KARVY’s

August, 2020

INVESTOR JOURNAL

www.karvyvalue.com

What’s Inside

KARVY’sINVESTOR JOURNAL

Fund of the MonthKotak Standard Multicap Fund(G)

The investment objective of the scheme is to generate long ...August, 2020

Market ReviewPage 01

Karvy Investment InsightPage 03

Fund of The MonthPage 04

Readers CornerPage 05

Story of The MonthPage 06

SIP PerformancePage 07

Category Average ReturnsPage 08

Fixed Deposits SchemesPage 09

Equity Funds PerformancePage 10

Debt Funds PerformancePage 12

Indices WatchPage 13

Highlights of the Month » The mutual fund industry’s asset under

management (AUM) increased by 4.61% from Rs. 26.07 lakh crore in June 2020 to Rs. 27.28 lakh crore in July 2020, according to data published by the Association of Mutual Funds in India.

» In July 2020, systematic investment plans (SIPs) fell from Rs. 7917 crores in June 2020 to Rs. 7831 crores i.e. 1.08%

» Liquid funds witnessed a net inflow of Rs. 14,055.29 crore during the month July 2020 compared to a net outflow of Rs. 44,226.23 crore during the month June 2020.

» Hybrid Funds witnessed a net outflow of Rs. 7,301.29 crore in the month July 2020 compared to a net inflow of Rs. 355.82 crore in the month June 2020. This outflow was mainly due to Arbitrage Funds as these funds witnessed net outflow of Rs. 3,732.48 crores.

» Net outflows into equity mutual funds stood at Rs. 2,480.35 crore in July 2020 as against net inflows of Rs. 240.55 crore in June 2020. This is majorly due to outflow in multi-cap funds.

» The mutual fund industry as a whole saw a net inflow of Rs. 89,812.78 crore in July 2020 compared to a net inflow of Rs. 7,265.68 crore in June 2020. This inflow was mainly due to low duration funds.

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K E E P G R O W I N G FINANCIAL PRODUCT

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Market Review

Exports: » Exports in June 2020 were USD 21.91 billion,

as compared to USD 25.01 billion in June 2019, exhibiting a negative growth of (-) 12.41 per cent.

» In June 2020, major commodity groups that have showed negative growth over the corresponding month of last year include Gems & jewellery (-50.06%); Leather & leather products (-40.47%); RMG of all textiles (-34.84%); Man-made yarn/fabs./made-ups etc. (-31.98%); Petroleum products (-31.65%); Meat; dairy & poultry products (-25.88%); Electronic goods (-22.52%); and Carpet (-10.46%).

» In June 2020, major commodity groups that have showed positive growth over the corresponding month of last year include Iron Ore (63.11%); Oil seeds (50.48%); Rice (32.72%); Oil meals (27.36%); Spices (22.92%); Other cereals (19.35%); and Organic & inorganic chemicals (19.06%).

» Non-petroleum and Non-Gems and Jewellery exports in June 2020 were USD 18.48 billion, as compared to USD 19.15 billion in June 2019, exhibiting a negative growth of (-) 3.51%.

» Cumulative value of exports for the period April-June 2020-21 was USD 51.32 billion as against USD 81.08 billion during the period April-June 2019-20, registering a negative growth of (-) 36.71%.

Imports: » Imports in June 2020 were USD 21.11 billion,

which was 47.59% lower in Dollar terms over imports of USD 40.29 billion in June 2019.

» Gold (-77.42%); Coal, Coke & Briquettes, etc. (-55.72%); Petroleum, Crude & products (-55.29%); Machinery, electrical & non-electrical (-42.02%); Electronic goods (-34.05%); negative growth in June 2020 over the corresponding month of last year.

» Cumulative value of imports for the period April-June 2020-21 was USD 60.44 billion, as against USD 127.04 billion (Rs. 8,83,652.93 crore) during the period April-June 2019-20, registering a negative growth of (-) 52.43%.

Crude Oil and Non-Oil Imports: » Oil imports in June 2020 were USD 4.93

billion, which was 55.29% lower in Dollar terms, compared to USD 11.03 billion in June 2019.

» Non-oil imports in June 2020 were estimated at USD 16.18 billion which was

44.69 per cent lower in Dollar terms, compared to USD 29.26 billion in June 2019.

Trade Balance:The trade surplus for June 2020 was estimated at USD 0.79 billion as against the deficit of USD 15.28 billion in June 2019. This is the first time in the last decade that India is a net exporter.

Taking merchandise and services together, overall trade surplus for April-June 2020-21* is estimated at USD 11.70 billion as compared to the deficit of USD 26.32 billion in April-June 2019-20.

*The latest data for services sector released by RBI is for May 2020. The data for June 2020 is an estimation, which will be revised based on RBI’s subsequent release.

CPI Inflation:In June 2020, general CPI inflation increased 6.09% year-on-year from June 2019, well above market forecasts of 5.3%. Cost increased for pan and tobacco (9.7%), food and beverages (7.29%), and fuel and light (2.69%). Figures for April and May of 2020 were released only with the June ones, as visits to collect the data were suspended from March 19th due to the coronavirus lockdown.

WPI Inflation:In June 2020, Wholesale prices in India declined by 1.81% year-on-year, compared with market expectations of a 2.4 percent fall and easing from a 3.21 percent drop a month earlier, as the cost of fuel and power decreased and food inflation picked up.

IIP:Industrial production in India plunged an upwardly revised 18.3 percent year-on-year in March 2020, compared to a 16.7 percent fall initially reported. It is the steepest decline since records began in 1994 and much worse than market expectations of an 8.7 percent tumble, as the COVID-19 pandemic forced many businesses to close. Production decreased for manufacturing (-22.4% vs -20.6%) and electricity output (-8.2% vs -6.8%). The government released only quick estimates for the month of May but warned those figures should not be compared with previous months due to insufficient data as the country was under lockdown amid efforts to contain the spread of the COVID-19 pandemic.

Apart from FII and MF activity, Key domestic data released in the month of July were:

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BSE Sensex and Nifty 50 gave a negative return of -3.84% and -2.84% respectively during the month. Among the BSE sectoral indices, S&P BSE Auto was the top performer with 5.58%. The mutual fund industry as a whole saw a net inflow of Rs. 45,999.48 crore in April 2020 compared to a net outflow of net outflow of Rs. 212,737.10 crore in March 2020. This inflow was mainly due to liquid funds. Systematic investment plans (SIPs) collection stood Rs. 8,376 crore. Net inflows into equity mutual funds stood at Rs. 6,212.96 crore in April 2020 as against Rs. 11722.74 crore in March 2020. This is majorly due to inflow in large-cap funds. In June 2020, general CPI inflation increased 6.09% year-on-year from June 2019.

INVESTOR JOURNALAug, 2020

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-----------------------------------------------------------------------------------------------------------------------------------------------------------Source : ACE MF

S&P BSE SENSEX

Date Close Price Points Diff %age Change

02-Jul-2020 35,843.70

09-Jul-2020 36,737.69 894 2.5%

16-Jul-2020 36,471.68 -266 -0.7%

23-Jul-2020 38,140.47 1669 4.6%

30-Jul-2020 37,736.07 -404 -1.1%

Overall Change for the month 5.28%

NIFTY 50

Date Close Price Points Diff %age Change

02-Jul-2020 10,552

09-Jul-2020 10,813 261.75 2.5%

16-Jul-2020 10,740 -73.50 -0.7%

23-Jul-2020 11,215 475.50 4.4%

30-Jul-2020 11,102 -113.30 -1.0%

Overall Change for the month 5.22%

Sensex & Nifty: (Month Between 01-Ju1-2020 to 31-Jul-2020)

MF Activity: (Month Between 01-July-2020 to 31-July-2020)

Equity

Date Gross Purchase (Cr.) Gross Sale (Cr.) Net (Cr.)

03-Jul-2020 7757 7142 614

10-Jul-2020 11671 14397 -2726

17-Jul-2020 13635 14375 -740

24-Jul-2020 11944 15545 -3601

30-Jul-2020 12960 15920 -2960

For the Month 9092.77 73702.82 -612.24

Debt

Date Gross Purchase (Cr.) Gross Sale (Cr.) Net (Cr.)

03-Jul-2020 23381 17847 5534

10-Jul-2020 42445 30164 12281

17-Jul-2020 42116 30403 11712

24-Jul-2020 28526 24842 3684

30-Jul-2020 28376 31409 -3033

For the Month 178127.24 136772.95 41354.29

FII Activity: (Month Between 01-July-2020 to 31-July-2020)

Equity

Date Gross Purchase (Cr.) Gross Sale (Cr.) Net (Cr.)

03-Jul-2020 12491 16450 -3959

10-Jul-2020 24522 22774 1749

17-Jul-2020 18781 22629 -3847

24-Jul-2020 31059 22664 8394

31-Jul-2020 32775 27549 5226

For the Month 119628.59 112065.88 7562.71

Debt

Date Gross Purchase (Cr.) Gross Sale (Cr.) Net (Cr.)

03-Jul-2020 3537 3320 216

10-Jul-2020 6460 7102 -642

17-Jul-2020 8460 7842 618

24-Jul-2020 4514 5857 -1343

31-Jul-2020 3410 4736 -1326

For the Month 26380.04 28856.41 -2476.37

NOTE:This data changes frequently on SEBI websites, So this data may be different when compared with SEBI

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Karvy Investment Insight

Peace of mind and Wealth Creation ideas for long term

Karvy Insights brings to you investment wisdom to help you make sound investment decisions to reach your goals faster. These inputs may not help you become wealthy within a short span of time, but they would definitely bring you peace of mind and act as a roadmap for your financial journey.

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Emergency Fund – So that you can leap forth confidently----------------------------------------------------------------------------------------------------------------------------------------------------------

Today I commented on a tweet about what is “capable” in reaction to “People become DIY not because they are capable, but they want to avoid fees “. That triggered me, not to sound disrespecting to anyone but really how do you define capable – is it a professional qualification like Certified Financial Planner (CFP), it is number of clients you serve or impeccable trust you have in someone.

Well whatever be the case I know investment and financial literacy is a never-ending journey. It can also be very tough when you start on this path to avoid foolish mistakes or avoid temptation (remember the unbelievable tip your friend gave on a stock). However, with hindsight wisdom I can also say that a few things if done well help you throughout your life – Like an Emergency Fund.

Cognitively we all realise that having cash to access during an emergency is wise thing, but seldom do we practice what is right. We do not put the effort to create a dedicated emergency fund.

Anecdotally many a times the cost of servicing a medical emergency or an event, lands one in debt and catches people unaware.

Emergency will happen to my Neighbour

Life is unpredictable and all of us might have to face an emergency. Even if you keep large sums of money in your savings account or have a good credit limit on your credit card, you still need a separate emergency fund. Borrowing to cover an exigency could be the start of your financial woes and difficult to extricate oneself out of the same.

“A friend’s dad met with a heart ailment and was wheeled into a specialty hospital in Chennai, the doctors wheel out his dad and tell him that they need to operate on him soon and it will cost Rs X. This is 20 years ago, and it was a huge sum. My friend charged his credit card for the amount, little realizing that it could be the start of the debt trap (about 42% p.a). A few of us got together and pooled the money so that he could pay of the credit card bill and pay us off in installments or when he could figure out the right borrowing instrument. The purpose of narrating this incident was twofold – one that my friend was caught unaware and two in such tricky situations you are not mentally present to take the right decision. “

An emergency fund would have done the trick.

Here are a few steps to make this a reality 1. A simple savings account or liquid / overnight fund (mutual funds) is a good option. your primary concern is that this money is accessible

in a day not instantaneously. This is liquid so not invested in any risky instrument like equity or long-term maturity bonds, so mostly overnight funds or liquid cash plans are good options for individuals. Liquid funds invest in money market securities and high-quality debt for steady and reasonable income over short-term. Preferable if it is linked to your savings bank account. What we have also done is created a wrapper, which is linked to the liquid cash plan and offers a feature of Insta Access Facility (insta-redemption). Minimum redemption amount under Insta Access Facility is Rs.5000/- and in multiples Re.1/- thereafter & maximum redemption amount under the Insta Access Facility is 90% of the redeemable balance or Rs.50,000/- whichever is lower.

2. Ensure that the account where you park this money pays you back. Today a lot of savings bank account offer a minimum yield however have minimum cash balances, fees etc. Do your due diligence in comparing products before choosing the instrument.

3. Put away 3- 6 months of expenses. Now this is a thumb rule which has to be contextually relevant. If you are single and no dependents, then a few months would be okay. If you have a spouse who is working then again, the same logic, however if you are chief wage earner and have dependents then maybe 8 months to a year is a good plan to cover.

4. I have just started working or I do not have that kind of savings. Do not worry. Here is where you automate your savings and set up a SIP (systematic investment plan (SIP) or Systematic transfer plan (STP) every month into the instrument till the time you reach the target amount.

5. Access only in case of an emergency. Running out of cash to buy a gift on someone’s big day, funding for a trip are not the emergencies we are talking about. Accidents, hospitalization, losing a job – you get the drift. Right!!

6. Refill and not fill it, forget it and shut it. Life is crazy and you might have a bad patch repeatedly so do not think it will not happen again. If you use the fund, keep replenishing it and keeping it contextual to your living expenses and lifestyle upgradation.

This might give you the bragging rights of having made a killing or doing something novel. I am pretty sure that it will give you peace of mind and confidence that you have a stash stored away in case of an emergency, thereby giving you the chance to take your risks.

Source : SUNDARAM AMC

INVESTOR JOURNALAug, 2020

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‘Tweets’ of the Month

Fund of The Month

Kotak Standard Multicap Fund(G)

Investment Objective:The investment objective of the scheme is to generate long term capital appreciation from a portfolio of equity and equity related securities, generally focused on a few selected sectors.

Portfolio:

Top 10 Companies Holdings

Name %age

Reliance Industries Ltd. 8.22

ICICI Bank Ltd. 5.46

HDFC Bank Ltd. 4.25

Ultratech Cement Ltd. 4.21

Hindustan Unilever Ltd. 4.05

Larsen & Toubro Ltd. 3.85

Infosys Ltd. 3.61

Tata Consultancy Services Ltd. 3.27

Axis Bank Ltd. 2.97

Petronet LNG Ltd. 2.82

Top 10 Sector Wise Holding

Industry Name (%)

Refineries 9.42

Cement & Construction Materials 8.58

IT - Software 6.89

Miscellaneous 6.32

Industrial Gases & Fuels 6.14

Household & Personal Products 5.36

Engineering - Construction 4.76

Consumer Food 4.32

Insurance 4.05

To read the full Information, Click Here

Indicates an increase or decrease or no change in holding since last profile. Indicates an increase or decrease in holding since last portfolio.

INVEST HERESource : ACE MF

Do an SIP in a good think, think of it as a good check on your behaviour and discipline,

and sit back and give it time.

@iRadhikaGupta

Let us build our economy to realise

the dreams of 135 crore Indians - by enabling the bottom 50%, accelerating

the mid 40% & inspiring the top 10%. Together we will build the new India from these challenging times

@sanjivrbajaj

Investing is 5% intellectual and 95% temperamental. Each investors varies

dramatically from another in temperament

@DhruvLMehtaf

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Readers Corner

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LIKE US ON FACEBOOK

Source : SUNDARAM AMC

Benjamin Graham, one of the early followers of fundamental analysis based investing and also Warren Buffett’s professor, had propounded the concept of Mr. Market way back in the nineteen forties to describe the contradictory and irrational traits of investors. Graham described Mr. Market as an investor prone to erratic swings of pessimism and optimism and since majority of the stock market is comprised of such investors, he felt that the market as a whole takes on these characteristics. His advice was that while Mr. Market creates ups and downs in stock prices all the time, prudent fundamental investors should remain unfazed by these and keep looking at the larger, long-term picture.

Not much has changed over the last century as investors continue to exhibit the same behavior as Graham had described. Once in a decade or thereabout we witness a huge drawdown in stock prices with investors nervously dumping their stocks at any price and running away on account of the perceived risk to the economy and its growth. While the reasons for these huge drawdowns are always different but the end result is usually the same i.e. stock prices falling thirty to fifty percent. It is during such times that investors have to sit back and think in a very cold and calculating manner about the relationship between the value of a stock and the price at which it is trading. The attempt of this article is to bring to light the huge departure between the damage to the value of a business on account of an economic crisis and the fall in its stock price.

The intrinsic value of a business in its most fundamental sense is nothing but the present value of all the cashflows that the business will generate through its life. Let’s break the life of the business into two parts; the first twenty years and then beyond these twenty years. While most investors cannot think beyond the next couple of years, it is only fair to assume that it is difficult for any investor to project the cashflows beyond the first twenty years. However, businesses are going concerns and a well-managed business is expected to be around for a very long time, fifty years or even more, and it is for this reason that we need to ascribe a value to businesses beyond the first twenty years. Let’s call this value as the perpetuity value of the business. While we don’t intend to get into the calculation of this perpetuity value but it is worth mentioning here that the range of perpetuity value for various businesses across industries is usually between twenty five percent to fifty percent of the total value of these businesses.

So let’s take the perpetuity value of a typical business to be around thirty-five percent. Make another assumption that the business we wish to value is resilient enough to survive the economic crisis and though it would witness reduction in profits and cashflows during the crisis years but it would once again come back to its normal rate of profits and cashflows after a few years. It is therefore only reasonable to expect that no economic crisis, including the ongoing COVID-19 pandemic, can impact the perpetuity value of a well-run business. Thus, about thirty-five percent of the total value of a typical business is insulated from any economic downturn or slowdown.

Let us now talk about the remaining sixty-five percent of the value of the business that is being derived from cashflows generated during the first twenty years of the life of the business. To keep it simple, let’s assume that the business is not witnessing any growth and therefore its cashflows per annum are constant, say Rs 100 per annum, for the entire twenty-year period. To keep it simple again, we

also don’t discount these cashflows which means that the present value of each of these cashflows through the twenty years is Rs 100. The value of the business thus becomes 20 multiplied by 100 which is Rs 2000. This is the value of the business pre-economic crisis. Let’s now suppose that an economic crisis hits the economy and all businesses are going to be severely impacted. To get more topical, let’s consider the present pandemic which has led to forced shutdown of the economy and although the economy has started to open up but it would take many quarters for the economy to normalize. Let’s make a conservative assumption that the impact of the virus spread would take a couple of years to get neutralized and as a result economic activity would suffer for two full years and the cashflows of our business would reduce to half during these two years (Rs 50 per annum) but would come back to normal (Rs 100 per annum) from the third year. On this basis, the value of the business post the economic crisis reduces to Rs 1900, a reduction of five percent. Actually the reduction in value is even lower. Remember we had said that thirty-five percent of the value of the business which is being derived from its perpetuity value is insulated from the crisis. What has been impacted to the extent of five percent is the value of the business for the first twenty years. If you do the math you would realise that the total intrinsic value of the business comes down by only three percent.

This is all that the common investor needs to know about the loss in value of a business whenever an economy is struck with a crisis leading to either a recession or a slowdown in growth. The loss in value of the business is usually in single digits but the fall in prices is often thirty to fifty percent if not more, leading to a great opportunity for the emotionally balanced and long term oriented investor who is only focused on the fundamental value of the business rather than trying to gauge how other investors would react to the short term news flow.

By the way, for the more nuanced and academically inclined investor who wants to consider different scenarios of growth in cashflows over the first twenty years and an appropriate discount rate to find the present value of these cashflows, the reduction in value under different scenarios works out to between three percent to ten percent. Again if you do the math, you would realise that the total intrinsic value (including the perpetuity value) comes down by only two percent to six and a half percent under different scenarios.

This above model is not just applicable during times of economic crisis. One can apply it equally effectively during times of economic expansion and concomitant stock market euphoria to avoid buying a business at a price substantially higher than its intrinsic value. During such phases, investors need to keep in mind that periods of super normal growth are unsustainable in the long run and should not be extrapolated. This in turn implies that the impact of high growth for a few years on the total intrinsic value of a business would at best be in single digits.

The Human mind is not conditioned to think about the long term, on the contrary it gets heavily influenced by the happenings right now and right here and extrapolates them. As an investor, we have to train our minds to think about the long term and not by the current happenings which are usually fleeting. Like Benjamin Graham said, you need to take advantage from the behavior of Mr. Market and not get influenced by it.

Price vs. Value

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Story of The Month

The yogi Raman was a true master of the art of archery. One morning, he invited his favourite disciple to watch a display of his skill. The disciple had seen this more than a hundred times before, but he nevertheless obeyed his teacher. They went into the wood beside the monastery and when they reached a magnificent oak tree, Raman took a flower which he had tucked in his collar and placed it on one of the branches.

He then opened his bag and took out three objects: his splendid bow made of precious wood, an arrow and a white handkerchief embroidered with lilacs.

The yogi positioned himself one hundred paces from the spot where he had placed the flower. Facing his target, he asked his disciple to blindfold him with the embroidered handkerchief.

The disciple did as his teacher requested.

CONCENTRATE ON THE TARGET

MORAL OF THE STORY:

Courtesy : Karvy Learning Center

Direct Dil Se…

6

When you want something, concentrate only on that: no one will ever hit a target they cannot see.

‘How often have you seen me practise the noble and ancient sport of archery?’ Raman asked him.

‘Every day,’ replied his disciple. ‘And you have always managed to hit the rose from three hundred paces away.’

With his eyes covered by the handkerchief, the yogi Raman placed his feet firmly on the ground, drew back the bowstring with all his might – aiming at the rose placed on one of the branches of the oak tree – and then released the arrow.

The arrow whistled through the air, but it did not even hit the tree, missing the target by an embarrassingly wide margin.

‘Did I hit it?’ said Raman, removing the handkerchief from his eyes.

‘No, you missed completely,’ replied the disciple. ‘I thought you were going to demonstrate to me the power of thought and your ability to perform magic.’

‘I have just taught you the most important lesson about the power of thought,’ replied Raman. ‘When you want something, concentrate only on that: no one will ever hit a target they cannot see.”

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Schemes(Monthly SIP of Rs. 10,000)

Current NAV (`)

Present value

(Rs)

3 Year SIP Present value

(Rs)

5 Year SIP

Rs.360000 Rs.600000

Profit-SIP XIRR(%) Profit-SIP XIRR(%)

Large CapAxis Bluechip Fund-Reg(G) 30.25 398612.51 38612.51 6.74 769574.81 169574.81 9.90

Canara Rob Bluechip Equity Fund-Reg(G) 26.67 403229.23 43229.23 7.51 759931.77 159931.77 9.39

BNP Paribas Large Cap Fund(G) 92.71 388131.90 28131.90 4.95 712812.96 112812.96 6.83

Mirae Asset Large Cap Fund-Reg(G) 49.73 373466.01 13466.01 2.40 717087.86 117087.86 7.07

JM Large Cap Fund(G) 69.11 383332.24 23332.24 4.13 687752.31 87752.31 5.40

Large & Mid CapMirae Asset Emerging Bluechip-Reg(G) 54.68 388593.35 28593.35 5.03 766388.43 166388.43 9.73

Quant Large & Mid Cap Fund(G) 199.57 410054.43 50054.43 8.65 769138.68 169138.68 9.88

Kotak Equity Opp Fund(G) 120.33 376160.65 16160.65 2.88 704479.24 104479.24 6.36

Canara Rob Emerg Equities Fund-Reg(G) 93.18 368808.74 8808.74 1.58 707700.48 107700.48 6.54

Invesco India Growth Opp Fund(G) 33.28 366811.77 6811.77 1.22 699523.47 99523.47 6.08

Multi capParag Parikh Long Term Equity Fund-Reg(G) 29.00 433313.45 73313.45 12.43 823537.84 223537.84 12.63

Quant Active Fund(G) 183.63 376764.56 16764.56 2.98 707216.99 107216.99 6.52

Canara Rob Equity Diver Fund-Reg(G) 132.16 370540.05 10540.05 1.89 701125.53 101125.53 6.17

DSP Equity Fund-Reg(G) 38.61 363169.37 3169.37 0.57 684554.32 84554.32 5.22

UTI Equity Fund-Reg(G) 138.72 364301.13 4301.13 0.77 679081.76 79081.76 4.90

Mid CapAxis Midcap Fund-Reg(G) 37.82 386621.85 26621.85 4.70 738222.49 138222.49 8.23

DSP Midcap Fund-Reg(G) 54.00 359667.77 -332.23 -0.06 678953.90 78953.90 4.89

Invesco India Midcap Fund(G) 47.13 357254.36 -2745.64 -0.50 668848.44 68848.44 4.30

Taurus Discovery (Midcap) Fund-Reg(G) 42.10 354212.32 -5787.68 -1.05 667337.38 67337.38 4.21

Quant Mid Cap Fund(G) 54.81 361346.25 1346.25 0.24 648149.40 48149.40 3.05

Small CapAxis Small Cap Fund-Reg(G) 29.20 377325.97 17325.97 3.08 707267.53 107267.53 6.52

SBI Small Cap Fund-Reg(G) 50.52 352996.45 -7003.55 -1.27 697481.45 97481.45 5.96

Nippon India Small Cap Fund(G) 35.88 330544.02 -29455.98 -5.47 632339.72 32339.72 2.07

Kotak Small Cap Fund(G) 67.39 342521.09 -17478.91 -3.21 619621.93 19621.93 1.27

Quant Small Cap Fund(G) 48.72 384541.75 24541.75 4.33 636856.25 36856.25 2.35

ELSSQuant Tax Plan(G) 91.93 364599.40 4599.40 0.83 694083.94 94083.94 5.77

Canara Rob Equity Tax Saver Fund-Reg(G) 63.72 369807.70 9807.70 1.76 693929.08 93929.08 5.76

Axis Long Term Equity Fund-Reg(G) 43.90 364674.40 4674.40 0.84 693907.67 93907.67 5.76

BOI AXA Tax Advantage Fund-Reg(G) 52.25 359702.25 -297.75 -0.05 680121.91 80121.91 4.96

Invesco India Tax Plan(G) 48.59 354020.00 -5980.00 -1.09 666899.35 66899.35 4.18

SectorNippon India Pharma Fund(G) 189.15 467183.08 107183.08 17.70 792659.10 192659.10 11.09

Franklin India Technology Fund(G) 175.01 418382.40 58382.40 10.02 781864.42 181864.42 10.54

SBI Technology Opp Fund-Reg(G) 66.67 401307.19 41307.19 7.19 746283.47 146283.47 8.67

UTI Healthcare Fund-Reg(G) 104.52 442847.78 82847.78 13.94 717641.76 117641.76 7.10

ICICI Pru Technology Fund(G) 56.34 377682.72 17682.72 3.14 707395.90 107395.90 6.53

IndexTaurus Ethical Fund-Reg(G) 51.87 373079.47 13079.47 2.33 680019.17 80019.17 4.95

HDFC Index Fund-Sensex(G) 318.52 355339.74 -4660.26 -0.85 672810.40 72810.40 4.53

Tata Index Fund-Sensex Plan(G) 88.61 355736.61 -4263.39 -0.77 670259.63 70259.63 4.38

Nippon India Index Fund - Sensex Plan(G) 17.69 354305.15 -5694.85 -1.03 664861.98 64861.98 4.06

LIC MF Index Fund-Sensex Plan(G) 66.67 353822.94 -6177.06 -1.12 660886.02 60886.02 3.82

As on 01st August’2020 7Source : ACE MF

SIP Performance

INVESTOR JOURNALAug, 2020

K E E P G R O W I N G FINANCIAL PRODUCT

FORTUNE

Category Average Returns

Category Sub Category1 Week Return

1 Month Return

6 Month Return

1 Year Return

3 Year Return

5 Year Return

Since Inception

Market Cap

Large-cap -0.12 3.80 -9.58 0.87 1.28 4.84 8.11

Large and mid cap 0.93 4.58 -9.93 4.41 0.48 5.17 10.31

Mid-cap 1.59 4.87 -9.79 6.29 -0.53 4.17 7.06

Multi-cap 0.76 4.56 -8.81 5.41 1.26 4.78 6.55

Small-cap 2.47 5.79 -13.42 4.03 -5.95 3.40 1.17

Sector Funds

Banks & Financial Services -2.18 -0.38 -27.08 -15.89 -4.94 3.13 9.20

Consumption 1.59 3.88 -5.10 8.70 2.84 6.51 6.65

Energy & Power 0.76 6.22 -3.57 8.84 -2.23 5.31 11.46

Infrastructure 0.51 1.02 -16.88 -7.58 -6.18 -0.19 4.36Pharma & Health Care -1.51 1.63 22.65 34.06 11.09 7.11 17.52

Service Industry -0.12 3.50 -12.00 3.67 0.49 2.39 9.28

TECk 0.65 14.75 10.00 20.89 18.42 10.56 13.20

Speciality

Contra 0.41 5.76 -6.79 7.44 4.99 7.65 12.05

Dividend Yield 0.51 5.43 -4.37 6.45 -0.29 4.41 10.85

Global 59.80 48.07 -1.22 12.20 9.32 7.87 13.34

MNC 1.01 3.88 -4.12 10.60 3.61 3.91 13.10

Equity Exchange Traded Funds 0.99 5.02 -9.75 4.37 -0.22 5.17 6.77

Equity Linked Savings Scheme 0.07 2.12 -1.81 4.28 2.93 4.96 5.78

Equity Savings Scheme -0.34 2.10 -9.04 1.49 2.18 5.61 2.47

Focused Fund 0.90 5.05 -7.76 6.95 1.87 5.65 7.20

Index

Nifty -0.80 4.77 -7.97 2.02 3.60 5.52 9.05

Nifty Next 50 1.62 2.78 -5.77 4.99 -1.69 4.55 4.65

Sensex -1.05 4.84 -7.85 3.11 5.58 6.26 10.68

Others 0.72 4.05 -10.53 7.25 1.22 3.93 1.12

Aggressive Hybrid Fund 0.53 4.44 -5.54 4.71 1.58 4.73 8.71

Balanced Advantage 0.08 3.10 -2.65 6.62 3.67 5.80 8.08

Dynamic Asset Allocation 0.01 3.06 0.22 8.31 3.62 5.39 7.66

Multi Asset Allocation 1.59 7.00 2.08 11.34 5.57 6.88 9.79

Banking and PSU Fund 13.07 10.87 12.48 10.69 8.42 8.53 8.29

Corporate Bond 13.70 -1.59 10.20 9.08 7.39 7.91 7.06

Credit Risk Fund 13.76 -10.40 -7.71 -1.07 1.10 4.03 -2.20

Dynamic Bond 6.20 11.03 9.82 8.68 6.31 7.80 6.49

GiltLong Term 6.43 11.30 17.53 11.84 10.42 10.71 9.12Short and Medium term 5.05 9.46 15.62 10.12 7.70 9.10 8.60

Floating Rate 10.21 9.67 10.62 9.14 7.67 7.83 8.16

Liquid 3.36 3.13 4.36 4.84 6.21 6.59 6.87

Ultra Short Term Plan 4.72 5.22 6.25 6.23 6.22 6.88 5.82

Gold ETFs 214.60 155.35 72.53 47.02 23.02 16.04 10.91

Gold FOFs 217.16 167.39 78.89 51.78 23.34 16.31 7.19

Note: Debt Mutual funds & Golds funds are annualised for less than 1 year returns

Returns are as on 01st August’20208

Source : ACE MF

INVESTOR JOURNALAug, 2020

K E E P G R O W I N G FINANCIAL PRODUCT

FORTUNE

Fixed Deposits Schemes

9

FD Name Rating IndustryInterest Rate

* (Up to)

Bajaj Finance Ltd.FAAA by CRISILICRA MAAA

Bajaj Finserv is the most diversifed non-bank in the country, the largest financier of consumer durables in India and one of the most profitable firms in the category.

7.35%

HDFC Ltd.FAAA by CRISIL, MAAA by ICRA

A pioneer and leader in housing finance in India, since inception, HDFC has assisted more than 4.9 million customers to own a home of their own. HDFC is the Largest mobiliser of public deposits outside the banking system and the HDFC Group has a strong asset base of over Rs.2.97 trillion and a customer base of over 42.5 million.

6.50%

ICICI Home Finance Ltd

CRISIL FAAA/Stable, CARE AAA/Stable, ICRA MAAA/Stable

ICICI Home Finance Company Limited is one of the leaders in the Indian mortgage finance and realty space.

6.60%

LIC Housing Finance Ltd.

FAAA / STABLE by CRISIL

One of India’s largest housing finance companies, having nation-wide network. Consistent record of dividend payments.

7.35%

Mahindra & Mahindra Financial Services Ltd

CRISIL FAAAMahindra and Mahindra Financial Services Limited (MMFSL) commenced its journey two decades back in the rural non-banking finance industry.

7.50%

PNB Housing Finance Ltd.

FAAA/Stable by CRISIL, AAA by CARE

PNB Housing Finance (PNBHF) is a subsidiary of Punjab National Bank and a partner of Destimoney Enterprises Pvt. Ltd. PNBHF was incorporated in 1988 and is based in New Delhi.

7.50%

Shriram City Union Finance Ltd.

MAA+ (Stable) by ICRA

As a deposit-accepting non-banking financial company (NBFC), Shriram City is today India’s premier financial services company specializing in retail finance.

8.80%

Shriram Unnati Deposits

FAAA/Stable by CRISIL, MAA+/Stable by ICRA

With a track record of about 30 years in this business, STFC is among the leading organized finance provider for the commercial vehicle industry

8.83%

Sundaram Home Finance Ltd.

FAAA/STABLE by CRISIL

Sundaram BNP Paribas Home Finance combines its expertise in Home Finance with the Service Orientiation of its promoter Sundaram Finance.

7.25%

* highest rate including additional interest for Senior citizens, employees etc. wherever applicable

INVESTOR JOURNALAug, 2020

K E E P G R O W I N G FINANCIAL PRODUCT

FORTUNE

Equity Funds Performance

Scheme NameLatest

NAV (`)

Absolute(%) CAGR(%)

1 Year 3 Year 5 Year SINCE INCEPTION

Large Cap

Axis Bluechip Fund-Reg(G) 30.95 6.50 9.76 9.00 10.68

Canara Rob Bluechip Equity Fund-Reg(G) 25.57 -0.47 7.40 7.63 9.97

Mirae Asset Large Cap Fund-Reg(G) 47.21 -10.09 3.74 7.49 13.50

ICICI Pru Bluechip Fund(G) 38.80 -11.00 2.78 5.72 11.84

HSBC Large Cap Equity Fund(G) 211.96 3.00 3.50 6.60 18.56

Multi Cap

Parag Parikh Long Term Equity Fund-Reg(G) 30.41 24.60 13.10 12.20 15.60

Quant Active Fund(G) 183.63 -1.50 5.98 8.00 16.28

Kotak Standard Multicap Fund(G) 35.10 3.10 3.70 7.60 11.61

DSP Equity Fund-Reg(G) 38.61 -4.18 4.48 6.94 10.88

Canara Rob Equity Diver Fund-Reg(G) 132.16 -4.34 5.96 6.43 16.60

Large & Mid Cap

Mirae Asset Emerging Bluechip-Reg(G) 57.88 12.50 4.92 11.48 18.06

Quant Large & Mid Cap Fund(G) 38.16 2.95 1.98 8.70 10.38

Canara Rob Emerg Equities Fund-Reg(G) 88.99 -6.20 1.90 8.25 15.34

Principal Emerging Bluechip Fund(G) 97.54 -6.55 0.98 6.93 21.61

DSP Equity Opportunities Fund-Reg(G) 207.73 -6.41 1.92 6.90 16.25

Mid Cap

DSP Midcap Fund-Reg(G) 54.00 -1.72 2.06 8.08 13.16

Axis Midcap Fund-Reg(G) 41.09 16.30 11.00 8.00 15.24

Kotak Emerging Equity Fund(G) 35.88 -8.37 -0.34 6.50 10.11

L&T Midcap Fund-Reg(G) 119.88 -9.11 -2.26 6.42 16.90

Invesco India Midcap Fund(G) 47.13 -2.56 3.45 6.14 12.45

Small Cap

SBI Small Cap Fund-Reg(G) 56.50 16.70 7.00 11.47 15.85

Axis Small Cap Fund-Reg(G) 31.26 5.80 -5.90 7.84 16.99

Nippon India Small Cap Fund(G) 34.73 -12.51 -2.10 7.47 13.55

L&T Emerging Businesses Fund-Reg(G) 18.68 -21.31 -7.45 5.51 10.71

HDFC Small Cap Fund-Reg(G) 32.35 -23.56 -4.06 4.69 10.06

Performance as on 01st August’2020; Funds have been arranged on the basis of 5 years performance

10Source : ACE MF

INVESTOR JOURNALAug, 2020

K E E P G R O W I N G FINANCIAL PRODUCT

FORTUNE

Equity Funds Performance

Scheme NameLatest

NAV (`)

Absolute (%) CAGR (%)

1 Year 3 Year 5 Year SINCE INCEPTION

ELSS

Quant Tax Plan(G) 91.93 -3.76 2.45 9.45 11.57

Axis Long Term Equity Fund-Reg(G) 43.90 -5.76 6.22 7.17 15.11

Motilal Oswal Long Term Equity Fund-Reg(G) 15.71 -10.00 -0.55 7.10 8.64

DSP Tax Saver Fund-Reg(G) 45.37 -7.79 2.59 6.92 11.89

Tata India Tax Savings Fund-Reg(G) 16.39 -13.36 1.48 6.86 9.01

Sector

Franklin India Technology Fund(G) 175.01 8.27 14.24 9.45 17.65

SBI Banking & Financial Services Fund-Reg(G) 15.24 -19.58 3.33 9.20 8.19

ICICI Pru FMCG Fund(G) 237.48 -1.12 5.06 8.67 16.06

SBI Technology Opp Fund-Reg(G) 66.67 1.03 14.87 8.34 15.19

Mirae Asset Great Consumer Fund-Reg(G) 33.00 -4.98 5.30 8.14 13.75

Thematic

ICICI Pru US Bluechip Equity Fund(G) 33.20 21.46 16.06 13.21 16.19

Aditya Birla SL Digital India Fund(G) 54.68 3.32 15.42 10.52 8.65

Aditya Birla SL India GenNext Fund(G) 81.09 -3.63 4.42 8.15 15.06

Canara Rob Consumer Trends Fund-Reg(G) 38.66 -2.64 5.47 8.12 13.33

Franklin Asian Equity Fund(G) 24.37 7.58 7.42 7.91 7.40

Value

Tata Equity P/E Fund(G) 123.14 -9.28 0.12 6.67 16.97

JM Value Fund(G) 28.83 -10.74 -0.04 5.45 14.59

L&T India Value Fund-Reg(G) 31.20 -14.47 -2.92 4.91 11.46

Nippon India Value Fund(G) 64.90 -13.94 0.26 3.98 13.21

HDFC Capital Builder Value Fund(G) 241.36 -17.28 -1.55 3.70 12.80

Index

HDFC Index Fund-Sensex(G) 343.71 3.41 7.55 7.60 13.61

Tata Index Fund-Sensex Plan(G) 88.61 3.30 7.19 7.30 14.41

IDFC Nifty Fund-Reg(G) 23.86 4.07 6.04 7.07 8.09

UTI Nifty Index Fund-Reg(G) 74.97 3.50 5.88 7.04 9.99

ICICI Pru Nifty Next 50 Index Fund(G) 24.44 6.00 0.06 5.49 8.62

Performance as on 01st Aug’2020; Funds have been arranged on the basis of 5 years performance11

Source : ACE MF

INVESTOR JOURNALAug, 2020

K E E P G R O W I N G FINANCIAL PRODUCT

FORTUNE

Debt Funds Performance

Scheme NameLatest

NAV (`)Absolute(%) CAGR(%)

1 Year 3 Year 5 Year SINCE INCEPTION

Gilt Funds

IDFC G-Sec-Constant Maturity Plan-Reg(G) 35.32 12.90 12.30 11.30 7.20

ICICI Pru Constant Maturity Gilt Fund(G) 18.47 15.33 10.52 10.94 11.14

SBI Magnum Constant Maturity Fund(G) 48.38 13.07 10.76 10.72 8.41

Nippon India Gilt Securities Fund(G) 29.67 13.48 9.24 10.59 9.59

Aditya Birla SL G-Sec Fund(G) 61.94 13.17 8.46 10.36 9.19

Liquid Funds Latest NAV (`) 1 Month 3 Months 6 Months 1 Year

Quant Liquid Plan(G) 31.58 5.60 6.60 7.00 6.10

IDBI Liquid Fund(G) 2,141.82 0.34 1.22 2.72 5.75

Aditya Birla SL Liquid Fund(G) 321.72 0.36 1.22 2.63 5.66

Mahindra Manulife Liquid Fund-Reg(G) 1,297.78 0.33 1.17 2.57 5.62

Nippon India Liquid Fund(G) 4,903.82 3.10 1.24 2.63 5.62

Scheme NameLatest

NAV (`)Absolute(%) CAGR(%)

1 Year 3 Year 5 Year SINCE INCEPTION

Balanced

Canara Rob Equity Hybrid Fund-Reg(G) 163.29 0.47 6.05 7.67 10.72

Aditya Birla SL Balanced Advantage Fund(G) 53.36 (0.93) 2.97 7.30 8.64

DSP Equity & Bond Fund-Reg(G) 154.14 (0.64) 4.28 7.07 13.83

Principal Hybrid Equity Fund(G) 71.54 (6.94) 2.37 6.99 10.08

SBI Equity Hybrid Fund-Reg(G) 133.98 (3.37) 5.60 6.98 15.14

Conservative Hybrid

ICICI Pru Regular Savings Fund(G) 45.87 5.82 6.43 8.52 9.82

Baroda Conservative Hybrid Fund(G) 27.11 8.39 7.73 7.61 6.51

Kotak Debt Hybrid Fund(G) 33.69 6.92 5.20 7.61 7.59

Canara Rob Conservative Hybrid Fund-Reg(G) 62.60 8.59 6.61 6.89 8.48

SBI Debt Hybrid Fund-Reg(G) 42.78 7.88 4.04 6.68 7.68

Arbitrage Latest NAV (`) 1 Month 3 Months 6 Months 1 Year

Tata Arbitrage Fund-Reg(G) 10.98 0.15 1.14 3.01 5.92

L&T Arbitrage Opp Fund-Reg(G) 14.57 0.14 1.04 2.75 5.68

BNP Paribas Arbitrage Fund-Reg(G) 12.34 0.03 0.78 2.74 5.67

Edelweiss Arbitrage Fund-Reg(G) 14.76 0.06 0.91 2.75 5.66

Union Arbitrage Fund-Reg(G) 10.82 0.05 0.96 2.84 5.57

Gold-FOF Latest NAV (`) 1 Year 3 Years 5 Years SINCE INCEPTION

DSP World Gold Fund-Reg(G) 22.90 56.10 23.19 21.10 5.46

Kotak Gold Fund(G) 19.99 44.08 17.94 11.93 7.75

ICICI Pru Regular Gold Savings Fund(G) 16.00 40.89 17.49 11.63 5.53

SBI Gold-Reg(G) 15.04 43.40 17.93 11.54 4.74

Aditya Birla SL Gold Fund(G) 15.08 41.80 17.01 11.48 5.08

Performance as on 01st August’2020

Hybrid Funds Performance

12Source : ACE MF

INVESTOR JOURNALAug, 2020

K E E P G R O W I N G FINANCIAL PRODUCT

FORTUNE

Indices Watch

Index NameAs on

01-Jul-2020As on

31-Jul-2020%

Change

S&P BSE 100 12,083.0 11158.9600 -7.65%

S&P BSE 200 5,041.2 4653.0400 -7.70%

S&P BSE 500 15,649.8 14346.1800 -8.33%

S&P BSE AUTO Index 18,161.2 16489.6400 -9.20%

S&P BSE BANKEX 35,289.4 24599.4800 -30.29%

S&P BSE Capital Goods 17,462.1 12734.8100 -27.07%

S&P BSE Con Durables 26,147.1 3279.0900 -87.46%

S&P BSE DOLLEX 30 4,685.5 1542.9600 -67.07%

S&P BSE FMCG 11,641.5 11445.4500 -1.68%

S&P BSE GREENEX 2,831.5 2729.0300 -3.62%

S&P BSE Health Care 13,957.0 18284.7600 31.01%

S&P BSE IT 15,871.5 18251.0600 14.99%

S&P BSE METAL Index 9,494.1 7825.6700 -17.57%

S&P BSE Mid-Cap 15,462.0 13759.1100 -11.01%

S&P BSE O & G Index 13,923.7 13174.2900 -5.38%

S&P BSE Power Index 1,899.3 1538.9300 -18.97%

S&P BSE PSU 6,567.1 4918.8300 -25.10%

S&P BSE Realty Index 2,526.2 1575.6800 -37.63%

S&P BSE SENSEX 40,723.5 37606.8900 -7.65%

S&P BSE Small-Cap 14,668.0 13021.7600 -11.22%

S&P BSE TECk Index 7,911.8 8840.2200 11.74%

Indian Indices:

Index NameAs on

01-Jul-2020As on

31-Jul-2020%

Change

NIFTY PHARMA 9,768.6 9,985.2 2.22%

INDIA VIX 30.2 29.1 -3.65%

NIFTY IT 14,010.5 14,754.3 5.31%

NIFTY SERV SECTOR 12,567.4 13,659.9 8.69%

Nifty Financial Services 9,527.1 10,561.9 10.86%

NIFTY BANK 19,297.3 21,370.2 10.74%

NIFTY 50 9,580.3 10,302.1 7.53%

NIFTY FMCG 29,297.0 30,063.3 2.62%

NIFTY 100 9,759.5 10,486.9 7.45%

NIFTY CONSUMPTION 4,611.1 4,793.5 3.96%

NIFTY 200 4,963.4 5,350.4 7.80%

NIFTY MNC 12,497.8 13,226.6 5.83%

NIFTY 500 7,822.4 8,474.8 8.34%

NIFTY ENERGY 13,060.5 14,396.6 10.23%

Nifty 500 Shariah 2,745.9 2,897.3 5.51%

NIFTY DIV OPPS 50 2,132.0 2,253.5 5.70%

NIFTY AUTO 6,218.8 6,719.2 8.05%

Nifty Midcap 50 3,713.6 4,094.3 10.25%

NIFTY PSU BANK 1,129.9 1,427.9 26.38%

NIFTY MEDIA 1,177.9 1,343.4 14.05%

NIFTY COMMODITIES 2,726.9 2,860.0 4.88%

NIFTY METAL 1,879.9 1,991.4 5.93%

NIFTY INFRA 2,845.2 3,032.4 6.58%

NIFTY PSE 2,369.0 2,494.0 5.27%

NIFTY REALTY 180.1 202.7 12.52%

Global Indices:

Index NameAs on

01-Jul-2020As on

31-Jul-2020%

Change

Ordinaries 6,922 7,121.2 2.88%

BEL-20 3,967 3,908 -1.50%

Bovespa 115,645 113,761 -1.63%

CAC 40 5,982 5,806 -2.94%

DAX 13,249 12,982 -2.02%

Dow Jones 28,462 28,256 -0.72%

Nasdaq 8,946 9,151 2.29%

Nikkei 225 23,657 23,205 -1.91%

NYSE 13,876 13,614 -1.89%

S&P 500 3,221 3,226 0.13%

Straits Times 3,222 3,154 -2.13%

Taiwan Weighted 12,053 11,495 -4.63%

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Production: Naga Babu K

13

Source : ACE MF