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KARVY’s
December, 2016
INVESTOR JOURNAL
www.karvyvalue.com
What’s InsideMarket Review
Page 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 11
Global Markets at a GlancePage 12
Indices WatchPage 13
Highlights of the Month » In a surprise move intended to eliminate black money and the growing menace of
counterfeit currency notes, the Union government on Nov 8, withdrew currency notes of Rs 500 and Rs 1,000 denominations. These account for over 80% of all currency in circulation by value.
» The GST tax structure has finally been decided with the Centre and states reaching an agreement on the subject. In a major breakthrough, the GST Council on Thursday announced a 4-tier tax structure at - 5 per cent, 12 per cent, 18 per cent and 28 per cent. It is yet unclear as to what items on your household budget could cost more and what could be cheaper. However, it is likely that most of the essential goods like cooking oil, food grains and even toothpaste will attract zero tax under the new regime. Meanwhile, items like tobacco products, pan masala, aerated drinks and luxury cars would fall under the highest tax slab of 28 per cent including an additional cess for a period of five years. This, according to sources, will amount to a total of 40-65 per cent tax on these products. According to Finance Minister Arun Jaitley, the new tax structure would allow items that are currently taxed at rates close to the announced rates to be adjusted accordingly.
» Indicating a sharp uptick in industrial activity, the Nikkei India Manufacturing Purchasing Managers’ Index (PMI) rose to a 22-month peak in October of 54.4 against 52.1 in September. An index reading above 50 reflects expansion; a marking below it points to contraction.
» The 44 mutual fund companies operating in India now own more stocks than the Life Insurance Corporation of India (LIC), thanks to six months of continued inflows into equity funds and a change in the investment strategy at India’s largest life insurer. This is the first time the mutual funds have held more Indian equities than LIC.
» The Centre has raised Rs 15,585 crore by selling back a portion of its shares in NMDC, Coal India, MOIL, Bharat Electronics and Nalco, taking the disinvestment revenue to Rs 21,401 crore so far in FY17.
» Reliance Nippon Life Asset Management will manage all the schemes of Goldman Sachs Mutual Fund from November 5. Reliance Nippon Life Asset Management, in October 2015, announced takeover of global giant Goldman Sachs Mutual Fund business in India for Rs 243 crore in an all-cash deal.
» Investors may need to tweak their debt investment strategy as falling interest rates have taken the sheen off traditional fixed deposits. Financial advisors say the 15-25% decline in interest income from fixed deposits requires investors to spread investments to non-convertible debentures (NCDs) and debt mutual fund schemes to boost returns. Those who rely on interest income from fixed deposits to meet their monthly expenses have been hit the most because of easing rates.
» Industrial production grew a meager 0.7% in September mainly due to poor show by manufacturing and mining sectors coupled with decline capital goods output.
KARVY’sINVESTOR JOURNAL
Fund of the MonthIDBI INDIA TOP 100 EQUITY FUND(G)
To provide investors with opportunities
fro long-term growth in capital through active...December, 2016
Page 04
INVESTOR JOURNALDecember, 2016
Market Review
Bond markets are rallying on the expectation that demonetization
process will flood liquidity into the system. Additionally latest Inflation print suggests that softening of food prices helped ease wholesale and retail inflation which increases the prospects for further rate cut in the ongoing fiscal.
October CPI Inflation eased to 4.20% vis-a-vis 4.39% in the last month. October WPI inflation eased to 4-month low of 3.39% as against 3.57% in Sep-16 as food articles, led by vegetables, witnessed softening of prices. Core WPI however, edged up to 1.02% from 0.65% in the previous month as seen in the core CPI reading.
INR ended the month of Nov at 66.61 against the USD.
Sensex and Nifty both were down by 4.61% and 4.79% respectively.
In the corresponding period, FIIs were net sellers in Equity segment worth around 17,376.56 Crores and in Debt segment worth 20,046.33 Crores respectively.
Mutual Funds were net buyers in Equity to the tune of 13,159.30 Crores and in debt up to 9,665.50 Crores.
1.Foreign Trade: The country’s merchandise exports stood at USD 23.51 billion in Oct’16 as against USD 21.46 billion recorded in Oct’15, recording a growth of 9.59% Y-o-Y.
The country’s merchandise imports bills eased to USD 33.67 billion in Oct’16 from USD 31.15 billion recorded a year ago.
Oil imports displayed a growth on a Y-o-Y basis of 3.98% to USD 7.14 billion in Oct’16. Oil imports constituted around 21% of the total imports during the month.
The non-oil imports grew by 9.28% in Oct’16 to USD 26.53 billion vis-à-vis non-oil imports of USD 24.28 billion recorded in the month of October of the previous fiscal.
2.Inflation:
Wholesale Price Index‐ based inflation eased to 3.39% year-on-year in October, following a 3.57% gain in September.
Food inflation, which was 5.75% in September eased to 4.34% in Oct’16.
The fuel inflation rose by 6.18% in Oct’16 from 5.58% in the month of Sep’16.
CPI inflation stood at 4.20% in Oct’16 from 4.39% in the month of Sep’16.
3.Index of Industrial Production (IIP):
Index of Industrial Production (IIP) for Sep’16 grew marginally by 0.73% against a rise of 0.74% in previous month.
Manufacturing production in India grew by 0.91% for Sep’16 compared to 0.27% rise in previous month.
Basic Goods grew at 3.99% in Sep’16 compared to 3.18% recorded a month ago.
Capital goods grew by 13.97% in Sep’16 against contraction of 1.05% in previous month.
Among the BSE sectoral indices, Metal and Power were the major gainers which ended the month up by 3.70% and 1.01% respectively while Realty, Consumer Durables and Auto were the major losers ending the month down by 17.42%, 11.58% & 9.13% respectively.
Among the NSE sectoral indices, VIX, Metal and IT were the major gainers which ended the month up by 15.00%, 4.50%, and 0.39% respectively while major indices Reality, Media and Auto ended the month in the negative territory, falling by 20.24%, 10.54% & 9.38% respectively.
Among the Major Asian Indices, it was a positive month for Nikkei which ended up by 4.94% whereas Hangseng was down by 0.72%.
It was not a bad month for all Major European indices with CAC-40 ending up by 0.65% and DAX ending down by 0.52% respectively.
It was a positive month for all Major American Indices with Dow Jones, NYSE and S&P 500 ending up by 5.30%, 3.45%, and 3.40% respectively.
Among the major indices across the world, Bovespa, Brazilian index had a great month, going up by 5.30%.
Apart from FII and MF activity, Key domestic data released in the month of November were:
1
INVESTOR JOURNALDecember, 2016
S&P BSE SENSEXDate Close Price Points Diff %age Change
28-Oct-16 27941.51
4-Nov-16 27274.15 -667.36 -2.39%
15-Nov-16 26304.63 -969.52 -3.55%
21-Nov-16 25765.14 -539.49 -2.05%
25-Nov-16 26316.34 551.20 2.14%
Nov-16 26652.81 336.47 1.28%
-4.61%
CNX Nifty IndexDate Close Price Points Diff %age Change
28-Oct-16 8638
4-Nov-16 8433.75 -204.25 -2.36%
15-Nov-16 8108.45 -325.30 -3.86%
21-Nov-16 7929.1 -179.35 -2.21%
25-Nov-16 8114.3 185.20 2.34%
Nov-16 8224.5 110.20 1.36%
-4.79%
Sensex & Nifty:
MF Activity: (Month Between 01-Nov-2016 to 30-Nov-2016)
EquityDate Gross Purchase (Cr.) Gross Sale (Cr.) Net (Cr.)
3-Nov-16 1,802.20 1,393.00 409.20
8-Nov-16 1,491.40 1,289.50 201.90
15-Nov-16 3,578.10 3,678.40 -100.30
22-Nov-16 1,611.70 696.10 915.60
29-Nov-16 1,489.00 1,152.10 336.90
Nov-16 40,760.00 27,600.70 13,159.30
DebtDate Gross Purchase (Cr.) Gross Sale (Cr.) Net (Cr.)
3-Nov-16 4,433.10 4,161.50 271.60
8-Nov-16 9,225.70 13,883.70 -4,658.00
15-Nov-16 7,832.10 5,232.20 2,599.90
22-Nov-16 5,647.90 3,769.40 1,878.50
29-Nov-16 9,704.70 6,392.50 3,312.20
Nov-16 126,899.70 117,234.20 9,665.50
2
FII Activity: (Month Between 01-Nov-2016 to 30-Nov-2016)
EquityDate Gross Purchase (Cr.) Gross Sale (Cr.) Net (Cr.)
3-Nov-16 3,827.03 3,754.00 73.03
9-Nov-16 5,175.86 7,220.38 -2,044.52
16-Nov-16 7,361.02 9,321.27 -1,960.25
22-Nov-16 4,447.76 5,122.36 -674.60
29-Nov-16 4,715.12 5,367.87 -652.75
Nov-16 98,550.93 115,927.49 -17,376.56
DebtDate Gross Purchase (Cr.) Gross Sale (Cr.) Net (Cr.)
3-Nov-16 1,224.64 1,047.94 176.70
9-Nov-16 1,351.69 747.55 604.14
16-Nov-16 1,385.14 8,430.25 -7,045.11
22-Nov-16 1,180.79 1,825.69 -644.90
29-Nov-16 1,432.18 2,420.18 -988.00
Nov-16 26,555.75 46,602.08 -20,046.33
INVESTOR JOURNALDecember, 2016
3
Karvy Investment Insight
Peace of mind and Wealth Creation ideas for long term
Karvy Insights brings to you investment wisdom to help our investors make sound investment decisions and reach their goals faster. These inputs may not help you become wealthy in a short span of time, but they would definitely give you peace of mind and a roadmap for your financial journey.
The universe of Debt Funds is a lot more complicated place viz-a-viz Equity Funds. This makes choosing a debt fund lot more difficult than picking any equity scheme. Equity schemes are typically chosen based on certain factors such as fund manager track record, 3-5-10 year returns, etc. However, debt funds performance would not be tracked that far. In fact they act opposite to equities in terms of risk tolerance. In equity schemes, risk is higher when investment duration is lower and higher when duration is lesser, whereas in debt funds, risk is lower when investment duration is lower and vice versa.
Here are five parameters to help you pick a debt fund:
Corpus or AUM
The foremost factor to consider while choosing a debt fund, especially ultra short term, short or liquid funds would be Corpus managed by the scheme or AUM (Assets under Management). This is extremely important since you would expect excellent liquidity in debt funds due to the low duration of investment. Most of the times, only large AMCs would be able to garner large AUMs due to their inherent popularity.
Average Maturity
Every debt fund holds certain securities such as Govt securities, T-bills, Commercial papers and other bonds. Bonds have maturities anywhere between 30 days - 5 years or more. The risk in a debt mutual fund increases when the average duration of the bonds it holds increases. Hence, this parameter becomes very important when it comes to choosing a debt fund. In other words, choosing funds with lesser average maturity is better for conservative investors. Those who wish to play with the durations can also opt for higher avg maturity funds.
Credit Ratings
Every bond has some credit rating - AAA, AA and so on. AAA indicates the best credit rating or highest investment grade which implies safest of the safe. Debt funds which hold these bonds do not hold the risk of sudden drop in returns and in some way guarantee returns for the investors. Impact of recent downgrade in Amtek Auto had created tremors in JP Morgan debt funds which had high exposure to this paper in search of quick returns. This showed that there could be two sides to a debt fund.
YTM
YTM or Yield to Maturity indicates the coupon or interest of the bonds in a debt fund. In other words, it is the rate of return expected when the bond is held till maturity. Higher the coupon, higher would be the YTM. It is just an indicative yield of the future performance of the fund and may not always turn to be true.
Expense Ratio
When all the above factors remain same, it gets difficult to select a debt fund. This is where expense ratio comes into play. A higher expense ratio creates a larger impact on a fund’s performance since the margin of error is very low in debt funds. Typically, liquid funds have the lowest expense ratios, up to 50 bps or so. Other debt funds could charge up to 100-150 bps based on the strategies of these funds.
INVESTOR JOURNALDecember, 2016
4
10 year Gsec yield at 6.26%*10 years sensex return @ 6.6% CAGR
historically such junctures offers excellentopportunity to invest in equity
- Srikanth Matrubai@goodfundadvisor
The ability to choose your attitude under any
circumstances cannot be taken away - only forgotten or given away.
- Shane Parrish@farnamstreet
10 men in our country could buy d whole world and 10 men can’t buy
enuf to eat - Will Rogers.Luck-a vital role in wealth creation,
incl hard work
- Lakshmi Iyer @Lakshmi1876
‘Tweets’ of the Month
Fund of The Month
IDBI INDIA TOP 100 EQUITY FUND(G)
Investment Objective:
To provide investors with opportunities for long-term growth in capital through active management of a diversifiedbasket of equity stocks, debt and money market instruments. The investment universe of the scheme will be restricted to equity stocks and equity related instruments of ...
Portfolio:
Top 10 Companies Holdings
Name %age
Maruti Suzuki India Ltd. 4.1
Kotak Mahindra Bank Ltd. 4.0
IndusInd Bank Ltd. 3.5
Mahindra & Mahindra Ltd. 3.3
HDFC Bank Ltd. 3.2
Hindustan Petroleum Corporation Ltd. 3.2
Housing Development Finance Corp. Ltd. 3.2
Bajaj Finserv Ltd. 3.2
Bosch Ltd. 3.2
Grasim Industries Ltd. 3.1
Top 10 Sector Wise Holding
Industry Name (%)
Bank - Private 13.6
Automobile Two & Three Wheelers 8.1
Pharmaceuticals & Drugs 7.3
Automobiles - Passenger Cars 7.3
Refineries 6.3
Finance - Housing 5.7
Other 5.1
Electric Equipment 4.6
Cement & Construction Materials 4.4
Household & Personal Products 3.8
To read the full Information, Click Here
About Performance of the Scheme:
IDBI India top 100 fund sticks to the objective of being a large cap fund with 100% of the invested portfolio being in large cap stocks. With a beta of about 0.8, the fund is a conservative one compared to some of its peers in large cap category...
Indicates an increase or decrease or no change in holding since last profile. Indicates an increase or decrease in holding since last portfolio.
Every1 wants to go to Heaven, but not lead life suited for that.
Every1 wants to earn high returns, without
suitable investments
- Kalpen Parekh@KalpenParekh
“You will never feel truly satisfied by work until you are
satisfied by life.” - Heather Schuck
- Harsh Mariwala@hcmariwala
INVESTOR JOURNALDecember, 2016
Readers Corner
SHOULD YOU INVEST IN CORPORATE FIXED DEPOSITS NOW?
Demonetization is all over the news in the past few days. and it is still early days to predict what would emerge from this attempt. One thing for sure, experts predicted was a fall in interest rates (bad news for depositors and good news for borrowers). Yet, hold your breath. Last Saturday (November 26), the RBI, in a surprise move, mandated all banks to an incremental CRR of 100% on the increase in net demand and time liabilities between September 16, 2016 and November 11, 2016.
Even while the central bank stated that this is a temporary move, no clarity is expected until a review on December 9. Experts predict up to 75-100 bps reduction in rates over the next 1 year or so. So, in all, depositors still face the music, especially senior citizens who have sizeable savings in bank/ company FDs. Given that even AAA -rated company FDs may not be able to reward you, we have listed out some decent alternatives for you:
Monthly Income Plans (MIPs)
MIPs are hybrid mutual funds with about 75% exposure to debt securities such as treasury bills, commercial papers...
Balanced Funds
Balanced funds are another type of hybrid funds which invest in both debt and equity. Majority of exposure is...
Dividend Yield Funds
For any investor, returns matter the most, yet not at the cost of safety. Safety seeking investors tend to opt for...
To read the full Article, Click Here
5
INVESTOR JOURNALDecember, 2016
Story of The Month
Thanksgiving Day was near. The first grade teacher gave her class a fun assignment - to draw a picture of something for which they were thankful.
Most of the class would celebrate the holiday with turkey and other traditional goodies of the season. These, the teacher thought, would be the subjects of most of her student’s art. And they were.
One student, Douglas made a different kind of picture. When asked to draw a picture of something for which he was thankful, he drew a hand. Just an empty hand.
His abstract image captured the imagination of his peers.
HELPING HAND
Never underestimate the difference you can make in the lives of others. Step forward, reach out and help. Sometimes the little help you offer, occupy the biggest part of their hearts.
Helping a person may not change the world but it could change the world for that one person.
Whose hand could it be? One child guessed it could be the hand of a farmer, because farmers raise turkeys. Another suggested a police officer, because the police protect and care for people. Others guessed it was the hand of God. And so the discussion went on.
While the teacher was checking on the assignments, she paused at Douglas’ desk, bent down, and asked him whose hand it was.
The little boy muttered, “It’s yours, teacher.”
She recalled the times she had taken his hand when he was lonely, upset or needed help. How often had she said, ‘Take my hand, Douglas, we’ll go outside. Or, Let me show you how to hold your pencil. Or, Let’s do this together.’ Douglas was most thankful for his teacher’s hand.
Brushing aside a tear, she went on with her work.
MORAL OF THE STORY:
Courtesy : Karvy Learning Center
Direct Dil Se…
6
INVESTOR JOURNALDecember, 2016
SIP Performance
S&P BSE SENSEXCurrent NAV (`)
3 Year SIP 5 Year SIP
Rs.36000 Rs.60000
Profit-SIP XIRR(%) Profit-SIP XIRR(%)Large-cap
Birla SL Advantage Fund(G) 328.29 9776.56 16.24 39932.70 20.52
Reliance Growth Fund(G) 858.08 7735.92 13.06 31047.14 16.70
SBI BlueChip Fund-Reg(G) 30.46 7311.60 12.38 32164.71 17.20
Reliance Vision Fund(G) 443.47 5298.76 9.12 24705.74 13.76
DSPBR Equity Fund-Reg(G) 29.17 6454.14 11.01 26479.52 14.60
Reliance Top 200 Fund(G) 24.43 5548.13 9.53 26923.52 14.81
Multi cap
UTI Transportation & Logistics Fund(G) 92.85 11198.09 18.40 62744.21 29.09
Birla SL Pure Value Fund(G) 44.65 12425.99 20.24 53962.29 25.97
Escorts High Yield Eq(G) 30.52 15364.01 24.51 48983.21 24.11
L&T India Value Fund-Reg(G) 28.51 13339.14 21.58 51600.06 25.10
Escorts Leading Sectors Fund(G) 25.32 11891.91 19.45 45739.99 22.85
Tata Equity P/E Fund(G) 102.01 11507.89 18.87 41559.87 21.18
ICICI Pru Value Discovery Fund(G) 121.42 8655.08 14.50 42159.50 21.43
Mid Cap & Small Cap
DSPBR Micro-Cap Fund-Reg(G) 50.52 19448.17 30.17 75204.16 33.19
SBI Small & Midcap Fund-Reg(G) 36.61 17529.36 27.54 69553.69 31.38
Reliance Small Cap Fund(G) 29.79 15179.19 24.24 67420.35 30.67
Mirae Asset Emerging BlueChip-Reg(G) 36.76 15988.45 25.39 64796.81 29.79
Canara Rob Emerg Equities Fund-Reg(G) 66.37 12932.55 20.98 56618.85 26.94
Sundaram S.M.I.L.E Fund(G) 73.88 11380.23 18.68 49460.87 24.29
Franklin India Smaller Cos Fund(G) 45.33 13892.75 22.39 63571.11 29.37
ELSS
Escorts Tax(G) 71.64 13345.99 21.60 38695.69 20.01
Reliance Tax Saver (ELSS) Fund(G) 48.47 7975.53 13.44 38379.88 19.87
IDBI Equity Advantage Fund-Reg(G) 20.53 7020.65 11.92 0.00 0.00
DSPBR Tax Saver Fund-Reg(G) 36.71 9720.74 16.16 37924.89 19.68
Axis LT Equity Fund(G) 31.31 6749.20 11.48 37903.75 19.67
Birla SL Tax Relief '96(G) 22.60 7500.73 12.68 34563.93 18.25
Sector
Franklin Build India Fund(G) 31.89 12043.18 19.67 51600.18 25.10
DSPBR Natural Res & New Energy Fund-Reg(G) 26.31 18706.59 29.17 46166.95 23.02
Kotak Infra & Eco Reform Fund(G) 16.83 9672.82 16.08 35272.83 18.55
L&T Infrastructure Fund-Reg(G) 12.13 10290.48 17.03 36256.29 18.98
Escorts Power & Energy Fund(G) 20.51 10911.20 17.98 34732.87 18.32
ICICI Pru Banking & Fin Serv Fund(G) 43.92 12669.33 20.60 45125.12 22.61
Reliance Banking Fund(G) 190.90 8306.63 13.96 30814.52 16.59
Index
ICICI Pru Nifty Next 50 Index Fund(G) 19.44 8924.75 14.92 33819.97 17.92
IDBI Nifty Junior Index Fund(G) 16.94 8532.97 14.31 32705.78 17.44
R*Shares CNX 100 ETF 86.29 3349.02 5.86 0.00 0.00
HDFC Index Fund-Sensex Plus(G) 73.22 2598.91 4.58 15478.09 9.11
HDFC Index Fund-Sensex Plus(G) 375.03 4919.08 9.49 20065.71 12.24
As on 01st Dec’16 (Funds have been arranged on 3 years performance) 7
INVESTOR JOURNALDecember, 2016
Category Average Returns
Category Sub Category1 Week Return
1 Month Return
3 Month Return
6 Month Return
1 Year Return
3 Year Return
5 Year Return
Since Inception
Diversified
Large-cap 2.60 -5.47 -4.37 5.89 6.21 15.36 13.84 10.80
Mid-cap 3.29 -7.27 -3.69 9.82 8.61 29.03 22.63 14.43
Multi-cap 2.74 -5.52 -3.57 7.92 8.35 20.60 16.90 13.35
Small-cap 3.47 -8.13 -3.61 9.35 7.71 34.64 26.94 20.20
Sector Funds
Banks & Financial Services 1.53 -6.63 -4.81 10.15 13.55 20.15 17.79 15.89
Energy & Power 4.15 -1.90 2.37 18.58 23.00 24.99 12.83 15.91
FMCG 2.56 -8.13 -10.49 -0.91 1.86 12.71 17.55 15.59
Infrastructure 3.39 -4.90 -1.79 9.58 6.80 21.53 12.78 8.01
Media & Entertainment 1.69 -6.49 -5.18 4.30 2.67 16.87 17.70 15.48
Pharma & Health Care 1.37 -2.83 -2.20 2.79 -2.40 21.20 22.04 12.49
Service Industry 2.39 -4.89 -4.81 4.70 -1.68 21.62 25.48 14.95
TECk 4.94 -0.13 -3.10 -9.73 -6.44 9.50 14.90 7.71
Speciality
Contra 3.06 -5.86 -4.06 5.85 7.14 21.32 16.72 16.55
Dividend Yield 3.42 -4.49 -2.54 8.39 7.56 17.17 14.05 13.55
Index - Nifty 2.46 -4.91 -5.65 2.35 5.14 11.63 12.42 11.28
Index - Sensex 2.28 -4.62 -5.71 0.77 2.84 9.34 11.15 15.25
MNC 3.00 -6.42 -7.73 -1.14 -1.57 25.31 21.99 17.61
Equity Exchange Traded Funds 2.31 -3.90 -3.94 5.41 6.18 12.14 11.52 6.78
Equity Linked Savings Scheme 2.72 -5.81 -4.10 6.78 7.73 19.28 16.32 13.92
Arbitrage Funds
Debt-Oriented 0.53 -0.59 -0.28 4.20 9.82 8.21 7.65 8.46
Equity-Oriented 0.10 0.37 1.44 3.30 6.39 7.87 8.29 7.40
Asset Allocation 0.94 -2.03 -1.60 3.75 7.54 8.99 8.58 8.06
Balanced Funds
Debt-Oriented 0.74 -0.57 -0.21 3.21 5.82 10.48 11.63 5.95
Equity-Oriented 1.85 -3.19 -1.73 6.89 8.81 17.13 15.19 12.36
Category Capital Protection Funds 0.48 0.12 0.73 3.88 6.38 10.88 7.03
Monthly Income Plans 0.61 1.01 2.76 8.21 12.01 12.37 10.76 9.17
Fund Of Funds
Debt-Oriented 0.54 0.98 2.56 7.25 11.00 11.85 10.39 9.48
Equity-Oriented 1.43 -2.09 -0.55 6.52 9.89 16.21 13.25 13.07
Hybrid-Oriented 1.04 -1.87 -0.34 5.63 9.96 11.09 10.11 9.89
Gold - FOF -1.42 -5.53 -7.25 0.20 15.11 -2.89 -1.60 0.12
Gold Exchange Traded Funds -1.93 -3.39 -7.18 -0.10 14.65 0.68 -0.92 4.46
Income
Long Term 0.16 3.19 4.97 9.43 13.80 11.14 10.00 8.88
Medium Term 0.12 2.27 3.99 7.68 12.07 10.62 9.93 9.04
Short Term 0.12 1.69 3.26 6.28 10.56 9.61 9.30 8.57
Gilt
Long Term 0.35 5.01 7.03 13.55 18.57 13.72 11.36 9.70
Medium Term 0.22 3.26 5.15 10.11 14.73 11.73 10.18 9.55
Short Term 0.20 2.10 3.93 7.11 12.63 9.84 9.21 7.12
Floating Rate
Long Term Floating Rate 0.13 1.85 3.46 7.03 11.62 10.50 9.50 7.70
Med Term Floating Rate -0.17 0.18 1.32 3.68 8.31 9.34 9.04 7.09
Short Term Floating Rate 0.10 0.91 2.19 4.42 8.58 8.78 8.96 7.75
Speciality-Debt
Interval Funds - Half Yrly 0.12 0.61 1.72 3.59 7.71 8.27 8.67 8.20
Interval Funds - Monthly 0.12 0.56 1.59 3.28 7.04 8.04 8.50 8.03
Interval Funds - Quarterly 0.12 0.62 1.65 3.34 7.06 8.03 8.56 8.21
Interval Funds - Yearly 0.10 0.89 2.09 4.15 8.22 8.74 8.89 8.67
Liquid 0.12 0.56 1.62 3.37 7.22 7.90 8.29 7.03
Ultra Short Term Plan 0.10 1.00 2.30 4.60 8.76 8.61 8.80 7.89
Returns are as on 01st Dec’16 8
INVESTOR JOURNALDecember, 2016
Fixed Deposits Schemes
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.
8.30%
DHFL Aashray DepositPlus
CARE AAA FD, BWR FAAA
Dewan Housing Finance Ltd (DHFL) is the second housing finance company to be set up in the private sector in India.
8.75%
Gruh Finance Ltd.MAAA by ICRA, FAAAby CRISIL
GRUH Finance Ltd is subsidiary of HDFC Ltd is housing finance company (HFC) recognized by National Housing Bank.
7.75%
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.
8.05%
HUDCO‘tAA+(ind)’ by FITCH, ‘CARE AA+(FD)’ by CARE
HUDCO is a premier techno-financing company set up in 1970 by the Government of India to accelerate the pace of housing and urban development in the country.
7.50%
ICICI Home Finance Ltd
CARE FAAA, ICRA MAAA
ICICI Home Finance Company Limited is one of the leaders in the Indian mortgage finance and realty space.
7.60%
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.
8.20%
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.
8.30%
PNB Housing Finance Ltd.
FAAA by CRISILPNB 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.
8.05%
Shriram City Union Finance Ltd.
IND +AA- CARE AA FD
As a deposit-accepting non-banking financial company (NBFC), Shriram City is today India’s premier financial services company specializing in retail finance.
8.75%
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
8.75%
Sundaram Home Finance Ltd.
ICRA MAA+Sundaram BNP Paribas Home Finance combines its expertise in Home Finance with the Service Orientiation of its promoter Sundaram Finance.
8.50%
* highest rate including additional interest for Senior citizens, employees etc. wherever applicable
9
INVESTOR JOURNALDecember, 2016
Equity Funds Performance
Scheme NameLatest
NAV (`)
Absolute CAGR
1 Year 3 Year 5 YearSINCE
INCEPTION
Diversified
DSPBR Micro-Cap Fund-Reg(G) 49.3890 16.5003 44.5498 29.2180 18.3973
SBI Small & Midcap Fund-Reg(G) 35.7513 9.7841 40.8438 29.3219 19.3085
Reliance Small Cap Fund(G) 28.9264 6.3771 38.4460 28.5439 18.6956
Mirae Asset Emerging BlueChip-Reg(G) 35.7760 14.7661 36.3192 28.4399 22.0912
Canara Rob Emerg Equities Fund-Reg(G) 64.9000 4.7528 36.2452 26.8172 17.3052
ELSS
Escorts Tax(G) 70.2155 18.6668 28.3106 15.1462 12.4080
Reliance Tax Saver (ELSS) Fund(G) 47.5709 7.9831 27.2137 21.7158 14.9611
IDBI Equity Advantage Fund-Reg(G) 20.0700 0.6986 23.5725 24.2288
DSPBR Tax Saver Fund-Reg(G) 36.3060 13.9001 23.5070 21.0119 13.9702
Axis LT Equity Fund(G) 30.8120 2.8710 23.2990 21.9326 17.6801
Sector
Franklin Build India Fund(G) 31.1820 9.2003 31.4958 25.3658 17.0340
DSPBR Natural Res & New Energy Fund-Reg(G) 26.0830 51.1100 30.3954 15.3000 11.8047
Kotak Infra & Eco Reform Fund(G) 16.4970 11.1496 28.1366 15.3955 5.8836
L&T Infrastructure Fund-Reg(G) 11.7600 10.3657 27.4261 16.6081 1.7837
Escorts Power & Energy Fund(G) 19.5861 10.6474 27.4021 13.3737 8.5703
Dividend Yield
BNP Paribas Dividend Yield Fund(G) 35.6150 4.4399 19.1440 17.1916 12.0059
Tata Dividend Yield Fund(G) 61.3728 5.8897 18.4630 15.0476 16.2987
Birla SL Dividend Yield Plus(G) 140.5300 4.1738 17.3421 12.8093 21.1077
Principal Dividend Yield Fund(G) 37.6000 8.8737 16.8285 13.8885 11.5465
HSBC Dividend Yield Equity Fund(G) 16.8302 8.3502 15.1175 13.1650 5.5191
Global
MOSt Shares NASDAQ-100 ETF 331.2386 7.0961 15.4977 24.0090 22.8489
Birla SL Intl. Equity Fund-B(G) 14.6146 6.1316 11.3958 12.2762 4.2689
ICICI Pru US Bluechip Equity Fund(G) 20.0300 9.2249 9.2671 17.1364
ICICI Pru Global Stable Equity Fund(G) 12.8900 5.6045 7.5135 8.2493
R*Shares Hang Seng BeES 2361.1961 6.4870 4.2351 13.7760 10.0724
Equity Index
ICICI Pru Nifty Next 50 Index Fund(G) 19.0675 11.3874 20.9172 18.5926 10.5675
IDBI Nifty Junior Index Fund(G) 16.6161 10.6778 20.3440 18.4191 8.5545
GS CNX 500(G) 30.3507 7.4461 14.0781 11.2191 15.2277
R*Shares CNX 100 ETF 85.0663 5.1308 12.1130 12.4920
HDFC Index Fund-Sensex Plus(G) 354.793 4.8891 11.5613 12.4056 28.1925
Equity FOF
Birla SL Asset Allocator Multi FoF(G) 24.1449 13.4431 19.3940 11.301 8.9512
Kotak Asset Allocator Fund(G) 66.2830 9.4670 19.1464 16.5044 16.6161
Birla SL Financial Planning FOF Aggressive Plan(G) 17.8944 9.1930 16.8639 13.9564 11.0470
Franklin India Life Stage FOFs-20(G) 66.6042 7.4341 16.7345 14.485 15.7106
ICICI Pru Very Aggressive(G) 58.5889 13.7351 14.6585 12.0916 14.6306
(Funds has been arranged on the basis of 3 years performance) 10
INVESTOR JOURNALDecember, 2016
Debt Funds Performance
Scheme NameLatest
NAV (`)
Absolute CAGR
1 Year 3 Year 5 YearSINCE
INCEPTION
Gilt Funds
ICICI Pru Gilt-Invest-PF(G) 34.2154 20.3470 15.7911 11.9828 9.9025
Birla SL Gilt Plus-PF(G) 47.5860 20.1453 15.5626 12.6834 9.5300
Birla SL Gilt Plus-PF(G)-Instant Gain 47.5860 20.1453 15.5626 12.6834 9.5300
Franklin India G-Sec-LTP(G) 40.7110 20.1287 15.5062 11.2293 9.8264
SBI Magnum Gilt-LTP-Reg(G) 37.2887 18.2404 15.3916 13.0376 8.6103
Income
ICICI Pru Long Term Plan(G) 20.6389 18.5143 15.0003 12.8404 11.1541
Birla SL Dynamic Bond Fund-DAP(G) 20.9320 17.9230 13.7791 11.7857 10.1539
Birla SL Dynamic Bond Fund-Ret(G) 30.2597 17.9226 13.7789 11.7856 9.5248
ICICI Pru Income(G) 53.3871 17.8431 13.6423 10.6836 9.5334
HDFC Income Fund(G) 39.0134 18.3484 13.4312 10.9407 8.7571
Scheme NameLatest
NAV (`)
Absolute CAGR
1 Year 3 Year 5 YearSINCE
INCEPTION
Balanced
HDFC Balanced Fund(G) 120.2300 11.9110 22.0737 17.9336 16.5736
Escorts Balanced Fund(G) 107.0981 7.3382 21.3284 15.8013 16.3108
HDFC Prudence Fund(G) 416.9830 11.8196 21.3066 16.7980 19.4334
Tata Balanced Fund(G) 178.3000 6.9796 20.9658 18.2748 16.2825
ICICI Pru Child Care Plan-Gift Plan 110.9000 8.9969 20.6847 18.2012 17.0942
MIP
SBI Magnum Children Benefit Plan 44.0998 17.7185 19.2898 13.8495 10.5194
ICICI Pru Child Care Plan-Study Plan 63.0616 12.8171 18.9093 16.5078 12.8380
Birla SL MIP II-Wealth 25(G) 34.6730 16.8726 16.9567 13.9799 10.4406
HDFC MIP-LTP(G) 40.8955 15.2605 15.3061 12.3491 11.5119
Sundaram MIP-Aggr Plan(G) 17.3502 11.2667 14.7127 10.9546 8.5409
Arbitrage
Edelweiss Absolute Return Fund(G) 18.3000 0.3272 11.3253 10.2080 8.6662
ICICI Pru Blended-B-I(G) 23.9631 10.6202 10.1085 9.2868 7.9955
Peerless 3 in 1 Fund(G) 15.7696 8.9976 8.2376 7.6410 8.4011
Kotak Equity Arbitrage Scheme(G) 23.0247 6.8665 7.9364 8.4324 7.7561
ICICI Pru Equity-Arbitrage Fund(G) 21.3833 6.9943 7.8336 8.5833 7.9691
Gold-FOF
Birla SL Gold Fund(G) 9.5968 0.4964 19.9707 -2.3253 -0.8741
Invesco India Gold Fund(G) 8.9206 -4.4372 15.9844 -4.2426 -2.2684
Axis Gold Fund(G) 9.5886 -0.7576 14.5752 -4.5485 -0.8197
Reliance Gold Savings Fund(G) 12.6247 0.1825 12.8046 -3.1339 4.1544
SBI Gold-Reg(G) 9.4134 -1.2536 12.7250 -3.3521 -1.1540
(Funds has been arranged on the basis of 1 year performance)
Hybrid Funds Performance
11
INVESTOR JOURNALDecember, 2016
Global Markets at a Glance
12
Exhibit: Nifty
Exhibit: S&P 500
Exhibit: Euro Stoxx 50
Exhibit: Nikkei
Exhibit: Shanghai
Exhibit: INR
Exhibit: Dollar Index
Exhibit: Eur
Exhibit: JPY
Exhibit: CNY
Exhibit: India 10 Yr Yld %
Exhibit: US 10 Yr Yld %
Exhibit: Germany 10 Yr Yld %
Exhibit: Japan 10 Yr Yld %
Exhibit: China 10 Yr Yld %
78008000820084008600
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
15-N
ov65.566.066.567.067.568.0
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
15-N
ov
6.46.56.66.76.86.9
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
15-N
ov
2,0402,0802,1202,1602,200
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
14-N
ov
94.096.098.0
100.0102.0
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
14-N
ov
15-N
ov
0.00.51.01.52.02.5
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
14-N
ov
15-N
ov
29002950300030503100
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
14-N
ov
15-N
ov
1.041.061.081.101.12
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
14-N
ov
15-N
ov
0.000.100.200.300.40
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
14-N
ov
15-N
ov
1400015000160001700018000
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
14-N
ov
15-N
ov
100.0102.0104.0106.0108.0110.0
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
14-N
ov
15-N
ov
-0.08
-0.06
-0.04
-0.02
0.00
0.02
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
14-N
ov
15-N
ov
30503100315032003250
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
14-N
ov
15-N
ov
6.7006.7506.8006.8506.900
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
14-N
ov
15-N
ov
2.6502.7002.7502.8002.8502.900
4-N
ov
7-N
ov
8-N
ov
9-N
ov
10-N
ov
11-N
ov
14-N
ov
15-N
ov
Source: Bloomberg, Karvy Research
INVESTOR JOURNALDecember, 2016
Indices Watch
Index NameAs on
28-Oct-16As on
30-Nov-16%
Change
S&P BSE Capital Goods 14874.24 14044.51 -5.58%
S&P BSE BANKEX 22384.14 21316.01 -4.77%
S&P BSE Power Index 2008.43 2028.73 1.01%
S&P BSE PSU 7912.66 7879.60 -0.42%
S&P BSE DOLLEX 30 3432.33 3195.72 -6.89%
S&P BSE AUTO Index 22168.45 20144.62 -9.13%
S&P BSE SENSEX 27941.51 26652.81 -4.61%
S&P BSE 100 8925.39 8479.68 -4.99%
S&P BSE 200 3754.45 3558.17 -5.23%
S&P BSE 500 11853.37 11195.09 -5.55%
S&P BSE O & G Index 12296.39 11964.32 -2.70%
S&P BSE METAL Index 10285.58 10666.30 3.70%
S&P BSE Mid-Cap 13408.27 12498.62 -6.78%
S&P BSE GREENEX 2499.77 2373.92 -5.03%
S&P BSE Small-Cap 13454.03 12329.65 -8.36%
S&P BSE TECk Index 5505.47 5411.27 -1.71%
S&P BSE Consumer Durables 12756.11 11278.54 -11.58%
S&P BSE IT 9994.78 9851.55 -1.43%
S&P BSE Health Care 16374.08 15734.32 -3.91%
S&P BSE FMCG 8514.96 8070.77 -5.22%
S&P BSE Realty Index 1552.16 1281.82 -17.42%
Indian Indices:
Index NameAs on
28-Oct-16As on
30-Nov-16%
Change
NIFTY FMCG 21547.95 20487.90 -4.92%
NIFTY MEDIA 2942.70 2632.65 -10.54%
NIFTY COMMODITIES 3155.15 3079.15 -2.41%
NIFTY 100 8906.05 8466.40 -4.94%
Nifty 500 Shariah index 2405.23 2267.98 -5.71%
NIFTY PSE 3738.25 3743.60 0.14%
NIFTY DIV OPPS 50 2155.80 2113.50 -1.96%
NIFTY FINANCE 8060.50 7591.45 -5.82%
NIFTY IT 10048.40 10087.70 0.39%
NIFTY REALTY 210.45 167.85 -20.24%
Nifty Midcap 50 4099.50 3750.10 -8.52%
INDIA VIX 14.65 16.85 15.00%
NIFTY 100 8906.05 8466.40 -4.94%
NIFTY SERV SECTOR 10974.30 10508.95 -4.24%
NIFTY 50 8638.00 8224.50 -4.79%
NIFTY INFRA 2869.75 2791.95 -2.71%
NIFTY PHARMA 11571.85 11080.05 -4.25%
NIFTY METAL 2678.35 2798.90 4.50%
NIFTY PSU BANK 3177.30 3179.50 0.07%
NIFTY 500 7494.10 7079.40 -5.53%
NIFTY 200 4652.25 4409.95 -5.21%
NIFTY CONSUMPTION 3846.85 3572.05 -7.14%
NIFTY BANK 19555.95 18627.80 -4.75%
NIFTY ENERGY 10092.25 9938.95 -1.52%
Global Indices:
Index NameAs on
28-Oct-16As on
30-Nov-16%
Change
Bovespa 64308.00 61906.00 -3.74%
Nikkei 225 17446.41 18308.48 4.94%
Dow Jones 18161.19 19123.58 5.30%
Hang Seng 22954.81 22789.77 -0.72%
BEL-20 3559.21 3478.63 -2.26%
NYSE 10476.62 10838.48 3.45%
Nikkei 225 17446.41 18308.48 4.94%
S&P 400 1499.71 1627.52 8.52%
Taiwan Weighted 9306.92 9240.71 -0.71%
All Ordinaries 5370.90 5502.40 2.45%
DisclaimerThe information and views presented in this report are prepared by Karvy Stock Broking Limited. The information contained herein is based on our analysis and upon sources that we consider reliable. We, however, do not vouch for the accuracy or the completeness thereof. This material is for personal information and we are not responsible for any loss incurred based upon it. While acting upon any information or analysis mentioned in this report, investors may please note that neither Karvy nor Karvy Stock Broking nor any person connected with any associate companies of Karvy accepts any liability arising from the use of this information and views mentioned in this document.
This report is intended for a restricted audience and we are not soliciting any action based on it.
For more information on MUTUAL FUNDS call1800 425 8282 or contact your nearest Karvy branch.
Research TeamPF/MFNL/03122016/37
Ankit ChoradiaE-mail : [email protected]
Phone : 040 3321 7132
Production: Naga Babu K
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