INVESTMENT STRATEGY

MUTUAL FUND PORTFOLIOS

May 2024

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 May 2024

Equity Market Outlook

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 India outperforms most major global equity markets

India remained one of the best markets in 2023 and FY2024 among global markets and has been outperforming many of
its peers convincingly for the past two years despite various concerns.

Return in 2023 Return in FY2024

35% 50.0% 44.0%
28%
30% 24% 40.0%
25% 20% 28.6% 27.9%
19% 30.0% 24.9%
20%
14% 19.6%
15% 20.0%
7% -18.9%
10% 5.3%
4% 10.0% 4.2%
5% -7.1%
0% 0.0%
-5% -10.0%
-4%
-10%
-15% -20.0%
-14%
-20% -30.0%

Source: Sharekhan Research

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 Nifty: Healthy Returns despite major events in India and Globally

CY2016-2023 (8 years): Nifty returns of 15%

CAGR despite major events in India & globally Nifty
25,000

Major events include:

- Demonetisation 20,000

- GST implementation
15,000
- Ballooning bad loans in banks
- ILFS Fiasco leading to credit crunch 10,000

- Pandemic & global lockdown

5,000
- Russia-Ukraine conflict & supply side issues
- Record inflation & one of the most aggressive -
rate hike cycle in India & globally Dec'16 Dec'17 Dec'18 Dec'19 Dec'20 Dec'21 Dec'22 Dec'23

Source: Bloomberg, Sharekhan Research

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 Indian Economy
Primed for multi-year upcycle

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 Indian Economy: Set for a multi-year upcycle with all three growth engines firing

INFRASTRUCTURE
REAL ESTATE CORPORATE CAPEX
(Infra spendings remain a key
(Solid recovery after slumber) (Set for an expansion spree)
booster)
• Revival in property cycle to • Budgetary allocation for capex • Many large corporates have
sustain driven by a time has been going up set out a capacity expansion
correction in prices, better substantially for last couple of (including core sectors). Banks
affordability, reasonable years and supporting various are in better health now and
interest rates and need to industries capitalised to support credit
have bigger houses • The government looked at growth in the economy
• This has a positive impact on innovative ways like Nation • Private sector de-leveraging
many industries (such as steel, Asset Monetisation Plan to and better asset quality of
cement, building materials & support its ambitious target Rs banks to support expansion
other related sectors) and 111 tn investment under plans
generates employment across National Infrastructure • Intensity of corporate capex
income strata Pipeline (NIP). doubled in the range of Rs 24-
26 lakh crore vis-à-vis the past
five years

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 Real Estate set to grow ~2x faster than Indian Economy
Factors like improving per capita income, rapid urbanisation, family nuclearisation, increasing educated
workforce every year and most importantly improving affordability ratio to support real estate growth.

Source: Macrotech Developers; Sharekhan Research

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 Real Estate: Potential demand of 8-9 crore new houses over the next decade

Source: Macrotech Developers; Sharekhan Research, HH - Households

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 Corporate Investment Cycle: On a Cusp of a Multi-year Upcycle
• Visible revival in private capex along with sustained pick up in govt capex bodes well. A record capex
of Rs 26 lakh crore vis-à-vis Rs 10-12 lakh cr four years back will continue to foster momentum.
• Private sector de-leveraging and bank balance sheet back in shape to support expansion plans.

Source: Industry Reports, Sharekhan Research

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 Improving quality of government spending: Subsidy bill under control

Source: Sharekhan Research

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 Improving quality of government spending: Surge in capital allocation on infra

Source: Sharekhan Research

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 Path towards fiscal consolidation

Source: Sharekhan Research

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 Corporate Earnings
Double-digit earnings despite rate hikes

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 Nifty & Sensex: Strong Earnings Growth for 14 Quarters Now!

Nifty Cos Earnings Growth (% Y-o-Y)

120 112
100
100
80
60
37 32
40 27 24 29
21 22 23
11 16 14
20 9
0
-20 Q1FY21 Q2FY21 Q3FY21 Q4FY21 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Q3FY24

-40 -25

Sensex Cos Earnings Growth (% Y-o-Y)

80
70 66
60
50 41
40 35 33 30
30 25 24
24 20
20 13 15
8 12
10 2
0
-10 Q1FY21 Q2FY21 Q3FY21 Q4FY21 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Q3FY24
-20
-30 -21

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 Corporate Earnings: Nifty EPS on a high growth trajectory

• Nifty EPS: Consensus estimates suggest a 2.4x surge in Nifty EPS during FY2020 - FY2025 after a long period of muted growth in
earnings of Nifty companies (FY2014-2020).

1200
2.4x 1106
CAGR 19.6%
1000 945
847
800 772

600 525
484
454 444
406 415 397 426
400 348 369
315
281
236 251 247
200 169 184
131
73 78 92

Source: Company; Sharekhan Research

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 India Equity
Can’t be ignored by serious investors anymore

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 India’s share to world GDP growth at 15%: The second best and can not be ignored..

• Various economic reforms resulting in India’s healthy GDP growth led it to contribute 15% of
global incremental GDP growth, which is the second best in the world.
• This certainly augurs well for India in terms of attracting more FIIs flows.

Source: Industry Report, Sharekhan Research

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 India is fueled with high power among emerging nations..

India scores the best among key emerging nations based on October 2023 data. India scores better
in most parameters vis-à-vis key emerging nations including China, Brazil, Indonesia, among
others.

Source: Industry Report, Sharekhan Research

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 FII Flows: Can be Volatile & Unpredictable but 12-month rolling trend is a good indicator

• Weekly or monthly trend in FII flows can be very volatile and unpredictable.
• However, on a 12-month rolling basis, FII flows into India has turned positive in May’23 after a
long gap since December 2021. This gives some sense of trend for the next couple of months.

FIIs Flows (Rs cr)

300000.0

200000.0

100000.0

0.0
Apr-19

Oct-19

Apr-20

Oct-20

Apr-21

Oct-21

Apr-22

Oct-22

Apr-23

Oct-23
Aug-19

Aug-20

Aug-21

Aug-22

Aug-23
Jun-19

Jun-20

Jun-21

Jun-22

Jun-23
Dec-18

Dec-19

Dec-20

Dec-21

Dec-22

Dec-23
Feb-19

Feb-20

Feb-21

Feb-22

Feb-23
-100000.0

-200000.0

-300000.0

Source: Bloomberg, Sharekhan Research

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 Domestic SIP inflows: Emerged as key Source of Retail inflows in Equities

MF Industry witnessed more than 3.5x increase in no of

Avg. Monthly SIP Flows (Rs bn)
folios since 2014 (in cr)
180

160 153

140 130
120
104
100
83 80
77
80

60 56

40
37

20

0
FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24
YTM

Source: AMFI, Sharekhan Research

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 Resultantly domestic investors becoming more relevant in Indian markets

Source: AMFI, Sharekhan Research

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 India: Fastest growing large economy globally in CY2023/CY2024

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 India Growth Story Acknowledged Globally now
The Economist (May 5, 2022 Issue) Morgan Stanley- Asia Economics (Nov’22)

The Washington Post (Apr’23) S&C (July’23) Jefferies – Greed & Fear Strategy

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 Bond’s inclusion in GBI-EM to ensure whopping inflows of US$ 25-30 bn

• India is to join the index with 1% in June 2024. The weight will increase by 1% each month until 10% in
April 2025. India will be the second biggest EM country in the index, after China.
• Notably, this is likely to ensure India to see foreign inflows (into debt) at $25-30 bn. This will result
in a stable Indian Rupee and low cost of funding for India.
India has the lowest foreign ownership of government bonds among major EM countries

Source: Industry Report

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 India’s march Towards a $10-Trillion Economy
India GDP’s In $ tn
10 It took India 60 years since Independence to become one trillion-dollar
economy, but the next trillion dollars was added only in 7 years. The 3rd
trillion was added in just 5 years in 2019.

According to the report of the Centre for Economics and Business Research
(CEBR), India will become a $10 trillion economy by 2035.
3.5
3
2
Amrit Kaal: Envisioning India @2047
1

2007 2014 2019 2023 2035E

Per capita in $
3700.0

2256.6
2047.2
1559.9
1022.7

31-03-2007 31-03-2014 31-03-2019 31-03-2021 31-03-2027E

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Source: Industry reports and RBI
 Valuation
Markets saw sharp upmove in FY24 YTD, but
valuations still does not look to be out the
whack

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 Nifty witnessed sharp upmove in FY24 so far, but valuations nowhere close to all time high
Oct-21 Feb-24 Oct-21 Feb-24
Nifty EPS 582 950 CPI (%) 4.48 5.10
GST Collections (Rs. bn) 1300 1680 WPI (%) 13.83 0.27
Credit Growth (%) 6.3 15.5 10-year G-Sec Yields (%) 6.4 7.05
Manufacturing PMI 55.9 56.5 Brent Crude ($/bbl) 84.4 82.0
Services PMI 58.4 61.0 Fiscal Deficit (%) 6.4 5.8

Trailing PE
Trailing PE Nifty 22.6x
28.2x
22050
18,477

Source: Bloomberg, Sharekhan Research

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 Valuation: Not cheap anymore; sound earnings outlook to aid premium valuations
• The Nifty trades at 22.9x and 20.1x of FY24E and FY25E earnings, respectively, which is a modest premium vis-a-vis
long-term average multiples.

One-year forward PE chart of Nifty One-year forward PE chart of Sensex

31.0 31.0

28.0 28.0

25.0 25.0

22.0 22.0

19.0 19.0

16.0 16.0

13.0
13.0
10.0
10.0
Sep-16
Dec-16

Sep-17
Dec-17

Sep-18
Dec-18

Sep-19
Dec-19

Sep-20
Dec-20

Sep-21
Dec-21

Sep-22
Dec-22

Sep-23
Dec-23
Jun-16

Jun-17

Jun-18

Jun-19

Jun-20

Jun-21

Jun-22

Jun-23
Mar-17

Mar-18

Mar-19

Mar-20

Mar-21

Mar-22

Mar-23

Sep-16
Dec-16

Sep-17
Dec-17

Sep-18
Dec-18

Sep-19
Dec-19

Sep-20
Dec-20

Sep-21
Dec-21

Sep-22
Dec-22

Sep-23
Dec-23
Jun-16

Jun-17

Jun-18

Jun-19

Jun-20

Jun-21

Jun-22

Jun-23
Mar-17

Mar-18

Mar-19

Mar-20

Mar-21

Mar-22

Mar-23
+1 sd PER Avg PER -1 sd +1 sd PER Avg PER -1 sd

Source: Bloomberg; Sharekhan Research

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 Disciplined investment pays off irrespective of market levels..

 Our analysis shows that if an unfortunate investor had invested Rs 1 Lakh every year since 1992 at the
Sensex’s highest level in that year, her investment would have become Rs 2.3 crore -- reflecting a CAGR
return of little over 11%.
 It is important to invest in disciplined manner rather than try and time the markets

Rs 1 lakh investment at market’s top of every year since 1992

Investment Value (Rs)
2,50,00,000 2,30,12,216

2,00,00,000

1,50,00,000

1,00,00,000

50,00,000

-
CY 1992
CY 1993
CY 1994
CY 1995
CY 1996
CY 1997
CY 1998
CY 1999
CY 2000
CY 2001
CY 2002
CY 2003
CY 2004
CY 2005
CY 2006
CY 2007
CY 2008
CY 2009
CY 2010
CY 2011
CY 2012
CY 2013
CY 2014
CY 2015
CY 2016
CY 2017
CY 2018
CY 2019
CY 2020
CY 2021
CY 2022
CY 2023
Source: Sharekhan Research

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 Big Opportunity: Multi-year economic upcycle in India

• The benchmarks, Nifty and Sensex, seem to have slipped into a consolidation zone of
800-1000 points. It is always good if the markets get time to take a breather and absorb
gains of the recent rally. Generally, there is sector rotation too during the consolidation
phase and gives time to investors to readjust the portfolio.
• The quarterly results season turned out to be a mixed bag. The IT services companies
have disappointed and the outlook is also quite muted. Other sectors such as
speciality chemicals and signs of slowdown in discretionary consumption has also led
to cut in earnings estimates in many stocks. On the other hand, banks have done quite
well along with companies in core sectors like cement, auto among others.
• We are close to the finishing line for the general elections. The likelihood of the NDA
alliance coming back to power is still quite high and the policy framework is likely to
continue for the next five years. However, there could be some volatility closer to the
counting day. Investors should latch on to any volatility post the elections, resulting
from a lower-than-expected tally for the ruling party.
• More importantly, investors should focus on the BIG PICTURE of multi-year growth
upcycle in Indian economy & corporate earnings. Stay invested in right quality of stocks
and do not miss out the opportunity to make handsome returns over the next 2-5 years.
In the near term, the beginning of the rate cut cycle in the US and India is a key potential
trigger for markets.
• It is time spent in the market that is important than timing the market.

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 DEBT/ FIXED INCOME UPDATE & OUTLOOK

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 Consumer Price Index (CPI) Inflation
CPI based Inflation (YoY %)
8% 7.44%
6.83%
7%
5.55% 5.69%
6% 5.10% 5.09%
4.87% 5.02% 4.87% 4.85% 4.83%
4.70%
5% 4.31%
4%
3%
2%
Apr-23 May-23 Jun-23 Jul-23 Aug-23 Sep-23 Oct-23 Nov-23 Dec-23 Jan-24 Feb-24 Mar-24 Apr-24

The headline inflation remains steady at 4.83% in Apr-24 compared to CPI inflation of 4.85% in the previous month. This is the eighth
consecutive month with CPI inflation trending below the RBI’s upper band tolerance level of 6%.

• Food & Beverages, which have the highest weight of 54.2% in CPI remain stable at 7.87% in Apr-24 as compared to 7.68% in the
previous month. Double-digit inflation continues in pulses (16.84%) and vegetables (27.80%). The inflation in Meat & fish and fruits
increased whereas the inflation in spices and vegetables eased and helps to keep overall inflation at stable. The contraction in oil
and fats continues and provide relief to the overall food inflation.
• Core inflation remains below the RBI’s target level of 4% for fifth consecutive months and this can be attributed to disinflation in
services and goods.

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 Index of Industrial Production (IIP)
The IIP growth eased to 4.9% compared to 5.6% in the previous month and after the upward rally of last four months. This ease in IIP
growth was attributed to unfavorable base effect as the month-on-month ]IIP growth was at 8.23% compared to negative growth of -
4.17% in the previous month.

• Mining:- The mining activity moderated to 18 month low of 1.2% in Mar-24 GROWTH IN SECTORAL
compared to growth of 8.1% in the previous month and this can be attributed to
Jan-24 Feb-24 Mar-24
unfavorable base effect as the month-on-month basis the activity accelerated by
11.7%. MINING 5.9% 8.1% 1.2%
MANUFACTURING 3.6% 4.9% 5.2%
• Manufacturing:- It has the highest weightage of (77.6%) in the IIP. The activity grew ELECTRICITY 5.6% 7.5% 8.6%
GENERAL 4.1% 5.6% 4.9%
by 5.2% in Mar-24 as compared to 4.9% in the previous month. among the major
GROWTH IN USE-BASED CLASSIFICATION
manufacturing items, the “Manufacture of basic metals” that has a weight of 12.8%
PRIMARY GOODS 2.9% 5.9% 2.5%
grew by 7.7% and “Manufacture of pharmaceuticals, medicinal chemical and
CAPITAL GOODS 3.4% 1.0% 6.1%
botanical products” that has a weight of 4.98% grew by 16.7%. These two are the
INTERMEDIATE GOODS 5.3% 8.7% 5.1%
major contributors to the IIP growth index. Of the total 23 industries, 8 have
INFRASTRUCTURE/
recorded negative growth and others are in double digits or in positive growth. CONSTRUCTION GOODS
5.5% 8.5% 6.9%

CONSUMER DURABLES 11.9% 12.4% 9.5%

• Electricity:- The electricity growth is in upward trend from last four months and CONSUMER NON-DURABLES -0.2% -3.5% 4.9%
accelerated to 8.6% in Mar-24 compared to growth of 7.5% in the previous month. Source: MOSPI, Sharekhan Research

Durable and broad-based improvement in consumption sectors remain crucial for industrial activity. The consumption scenario remained
mixed with urban demand showing resilience while the rural demand continued to lag. As the retail inflation is moderating and
expectation of a normal monsoon are positives for the overall consumption scenario.

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 Wholesale Price Index (WPI) Inflation
WPI Inflation (YoY %)
3.00%
2.00% 1.26%
0.86%
1.00% 0.39% 0.33% 0.53%
-0.07% 0.20%
-0.46% -0.26%
0.00% -0.79%
Apr-23 May-23 Jun-23 Jul-23 Aug-23 Sep-23 Oct-23 Nov-23 Dec-23 Jan-24 Feb-24 Mar-24 Apr-24
-1.00%
-1.23%
-2.00%
-3.00% -3.61%
-4.18%
-4.00%
-5.00%

WPI inflation move to 13 month high of 1.26% in Apr-24 as compared to 0.53% in the previous month and this can be attributed to
high prices in food articles as it move from 6.88% to 7.74% and fuel & power from -0.77% to 1.38%.
• Inflation in primary articles which has the weight of 22.6% in the WPI increased by 5.01% in Apr-24 compared to 4.51% in the
previous month. The food inflation grew by 7.74% and is in this range from last four months. There is a significant spike in
potato at 72%, onion at 60% and vegetables at 23.6%. All the other categories remain stable.
• The inflation in fuel & power move to positive trajectory at 1.38% after a period of 12 months but the contraction in
manufactured products continues from last 14 months, although the pace of contraction is reducing.

34 www.sharekhan.com
 Debt Market Wrap
Liquidity: The RBI will remain nimble and flexible in liquidity management
• The weighted average call rate currently hovering around the repo rate but the RBI’s record dividend could improve system liquidity and helps to
ease the yields.

• Banking system liquidity moved to deficit during May 2024 as compared to the previous month. The system liquidity ranged from Rs.-0.77 Lakh
crore to Rs.-2.55 Lakh crore as compared to the average liquidity of Rs.0.22 Lakh crore in April 2024. This liquidity deficit in the banking system is
attributed to GST outflow and government spending.

Bond prices & other updates

• The new 10-year 7.26% 2033 G-Sec yield settled at 7.06% on May 23, 2024 as compared to average yield of 7.18% in the previous month. The
softening in inflation and recent announcement of RBI’s dividend helps to ease yield pressure.

• The RBI approved a dividend of Rs.2.11 Lakh crore for the central government for FY24 and this is 141% higher than in FY23. This record dividend
would help the government to meet its fiscal deficit target for FY25. This higher-than-expected dividend is likely to improve liquidity in the
banking system and help to ease the bond yield pressure.

• IIP growth eased to 4.9% compared to 5.6% in the previous month and after the upward rally of last four months. The consumption scenario
remained mixed with urban demand showing resilience while the rural demand continued to lag. As the retail inflation is moderating and
expectation of a normal monsoon are positives for the overall consumption scenario.

• Headline inflation remains steady at 4.83% in Apr-24 compared to CPI inflation of 4.85% in the previous month. This is the eighth consecutive
month with CPI inflation trending below the RBI’s upper band tolerance level of 6%. The core inflation continues to remain below the RBI’s target
level of 4% for fifth consecutive months and this can be attributed to disinflation in services and goods.

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 Debt Market Outlook
The yield would ease from this level due to inclusion in JP Morgan index and fiscal consolidation

- The RBI approved a dividend of Rs.2.11 Lakh crore for the central government for FY24. This record dividend would help to meet fiscal deficit
target for FY25 and improve banking system liquidity. This would help to ease bond yield pressure.

- Improvement in fiscal deficit due to recent dividend by RBI, the CPI inflation is also trending below the upper band tolerance level of 6%
from last eight months and inclusion of Indian bond in JP Morgan bond index would help to ease bond yield pressure.

- Considering the current growth momentum and inflation dynamics, the RBI is likely to keep the repo rate on hold in upcoming policy. The
rate cut cycle could start later in the year when the inflation move closer to the RBI’s medium-term target of 4% and growth start to slow.

Investment Strategy

• For the medium to long term, we have been advising to increase exposure to duration funds (5-12 years modified duration) including gilt
funds. We are close to the peak of the interest rate upcycle and the bond yield could ease from this level due to inclusion in the JP Morgan
Bond Index and fiscal consolidation. This would provide decent returns in duration funds.

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 Gilt Funds
YTM Macaulay Performance
AUM
Gilt Schemes Apr-24 Duration
(In Crs)
(%) (Years) 6 Months 1 Year 2 Years 3 Years
Bandhan Government Securities Fund Investment Plan - Reg - Growth 2,197 7.4 12.07 6.7 8 7.8 5.2
Aditya Birla Sun Life GSec Fund - Reg - Growth 1,792 7.4 9.16 5.5 7.4 7.5 5.3
Kotak Gilt Fund - Growth 3,419 7.4 8.65 4.6 6.8 7.2 5.1
ICICI Prudential Long Term Bond Fund - Growth 816 7.6 7.31 5.5 6.5 7.8 4.2
(Performance as on 22 May 2024)

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 MUTUAL FUND MODEL PORTFOLIOS

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 MUTUAL FUND MODEL PORTFOLIOS | AGGRESSIVE PORTFOLIO

Portfolio Composition
AMC SCHEME NAME
LARGE CAP
Mid &
Kotak Kotak Bluechip Fund Large Cap Flexi Cap
Small Cap
ICICI ICICI Prudential Bluechip Fund 40% 35%
25%
Mirae Asset Mirae Asset Large Cap Fund
MID CAP
Kotak Kotak Emerging Equity Fund
Edelweiss Edelweiss Mid Cap Fund Minimum time horizon: 5 years
Mirae Asset Mirae Asset Mid Cap Fund Review frequency: 6 months
Small CAP
HSBC HSBC Small Cap Fund
Aggressive Investor
HDFC HDFC Small Cap Fund You are ready to take high risks, and very easily adapt when
Flexi Cap things don't go as you had planned, financially. Your objective
HDFC HDFC FlexiCap Fund is to get the highest return possible in the long term, and you
Franklin Franklin India Flexi Cap Fund accept the ups and downs along the way

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 MUTUAL FUND MODEL PORTFOLIOS | MODERATE PORTFOLIO
Portfolio Composition

AMC SCHEME NAME

Mid &
LARGE CAP Large Gilt & Dynamic
Small
Kotak Kotak Bluechip Fund Cap Bond
Cap
40% 40%
ICICI ICICI Prudential Bluechip Fund 20%
Mirae Asset Mirae Asset Large Cap Fund
MID CAP
Kotak Kotak Emerging Equity Fund
Edelweiss Edelweiss Mid Cap Fund
Minimum Time Horizon: 3 years
Mirae Asset Mirae Asset Mid Cap Fund Review Frequency: 12 months
Small CAP
HSBC HSBC Small Cap Fund
HDFC HDFC Small Cap Fund Moderate Investor
You are an average risk taker, and try to adapt when
Gilt & Dynamic bond
things don't go as you had planned, financially. Your
Kotak Kotak Gilt Fund – Growth long term objective is to get a better return than a
ICICI ICICI Prudential All Seasons Bond Fund Fixed Deposit, net of tax, even if the short term
Mirae Asset Mirae Asset Dynamic Bond Fund performance could sometime be below expectations

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 MUTUAL FUND MODEL PORTFOLIOS | CONSERVATIVE PORTFOLIO

Portfolio Composition

AMC SCHEME NAME Corporate

Gilt & Dynamic
Corporate Bond & Short Duration Bond &
Dynamic Asset
Short
Aditya Birla Sun Life Aditya Birla Sun Life Corporate Bond Fund Bond Allocation
Duration
30% 20%
ICICI Prudential ICICI Prudential Corporate Bond Fund 50%

Kotak Kotak Bond Short Term Fund

HDFC HDFC Short Term Fund
Gilt & Dynamic Bond
Minimum Time Horizon: 3 years
Kotak Kotak Gilt Fund – Growth Review Frequency: 12 months
ICICI ICICI Prudential All Seasons Bond Fund
Mirae Asset Mirae Asset Dynamic Bond Fund
Dynamic Asset Allocation Conservative Investor
You are unwilling to take risks, and get very uneasy when
ICICI ICICI Prudential Balanced Advantage Fund
things don't go as you had planned, financially. Your long
Edelweiss Edelweiss Balanced Advantage Fund term objective is to try to get a slightly better return than
Mirae Asset Mirae Asset Balanced Advantage Fund a fixed deposit, net of tax.

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 MUTUAL FUND MODEL PORTFOLIOS | Regular Income Basket

Portfolio Composition
AMC SCHEME NAME
Dynamic Asset Allocation
Dynamic Asset Equity
ICICI Prudential ICICI Prudential Balanced Advantage Fund Allocation Savings
HDFC HDFC Balanced Advantage Fund 70% 30%

Edelweiss Edelweiss Balanced Advantage Fund

Mirae Asset Mirae Asset Balanced Advantage Fund
Equity Savings
Minimum Time Horizon: More than 5 years
Mirae Asset Mirae Asset Equity Savings Fund Review Frequency: 12 months
HDFC HDFC Equity Savings Fund

Reasons to select SWP option than dividend option to get regular income Investor
SWP Dividend You are investing lumpsum amount and want regular
Withdrawal Amount Regular income amount is Fixed Dividend amount is not fixed income from investment. You are ready to take some risk.
Investor can change in regular income Dividend frequency is at the discretion of the
Flexibility
amount at any time fund house
Captail gains on investments withdrawn
Taxation Tax as per income slab for dividend income
are taxed as per equity taxation

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 MUTUAL FUND MODEL PORTFOLIOS | Build India Basket
SCHEME NAME Objective Riskometer
Thematic Funds
UTI Transportation and Invest predominantly in equity and equity related securities of companies engaged in Portfolio Composition
Very High
Logistics Fund the transportation and logistics sector
ICICI Prudential Invest predominantly in equity and equity related securities of companies engaged in
Very High
Manufacturing Fund manufacturing theme
The investment objective of the scheme is to seek to generate long term capital Thematic/ Flexi
Mirae Asset Healthcare
appreciation through investing in equity and equity related securities of companies Very High Sectoral Cap
Fund
benefitting directly or indirectly in Healthcare and allied sectors in India 80% 20%
Sectoral Funds- Infrastructure
ICICI Prudential Invest predominantly in equity and equity related securities of companies belonging
Very High
Infrastructure Fund to the infrastructure.
Flexi Cap Funds
The investment objective of this scheme is to provide growth of capital plus regular
Franklin India Flexi Cap Fund dividend through a diversified portfolio of equities, fixed income securities and Very High Minimum Time Horizon: 5 years
money market instruments. Review Frequency: 12 months
To generate capital appreciation / income from a portfolio, predominantly invested in
HDFC Flexi Cap Fund Very High
equity & equity related instruments
Corpus
Scheme Name Category 1 Year 3 Years 5 Years
(In crs.)
ICICI Prudential Manufacturing Fund - Reg – Growth Thematic 3,883 70.8 31.4 26.5
Investor
You are ready to take high risk and want
UTI Transportation and Logistics Fund - Growth Thematic 3,280 58.2 28.4 22.3
to participate in growth story through
Mirae Asset Healthcare Fund - Reg – Growth Sectoral-Pharma 2,236 52.8 14.1 25.7 thematic and sectoral schemes.
ICICI Prudential Infrastructure Fund - Growth Sectoral-Infra 5,005 69.4 39.3 28.5
HDFC Flexi Cap Fund - Growth Flexi Cap 52,874 42.8 25.3 20.1
Franklin India Flexi Cap Fund - Growth Flexi Cap 15,267 43.7 22 20.2
(Performance as on 22 May 2024)

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 MUTUAL FUND MODEL PORTFOLIOS | Go Global Basket
International
Scheme Name Objective Riskometer
Allocation
Portfolio Composition
International Schemes
The investment objective of the scheme is to generate
returns, before expenses, that are commensurate with the
Mirae Asset S&P 500 Top 50 ETF FOF 100% Very High MF Schemes
performance of the S&P 500 Top 50 Total Return Index,
subject to tracking error and forex Movement with
International
International
80%
The investment objective of the scheme is to provide long- allocation
Kotak NASDAQ 100 Fund of Fund 100% term capital appreciation by investing in units of overseas Very High 20%
ETF's and/ or Index Fund based on NASDAQ 100 TRI.
ICICI Prudential US Bluechip Equity Investing predominantly in securities of large cap
100% Very High
Fund companies listed in the United States of America.
MF Schemes with International Allocation
Axis Growth Opportunities Fund -
17%
Investing in a diversified portfolio of Equity & Equity Related
Very High
Minimum Time Horizon: 5 years
Reg – Growth Instruments both in India as well as overseas Review Frequency: 12 months
Investing in diversified portfolio comprising primarily of
SBI Magnum Global Fund – Growth 17% Very High
MNC companies.
Corpus Investor
Scheme Name 1 Year 3 Years 5 Years
(In crs.) You are ready to take high risk and
International Schemes want to invest in international schemes.
Kotak NASDAQ 100 Fund of Fund - Reg – Growth 2,892 35.4 16.2 --
ICICI Prudential US Bluechip Equity Fund – Growth 3,056 19.1 11.3 17.1
Mirae Asset S&P 500 Top 50 ETF Fund of Fund - Reg – Growth 532 43.3 -- --
MF Schemes with International Allocation
Axis Growth Opportunities Fund - Reg - Growth 12,097 39.4 19.8 22.2
SBI Magnum Global Fund - Growth 6,299 15 12.1 15.7
(Performance as on 22 May 2024)

44 www.sharekhan.com
 SCHEME SELECTION AND INVESTING

Funds we Like (click here)

SIP we Like (click here)

One Click SIP (click here)

Talk to your Investment Specialist or Mutual Fund Specialist

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 DISCLAIMER
This document is meant for sole use by the recipient and not for circulation. The information contained in this report is intended for general information purposes only. The information published should not be used as a substitute
for any form of investment advertisement, investment advice or investment information. The information in this report has not been prepared taking into account specific investment objectives, financial situations and needs of
any particular investor, and therefore may not be suitable for you. You should verify all scheme related information before relying on it. Further, the selection of the Mutual Funds for the purpose of including in the indicative
portfolio does not in any way constitute any recommendation by Sharekhan Limited with respect to the prospects or performance of these Mutual Funds. We recommend investors to seek advice from professional financial
advisors.

• Mutual funds, like securities investments, are subject to market and other risks and there can be no assurance that the objectives of any of the schemes of the Fund will be achieved. Please read the Offer Document carefully
in its entirety prior to making an investment decision.

• The NAV of units issued under the Schemes of mutual funds can go up or down depending on the factors and forces affecting capital markets and may also be affected by changes in the general level of interest rates. The
NAV of the units issued under the scheme may be affected, inter-alia by changes in the interest rates, trading volumes, settlement periods, transfer procedures and performance of individual securities. The NAV will inter-
alia be exposed to Price / Interest Rate Risk and Credit Risk.

• Past performance of any scheme of the Mutual fund do not indicate the future performance of the Schemes of the Mutual Fund. Sharekhan shall not responsible or liable for any loss or shortfall incurred by the investors.

• Investors are not being offered any guaranteed or assured rate of return through this document.

Sharekhan and/or its associates receive commission for distribution of Mutual Funds from various Asset Management Companies (AMCs) and the details of the commission rates earned from various Mutual Fund houses are
available on our website. Sharekhan or its associates may have received commission from AMCs whose funds are mentioned in the report during the period preceding twelve months from the date of this report for distribution of
Mutual Funds. Sharekhan also provides stock broking services to institutional clients including AMCs and hence may have received brokerage for security transactions done by any of the above AMCs during the period preceding
twelve months from the date of this report.

As per the Equity Linked Savings Scheme, 2005, investments made under the scheme qualify for tax benefits under Section 80C of Income Tax Act, 1961, and shall be locked-in for a period of 3 years from the date of allotment of
units.

Sharekhan may offer or distribute Mutual Fund schemes of BNP Paribas Asset Management India Private Limited as both entities are part of the same group BNP Paribas SA.

Compliance Officer: Ms. Binkle R. Oza; Tel: 022-62263303; e-mail: complianceofficer@sharekhan.com Contact: myaccount@sharekhan.com

Registration and Contact Details: Name of Research Analyst - Sharekhan Limited, Research Analyst Regn No.: INH000006183. (CIN): - U99999MH1995PLC087498. Registered Office: The Ruby, 18th Floor, 29 Senapati Bapat Marg,
Dadar (West), Mumbai – 400 028, Maharashtra, INDIA. Tel: 022-67502000. Correspondence Office: Gigaplex IT Park, Unit No 1001, 10th floor, Building No.9, TTC Industrial Area, Digha, Airoli-West, Navi Mumbai – 400 708.
Tel: 022 61169000 / 61150000, Fax No. 61169699. Other registrations of Sharekhan Ltd.: SEBI Regn. Nos.: BSE / NSE / MSEI (CASH / F&O / CD) / MCX - Commodity: INZ000171337; DP: NSDL/CDSL-IN-DP-365-2018; PMS:
INP000005786; Mutual Fund: ARN 20669. BSE – 748, NSE – 10733, MCX – 56125, MSEI – 1043. Compliance Officer: Ms. Binkle R. Oza; Tel: 022-62263303; email id: complianceofficer@sharekhan.com; For any
complaints/grievance, email us at igc@sharekhan.com or you may even call Customer Service desk on - 022-41523200/022 – 33054600.

46 www.sharekhan.com