Indian markets have finally come of age with the bourses barreling past new records. As the future of the Indian market looks very optimistic, the vital question on every investor`s mind is which is the sector that would outshine others in the coming months? Investors with a long-term view and intending to invest in growing sectors of the economy, SBI Magnum Multiplier Fund may just be the fund that they might be scouting for.
SBI Magnum Multiplier Fund, which was launched in February 1993, is an open-ended diversified scheme that seeks long term capital appreciation through aggressive investments in equities. As the fund manager Jayesh Shroff puts it ``Magnum Multiplier Fund is an aggressive diversified fund which takes large exposure to growth sectors. As it is an aggressive fund we tend to restrict the number of active stocks in the portfolio to around 30 stocks``.
On the returns front, the fund has consistently outpaced its benchmark BSE-100 index. As on Oct. 31, 2007 the fund`s 6-month and 1-year returns was 47.11% and 65.57% respectively as compared with its benchmark `s 46.44% and 57.36% returns respectively. Magnum Multiplier`s 2-year and 3-year returns on the same date stands at 63.80% and 70.84% respectively as against BSE-100`s 58.05% and 50.72%.
The portfolio of the fund is fairly diversified with about 30 stocks of which top ten stocks account for approximately 60% of the fund`s AUM. Manufacturing, Capital Goods, and Financial services are the top three sectors the fund has invested in. Kotak Mahindra Bank, Thermax and Crompton Greaves are the top three stock of the portfolio. The fund has a Sharpe ratio (a measurement of the performance of the fund in relation to the risk taken) of 2.20 and a Beta of 0.92 (Beta is the measure of a portfolio`s volatility in comparison to the market. A Beta of less than 1 is considered less risky).
However, it cannot be left unnoticed that not a single IT stock has managed to make it to the fund`s top ten stocks. When quizzed about the same Jayesh Shroff, added `` Till the time rupee keeps appreciating we may see IT stocks remaining under pressure. Fundamentally the Indian outsourcing story is still very compelling.``
The fund has stuck to its investment theme of being a truly diversified equity fund with investments across all growing sectors. The fund has increased its exposure to HT Media in the media sector, Godrej Consumer products in the FMCG sector, Jet Airways in the aviation sector, Blue Dart in the logistics sector.
Talking about the fund`s stock picking strategy Jayesh Shroff, explains, ``True to the fund`s philosophy, the primary requirement is that the stock should have high growth potential. Besides this ofcourse we would look at parameters like the financials, management quality etc.``
India is now growing at a tremendous pace, with the world setting its eye on her. In this booming economy, investor should be astute enough to invest in different sectors rather than one particular sector. The SBI Magnum Multiplier Plus may be just what the doctor ordered for you at this growing stage of the Indian economy.
SBI Magnum Multiplier Fund, which was launched in February 1993, is an open-ended diversified scheme that seeks long term capital appreciation through aggressive investments in equities. As the fund manager Jayesh Shroff puts it ``Magnum Multiplier Fund is an aggressive diversified fund which takes large exposure to growth sectors. As it is an aggressive fund we tend to restrict the number of active stocks in the portfolio to around 30 stocks``.
On the returns front, the fund has consistently outpaced its benchmark BSE-100 index. As on Oct. 31, 2007 the fund`s 6-month and 1-year returns was 47.11% and 65.57% respectively as compared with its benchmark `s 46.44% and 57.36% returns respectively. Magnum Multiplier`s 2-year and 3-year returns on the same date stands at 63.80% and 70.84% respectively as against BSE-100`s 58.05% and 50.72%.
The portfolio of the fund is fairly diversified with about 30 stocks of which top ten stocks account for approximately 60% of the fund`s AUM. Manufacturing, Capital Goods, and Financial services are the top three sectors the fund has invested in. Kotak Mahindra Bank, Thermax and Crompton Greaves are the top three stock of the portfolio. The fund has a Sharpe ratio (a measurement of the performance of the fund in relation to the risk taken) of 2.20 and a Beta of 0.92 (Beta is the measure of a portfolio`s volatility in comparison to the market. A Beta of less than 1 is considered less risky).
However, it cannot be left unnoticed that not a single IT stock has managed to make it to the fund`s top ten stocks. When quizzed about the same Jayesh Shroff, added `` Till the time rupee keeps appreciating we may see IT stocks remaining under pressure. Fundamentally the Indian outsourcing story is still very compelling.``
The fund has stuck to its investment theme of being a truly diversified equity fund with investments across all growing sectors. The fund has increased its exposure to HT Media in the media sector, Godrej Consumer products in the FMCG sector, Jet Airways in the aviation sector, Blue Dart in the logistics sector.
Talking about the fund`s stock picking strategy Jayesh Shroff, explains, ``True to the fund`s philosophy, the primary requirement is that the stock should have high growth potential. Besides this ofcourse we would look at parameters like the financials, management quality etc.``
India is now growing at a tremendous pace, with the world setting its eye on her. In this booming economy, investor should be astute enough to invest in different sectors rather than one particular sector. The SBI Magnum Multiplier Plus may be just what the doctor ordered for you at this growing stage of the Indian economy.
No comments:
Post a Comment