 11.7 11.7 9.2 11.8 - 11.4 11.5 9.3 7.7 0.5
ARBITRAGE FUNDS
Performance Portfolio Attributes Portfolio Exposure (%)
Rolling AUM
CAGR Top 5 Top 10 (Rs. Crs.)
Scheme Name Simple Annualised (%) Returns Portfolio
(%) Stocks Stocks Equity Debt Others Oct
(%) Volatility
(%) (%) 2019
1M 3M 6M 1 Yr 1 Yr
Core Schemes
Aditya Birla SL Arbitrage Fund(G) 5.08 5.17 6.15 6.30 6.12 26.8 36.5 0.64 64.33 13.04 22.63 5,150
Nippon India Arbitrage Fund(G) 4.68 4.87 6.06 6.32 6.17 24.2 34.1 0.66 67.54 10.00 22.46 9,497
IDFC Arbitrage Fund-Reg(G) 4.71 4.78 5.97 6.34 6.18 15.2 24.8 0.58 58.71 11.40 29.89 10,891
Kotak Equity Arbitrage Scheme(G) 4.94 4.91 5.88 6.23 6.08 17.6 25.6 0.63 66.05 7.37 26.58 16,198
Category Median 4.82 4.98 5.96 6.08 5.89 66.23 10.29 24.90
Benchmark - Arbitrage Index 3.18 4.71 6.23 6.45 6.46 0.82
INTERNATIONAL FUNDS
Selected Funds – Hybrid / Others
Feeder Fund Underlying Fund (October 2019)

Performance Portfolio Attributes Portfolio Attributes
Scheme Name AUM
CAGR (%) Rolling Returns (%) Portfolio Top 5 Top 10 No. of Exposure Exposure to Exposure to AUM
(Rs./Crs.) Healthcare Financials
1 Yr 3 Yrs 5 Yrs 1 Yr 3 Yrs 5 Yrs Volatility Oct 2019 Stocks (%) Stocks (%) Stocks to IT (%) (%) (%) ($ mn)
Core Schemes
Franklin India Feeder - Franklin U.S. Oppor. Fund(G) 16.5 18.1 12.6 14.2 17.4 12.8 11.4 1,005 25.5 38.2 88 37.3 17.2 6.6 4,050
Category Median 13.6 15.4 11.0 11.1 14.8 11.1
December 2019
Investime 13
LIQUID FUNDS
Performance Portfolio Attributes Credit Quality (%)
AUM
Simple Annualised (%) CAGR Rolling Net Modified AA+ & (Rs. Crs.)
Scheme Name Returns (%) Corp Cash and AAA & Oct
(%) YTM Duration CD CP SOV Others A1+ Below or
Debt Equiv 2019
(%) (Days)
1M 3M 6M 1 Yr 1 Yr
Core Schemes
Axis Liquid Fund(G) 5.25 5.60 6.25 6.95 6.74 5.13 31 16.17 67.20 2.87 13.18 0.58 87.56 0.00 30,068
L&T Liquid Fund(G) 5.20 5.51 6.10 6.83 6.63 5.24 29 6.90 64.45 7.19 9.56 11.90 78.54 0.00 9,531
Franklin India Liquid Fund-Super Inst(G) 5.69 5.98 6.51 7.18 6.97 5.64 26 9.55 68.18 0.71 0.00 21.56 77.94 0.50 11,999
Nippon India Liquid Fund(G) 5.25 5.65 6.38 7.02 6.81 5.11 32 20.67 41.03 1.36 19.09 17.85 63.06 0.00 28,862
Category Median 5.13 5.50 6.13 6.85 6.64 5.05 29 17.89 50.80 0.26 10.94 13.57 72.72 0.00
Satellite Schemes
Aditya Birla SL Liquid Fund(G) 5.15 5.62 6.38 7.00 6.79 5.01 29 15.63 49.26 8.89 11.85 14.37 73.41 0.37 50,512
ULTRA SHORT DURATION FUNDS

AUM
Selected Funds – Debt
Scheme Name Modified Cash AA+ & AA & (Rs. Crs.)

Simple Annualised (%) CAGR (%) Rolling Returns (%) Net YTM
Duration CD CP Corp Debt SOV and Above or Below or Oct
(%)
(Days) Others Equiv Equiv 2019
1M 3M 6M 1 Yr 2 Yrs 3 Yrs 1 Yr 2 Yrs 3 Yrs
Core Schemes
Aditya Birla SL Savings Fund(G) 7.21 7.77 8.70 8.99 7.93 7.73 8.64 7.66 7.46 5.62 113 11.77 18.35 44.55 13.80 11.52 72.95 8.49 15,840
Kotak Savings Fund(G) 7.02 7.13 7.97 8.35 7.57 7.33 8.06 7.33 7.10 5.34 168 21.52 32.29 27.81 11.58 6.80 80.46 4.74 11,281
SBI Magnum Ultra Short Duration Reg(G) 7.14 7.48 8.18 8.43 7.98 7.54 8.14 7.70 7.29 5.40 153 32.72 17.98 36.64 1.77 10.89 86.51 5.17 10,925
Category Median 6.50 6.81 7.77 8.01 7.32 7.26 7.71 7.09 7.04 5.25 139 26.79 16.52 34.59 0.00 12.20 74.14 2.37
Satellite Schemes
L&T Ultra Short Term Fund(G) 6.41 6.72 7.77 8.15 7.45 7.26 7.87 7.21 7.04 4.96 153 52.01 31.80 14.71 0.00 1.48 98.52 0.00 2,841
December 2019
Investime 14
LOW DURATION FUNDS
AUM
Scheme Name Modified Cash AA+ & AA & (Rs. Crs.)
Duration CD CP Corp Debt SOV and Above or Below or Oct
(%)
(Days) Others Equiv Equiv 2019
Core Schemes
Axis Treasury Advantage Fund(G) 8.67 8.43 9.45 9.36 8.00 7.56 8.98 7.73 7.31 5.51 296 23.65 22.09 50.60 0.00 3.66 96.34 0.00 3,560
IDFC Low Duration Fund-Reg(G) 8.34 8.04 9.03 8.92 7.72 7.54 8.59 7.47 7.29 5.36 266 28.88 15.91 52.30 0.03 2.88 97.09 0.00 4,974
SBI Magnum Low Duration Fund(G) 8.55 8.16 8.95 8.85 7.85 7.51 8.53 7.58 7.26 5.33 307 18.40 8.56 63.23 1.07 8.74 94.32 1.72 7,402
Category Median 8.39 7.90 6.04 7.63 7.02 6.86 7.36 6.84 6.66 5.57 283 26.27 8.94 51.30 0.00 7.28 86.39 5.58
Satellite Schemes
ICICI Pru Savings Fund(G) 9.68 8.90 9.48 9.17 7.88 7.69 8.82 7.61 7.42 6.03 260 17.60 14.03 61.89 1.34 5.15 86.22 8.95 19,395
MONEY MARKET FUNDS

AUM
Scheme Name Modified Cash AA+ & (Rs. Crs.)
Duration CD CP Corp Debt SOV and AAA & Below or Oct
(%)
2019
(Days) Others A1+ Equiv

Core Schemes
Aditya Birla SL Money Manager Fund(G) 6.34 6.86 8.27 8.52 8.04 7.61 8.21 7.76 7.35 5.17 117 43.79 56.25 0.00 0.00 -0.04 100.04 0.00 10,452
Franklin India Savings Fund(G) 7.04 7.60 8.87 8.97 7.93 7.74 8.60 7.66 7.48 5.33 146 37.10 58.52 0.00 0.00 4.39 95.61 0.00 3,571
ICICI Pru Money Market Fund(G) 6.66 7.09 8.10 8.30 7.84 7.44 8.00 7.57 7.20 5.27 130 45.28 47.57 0.00 6.39 0.76 92.85 0.00 10,204
Category Median 6.66 7.00 8.10 8.35 7.80 7.35 8.01 7.54 7.12 5.27 142 43.86 47.96 0.00 0.00 3.11 95.61 0.00
Satellite Schemes
UTI Money Market Fund-Reg(G) 6.30 6.91 8.13 8.39 7.94 7.52 8.08 7.66 7.27 5.28 116* 49.83 34.96 0.00 0.00 15.21 84.79 0.00 7,535
* Average Maturity in Days
December 2019
Investime 15
SHORT DURATION FUNDS
AUM
Modified Cash AA+ & AA & (Rs. Crs.)
Scheme Name Simple Annualised (%) CAGR (%) Rolling Returns (%) Net YTM Corp
Duration CD CP SOV and Above or Below or Oct
(%) Debt
(Years) Others Equiv Equiv 2019
Core Schemes
IDFC Bond Fund - Short Term Plan-Reg(G) 12.69 10.29 11.48 10.81 7.85 7.41 10.41 7.60 7.16 5.77 1.75 4.25 1.38 90.64 0.00 3.74 96.26 0.00 10,676
L&T Short Term Bond Fund-Reg(G) 11.65 9.66 10.98 10.42 7.70 7.21 9.96 7.45 6.98 5.79 1.90 3.62 0.00 74.68 13.97 7.73 81.89 0.00 4,674
Category Median 11.15 9.63 10.42 9.71 6.86 6.69 9.51 6.67 6.54 5.97 2.08 3.58 0.00 74.86 9.54 9.17 73.65 7.34
Satellite Schemes
HDFC Short Term Debt Fund(G) 12.31 10.29 11.31 10.32 8.03 7.72 9.92 7.76 7.46 6.61 2.08 0.00 0.00 87.53 1.57 10.89 83.44 7.36 8,974
CORPORATE BOND FUNDS

AUM
Modified Cash AA & (Rs. Crs.)
Scheme Name Simple Annualised (%) CAGR (%) Rolling Returns (%) Net YTM
Duration Corp Debt SOV SDLs and AAA AA+ Below or Oct
(%) 2019
(Years) Others Equiv
Core Schemes
Aditya Birla SL Corp Bond Fund(G) 9.85 8.87 10.80 10.50 8.03 7.64 10.05 7.76 7.37 6.14 1.20 75.92 12.00 0.26 11.82 78.90 1.61 1.78 16,893
DSP Corp Bond Fund-Reg(G) 14.30 11.64 13.05 12.54 - - 12.01 - - 6.25 2.09 99.74 0.00 0.00 0.26 99.74 0.00 0.00 769
ICICI Pru Corp Bond Fund(G) 12.09 9.80 11.11 10.37 7.80 7.41 9.95 7.55
Satellite 6.31
7.17Schemes 1.78 79.34 9.66 0.02 10.98 83.09 0.00 0.00 10,587
Category Median 12.96 9.38 10.97 10.42 7.01 6.90 9.95 6.81 6.68 6.28 2.12 81.51 0.00 0.00 10.70 83.94 0.00 0.00
Satellite Schemes
IDFC Corp Bond Fund-Reg(G)* 6.79 7.47 8.73 9.21 7.04 6.90 8.95 6.84 6.68 5.23 0.42 80.95 0.00 0.00 19.05 96.36 0.00 0.00 15,903
HDFC Corp Bond Fund(G) 9.85 8.40 11.75 11.30 7.99 7.67 10.85 7.74 7.41 6.79 3.12 78.40 12.63 1.17 7.81 79.35 2.03 0.00 11,938
*Follows roll-down strategy with current avg. maturity of 0.45 years
BANKING & PSU DEBT FUND

AUM
Modified AA & (Rs. Crs.)
Scheme Name Simple Annualised (%) CAGR (%) Rolling Returns (%) Net YTM Cash and
Duration Corp Debt SOV SDLs AAA AA+ Below or Oct
(%) Others 2019
(Years) Equiv
Core Schemes
Axis Banking & PSU Debt Fund(G) 14.35 11.45 12.86 12.05 9.12 8.53 11.63 8.79 8.23 5.96 2.00 87.71 0.00 1.19 11.10 94.71 0.00 0.00 9,832
IDFC Banking & PSU Debt Fund-Reg(G)* 14.59 11.72 13.80 12.93 9.06 8.09 12.46 8.75 7.83 6.15 2.60 93.17 0.01 0.02 6.80 96.64 0.00 0.00 11,210
Sundaram Banking & PSU Debt Fund(G) 13.42 10.80 11.72 11.24 7.63 7.51 10.80 7.39 7.27 6.09 1.56 93.07 0.00 0.00 6.93 97.01 0.00 0.00 1,123
Category Median 13.21 10.71 12.63 11.27 8.27 7.51 10.73 7.99 7.27 6.15 2.55 82.59 0.00 0.00 11.48 78.48 0.00 0.00
December 2019
*Follows roll-down strategy with current avg. maturity of 3.13 years
Investime 16
CREDIT RISK FUNDS
AUM
Modified Cash AA+ & BBB & (Rs. Crs.)
Scheme Name Simple Annualised (%) CAGR (%) Rolling Returns (%) Net YTM AA A
Duration Corp Debt and Above or Below or Unrated Oct
(%) & AA- & Equiv
(Years) Others Equiv Equiv 2019
Core Schemes
Franklin India Credit Risk Fund(G) 5.03 3.08 3.77 6.28 6.26 7.11 6.20 6.11 6.89 10.27 2.29 97.39 2.61 20.46 31.16 42.58 3.20 0.00 6,624
Category Median 9.72 6.94 3.24 3.78 4.10 5.19 3.83 4.15 5.12 7.89 1.56 87.41 12.59 24.64 39.00 14.37 1.82 0.00
Satellite Schemes
Aditya Birla SL Credit Risk Fund-Reg(G) 4.65 3.76 6.08 6.08 5.65 6.59 6.01 5.53 6.40 10.90 1.37 84.27 15.73 50.54 22.82 12.30 6.89 3.58 5,904
DYNAMIC BOND FUNDS

AUM
Modified AA+ & AA & (Rs. Crs.)
Scheme Name Simple Annualised (%) CAGR (%) Rolling Returns (%) Net YTM Cash and
Duration CD & CP Corp Debt SOV SDLs Above or Below or Oct
(%) Others 2019
(Years) Equiv Equiv
Core Schemes
IDFC Dynamic Bond Fund-Reg(G) 4.27 6.77 15.29 12.81 7.84 6.88 12.24 7.70 6.75 5.17 6.81 0.00 0.00 97.30 0.00 2.70 0.00 0.00 2,079
Kotak Dynamic Bond Fund-Reg(G) 11.00 9.10 13.54 12.91 8.70 7.72 12.38 8.42 7.47 6.38 4.29 0.00 51.11 34.97 9.18 4.75 49.08 2.03 871
Category Median 7.23 6.36 11.27 10.26 6.72 5.64 9.85 6.60 5.55 5.51 4.29 0.00 33.77 27.12 0.00 11.98 28.12 0.09
Satellite Schemes
DSP Strategic Bond Fund-Reg(G) 4.79 16.90 16.13 12.10 7.37 5.79 11.74 7.36 5.80 5.83 5.96 0.00 28.72 69.57 0.07 1.64 28.72 0.00 899
Performance as on Nov 15th, 2019; Risk Free Rate: 5.55%; Please refer below for additional notes.
Notes:
Equity, Sector & Aggressive Hybrid Funds:
For all Equity Benchmark Indices Total Return Index (TRI) is used
Portfolio Volatility (Standard Deviation in %) and Risk Adjusted Return (Treynor Ratio) are calculated on absolute basis using 3 years historical data of monthly returns
Exposure to Sensitive Sectors is the portfolio allocation in such sectors which are either facing earnings pressure or are stressed in equities.
Currently Airlines, Bank-Public, Construction-Real Estate & Telecommunication-Service Provider are considered as Sensitive Sectors.
Please refer to page no. 18/19 for additional scheme related information
Debt Funds:
Cash and Others include Bills Rediscounting; Deposits; Domestic Mutual Funds Units; Floating Rate Instruments & PTC & Securitized Debt
Please refer to page no. 18/19 for additional scheme related information
Selection of Funds are based on analysis done on various parameters and criteria's. Before making any investments, Investors are advised to seek independent professional advice, verify the contents in order to arrive at an informed investment
decision. Past performance of the Mutual Fund are not indicative of the future performance of the Scheme(s). Mutual Funds are subject to market risks and there is no assurance or guarantee that the objectives of the Scheme will be achieved.
December 2019
Investime 17
Other Information
Scheme Name Category Fund Manager Inception Expense Exit Load

Date Ratio Risk
Aditya Birla SL Equity Fund(G) Equity Anil Shah 27-Aug-1998 1.91 Moderately High 1% on or before 365D, Nil after 365D
Aditya Birla SL Frontline Equity Fund(G) Equity Mahesh Patil 30-Aug-2002 1.80 Moderately High 1% on or before 1Y, Nil after 1Y
Aditya Birla SL India GenNext Fund(G) Equity Anil Shah, Chanchal Khandelwal 05-Aug-2005 2.52 High 1% on or before 1Y, Nil after 1Y
Aditya Birla SL Small Cap Fund(G) Equity Jayesh Gandhi 31-May-2007 2.35 Moderately High 1% on or before 365D, Nil after 365D
Aditya Birla SL Tax Relief '96(G) Equity Ajay Garg 10-Mar-2008 1.98 Moderately High Nil
Nil for 10% of investments and 1% for remaining
Axis Bluechip Fund(G) Equity Shreyash Devalkar 05-Jan-2010 1.85 Moderately High
investments on or before 12M, Nil after 12M
Nil for 10% of investments and 1% for remaining
Axis Focused 25 Fund(G) Equity Jinesh Gopani 29-Jun-2012 1.95 Moderately High
investments on or before 12M, Nil after 12M
Axis Long Term Equity Fund(G) Equity Jinesh Gopani 29-Dec-2009 1.72 Moderately High Nil
DSP Equity Opportunities Fund-Reg(G) Equity Rohit Singhania, Jay Kothari 16-May-2000 1.94 Moderately High 1% before 12M, Nil on or after 12M
DSP Midcap Fund-Reg(G) Equity Vinit Sambre, Jay Kothari 14-Nov-2006 1.93 Moderately High 1% before 12M, Nil on or after 12M
DSP Tax Saver Fund-Reg(G) Equity Rohit Singhania 18-Jan-2007 1.90 Moderately High Nil
Franklin Build India Fund(G) Equity Anand Radhakrishnan, Roshi Jain 04-Sep-2009 2.22 High 1% on or before 1Y
Franklin India Prima Fund(G) Equity R. Janakiraman, Hari Shyamsunder 01-Dec-1993 1.84 Moderately High 1% on or before 1Y
HDFC Small Cap Fund-Reg(G) Equity Chirag Setalvad, Amar Kalkundrikar 03-Apr-2008 2.08 Moderately High 1% on or before 1Y, Nil after 1Y
ICICI Pru Bluechip Fund(G) Equity Anish Tawakley, Rajat Chandak 23-May-2008 1.80 Moderately High 1% on or before 1Y, NIL after 1Y
IDFC Core Equity Fund-Reg(G) Equity Anoop Bhaskar 09-Aug-2005 2.00 Moderately High 1% on or before 365D
Nil upto 10% of units and 1% for above the limits on
Invesco India Contra Fund(G) Equity Taher Badshah, Amit Ganatra 11-Apr-2007 1.82 Moderately High
or before 1Y, Nil after 1Y
Invesco India Growth Opp Fund(G) Equity Taher Badshah, Amit Ganatra 09-Aug-2007 2.01 Moderately High
Invesco India Tax Plan(G) Equity Amit Ganatra, Dhimant Kothari 29-Dec-2006 2.16 Moderately High Nil
Kotak Emerging Equity Scheme(G) Equity Pankaj Tibrewal 30-Mar-2007 1.97 Moderately High 1% on or before 1Y, Nil after 1Y
Kotak Standard Multicap Fund(G) Equity Harsha Upadhyaya 11-Sep-2009 1.70 Moderately High 1% on or before 1Y, Nil after 1Y
L&T Emerging Businesses Fund-Reg(G) Equity Soumendra Nath Lahiri 12-May-2014 1.96 High
L&T India Value Fund-Reg(G) Equity Venugopal M. 08-Jan-2010 1.87 Moderately High
L&T Midcap Fund-Reg(G) Equity Soumendra Nath Lahiri, Vihang Naik 09-Aug-2004 1.97 High
Mirae Asset Emerging Bluechip-Reg(G) Equity Neelesh Surana, Ankit Jain 09-Jul-2010 1.78 Moderately High 1% on or before 1Y(365D), Nil after 1Y(365D)
Mirae Asset Great Consumer Fund-Reg(G) Equity Ankit Jain 29-Mar-2011 2.24 High 1% on or before 1Y(365D), Nil after 1Y(365D)
Mirae Asset Large Cap Fund-Reg(G) Equity Neelesh Surana, Harshad Borawake 04-Apr-2008 1.69 Moderately High 1% on or before 1Y(365D), Nil after 1Y(365D)
Mirae Asset Tax Saver Fund-Reg(G) Equity Neelesh Surana 28-Dec-2015 1.89 Moderately High Nil
Motilal Oswal Focused 25 Fund-Reg(G) Equity Siddharth Bothra, Abhiroop Mukherjee 13-May-2013 2.20 Moderately High 1% on or before 15D, Nil after 15D
Motilal Oswal Multicap 35 Fund-Reg(G) Equity Akash Singhania, Abhiroop Mukherjee 28-Apr-2014 1.73 Moderately High 1% on or before 15D, Nil after 15D
Nippon India Pharma Fund(G) Equity Sailesh Raj Bhan, Kinjal Desai 05-Jun-2004 2.20 High 1% on or before 1Y, Nil after 1Y
Nippon India Small Cap Fund(G) Equity Samir Rachh, Kinjal Desai 16-Sep-2010 2.16 Moderately High 1% on or before 1Y, Nil after 1Y
SBI Small Cap Fund-Reg(G) Equity R. Srinivasan 09-Sep-2009 2.29 Moderately High 1% on or before 1Y, Nil after 1Y
Sundaram Large and Mid Cap Fund(G) Equity S. Krishnakumar 27-Feb-2007 2.44 Moderately High 1% on or before 12M, Nil after 12M
Sundaram Mid Cap Fund(G) Equity S. Krishnakumar 19-Jul-2002 2.01 Moderately High 1% on or before 12M
Sundaram Select Focus(G) Equity Rahul Baijal 30-Jul-2002 2.39 Moderately High 1% on or before 12M, Nil after 12M
Nil upto 12% on investment and 1% for rest
Tata Equity P/E Fund(G) Equity Sonam Udasi, Amey Sathe 29-Jun-2004 1.89 Moderately High
investment on or before 12M, Nil after 12M
Tata India Consumer Fund-Reg(G) Equity Sonam Udasi, Ennettee Fernandes 28-Dec-2015 2.23 High 1% on or before 12M

Risk
Date Ratio
Aditya Birla SL Arbitrage Fund(G) Hybrid Lovelish Solanki 24-Jul-2009 0.80 Moderate 0.25% on or before 30D, Nil after 30D
Nil on 10% of units within 1Y and 1% for more than
ICICI Pru Equity & Debt Fund(G) Hybrid Sankaran Naren, Atul Patel 03-Nov-1999 1.74 Moderately High
10% of units within 1Y, Nil after 1Y
IDFC Arbitrage Fund-Reg(G) Hybrid Yogik Pitti, Arpit Kapoor 21-Dec-2006 1.09 Moderately Low 0.25% on or before 1M
Kotak Equity Arbitrage Scheme(G) Hybrid Rukun Tarachandani, Hiten Shah 29-Sep-2005 0.99 Moderately Low 0.25% on or before 30D, Nil after 30D
Nippon India Arbitrage Fund(G) Hybrid Anand Devendra Gupta, Kinjal Desai 14-Oct-2010 1.08 Moderately Low 0.25% on or before 1M, Nil after 1M
Nil upto 10% of units, For remaining units 1% on or
Sundaram Equity Hybrid Fund(G) Hybrid Rahul Baijal, Sandeep Agarwal 15-Jun-2000 2.17 Moderately High
before 1Y and Nil after 1Y
Franklin India Feeder - Franklin U.S. Opp Fund(G) FOF* Pyari Menon 06-Feb-2012 1.60 High 1% on or before 3Y
*FoFs (Overseas)
Levels of Risk
Risk Level Interpretation
Low Principal at Low Risk
Moderately Low Principal at Moderately Low Risk
Moderate Principal at Moderate Risk
Moderately High Principal at Moderately High Risk
High Principal at High Risk

Other Information

Risk
Date Ratio
Aditya Birla SL Corp Bond Fund(G) Debt Maneesh Dangi, Kaustubh Gupta 03-Mar-1997 0.3800 Moderately Low Nil
Nil upto 15% of units, For remaining units 3% on or
Aditya Birla SL Credit Risk Fund-Reg(G) Debt Maneesh Dangi, Sunaina da Cunha 22-Apr-2015 1.6100 Moderate before 1Y, 2% after 1Y but on or before 2Y, 1% after
2Y but on or before 3Y, Nil after 3Y
0.007% for Day 1, 0.0065% on Day 2, 0.0060% on
Aditya Birla SL Liquid Fund(G) Debt Kaustubh Gupta, Sunaina da Cunha 30-Mar-2004 0.2900 Low Day 3, 0.0055% on Day 4, 0.0050% on Day 5,
0.0045% on Day 6, NIL after 7D
Aditya Birla SL Money Manager Fund(G) Debt Kaustubh Gupta, Mohit Sharma 13-Oct-2005 0.2800 Low Nil
Aditya Birla SL Savings Fund(G) Debt Kaustubh Gupta, Sunaina da Cunha 16-Apr-2003 0.3700 Moderately Low Nil
Axis Banking & PSU Debt Fund(G) Debt Aditya Pagaria 08-Jun-2012 0.5900 Moderately Low Nil
0.007% for Day 1, 0.0065% on Day 2, 0.0060% on
Axis Liquid Fund(G) Debt Devang Shah, Aditya Pagaria 09-Oct-2009 0.1600 Low Day 3, 0.0055% on Day 4, 0.0050% on Day 5,
0.0045% on Day 6, NIL on or after 7D
Axis Treasury Advantage Fund(G) Debt Devang Shah, Aditya Pagaria 09-Oct-2009 0.5700 Moderately Low Nil
DSP Corp Bond Fund-Reg(G) Debt Vikram Chopra, Saurabh Bhatia 10-Sep-2018 0.4900 Moderate Nil
DSP Strategic Bond Fund-Reg(G) Debt Vikram Chopra, Saurabh Bhatia 09-May-2007 1.0500 Moderate Nil
Nil upto 10% of units, For remaining units - 3% on or
Franklin India Credit Risk Fund(G) Debt Santosh Kamath, Kunal Agrawal 07-Dec-2011 1.6000 Moderate before 12M, 2% after 12M but on or before 24M, 1%
after 24M but on or before 36M, Nil after 36M
0.007% for Day 1, 0.0065% on Day 2, 0.0060% on
Franklin India Liquid Fund-Super Inst(G) Debt Pallab Roy, Umesh Sharma 02-Sep-2005 0.2000 Low Day 3, 0.0055% on Day 4, 0.0050% on Day 5,
0.0045% on Day 6, NIL after 7D
Franklin India Savings Fund(G) Debt Pallab Roy, Umesh Sharma 11-Feb-2002 0.3400 Moderately Low Nil
HDFC Corp Bond Fund(G) Debt Anupam Joshi, Amar Kalkundrikar 29-Jun-2010 0.4500 Moderate Nil
HDFC Short Term Debt Fund(G) Debt Anil Bamboli, Amar Kalkundrikar 25-Jun-2010 0.4000 Moderately Low Nil
ICICI Pru Corp Bond Fund(G) Debt Rohan Maru, Chandni Gupta 11-Aug-2009 0.5600 Moderate Nil
ICICI Pru Money Market Fund(G) Debt Rahul Goswami, Nikhil Kabra 08-Mar-2006 0.2700 Moderately Low Nil
ICICI Pru Savings Fund(G) Debt Rahul Goswami, Rohan Maru 27-Sep-2002 0.5000 Moderately Low Nil
IDFC Bond Fund - Short Term Plan-Reg(G) Debt Suyash Choudhary 14-Dec-2000 0.7900 Moderately Low Nil
IDFC Dynamic Bond Fund-Reg(G) Debt Suyash Choudhary 01-Dec-2008 1.7900 Moderate Nil
IDFC Low Duration Fund-Reg(G) Debt Anurag Mittal 17-Jan-2006 0.4800 Moderately Low Nil
Kotak Dynamic Bond Fund-Reg(G) Debt Deepak Agrawal 28-May-2008 1.0800 Moderately Low Nil
Kotak Savings Fund(G) Debt Deepak Agrawal 13-Aug-2004 0.7600 Moderately Low Nil
0.007% for Day 1, 0.0065% on Day 2, 0.0060% on
L&T Liquid Fund(G) Debt Shriram Ramanathan, Jalpan Shah 03-Oct-2006 0.1500 Low Day 3, 0.0055% on Day 4, 0.0050% on Day 5,
L&T Short Term Bond Fund-Reg(G) Debt Shriram Ramanathan, Jalpan Shah 27-Dec-2011 0.7300 Moderately Low Nil
L&T Ultra Short Term Fund(G) Debt Jalpan Shah, Vikas Garg 10-Apr-2003 0.5300 Moderately Low Nil
0.007% for Day 1, 0.0065% on Day 2, 0.0060% on
Nippon India Liquid Fund(G) Debt Anju Chhajer, Kinjal Desai 09-Dec-2003 0.2600 Low Day 3, 0.0055% on Day 4, 0.0050% on Day 5,
SBI Magnum Low Duration Fund(G) Debt Rajeev Radhakrishnan 26-Jul-2007 0.9600 Moderately Low Nil
SBI Magnum Ultra Short Duration Fund-Reg(G) Debt Rajeev Radhakrishnan 19-May-1999 0.5000 Low Nil
Sundaram Banking & PSU Debt Fund(G) Debt Dwijendra Srivastava, Siddharth Chaudhary 30-Dec-2004 0.3600 Moderately Low Nil
UTI Money Market Fund-Reg(G) Debt Amandeep Singh Chopra, Amit Sharma 09-Jul-2009 0.2700 Moderately Low Nil
Market Terminology
What is Side Pocketing?
Side pocketing is a framework used by a fund houses that allows mutual funds to segregate bad assets in a separate portfolio within debt schemes.
Such a ring-fenced portfolio for good assets can be created only if there is a credit event at the issuer level in the form of downgrade of a debt or
money market instrument to 'below investment grade' or subsequent downgrades from such levels. Side pocketing protects good liquid assets
which could get impacted by the credit profile downgrades of bad assets. This process is useful as it helps small investors from being hit by sudden
exits of large investors. It helps stabilize the net asset value (NAV) and reduces redemption pressure from the schemes.

PMS & AIF Performance Snapshot
EQUITY PMS
AUM Absolute (%) CAGR (%) Inception
Name Benchmark Since
(Rs. Crs) 6M 1 Yr 3 Yr 5 Yr Inception Date
Large Cap
ASK Growth Nifty 50 2,868 12.2 24.7 12.6 15.3 20.3 29-Jan-01
Motilal Oswal Value Nifty 50 2,265 10.5 24.8 9.4 9.4 22.4 25-Mar-03
Multi Cap
ASK IEP S&P BSE 500 10,262 7.6 19.4 11.2 14.4 18.7 25-Jan-10
ASK India Select S&P BSE 100 3,268 12.6 25.5 10.1 15.1 17.3 4-Jan-10
Birla CEP Nifty 500 825 5.6 17.9 1.6 10.8 16.6 1-Apr-08
Birla SSP Nifty 500 542 0.0 5.1 1.1 10.0 14.9 1-Aug-09
IIFL Multicap Advantage S&P BSE 200 TRI 470 8.7 21.9 NA NA 10.8 1-Dec-17
Motilal NTDOP Nifty 500 9,308 4.0 8.2 6.9 16.2 16.1 5-Dec-07
Marathon Trends Nifty 500 159 12.0 24.3 NA NA 6.6 18-Sep-17
Special Situation: Multi-cap
ABM Core & Satellite Nifty 100 329 6.2 12.3 7.1 NA 10.2 20-Apr-15
Kotak SSV 1 Nifty 500 2,125 -10.4 -8.0 -4.7 8.4 16.3 31-Jul-12
Kotak SSV 2 Nifty 500 1,004 -5.8 -3.6 NA NA -8.5 19-Sep-17
Mid/Small-cap
Edelweiss Focused Smallcap Portfolio Nifty Smallcap 250 TRI 204 -8.4 -8.1 -3.2 NA 3.4 1-Sep-15
Motilal Oswal IOP Nifty Small Cap 100 2,994 -7.6 -0.7 -2.9 8.7 10.9 15-Feb-10
Motilal Oswal IOP V2 Nifty Small Cap 100 523 -7.7 -6.0 NA NA -10.1 5-Feb-18
Thematic/Sector Specific
Kotak Pharma Nifty Pharma 36 -2.6 -3.1 0.3 NA 0.6 20-Sep-16
Invesco RISE S&P BSE 500 689 -5.0 -3.2 9.0 NA 12.9 18-Apr-16
Edelweiss Event Arbitrage Crisil Liquid Index 56 -2.1 2.9 4.9 10.4 12.1 1-Apr-13
AIFs CAT - III Funds

AUM Absolute (%) CAGR (%) Inception
Name Benchmark Since
(Rs. Crs) 6M 1 Yr 3 Yr 5 Yr Inception Date
DSP India Enhanced Equity Fund S&P BSE 200 NA 11.8 19.9 13.6 16.4 19.6 12-May-14
DSP India Enhanced Equity SatCore S&P BSE 200 NA 11.5 19.2 NA NA 13.2 3-Mar-17
Edelweiss Alpha Fund - Scheme 1 Liquid Index NA 2.2 7.2 9.1 12.2 16.1 1-Jun-13
Edelweiss Alternative Equity Scheme Nifty 50 - TRI NA NA 23.8 9.9 13.1 18.3 19-Aug-14
IIFL Multi Strategy Fund S&P BSE 500 NA 1.3 6.9 NA NA 6.5 21-Sep-18
Nippon India Equity Opportunities AIF - 1 Nifty Midcap NA 3.7 12.3 NA NA 8.8 9-Aug-17
Nippon India Equity Opportunities AIF - 3 Nifty 500 NA 11.4 23.0 NA NA 7.3 31-Jan-18
Nippon India Equity Opportunities AIF - 4 Nifty 500 NA 2.5 14.5 NA NA 6.7 12-Jul-18
Abakkus Emerging Opportunities Fund – 1 S&P BSE 500 NA NA NA NA NA 3.5* 6-Jun-19
Benchmark Returns (%)
Liquid Fund Index 3.4 7.2 7.1 7.5 -
Nifty 100 1.4 13.5 10.6 7.8 1-Jan-03
Nifty 50 1.1 14.4 11.2 7.4 3-Nov-95
Nifty 50 - TRI 2.1 15.9 12.7 8.8 3-Nov-95
Nifty 500 0.3 10.7 8.9 7.7 1-Jan-95
Nifty Pharma -16.2 -19.3 -12.2 -6.2 1-Jan-01
Nifty Midcap 100 -4.3 -2.2 1.9 7.3 1-Jan-03
Nifty Smallcap 100 -11.2 -5.2 -4.0 2.2 1-Jan-04
Nifty Smallcap 250 TRI -9.4 -4.3 -1.8 4.4 1-Apr-05
S&P BSE 100 1.1 12.5 10.3 7.4 3-Apr-84
S&P BSE 200 1.4 12.2 9.8 8.0 2-Jan-91
S&P BSE 200 - TRI 2.3 13.7 11.2 9.4 2-Jan-91
S&P BSE 500 0.6 10.8 9.0 7.7 1-Feb-99
Performance as on 31st October 2019; *Since inception return are on absolute basis
Birla CEP is open for top up only while Edelweiss Event Arbitrage, DSP BlackRock India Enhanced Equity Fund, IIFL Multi Strategy Fund &
Nippon Indian Equity Opportunities AIF - 1, 3 & 4 are closed for subscription
Performance details mentioned above are shared by respective portfolio managers

Portfolio Management Services
ASK INDIAN ENTREPRENEUR PORTFOLIO
Strategy Roundup
Ÿ Identify large & growing business opportunities with competitive advantage that are significant sized ( Min Rs. 100 cr of PBT).
Ÿ Minimum ROE should be 20% and ROCE should be over 25% for each business they buy.
Ÿ The Management should have the drive & have the skin in the game to deliver compounded growth.
Performance Sector Allocation
Fund Manager:
Sumit Jain
Inception Date:
January 25, 2010
AUM as on 31st October 2019:

Rs. 10,262 CR
Top 10 Stock Holdings

Sr. No. Scrip Names Holdings Sr. No. Scrip Names Holdings
1 Bajaj Finance Ltd. 8.49% 6 Kotak Mahindra Bank Ltd. 5.96%
2 Bajaj Finserv Ltd. 7.17% 7 Page Industries Ltd. 5.82%
3 PI Industries Ltd. 6.92% 8 Dabur India Ltd. 5.70%
4 Britannia Industries Ltd. 6.35% 9 Pidilite Industries Ltd. 5.55%
5 Asian Paints Ltd. 5.97% 10 Cholamandalam Investment and Finance Co Ltd. 5.50%
Portfolio details mentioned above are shared by respective portfolio managers
MARATHON MEGA TRENDS
Strategy Roundup
Fund Manager looks for stocks that display strong long term trends in price, supported by long term trends in earnings. The
underlying philosophy is to follow consequent trends that are caused by changes in fundamentals gradually and over long periods
of time.
Guiding Principles for MEGA TRENDS:
Ÿ The Power of Compounding through long trend following
Ÿ Limiting Losses by limiting drawdowns
Ÿ Discipline & Risk Management Performance Sector Allocation
Fund Manager:
Atul Suri
Inception Date:
September 18, 2017

Rs. 159 CR

1 Berger Paints Ltd. 7.19% 6 Pidilite Industries Ltd. 5.51%
2 Bajaj Finance Ltd. 7.18% 7 Kotak Mahindra Bank Ltd. 5.44%
3 Bata India Ltd. 7.11% 8 Jubilant Foodworks Ltd. 5.05%
4 Procter & Gamble Health Ltd. 5.74% 9 HDFC Bank Ltd. 4.92%
5 Bajaj Finserv Ltd. 5.56% 10 Reliance Industries Ltd. 4.67%

Portfolio Management Services
MOTILAL NEXT TRILLION DOLLAR OPPORTUNITY PORTFOLIO
Strategy Roundup
Ÿ The Strategy aims to deliver superior returns by investing in stocks from sectors that can benefit from the Next Trillion Dollar
GDP growth. It aims to invest in different Multi-cap stocks with a focus on identifying potential winners that would participate
in successive phases of GDP growth. The strategy endeavors to capitalize on the themes of Consumption, Banking & Financial
Services & Infrastructure in the Indian Economy.
Performance Sector Allocation
Fund Manager:
Manish Sonthalia
Inception Date:
December 5, 2007

Rs. 9,308 CR

1 Kotak Mahindra Bank Ltd. 13.60% 6 Eicher Motors Ltd. 4.90%
2 Voltas Ltd. 10.90% 7 L&T Technology Services Ltd. 4.10%
3 Page Industries Ltd. 9.30% 8 Tech Mahindra Ltd. 3.50%
4 ICICI Bank Ltd. 6.10% 9 Max Financial Services Ltd. 3.50%
5 City Union Bank Ltd. 4.90% 10 Glaxosmithkline Consumer Healthcare Ltd. 3.30%
Alternate Investment Funds (AIF)

ABAKKUS EMERGING OPPORTUNITIES FUND - 1
Strategy Roundup
Ÿ The Strategy aims to generate alpha and wealth creation for the investors from the mid & small cap biased multicap portfolio of
equities. The investment strategy is to invest in companies and sectors where profitability is expected to grow higher than the
market average and provide reasonable growth expectation and invest in mid & small companies having scalable business
models with potential of becoming large caps in medium term.
Fund Manager:
Performance
Sunil Singhania & Aman Chowan
Inception Date:
June 06, 2019
Key Investment features:

Ÿ Predominately companies with a market cap of less than
Rs 5,000 crs (mid and small-cap)
Ÿ 15:15:15 discipline: Invest predominantly in companies qualifying
in at least 2 out of these 3 criteria;
ü >15% ROE
ü >15% Earnings Growth
ü < 15 P/E Ratio
Ÿ Typically, pursue the 2nd or 3rd player within the sector but at a
significant discount to the leader *Since inception returns are on absolute basis
Ÿ Diversified portfolio of 30-40 companies, single stock exposure
limited to less than 10% and sector exposure limited below 30%
Ÿ Differentiated portfolio adhering to “MEETS” framework which is
focused on-Management, Earnings, Events/Trends, Timing,
Structural parameters of the individual companies.

IIFL High Conviction Fund
Strategy Roundup
Ÿ IIFL High Conviction Fund is a multi-cap strategy with a large cap bias. The Fund intends to create a concentrated portfolio of
typically 15-20 stocks which are: A. beneficiaries of secular growth drivers B. poised for strong uptick in earnings and C. offer
an attractive risk-reward.
Fund Manager
Mr. Anup Maheshwari & Mr. Mehul Jani
Investment Philosophy
Investment philosophy revolves around 4 main pillars:
A. Industry and Sector Potential
a. Selection: Growing companies scalable over time with pricing power in a benign competitive landscape
b. Avoidance: Sectors vulnerable to regulation, high competitive intensity, technological changes and short growth cycles
B.Business
a. Selection: Companies with moats, delivering high ROE vis-a-vis peers
b. Avoidance: Companies with poor free cash flows and declining market share
C.Governance
a. Selection: Competitive management with clarity over long term value creation. Focus on prudent capital allocation in-
line with minority shareholder interest
b. Avoidance: Companies with frequent equity dilution, excess leverage and unrelated investment
D.Valuations
a. Selection: Oﬀering favorable risk reward ratio
b. Avoidance: Companies with value traps and short term fads
Key Investment features:

Ÿ Diversified portfolio with around 35% in large caps and rest in Mid / Small caps
Ÿ Fund Manager concentrates on PAT Growth and ROE of the securities and has kept a minimum threshold of 15% plus on
both these parameters.

Ÿ Portfolio follows the SCDV (Secular, Cyclical, Defensive and Value Trap) Framework. Core allocation to companies with
secular growth stories (generally large caps) while tactically allocating towards sectors benefitting from favourable
business cycles and in defensives for reducing portfolio volatility
NIPPON INDIA EQUITY OPPORTUNITIES SCHEME 5
Strategy Roundup
Ÿ Aims to deliver superior returns by investing in India growth story through a focussed portfolio of high growth businesses that
stand to benefit from India becoming a five trillion dollar economy over next 5-7 years
Fund Manager
Shahzad Madon & Varun Goel
- Water & Sanitation - Corporate Lenders
- Health & Wellness - Defence
Key Investment features: - Financial Saving - Engineering
Ÿ Benchmark agnostic concentrated portfolio of 15-20 & Investments - Industrials
stocks. - Housing - Telecom
Ÿ A Multi-Cap portfolio of high growth companies with - Consumption Ease Revival
market capitalization of more than 500 crore at the time of of
Living Capex
of investment
Ÿ Bottom-up stock picking resulting in a Unique &
Differentiated Portfolio adhering to their propriety
"Must 5" quality framework
Self Reliance
Better
in
As Indian economy moves towards doubling its size from Technology
Physical
the current $2.6 trillion to a $5 trillion over next 5-7 years, it Infrastructure
& Research
will lead to better physical infra-structure, revival of capex, - Specialty - Metro & Ports
ease of living, self-reliance in technology & research which Chemicals - Infrastructure
will further create opportunities as mentioned aside :- - Digital Ecosystem - Construction
- E-commerce - Cement
- Fintech - Power

Bonds & Fixed Deposits
SECONDARY BOND MARKET OFFERINGS
Tax Free Bonds Maturity Credit Rating Indicative Yield*
7.19% Power Finance Corporation Tax Free 2023 04-Jan-23 CRISIL, CARE & ICRA AAA 5.73%
8.40% Indian Railway Finance Corporation Tax Free 2029 18-Feb-29 CRISIL, CARE & ICRA AAA 5.72%
7.04% Indian Railway Finance Corporation Tax Free 2028 23-Mar-28 CRISIL, CARE & ICRA AAA 5.71%
7.93% Rural Electrification Corporation Tax Free 2022 27-Mar-22 CRISIL, CARE & ICRA AAA 5.71%
7.35% National Highway Authority of India Tax Free 2031 11-Jan-31 CRISIL, CARE & ICRA AAA 5.71%
* The above mentioned rates are indicative yield as on 15th November 2019 and subject to market fluctuations
YTM is calculated on annual basis
CAPITAL GAIN BONDS (54 EC) & RBI BOND

Particulars Tenure Min. Amt. (Rs.) Max. Amt. (Rs.) Interest Rates* Closing Date
REC 54EC Capital Gain Tax Bonds 60 months 20,000 50 Lacs 5.75% payable annually 31st Mar 2020
NHAI 54EC Capital Gain Tax Bonds 60 months 10,000 50 Lacs 5.75% payable annually 31st Mar 2020
PFC 54EC Capital Gain Tax Bonds 60 months 20,000 50 Lacs 5.75% payable annually 31st Mar 2020
IRFC 54EC Capital Gain Tax Bonds 60 months 20,000 50 Lacs 5.75% payable annually 31st Mar 2020
7.75% GOI Savings Bond 84 months 1,000 No Limit 7.75% payable half-yearly On Going
* The above mentioned rates are indicative; Terms & Conditions apply
FIXED DEPOSITS Housing Finance Company Credit

TaxRating Credit Agency
Free Bonds Tenure (Months) Interest Rate Range*
HDFC Special Deposits (upto Rs.2 crore) FAAA & MAAA CRISIL & ICRA 33M & 66M 7.35 - 7.61
HDFC - Trust & Institutions (upto Rs.2 crore) FAAA & MAAA CRISIL & ICRA 33M & 66M 7.30 - 7.56
HDFC Premium – Individuals (upto Rs.2 crore) FAAA & MAAA CRISIL & ICRA 22, 30 & 44M 7.20 - 7.56
HDFC Regular- Individuals, Trust & Institutions (> Rs.2 crore) FAAA & MAAA CRISIL & ICRA 24M-84M 7.15 - 7.41
LIC Housing Finance Co. Ltd. (upto Rs.20 crore) FAAA CRISIL 12, 18, 24, 36 & 60M 7.25 - 7.60
PNB Housing Finance Ltd. 12, 24, 36, 48,
FAAA CRISIL 7.75 - 8.45
(Individual & Trust - less than Rs.5 crore) 60, 84 & 120M
PNB Housing Finance Ltd. - Special Deposit
FAAA CRISIL 15, 22, 30 & 44M 7. 80-8.35
(Individual & Trust - upto Rs.5 crore)
Non-Banking Finance Company Credit Rating Credit Agency Tenure (Months) Interest Rate Range*
Mahindra & Mahindra Finance Co. Ltd. (less than Rs. 1 crore) FAAA CRISIL 12, 18, 24, 36, 48 & 60M 7.40-8.25
Bajaj Finance (upto Rs.5 crore) FAAA & MAAA CRISIL & ICRA 12M-60M 7.72-8.35
* Interest Rate depends on tenure and interest rate frequency and are subject to change. Kindly contact your Relationship Manager for further
details
Upcoming Economic Events

Date Event Description
Domestic economic growth rate dropped to a disappointing 5% (6 year low) in Q1FY20 driven by slowdown in
29th India's Q2 consumption activity and lacklustre private capex amid trade disputes between US-China. Most rating
November 2019 Fy20 GDP agencies expect Q2FY20 growth rate to remain muted on account of subdued consumption and weak
government spending amid global trade tensions and synchronized global slowdown.
In MPC held in October 2019, the committee opted to reduce the benchmark policy repo rate by 25bps to
5th Fifth Bi-monthly RBI 5.15%. The MPC decided to continue the accommodative stance so as to revive the growth, while ensuring that
December 2019 MPC meeting inflation remains within its target range. Several global factors like slowing down in global economic activity &
trade tensions and domestic factors like CPI inflation inching up, slowdown in investment activity, sluggish
domestic consumption are expected to be the key determining factors while arriving at policy decision.
The Fed cut the interest rates for the third consecutive time in its October 2019 meet driven by global
10-11th Federal Reserve
slowdown as well as muted inflation pressures. Going forward, Fed's rate cut decision depends on the economic
December 2019 FOMC Meet data such inflation, unemployment data, global economic outlook and developments on US-China trade talks.

Are you dreaming
of a home or living
in your dream home?
PIFA
PROTECTING INVESTING
• Mutual Funds
• Life Insurance • Wealth Management
• Health Insurance • Stocks and Securities
• Motor Insurance • Private Equity
• Travel Insurance • Portfolio Management Services
• Corporate General Insurance • Real Estate Investments
• Pension Funds
• Home Finance
& Personal Finance
• SME Finance
• MyUniverse
• Real Estate Finance
• Aditya Birla Capital
• Loan Against Securities
MoneyForLife Planner
• Corporate Finance
• Debt Capital Market
• Loan Syndication
FINANCING ADVISING

DISCLAIMER
Aditya Birla Finance Limited, Corporate Office One India Bulls Centre, Tower 1, 18th Floor, Jupiter Mill Compound, 841, Senapati
Bapat Marg, Elphinstone Road, Mumbai 400 013. CIN: U65990GJ1991PLC064603.
Designed and Printed at Micro Graphics, Graphic Designers and Commercial Printers, 137, Pragati Industrial Estate, N. M. Joshi
Marg, Lower Parel, Mumbai - 400011, Tel.: 66634670/71.
For advertisement contact: Michelle Banerjee, Email:michelle.banerjee@adityabirlacapital.com.
Aditya Birla Finance Limited(ABFL), through its brand Aditya Birla Wealth Management, offers a range of solutions for wealth
management and distribution. It also offers third party products like company deposits, mutual funds, structured products,
alternate investments and property services. ABFL is a part of the Aditya Birla Capital (“ABC”) (Formerly known as Aditya Birla
Financial Services Limited) which provides a wide gamut of financial offerings such as Asset Management, Equity Broking, General
Insurance Broking Services, Health Insurance, Housing Finance, Life Insurance, NBFC, Online Personal Finance Management,
Pension Management, Private Equity, Project and Structured Finance and Wealth Management Services, suited to serve your
financial needs. For any service related queries, pleas contact us at care.wealthmanagement@adityabirlacapital.com.
Website: www.adityabirlacapital.com
“Mutual Fund investments are subject to market risks, read all scheme related documents carefully. Past performance may not be
indicative of future results.
The information published is as per the data provided by various Mutual Funds, PMS Portfolio Managers, Product Manufacturers
and segregated, consolidated and presented (statistically) by and onbehalf of ABFL - Wealth Management, holding ARN 118681
and involved in the distribution of third party financial products. Potential investors are advised to seek the independent
professional advice or make their own enquiries, do their own due diligence before making an investment. The above information is
intended as guide and general description of the product & should not be construed as any professional guide, investment advice
or recommendation to buy, sell or hold. The information may be subject to updating, revision and may change materially. Aditya
Birla Finance Limited, its employees or any of its directors shall not be held liable for any direct or indirect damages or loss, if any,
resulting out of the investment”

Aditya Birla Finance Limited
Corporate Office: One India Bulls Centre, Tower 1, 18th Floor,
Jupiter Mill Compound, 841, Senapati Bapat Marg, Elphinstone Road,
Mumbai 400013
Registered Office: Indian Rayon Compound Veraval Gujarat 362266.
E-mail: care.wealthmanagement@adityabirlacapital.com
CIN: U65990GJ1991PLC064603 adityabirlacapital.com

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VOL XVI ISSUE 12 December 2019

04 Better a diamond with a flaw than a pebble without!!

06 Good time to Invest in Midcaps?

07 Importance of Guaranteed Products in Financial Planning

08 Debt Market Outlook & Investment Strategy

09 Q2 FY20 Earnings: Corporate tax cut drives profits

10 Selected Funds – Equity

13 Selected Funds – Hybrid / Others

14 Selected Funds – Debt

20 PMS & AIF

24 Bonds & Fixed Deposits

December 2019 Investime 03

In this backdrop we attempt to identify the phase of interest Current Account

Fiscal Deficit Growth

December 2019 Investime 04

December 2019 Investime 05

Ravi Gopalakrishnan – Head – Equities

The government's recent move to cut corporate tax rates

etc.; Emerging Segments like, insurance & asset

December 2019 Investime 06

In equity class, 90% of wealth are owned by Promotors &

The underlying principle of financial planning is based on

December 2019 Investime 07

December 2019 Investime 08

December 2019 Investime 09

MULTI CAP FUNDS

Performance Portfolio Attributes Market

MID CAP FUNDS

SMALL CAP FUNDS

*Only SIP/STP available as per Scheme Information Document

SECTOR / THEMATIC FUNDS

Feeder Fund Underlying Fund (October 2019)

ULTRA SHORT DURATION FUNDS

Scheme Name Modified Cash AA+ & AA & (Rs. Crs.)

MONEY MARKET FUNDS

(Days) Others A1+ Equiv

CORPORATE BOND FUNDS

*Follows roll-down strategy with current avg. maturity of 0.45 years

BANKING & PSU DEBT FUND

DYNAMIC BOND FUNDS

Scheme Name Category Fund Manager Inception Expense Exit Load

Scheme Name Category Fund Manager Inception Expense Exit Load

December 2019 Investime 18

Scheme Name Category Fund Manager Inception Expense Exit Load

December 2019 Investime 19

AIFs CAT - III Funds

December 2019 Investime 20

ASK INDIAN ENTREPRENEUR PORTFOLIO

Performance Sector Allocation

AUM as on 31st October 2019:

Top 10 Stock Holdings

Portfolio details mentioned above are shared by respective portfolio managers

MARATHON MEGA TRENDS

AUM as on 31st October 2019:

Top 10 Stock Holdings

December 2019 Investime 21

MOTILAL NEXT TRILLION DOLLAR OPPORTUNITY PORTFOLIO

AUM as on 31st October 2019:

Top 10 Stock Holdings

Alternate Investment Funds (AIF)

Key Investment features:

December 2019 Investime 22

IIFL High Conviction Fund

Key Investment features: