equity market overview - idbi mutual · stp: available security name % to net assets* equity 99.79...

Inflation remains at elevated levelsInflation rose to 9.4% y/y in June, in line with expectations, but is expected to stay elevated over the next few months, and potentially declining towards the latter part of FY12. The latest inflation data however does not take into account the June 26 fuel price hike, in which diesel prices were raised by Rs. 3.80/ltr, and prices of LPG and Kerosene were raised by Rs. 51.4/cylinder and Rs. 2.4/ltr, respectively.

Larger than expected rate hike from RBIIn a bid to tame the ever rising inflation, the Reserve Bank of India (RBI) on July 26, for the third time in the last three months, hiked the short-term lending and borrowing rates sharply by 50bps, above market expectations of a 25 bps hike. With this increase, the repo rate stands at 8% while the reverse repo rate is 7%. The markets expect that the RBI will increase these policy rates by at least another 25bps this year. Since March 2010, the RBI has raised policy rates 11 times, hiking the repo rates and reverse repo rates by 325bps and 375bps respectively. The RBI has raised their year end inflation target for FY12 to 7% from 6% but has retained the GDP forecast at ~8% for the year.Industrial production well below consensusIndustrial production for the month ended May 2011 grew at 5.6% y/y, significantly lower than

consensus expectations of 8.5% and slightly lower than the previous month growth of 5.8%. The lower than expected growth was mainly attributed to the slowdown in consumer, capital and intermediate goods segments. Though a slowdown in consumption was expected given the meaningful rise in interest costs, the growth was sharply below market estimates.

More legislative reforms

On the legislative reforms front, the draft bills on MFIs (Development and Regulation) as well as the Mines and Minerals (Development and Regulation) were released. The MFI bill seeks to make the RBI the sole overseer for the MFIs, over-riding all state laws while the MMDR outlines the profit sharing and royalty for mining companies. It is expected that the proposed MMDR bill will significantly impact the earnings of the mining companies. These bills are proposed to be placed in the monsoon session of the Parliament.

Global outlook also remains bleakChina hiked rates for the third time this year by 25bps to combat rising inflation. It is expected that the Chinese Government may fail to meet the full year inflation target of ~4%, though expectations are that the rate hike measures undertaken will keep it below 5%.

EQUITY MARKET OVERVIEW

AUGUST 2011

The IMF, along with the European Union, approved a €3.2bn payment to Greece, to help repay its debts. A second bailout package was also agreed upon, in which Greece will get €159bn from the IMF and the Eurozone countries, and will also have an easing in the interest rates and repayment conditions. The US published its 2Q GDP numbers and they were much weaker than expected. The economy grew at an annualized rate of ~1.3% against consensus of ~1.8%. The slow growth increased the pressure on the US Government to increase its borrowing limit and tackle the deficit problem.

Market SummaryThe June quarter results were released by companies over the course of the month, and they were, for the most part, rather weak. This

tepid financial performance, combined with the bleak global outlook, caused the Nifty and the Sensex to fall by ~2.93% and ~3.44% respectively during the month.

Among the sectoral indices, the BSE Cap Goods index was down ~6.54%, driven by the fall in BHEL. The BSE Metal index and the BSE Power index were down by ~6.94% and ~5.98% respectively. The BSE FMCG index and the BSE Consumer Durables index were up by ~1.18% and ~1.53%. The top gainers were Bharti Airtel, DLF, ACC and Reliance Communication with ~10.7%, ~9.8%, ~6.4% and ~6.1% gains respectively. Top losers were Jaiprakash Associates, BHEL, Jindal Steel & Power and SAIL with ~17.7%, ~10.3%, ~9.9% and ~8.1% loss respectively.

Source : Bloomberg

Major Indices Monthly Change (%) June’ 11 - July’11

BSE Technology

BSE Con Durables

BSE FMCG

BSE Cap Goods

BSE Oil & Gas

BSE Power

BSE Healthcare

BSE Auto

BSE IT

BSE Smallcap

BSE Bank

BSE Metal

BSE Realty

-1.40 %

-6.54 %-4.44 %

-5.98 %

-4.34 %

-6.94 %-2.91 %

-0.45 %

1.53 %1.18 %

0.36 %

1.83 %

1.07 %

4.00 %0.00 %-2.00 %-4.00 %-6.00 %-8.00 % 2.00 %

The spotlight this month was on the over-leveraged US economy, with both national parties battling it out over the raising of the treasury debt limit. The last day of the month saw an announcement that an agreement had been reached on the issue, with the new enhanced limit being considered sufficient till 2013. However, concerns on US fiscal health still remain, with rating agencies warning of a downgrade of US sovereign debt in case no stringent plan is laid down and implemented to rein in the runaway deficit. Sovereign problems in the European Union (EU) continued to play on the psyche of the global investing community. The two-paced growth in the developed and emerging economies became more pronounced, with increasing signs of a double-dip in the developed world, while the over-heated emerging markets are pursuing ‘dear-money’ policies to tame the burgeoning inflation. Following a general slowdown in credit off-take and demand, systemic liquidity in India was relatively easy, with LAF registering a month-high deficit of Rs.73,000 crores and an average of Rs.38,000 crores, in line with RBI’s target ceiling of 1% of NDTL. RBI, in its monetary policy review on July 26, shocked the markets by raising policy rates by 50 bps. Its action was motivated by the stickiness and pervasiveness demonstrated by inflation in spite of RBI’s hard stance since the last 1 year. Buying pressure from both banks & mutual funds, and reduced supply saw 3-month Certificates of Deposits (CD’s) yields hover around 8.60 - 8.70%, which moved to 9.10%

post-policy. 1-year CD yields hovered around 9.50 - 9.70%. As a result of RBI’s aggressive move, yields on the benchmark 10-year G-sec, 7.80% 2021 which had remained range-bound between 8.25% and 8.30%, rose to 8.45% in a span of 2 days. More importantly, the unexpected quantum of the hike caused a marked change in market sentiment; the end of the tightening cycle which seemed just round the corner, now seems prolonged.

WPI for June further heated up to 9.44% (YoY) from 9.06% in May (against market expectations of 9.68%) due to rise in prices of non-food manufactured products. Weekly food inflation fell further to 7.33% for the week ended June 18, from 7.78% for week ended June 18, due to fall in prices of vegetables on the back of good monsoons. The fuel and power index remained flat at 12.12%. Primary articles’ inflation closed at 10.49% v/s 11.84%.

IIP growth for May (new series) further fell to 5.60% YoY from 5.80% (revised from 6.30%) for last month, due to fall in production of capital goods. Given RBI’s sustained hawkish stance and evident prioritization of inflation over growth, a slowdown in the Indian economy seems imminent.

Source: Bloomberg News, IDBI Asset Management Ltd. - Internal Research

FIXED INCOME OVERVIEW

4

IDBI Nifty Index Fund(An open-ended passively managed equity scheme tracking the S&P CNX Nifty Index [Total Returns Index])

Scheme Performance as on 29/07/2011 (in %)1 Month 3 Months 6 Months 1 Year Since Inception (25-Jun-2010)

IDBI Nifty Index Fund (Growth) -1.99 -4.26 -0.45 0.70 3.39S&P CNX Nifty Index - TRI -1.96 -4.01 0.23 2.53 4.93Source: Accord FintechDisclaimer: Returns less than one year are absolute and one year and above are compounded annualized (CAGR). Returns pertain to growth plan. Past Performance may or may not be sustained in the future.

Dividend HistoryPayout Date Dividend

(in `)Cum Dividend NAV*

(in `)Ex Dividend NAV

(in `)IDBI Nifty Index Fund - Dividend15th Oct 2010 0.4000 11.5740 10.96281st Sept 2010 0.1200 10.2883 10.2886

Past performance may or may not be sustained in the future. After the payment of dividend, the per unit NAV falls to the extent of the dividend payout and distribution taxes, if any. * NAV of the previous business day.

Sector Classification

Scheme FeaturesInvestment objective:The investment objective of the scheme is to invest only in and all the stocks comprising the S&P CNX Nifty Index in the same weights of these stocks as in the Index with the objective to replicate the performance of the Total Returns Index of S&P CNX Nifty index. The scheme may also invest in derivatives instruments such as Futures and Options linked to stocks comprising the Index or linked to the S&P CNX Nifty index. The scheme will adopt a passive investment strategy and will seek to achieve the investment objective by minimizing the tracking error between the S&P CNX Nifty index (Total Returns Index) and the Scheme.Benchmark:S&P CNX Nifty Index (Total Returns Index)Fund Manager: Mr. Gautam KaulInception Date: 25th June, 2010

NAV (as on 29th July 2011): Growth: ` 10.3710Dividend: ` 9.8910Plans:• GrowthPlan• DividendPlan - Reinvestment - Payout

Asset Allocation Pattern:

InstrumentIndicative allocation

(% of total assets) Risk ProfileMin. Max.

Stocks in the S&P CNX Nifty Index and derivative instruments linked to the S&P CNX Nifty Index

95% 100% Medium to High

Cash and Money Market Instruments including money at call but excluding Subscription and Redemption Cash Flow

0% 5% Low to Medium

Min. Application Amount:New Purchase – ` 5000/- and in multiples of ` 1/- thereafterMin. Addl. Investment:` 1000/- and in multiples of ` 1/- thereafterLoad Structure:Entry Load: Nil. Exit Load:1% for exit (repurchase / switch-out / SWP), on or before 1 year from the date of allotment.For SIP1% of Exit (repurchase / switch-out), on or before 1 year from the date of allotment of each installment. SIP: Monthly Option: ` 500/- per month for a minimum period of 12 months or ` 1,000/- per month for a minimum period of six months. Quarterly Option: ` 1,500/- per quarter for a minimum period of 4 quarters.Investments above the minimum amount mentioned must be made in multiples of ` 1/-.SWP:Minimum balance in the Scheme should be ̀ 25,000/- at the time of enrollment for SWP. Minimum amount for each withdrawal should be ` 1,000/- and in multiples of ` 1/- thereafter for a minimum period of 6 months.STP:Available

Security Name % To Net

Assets*EQUITY 99.79Reliance Industries Ltd. 8.48Infosys Technologies Ltd. 8.13ICICI Bank Ltd. 7.25ITC Ltd. 6.73Larsen & Toubro Ltd. 5.60HDFC Ltd 5.44HDFC Bank Ltd. 5.27State Bank of India Ltd. 3.68Tata Consultancy Services Ltd. 3.50Bharti Airtel Ltd. 3.20Tata Steel Ltd. 2.28Oil & Natural Gas Corpn Ltd. 2.21Axis Bank Ltd. 2.09Mahindra & Mahindra Ltd. 2.03Tata Motors Ltd 2.02Hindustan Unilever Ltd. 2.02Bharat Heavy Electricals Ltd. 1.76Jindal Steel & Power Ltd. 1.39Sterlite Industries ( India ) Ltd. 1.38NTPC Ltd. 1.36Hindalco Industries Ltd. 1.32Tata Power Company Ltd. 1.26Gas Authority of India Ltd. 1.26Dr. Reddy's Laboratories Ltd. 1.22Bajaj Auto Ltd. 1.21Wipro Ltd. 1.20

Security Name % To Net

Assets*Sun Pharmaceuticals Industries Ltd. 1.18Hero Honda Motors Ltd. 1.03Maruti Suzuki India Ltd. 0.97Kotak Mahindra Bank Ltd. 0.95CIPLA Ltd. 0.95Infrastucture Development Finance Co.Ltd 0.92

Punjab National Bank Ltd. 0.91Power Grid Corporation of India Ltd. 0.91Grasim Industries Ltd. 0.85HCL Technologies Ltd. 0.72Cairn India Ltd. 0.70Ambuja Cements Ltd. 0.64Sesa Goa Ltd. 0.64ACC Ltd. 0.59Bharat Petroleum Ltd. 0.52DLF Ltd. 0.51Ranbaxy Laboratories Ltd. 0.50Siemens Ltd. 0.48Jaiprakash Associates Ltd. 0.46Reliance Infrastructure Ltd. 0.46Steel Authority of India Ltd. 0.45Reliance Communications Ltd. 0.41Reliance Capital Ltd. 0.39Reliance Power Ltd. 0.37Cash Receivables 0.21

Total 100.00

Portfolio as on 29/07/2011

* Rounded off to the nearest two digits after the decimal point.

Please refer to the ‘Important Note’ in SID for disclaimers of S&P and IISL with respect to the usage of S&P CNX Nifty Index

Average AUM for the month of July’ 2011 : ` 140.75 Crs.

BanksCementConstruction ProjectConsumer Non DurablesFerrous MetalsFinanceGasIndustrial Capital GoodsMinerals/MiningNon - Ferrous MetalsOil Petroleum ProductsPharmaceuticalsPowerSoftwareTelecom - ServicesAutoTextile ProductsConstruction

20.15 %

1.24 %

5.60 %

8.75 %

4.11 %

6.76 %1.26 %

2.24 %0.64 %2.70 %2.91 %

9.00 %

3.84 %

4.36 %

13.55 %

3.61 %

7.26 %0.85 % 0.97 %

5

IDBI Nifty Junior Index Fund(An open-ended passively managed equity scheme tracking the CNX Nifty Junior Index (Total Returns Index)

Scheme Performance as on 29/07/2011 (in %)1 Month 3 Months 6 Months Since Inception (20-Sept-2010)

IDBI Nifty Junior Index (G)* -2.27 -3.70 0.39 -14.31CNX Nifty Junior-TRI -2.27 -3.51 1.28 -13.36*Source: Accord FintechDisclaimer: Returns are absolute and pertains to growth plan. Past Performance may or may not be sustained in the future.

Sector Classification

Scheme FeaturesInvestment objective:The investment objective of the scheme is to invest only in and all the stocks comprising the CNX Nifty Junior Index in the same weights of these stocks as in the Index with the objective to replicate the performance of the Total Returns Index of CNX Nifty Junior Index. The scheme may also invest in derivatives instruments such as Futures and Options linked to stocks comprising the Index or linked to the CNX Nifty Junior Index as and when the derivative products on the same are made available. The scheme will adopt a passive investment strategy and will seek to achieve the investment objective by minimizing the tracking error between the CNX Nifty Junior Index (Total Returns Index) and the Scheme.Benchmark:CNX Nifty Junior Index (Total Returns Index)Fund Manager: Mr. Gautam KaulInception Date: 20th September, 2010

NAV (as on 29th July 2011): Growth: ` 8.5690Dividend: ` 8.5690Plans:• GrowthPlan• DividendPlan - Reinvestment - Payout

Asset Allocation Pattern:



Stocks in the CNX Nifty Junior Index and derivative instruments linked to the CNX Nifty Junior Index as and when the derivative products are made available on the same

95% 100% Medium to High

Cash and Money Market Instruments including money at call but excluding Subscription and Redemption Cash Flow

0% 5% Low to Medium

Min. Application Amount:New Purchase – ` 5000/- and in multiples of ` 1/- thereafter

Min. Addl. Investment:` 1000/- and in multiples of ` 1/- thereafter

Load Structure:Entry Load: Nil. Exit Load:1% for exit ( repurchase/switch-out/SWP/STP) on or before 1 year from the date of allotment.For SIP1% for exit(repurchase/switch-out/SWP/STP) on or before 1 year from the date of allotment of each installment.

SIP: Monthly Option: ` 500/- per month for a minimum period of 12 months or ` 1,000/- per month for a minimum period of six months. Quarterly Option: ` 1,500/- per quarter for a minimum period of 4 quarters.Investments above the minimum amount mentioned must be made in multiples of ` 1/-.

SWP:Minimum balance in the Scheme should be ̀ 25,000/- at the time of enrollment for SWP. Minimum amount for each withdrawal should be ` 1,000/- and in multiples of ` 1/- thereafter for a minimum period of 6 months.

STP:Available

Security Name % To Net Assets*

EQUITY 99.37Coal India Ltd. 7.44Bank of Baroda Ltd. 4.48Asian Paints Ltd. 4.34Adani Enterprises Ltd. 4.24Lupin Ltd. 3.27UltraTech Cement Ltd. 3.06Glaxosmithkline Pharmaceuticals Ltd. 3.01Titan Industries Ltd. 2.88IndusInd Bank Ltd. 2.86United Spirits Ltd. 2.75Shriram Transport Finance Company Ltd. 2.60JSW Steel Ltd. 2.47Yes Bank 2.26The Federal Bank Ltd. 2.22Zee Entertainment Enterprises Ltd. 2.22Bank of India Ltd. 2.17Exide Industries Ltd. 2.17Rural Electrification Corporation 2.09Colgate Palmolive (India) Ltd. 1.98Canara Bank Ltd. 1.98Union Bank of India Ltd. 1.97Mundra Port and Special Economic Zone Ltd. 1.97

Crompton Greaves Ltd. 1.95LIC Housing Finance Ltd. 1.95Power Finance Corporation Ltd. 1.94Hindustan Petroleum Corporation Ltd. 1.93Tata Chemicals Ltd. 1.91

Security Name % To Net Assets*

Cummins India Ltd. 1.90United Phosphorus Ltd. 1.73Aditya Birla Nuvo Ltd. 1.61Container Corporation of India Ltd. 1.60Glenmark Pharmaceuticals Ltd. 1.41Bharat Forge Ltd. 1.36IDBI Bank Ltd. 1.35Torrent Power Ltd. 1.24The Indian Hotels Co. Ltd. 1.17Oracle Financial Services Software Ltd. 1.06Housing Development and Infrastructure Ltd. 1.05

GMR Infrastructure Ltd. 1.04Bharat Electronics Ltd. 1.04Ashok Leyland Ltd. 1.01Mphasis Ltd. 1.00Andhra Bank Ltd. 0.97Industrial Finance Corporation Ltd. 0.93Indian Overseas Bank Ltd. 0.90Tech Mahindra Ltd. 0.84Biocon Ltd. 0.77Syndicate Bank Ltd 0.64Punj Lloyd Ltd. 0.45Patni Computer Systems Ltd. 0.24

Indiabulls Wholesale Services Ltd.# 0.0000119

Cash Receivables 0.63

Total 100.00


#Due to corporate action on India Bulls Real Estate Ltd., the scheme currently holds 6005 unlisted shares of Indiabulls Wholesale Services Ltd. (IWSL)* Rounded off to the nearest two digits after the decimal point.

Please refer to IISL disclaimer on page 10

Average AUM for the month of July’ 2011 : ` 51.71 Crs.

AutoBanksCementConstruction ProjectConsumer Non DurablesFerrous MetalsFertilisersFinanceHotelsIndustrial Capital GoodsIndustrial ProductsPesticidesPetroleum ProductsPharmaceuticalsPowerSoftwareTradingTransportationMedia & EntertainmentMinerals/MiningAuto AncillariesConstruction

21.79 %

1.48 %

13.56 %

2.47 %1.91 %9.50 %1.17 %

2.99 %3.25 %

1.73 %

1.93 %

8.45 %

1.24 %

3.14 %

4.24 %

3.57 %

2.22 %

7.44 %2.17 % 1.05 %

1.01 %

3.06 %

6 * For rating disclaimers, please refer to page 10

Rated ‘CARE AAAmfs’ by CARE* IDBI Liquid Fund(An open-ended liquid scheme)

Scheme FeaturesInvestment objective:The investment objective of the Scheme will be to provide investors with high level of liquidity along with regular income for their investment. The Scheme will endeavour to achieve this objective through an allocation of the investment corpus in a low risk portfolio of money market and debt instruments.Benchmark:CRISIL Liquid Fund IndexFund Manager: Mr. Gautam KaulInception Date: 9th July, 2010

NAV (as on 31st July 2011): Growth ` 1082.4027Daily Dividend ` 1000.0000Weekly Dividend ` 1000.2200Monthly Dividend ` 1001.4314

Plans:•GrowthOption•DividendOption - Daily Dividend - Weekly Dividend - Monthly DividendAsset Allocation Pattern:



Money market instruments with maturity/residual maturity up to 91 days

50% 100% Low

Debt instruments (including floating rate debt instruments and securitized debt)* with maturity/residual maturity/ interest rate resets up to 91 days

0% 50% Low to Medium

* Investment is securitized debt not to exceed 50% of the net assets of the Scheme. Investment in Derivatives will be up to 50% of the net assets of the Scheme. The Scheme does not propose to invest in foreign securities.

Min. Application Amount:New Purchase – ` 5000/- and in multiples of ` 1/- thereafterMin. Addl. Investment:` 1000/- and in multiples of ` 1/- thereafterLoad Structure:Entry Load: Not ApplicableExit Load : NilSIP: Monthly Option:` 500/- per month for a minimum period of 12 months or ` 1,000/- per month for a minimum period of 6 months Quarterly Option:` 1,500/- per quarter for a minimum period of 4 quarters. Investments above the minimum amount mentioned must be made in multiples of ` 1/-.SWP:Minimum balance in the Scheme should be ` 25,000/- at the time of enrollment for SWP. Minimum amount for each withdrawal should be ` 1,000/- and in multiples of ` 1/- thereafter for a minimum period of 6 months.STP:Available

Security Name Rating % To Net Assets*

CERTIFICATES OF DEPOSIT 55.53Punjab National Bank Ltd. PR1+ 8.09Allahabad Bank Ltd A1+ 7.93Canara Bank Ltd. P1+ 7.12Axis Bank Ltd. P1+ 4.54UCO Bank P1+ 3.54Punjab National Bank Ltd. A1+ 3.32Corporation Bank P1+ 3.31Indian Overseas Bank Ltd. A1+ 3.31Kotak Mahindra Bank Ltd. P1+ 2.81Oriental Bank of Commerce P1+ 1.99Vijaya Bank PR1+ 1.65Central Bank of India PR1+ 1.16Indian Overseas Bank Ltd. P1+ 0.84Canara Bank Ltd. A1+ 0.83Bank of India Ltd. P1+ 0.83ING Vysya Bank Ltd. P1+ 0.83Axis Bank Ltd. A1+ 0.83HDFC Bank Ltd. PR1+ 0.83State Bank of Bikaner & Jaipur P1+ 0.82Andhra Bank Ltd. PR1+ 0.33Union Bank of India Ltd. P1+ 0.33Vijaya Bank P1+ 0.29


COMMERCIAL PAPER 42.83Edelweiss Capital Ltd. P1+ 5.81Indian Oil Corporation Ltd. P1+ 5.63Aditya Birla Finance Ltd. A1+ 4.44SBI Global Factors Ltd. P1+ 4.15Alkem Laboratories Ltd. P1+ 3.31Securities Trading Corporation of India Ltd. A1+ 2.96

Hindalco Industries Ltd. P1+ 2.82MAGMA Fincorp Ltd. PR1+ 1.82Srei Equipment Finance Pvt. Ltd. A1+ 1.65

Coromandel International Ltd. P1+ 1.65Bharat Petroleum Ltd. P1+ 1.65Srei Infrastructure Finance Ltd. PR1+ 1.65Apollo Tyres P1+ 1.65The Indian Hotels Co. Ltd. A1+ 1.64Mahindra & Mahindra Fin. Ser. Ltd. P1+ 0.83

Godrej Industries Ltd. A1+ 0.50Sterlite Industries ( India ) Ltd. P1+ 0.33National Bank of Agriculture & Rural Development P1+ 0.17

National Housing Bank A1+ 0.17Cash “n” Call Assets & Receivables 1.64

TOTAL 100.00


Scheme Performance as on 31/07/2011 (in %)

1 Week 2 Week 1 Month 3 Months 6 Months 1 YearSince Inception

(9-July 2010)IDBI Liquid Fund (G) 8.71 8.72 8.75 8.66 8.57 7.84 7.75Crisil Liquid Fund Index 7.34 7.40 7.30 7.72 7.89 7.37 7.26

Source: Accord FintechDisclaimer: Returns less then one year are annualised and one year and above are compounded annualised (CAGR). Returns pertain to growth plan. Past performance may or may not be sustained in the future.Dividend History

Payout Date Individual / HUF Dividend (in `)

Others Dividend (in `)

Cum Dividend NAV* (in `)

Ex Dividend NAV (in `)

IDBI Liquid Fund - Weekly Dividend31st July 2011 1.3148 1.2611 1001.4190 1000.220024th July 2011 1.3176 1.2638 1001.4228 1000.220017th July 2011 1.3090 1.2555 1001.4090 1000.220010th July 2011 1.3268 1.2726 1001.4308 1000.22003rd July 2011 1.3280 1.2738 1001.4242 1000.220026th June 2011 1.3049 1.2516 1001.4048 1000.220019th June 2011 1.2858 1.2333 1001.3927 1000.220012th June 2011 1.2910 1.2383 1001.4008 1000.22005th June 2011 1.2695 1.2176 1001.3768 1000.2200IDBI Liquid Fund - Monthly Dividend25th July 2011 5.2963 5.0801 1006.4883 1000.000027th June 2011 6.0768 5.8287 1007.4851 1000.0000



Asset Profile

YTM : 8.75% Average Maturity : 47.49 daysModified Duration : 47.49 days Average AUM for the month of July’ 2011 : ` 2875.80 Crs.

Rated ‘CRISIL AAAmfs’ by CRISIL*

Cash & Cash Equivalent1.64%

A1+/P1+/PR1+98.36 %

7

Rated ‘CARE AAAmfs’ by CARE* IDBI Ultra Short Term Fund(An open-ended debt scheme)

Scheme Performance as on 29/07/2011 (in %)

1 Week 2 Week 1 Month 3 Months 6 MonthsSince Inception (3-Sept-2010)

IDBI Ultra Short Term Fund (G) 0.17 0.34 0.74 2.24 4.49 7.62Crisil Liquid Fund Index 0.14 0.28 0.60 1.92 3.93 6.77

Source: Accord FintechDisclaimer: Returns are absolute and pertains to growth plan. Past Performance may or may not be sustained in the future.

Dividend HistoryPayout Date Individual / HUF

Dividend (in `)Others Dividend

(in `)Cum Dividend

NAV* (in `)Ex Dividend NAV (in `)

IDBI Ultra Short Term Fund - Weekly Dividend26th July 2011 0.0150 0.0128 10.0172 10.002619th July 2011 0.0149 0.0128 10.0171 10.002612th July 2011 0.0156 0.0134 10.0179 10.00265th July 2011 0.0154 0.0132 10.0177 10.002628th June 2011 0.0150 0.0128 10.0172 10.002721st June 2011 0.0151 0.0129 10.0173 10.002614th June 2011 0.0147 0.0126 10.0169 10.00287th June 2011 0.0149 0.0128 10.0170 10.0025

IDBI Ultra Short Term Fund - Monthly Dividend26th July 2011 0.0610 0.0523 10.0693 10.002528th June 2011 0.0706 0.0605 10.0801 10.0026


Scheme FeaturesInvestment objective:The objective of the Scheme will be to provide investors with regular income for their investment. The Scheme will endeavour to achieve this objective through an allocation of the investment corpus in a diversified portfolio of money market and debt instruments with maturity predominantly between a liquid fund and a short term fund while maintaining a portfolio risk profile similar to a liquid fund.

Benchmark:CRISIL Liquid Fund Index

Fund Manager: Mr. Gautam Kaul

Inception Date: 3rd September, 2010

NAV (as on 29 th July 2011): Growth ` 10.7622Daily Dividend ` 10.0000Weekly Dividend ` 10.0101Monthly Dividend ` 10.0100

Plans:•GrowthOption•DividendOption - Daily Dividend - Weekly Dividend - Monthly DividendAsset Allocation Pattern:


(% of total assets)Risk

ProfileMin. Max.Money market instruments/debt instruments (including floating rate debt instruments and securitized debt*) with maturity/residual maturity up to 1 year (or 365 days)


Debt instruments (including floating rate debt instruments and securitized debt*) with duration/maturity/residual maturity above 1 year

0% 20% Medium

It is the intent of the Scheme to maintain the average maturity of the portfolio within a range of 30 days to 120 days under normal market conditions depending on the fund manager’s assessment of various parameters including interest rate environment, liquidity and macro-economic factors. However, the maturity profile of the scheme can undergo a change in case the market conditions warrant and at the discretion of the fund manager.*Investment in Securitized Debt not to exceed 50% of the net assets of the Scheme. Investment in Derivatives will be upto 50% of the net assets of the Scheme.

Min. Application Amount:New Purchase – ` 5000/- and in multiples of ` 1/- thereafterMin. Addl. Investment:` 1000/- and in multiples of ` 1/- thereafterLoad Structure:Entry Load: Not ApplicableExit Load : NilSIP: Daily Option:` 500/- per day for a minimum of 30 installments continuously for all business days.Monthly Option:` 500/- per month for a minimum period of 12 months or ` 1,000/- per month for a minimum period of 6 months Quarterly Option:` 1,500/- per quarter for a minimum period of 4 quarters .Investments above the minimum amount mentioned must be made in multiples of ` 1/-.SWP:Minimum balance in the Scheme should be ` 25,000/- at the time of enrollment for SWP. Minimum amount for each withdrawal should be ` 1,000/- and in multiples of ` 1 thereafter for a minimum period of 6 months.

STP:Available

* For rating disclaimers, please refer to page 10


CERTIFICATES OF DEPOSIT 68.79

Punjab National Bank Ltd. PR1+ 18.69

UCO Bank P1+ 17.75

Canara Bank Ltd. P1+ 12.45

Central Bank of India PR1+ 12.41

Allahabad Bank Ltd A1+ 6.24

UCO Bank PR1+ 1.25


COMMERCIAL PAPERS 31.58HCL Infosystems Ltd. A1+ 6.28Apollo Tyres P1+ 6.23Securities Trading Corporation of India Ltd A1+ 6.21

Aditya Birla Finance Ltd A1+ 5.02Ballarpur Industries Ltd F1+ 3.72MAGMA Fincorp Ltd PR1+ 3.11Kotak Mahindra Prime Ltd P1+ 1.01Cash "n" Call Assets & Receivables -0.37TOTAL 100.00


Asset includes subscription money received & utilized on 29th July, 2011* Rounded off to the nearest two digits after the decimal point.

Asset Profile

YTM : 9.36% Average Maturity : 43.93 daysModified Duration : 43.93 days Average AUM for the month of July’ 2011 : ` 823.94 Crs.

Rated ‘CRISIL AAAmfs’ by CRISIL*

Cash & Cash Equivalent- 0.37 %

A1+/P1+/PR1+100.37 %

8

IDBI Monthly Income Plan(An open ended Income Scheme. Monthly Income is not assured and is subject to availability of distributable surplus)

Scheme FeaturesInvestment objective:The investment objective of the scheme would be to provide regular income along with opportunities for capital appreciation through investments in a diversified basket of debt instruments, equity and money market instruments.

Benchmark:CRISIL MIP Blended IndexFund Manager: Mr. Gautam Kaul & Mr. Syed SagheerInception Date: 7th March 2011

NAV (as on 29th July 2011): Growth ` 10.2804Monthly Dividend ` 10.1804Quarterly Dividend ` 10.1302

Plans:•GrowthOption•DividendOption - Monthly Dividend - Quartely DividendAsset Allocation Pattern:



ProfileMin. Max.Debt instruments (including floating rate debt instruments and securitized debt*) and money market instruments


Equity and equity related instruments^ 0% 20% Medium to High

*Investment in Securitized Debt will be only in investment grade rated papers and will not to exceed 25% of the net assets of the Scheme.^The Scheme will invest in the equity and equity related instruments of only such companies which are the constituents of either the S&P CNX Nifty Index (Nifty 50) or the CNX Nifty Junior Index (Nifty Junior) comprising a combined universe of 100 stocks. These two indices are collectively referred to as the CNX 100 Index. The equity portfolio will be well-diversified and actively managed to ensure the scheme’s investment objectives are realized.

Min. Application Amount:New Purchase – ` 5000/- and in multiples of ` 1/- thereafterMin. Addl. Investment:` 1000/- and in multiples of ` 1/- thereafterLoad Structure:Entry Load: NilExit Load:1% for exit up to 12 months from the date of allotment.For SIP1% for exit up to 12 months from the date of allotment of each installment.SIP: Monthly Option:` 500/- per month for a minimum period of 12 months or ` 1,000/- per month for a minimum period of 6 months Quarterly Option:` 1,500/- per quarter for a minimum period of 4 quarters .Investments above the minimum amount mentioned must be made in multiples of ` 1/-.SWP:Minimum balance in the scheme should be ` 25,000/- at the time of enrollment for SWP. Minimum amount for each withdrawal should be ` 1000/- and in multiples of ` 1/- thereafter for a minimum period of 6 months. STP:Available

Security Name Rating% To Net

Assets*EQUITY/EQUITY RELATED 4.75

Infosys Ltd. 0.78

Bank of Baroda Ltd. 0.59

Tata Motors Ltd. 0.48

Bharat Heavy Electricals Ltd. 0.29

Infrastucture Development Finance Co.Ltd. 0.24

State Bank of India Ltd. 0.24Lupin Ltd. 0.22Dr. Reddy's Laboratories Ltd. 0.20

Power Finance Corporation Ltd. 0.19

Mahindra & Mahindra Ltd. 0.18Rural Electrification Corporation Ltd. 0.16

CIPLA Ltd. 0.16

Tata Consultancy Services Ltd. 0.14

Hindalco Industries Ltd. 0.13

ICICI Bank Ltd. 0.12

Oil & Natural Gas Corpn Ltd. 0.10

Exide Industries Ltd. 0.10

Hindustan Petroleum Corporation Ltd. 0.10

Gas Authority of India Ltd. 0.09Glenmark Pharmaceuticals Ltd. 0.08Shriram Transport Finance Company Ltd. 0.08

Security Name Rating% To Net

Assets*NTPC Ltd. 0.04Power Grid Corporation of India Ltd. 0.03

DEBT INSTRUMENTS - BONDS/DEBENTURES 6.40

Power Finance Corporation Ltd. AAA 6.40


Oriental Bank of Commerce P1+ 12.03

Punjab & Sind Bank Ltd. P1+ 12.03

Canara Bank Ltd. A1+ 12.02

Axis Bank Ltd. P1+ 10.06

Bank of Baroda Ltd. A1+ 6.03

Indian Overseas Bank Ltd. A1+ 6.02

Central Bank of India PR1+ 5.99

Standard Chartered Bank P1+ 3.04

State Bank of Hyderabad A1+ 2.93

State Bank of Mysore P1+ 2.93

Vijaya Bank PR1+ 2.88

COMMERCIAL PAPER 11.80

Blue Star Ltd. PR1+ 11.61

Aditya Birla Finance Ltd. A1+ 0.19

Cash "n" Call Assets & Receivables 1.10

TOTAL 100.00



Scheme Performance as on 29/07/2011 (in %)1 Week 2 Weeks 1 Month 3 Months Since Inception (7-Mar-11 )

IDBI Monthly Income Plan (G) -0.15 -0.16 0.28 1.50 2.80

Crisil MIP Blended Index -0.42 -0.24 0.32 0.69 2.32


YTM (Debt Component) : 9.63% Average Maturity : 289.35 daysModified Duration : 272.07 days Average AUM for the month of July’ 2011 : ` 80.02 Crs.

Asset Profile

Dividend HistoryPayout Date Individual / HUF

Dividend (in `)Others Dividend

(in `)Cum Dividend

NAV* (in `)Ex Dividend NAV (in `)

IDBI Monthly Income Plan - Quarterly Dividend 4th July 2011 0.1321 0.1133 10.2603 10.1187IDBI Monthly Income Plan - Monthly Dividend 26th July 2011 0.0440 0.0378 10.2550 10.18754th July 2011 0.0440 0.0378 10.2603 10.2187

Cash & Cash Equivalent1.10 %

Equity4.75 %

Debt94.15 %

9

IDBI Short Term Bond Fund(An open-ended Debt Scheme)

Scheme FeaturesInvestment objective:The objective of the Scheme will be to provide investors with regular income for their investment. The Scheme will endeavour to achieve this objective through an allocation of the investment corpus in a diversified portfolio of debt and money market instruments.Benchmark:CRISIL Short Term Bond Fund IndexFund Manager: Mr. Gautam KaulInception Date: 23rd March, 2011

NAV (as on 29th July 2011): Growth ` 10.2736Weekly Dividend ` 10.0114Monthly Dividend ` 10.0246

Plans:•GrowthOption•DividendOption - Weekly Dividend - Monthly DividendAsset Allocation Pattern:



ProfileMin. Max.Money market instruments/debt instruments (including floating rate debt instruments and securitized debt)* with maturity/residual maturity up to and including 2 years

65% 100% Low

Debt instruments (including floating rate debt instruments and securitized debt)* with duration/ maturity/residual maturity above 2 years and not exceeding 3 years


It is the intent of the Scheme to maintain the duration of the portfolio below 2 years under normal market conditions depending on the fund manager’s assessment of various parameters including interest rate environment, liquidity and macro-economic factors. However, the maturity profile of the scheme can undergo a change in case the market conditions warrant and at the discretion of the fund manager. Under no circumstances the average maturity/duration of the portfolio will exceed 3 years.* Investment in Securitized Debt not to exceed 25% of the net assets of the Scheme. Investment in Derivatives will be up to 50% of the net assets of the Scheme. Investment in derivatives shall be for hedging, portfolio balancing and such other purposes as maybe permitted from time to time. The gross investment in securities under the scheme, which includes money market instruments, debt instruments including floating rate debt instruments and securitized debt, and gross exposure to derivatives will not exceed 100% of the net assets of the scheme.

Min. Application Amount:New Purchase – ` 5000/- and in multiples of ` 1/- thereafter

Min. Addl. Investment:` 1000/- and in multiples of ` 1/- thereafter

Load Structure:Entry Load: Not ApplicableExit Load:0.5% for exit within 1 month from the date of allotment.For SIP0.5% for exit within 1 month from the date of allotment of each installment.SIP: Monthly Option:` 500 per month for a minimum period of 12 months or ` 1,000 per month for a minimum period of 6 months Quarterly Option:` 1,500 per quarter for a minimum period of 4 quarters .Investments above the minimum amount mentioned must be made in multiples of ` 1/-.SWP:Minimum balance in the Scheme should be ` 25,000/- at the time of enrollment for SWP. Minimum amount for each withdrawal should be ` 1,000/- and in multiples of Re.1/- thereafter for a minimum period of 6 monthsSTP:Available

Security Name Rating % To Net

Assets*


ICICI Bank Ltd. A1+ 13.30

State Bank of Hyderabad A1+ 9.76

State Bank of Mysore P1+ 9.76

Standard Chartered Bank P1+ 8.45

COMMERCIAL PAPER 47.71Aditya Birla Finance Ltd. A1+ 18.11

Security Name Rating % To Net

Assets*Tata Capital Housing Finance Ltd. A1+ 15.61

Indian Oil Corporation Ltd. P1+ 13.99

DEBT INSTRUMENTS - BONDS/DEBENTURES 9.73

Tata Motors Finance AA- 9.73Cash "n" Call Assets & Receivables 1.30

TOTAL 100.00


Dividend History

Payout Date Individual / HUF Dividend (in `)

Others Dividend (in `)

Cum Dividend NAV* (in `)

Ex Dividend NAV (in `)

IDBI Short Term Bond Fund - Weekly Dividend

26th July 2011 0.0113 0.0097 10.0263 10.0060

19th July 2011 0.0204 0.0175 10.0367 10.0160

12th July 2011 0.0140 0.0120 10.0294 10.0159

5th July 2011 0.0144 0.0123 10.0298 10.0154

28th June 2011 0.0126 0.0108 10.0278 10.0165

21st June 2011 0.0146 0.0125 10.0301 10.0156

14th June 2011 0.0134 0.0115 10.0287 10.0162

7th June 2011 0.0108 0.0093 10.0258 10.0155

IDBI Short Term Bond Fund - Monthly Dividend

26th July 2011 0.0594 0.0509 10.0943 10.019328th June 2011 0.0700 0.0600 10.1061 10.0297


Scheme Performance as on 29/07/2011 (in %)1 Week 2 Weeks 1 Month 3 Months Since Inception (23-Mar-11 )

IDBI Short Term Bond Fund(G) 0.04 0.17 0.60 1.85 2.74

Crisil Short Term Bond Fund 0.05 0.25 0.81 2.03 2.86



YTM : 9.72 % Average Maturity : 225.38 daysModified Duration : 218.60 days Average AUM for the month of July’ 2011 : ` 9.98 Crs.

Asset Profile

Cash & Cash Equivalent1. 30 %

A1+/P1+/PR1+98.70 %

10

The products on CNX Nifty Junior Index is not sponsored, endorsed, sold or promoted by India Index Services & Products Limited (IISL). IISL does not make and expressly disclaims any representation or warranty,

express or implied (including warranties of merchantability or fitness for particular purpose or use) regarding the advisability of investing in the products linked to CNX Nifty Junior Index or particularly in the ability

of the CNX Nifty Junior Index to track general stock market performance in India. Please read the full Disclaimers in relation to the CNX Nifty Junior Index in the Scheme Information Document.

*CARE’s fund credit quality rating is not a recommendation to purchase, sell, or hold a security / fund. It neither comments on the current market price, suitability for a particular investor nor on the prospective

performance of the fund with respect to appreciation, volatility of net asset value (NAV), or yield of the fund. The ratings do not address the funds ability to meet the payment obligations to the investors. The ratings are

based on current information furnished to CARE by the issuer or obtained by CARE from sources it considers reliable. CARE does not, however, guarantee the accuracy, adequacy or completeness of any information

and is not responsible for any errors or omissions or for the results obtained from the use of such information. CARE does not perform an audit in connection with any rating and may, on occasion, rely on unaudited

information. The ratings may be changed, suspended, or withdrawn as a result of changes in, or unavailability of, such information, or based on other circumstances. Funds rated by CARE have paid a rating fee.

CRISIL: The assigned rating ‘CRISIL AAAmfs’ is valid for “IDBI Liquid Fund” and “IDBI Ultra Short Term Fund”. The rating of CRISIL is not an opinion of the Asset Management Company’s willingness or ability

to make timely payments to the investor. The rating is also not an opinion on the stability of the NAV of the Fund, which could vary with market developments.

Our BranchesAhmedabad : IDBI Mutual Fund, IDBI Complex, 1st Floor, Near Lal Bunglow, Off CG Road, Ahmedabad - 380 006.

Tel.: 079 – 64502167 / 68. Fax : 079 – 26400844.

Bengaluru : IDBI Mutual Fund, IDBI House, 1st Floor, IDBI Mutual Fund No. 58, Mission Road, Bengaluru - 560 027. Tel.: 080-41495263 / 41409786 Fax : 080-41495264.

Chandigarh : IDBI Mutual Fund, IDBI Bank Ltd., 3rd Floor, SCO 72/73, Bank Square, Sector - 17B, Chandigarh - 160 016. Tel.: 0172-5076705 Fax: 0172-5086705.

Chennai : IDBI Mutual Fund, Ground Floor, Lancor Westminster Building, Old No. 108, New No. 70, Dr. Radhakrishnan Salai, Mylapore, Chennai – 600 004. Tel.: 044-43456113 Fax: 044-43456110.

Delhi : IDBI Mutual Fund, IDBI Bank, 5th Floor, Red Cross Building, Red Cross Road, Parliament Street, New Delhi - 110 001. Tel.: 011-66130050 Fax: 011-66130051.

Hyderabad : IDBI Mutual Fund, 3rd Floor, 5-9-89/1, Chapel Road, Hyderabad - 500 001. Tel.: 040 - 66663559 Fax: 040 - 66663889

Indore : IDBI Mutual Fund, IDBI Bank Ltd., Ground Floor, Alankar Chambers, Ratlam Kothi, Indore - 452 001. Tel.: 0731-6679127 Fax: 0731-2510101

Kochi : IDBI Mutual Fund, IDBI Bank, Corporate Office, Near Passport Office, Panampally Nagar, Kochi - 680 366. Tel.: 0484 - 6462112.

Kolkatta : IDBI Mutual Fund, IDBI House, 6th floor, 44, Shakespeare Sarani, Kolkata - 700 017. Tel.: 033- 66337627 Fax: 033-66337629

Lucknow : IDBI Mutual Fund, IDBI Bank, 2 M G Marg, Kisan Sekhari Bhawan, Hazratganj, Lucknow - 226 001. Tel.: 0522- 2202863 / 6500103

Mumbai : IDBI Mutual Fund, Mafatlal Center, 5th Floor, Nariman Point, Mumbai - 400021. Tel.: 022-66442800

Pune : IDBI Mutual Fund, IDBI House, 4th Floor, Dnayaneshwar, Paduka Chowk, S C Road, Shivaji Nagar, Pune - 411 004. Tel.: 020-66057037/36 Fax: 020-66057035

Contact us

Corporate OfficeIDBI Asset Management Limited

2nd Floor, IDBI Building, Plot No.39-41, Sector-11, CBD Belapur, Navi Mumbai – 400614.

Phone: 022-66096100 Fax: 022-66096110 e-mail: [email protected] website: www.idbimutual.co.in

SMS: IDBIMF on 09220092200 Tollfree: 1800-22-4324 (between 9 a.m. – 6 p.m. from Monday to Friday)

equity market overview - idbi mutual · stp: available security name % to net assets* equity 99.79...

Documents