February 1, 2024
mayank
Bank of India Credit Risk Fund details, NAV, Portfolio, Returns, Peer Comparison, Fund Managers & Guidance by Chanakyamfguidance.com
NAV Growth: Rs 11.3952
Suitable For Which Investors?
“Credit risk funds invest mainly in bonds which are rated AA or below by credit rating agencies. The lower rating indicates a higher possibility of these bonds defaulting on repayment of investors’ money. Therefore, these funds are the riskiest among debt fund categories. But they compensate for this additional risk with a higher return potential as these bonds offer better rates of interest than the highest rated bonds.
However, retail investors can avoid these funds altogether. There are far too many kinds of debt funds with a highly nuanced classification based on the type or duration of bonds they can invest in. We believe that so many fund categories add to complexity which is easily avoidable. Retail investors can simply invest in Liquid funds for an investment horizon of up to one year and Short Duration funds for the fixed income allocation (which should be 100 per cent for an investment horizon of up to three years) in their longer-term portfolios.”
Fund’s Investment Strategy:
The Scheme will invest predominantly in corporate debt securities. There will be no exposure in the portfolio to dated Government Securities and State Development Loans.
Fund Manager:
1) Alok Singh
Education: Mr. Singh is a CFA and PGDBA from ICFAI Business School.
Experience: Prior to joining BOI AXA AMC he has worked with BNP Paribas Asset Management and Axis Bank.
Investment Details
| Min. Investment (Rs) | 5,000 |
| Min. Addl Investment (Rs) | 5,000 |
| Min. SIP Investment (Rs) | — |
| Min. Withdrawal (Rs) | 5,000 |
| Min. No of Cheques | — |
| Min. Balance (Rs) | — |
| Lock-in Period | NA |
| Exit Load | 4% for redemption Within 365 days |
| 3% for redemption After 366 days and Within 730 days | |
| 2% for redemption After 731 days and Within 1095 days |
Basic Details of Bank of India Credit Risk Fund
| Fund House | Bank of India Mutual Fund |
| Launch Date | 27-Feb-15 |
| Return Since Launch | |
| 1.45% | |
| Benchmark | CRISIL Credit Risk Debt C-II Index |
| Riskometer | Moderately High |
| Type | Open-ended |
| Assets | Rs 142 Cr |
| (As on 31-Dec-2023) | |
| Expense | 1.17% |
| (As on 31-Dec-2023) | |
| Risk Grade | Low |
| Return Grade | Low |
Trailing Returns (%) of Bank of India Credit Risk Fund
| Fund name | YTD | 1D | 1M | 3M | 6M | 1Y | 3Y | 5Y | 7Y | 10Y |
| Bank of India Credit Risk Dir | 0.49 | 0.01 | 0.49 | 1.41 | 2.85 | 5.96 | 41.41 | -2.84 | -0.87 | — |
| CCIL T Bill Liquidity Weight | 0.37 | 0.00 | 0.37 | 1.20 | 2.21 | 4.51 | 3.10 | 3.28 | 3.52 | — |
| Debt: Credit Risk | 0.74 | 0.06 | 0.74 | 2.11 | 4.38 | 8.91 | 10.12 | 5.76 | 5.82 | — |
| Rank within category | 14 | 14 | 14 | 14 | 14 | 14 | 1 | 14 | 13 | — |
| Number of funds in category | 14 | 14 | 14 | 14 | 14 | 14 | 14 | 14 | 13 | 6 |
Peer Comparison of Bank of India Credit Risk Fund
| Rating | 1 Year Returns | 3 Year Returns | 5 Year Returns | Expense Ratio (%) | Net Assets (Rs Cr) | Return Since Launch (%) | Exit Load (Days) | Fund Age | |
| Bank of India Credit Risk Dir | 1 star | 5.96 | 41.41 | -2.84 | 1.17 | 142 | 1.45 | 4.00 (365) | 8Y 11M |
| Nippon Ind Credit Risk Dir | 4 star | 8.87 | 9.12 | 4.72 | 0.91 | 1,023 | 7.26 | 1.00 (365) | 11Y 1M |
| ABSL Credit Risk Dir | 4 star | 7.93 | 7.68 | 7.28 | 0.68 | 991 | 8.18 | 3.00 (365) | 8Y 9M |
| UTI Credit Risk Dir | 4 star | 7.51 | 11.38 | -0.72 | 0.90 | 417 | 4.85 | 1.00 (365) | 11Y 1M |
| HDFC Credit Risk Debt Dir | 2 star | 7.65 | 6.51 | 8.00 | 0.97 | 8,239 | 8.81 | 1.00 (365) | 9Y 10M |
Portfolio Breakup
| Fund | Category | |
| Number of Securities | 13 | 38 |
| Macaulay Duration (yrs) | 0.71 | 2.00 |
| Average Maturity (yrs) | 0.80 | 3.04 |
| Yield to Maturity (%) | 7.10 | 8.37 |
| Avg Credit Rating | AAA | — |
How to Invest in Bank of India Credit Risk Fund?
Chanakya’s Mutual Fund Guidance For Bank of India Credit Risk Fund
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