February 11, 2025
mayank
JM Arbitrage Fund details, NAV, Portfolio, Returns, Peer Comparison, Fund Managers & Guidance by sahifund.com
NAV Growth: Rs 33.8964
Yearly NAV IDCW: Rs 15.4251
Quarterly NAV IDCW: Rs 16.1071
Monthly NAV IDCW: Rs 13.6875
Half Yearly NAV IDCW: Rs 15.6770
NAV IDCW: Rs 15.9732
Suitable For Which Investors?
“Arbitrage funds invest in equity shares and derivatives, and earn their returns through the price differential between a stock and its futures. You can expect to earn better returns than what you would get from a bank account.
They are usually suitable to park your money for a period ranging between three months to a year. However, we believe that liquid funds, which have a similar risk-return payoff, are a better alternative for most investors for such a time frame. Arbitrage funds may have some appeal for those who are in the highest tax bracket, given the preferential tax treatment of these funds.
The risk of incurring a loss in these funds over the said time frame is low but they do not guarantee returns or safety of capital.
Remember, these funds usually deliver low returns which are only marginally higher than your bank account. They are not suitable if your aim is to build wealth in the long run.”
Fund’s Investment Strategy:
The scheme aims to generate income through arbitrage opportunities emerging out of mis-pricing between the cash market and the derivatives market and through deployment of surplus cash in fixed income instruments.
Fund Manager:
1) Asit Bhandarkar
Education: Mr. Bhandarkar is a B.Com (H) and MMS.
Experience: Prior to joining JM Financial he has worked with Lotus India AMC Pvt. Ltd. and SBI Funds Management Pvt. Ltd.
2) Chaitanya Choksi
Education: Mr. Choksi is a MMS (Finance) and CFA.
Experience: Prior to joining JM Financials he has worked with Lotus AMC, Chanrai Finance Pvt. Ltd, IL&FS Investmart and UTI Investment Advisory Services Ltd.
3) Satish Ramanathan
Education: Mr. Ramanathan holds a B.Tech degree and has done MBA and CFA.
Experience: Prior to joining JM Mutual Fund, he has worked with Sundaram BNP Paribas AMC and has an extensive experience in the asset management business with stints in Research division of Sundaram AMC and managing funds for Franklin Templeton. He has also worked with ICICI Securities for 4 years, with Birla Merlin & Dewoo Finance for 1 year, with ICRA Ltd. for 2 years and for 1 year with Tata Economic Consultancy Services.
4) Ruchi Fozdar
Education: Ms. Ruchi is a graduate in science and PGDBM in finance
Experience: Prior to joining JM Mutual Fund, she was associated with few brokers and institutions like Reliance Life Insurance Co. Ltd. and Mahindra Manulife Mutual Fund
Investment Details
| Min. Investment (Rs) | 1,000 |
| Min. Addl Investment (Rs) | 100 |
| Min. SIP Investment (Rs) | 100 |
| Min. Withdrawal (Rs) | 500 |
| Min. No of Cheques | 12 |
| Min. Balance (Rs) | 5,000 |
| Lock-in Period | NA |
| Exit Load | 0.5% for redemption within 30 days |
Basic Details of JM Arbitrage Fund
| Fund House | JM Financial Mutual Fund |
| Launch Date | 01-Jan-13 |
| Return Since Launch | 6.40% |
| Benchmark | NIFTY 50 Arbitrage TRI |
| Riskometer | Low |
| Type | Open-ended |
| Assets | Rs 195 Cr |
| (As on 31-Dec-2024) | |
| Expense | 0.40% |
| (As on 31-Jan-2025) | |
| Risk Grade | Above Average |
| Return Grade | Below Average |
| Turnover | 1206.59% |
Trailing Returns (%) of JM Arbitrage Fund
| Fund name | YTD | 1D | 1M | 3M | 6M | 1Y | 3Y | 5Y | 7Y | 10Y |
| JM Arbitrage Dir | 0.82 | 0.00 | 0.52 | 1.69 | 3.60 | 7.56 | 6.78 | 5.22 | 5.37 | 5.81 |
| CCIL T Bill Liquidity Weight | 0.61 | -0.02 | 0.43 | 1.13 | 2.31 | 4.78 | 4.04 | 3.41 | 3.63 | 3.93 |
| Hybrid: Arbitrage | 0.86 | 0.03 | 0.54 | 1.78 | 3.68 | 7.76 | 6.92 | 5.85 | 6.06 | 6.43 |
| Rank within category | 24 | 31 | 22 | 25 | 22 | 22 | 19 | 20 | 16 | 14 |
| Number of funds in category | 31 | 31 | 31 | 28 | 27 | 27 | 24 | 22 | 17 | 14 |
Peer Comparison of JM Arbitrage 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 | Turnover (%) | |
| JM Arbitrage Dir | 2 star | 7.56 | 6.78 | 5.22 | 0.40 | 195 | 6.40 | 0.50 (30) | 12Y 1M | 1206.59 |
| Kotak Equity Arbitrage Dir | 4 star | 8.11 | 7.31 | 6.22 | 0.43 | 57,635 | 7.10 | 0.25 (30) | 12Y 1M | 2124.14 |
| Invesco India Arbitrage Dir | 5 star | 8.02 | 7.48 | 6.27 | 0.39 | 18,730 | 6.95 | 0.50 (15) | 12Y 1M | 1736.00 |
| Nippon India Arbitrage Dir | 4 star | 7.87 | 7.10 | 6.11 | 0.38 | 14,701 | 7.10 | 0.25 (30) | 12Y 1M | 1308.00 |
| ABSL Arbitrage Dir | 4 star | 7.95 | 7.09 | 6.03 | 0.29 | 13,920 | 6.98 | 0.25 (15) | 12Y 1M | 1353.00 |
Portfolio Analysis of JM Arbitrage Fund
| No. of Stocks | 67 |
| Top 10 Holdings | 34.54% |
| Top 5 Stocks | 20.11% |
| Top 3 Sectors | –% |
| Portfolio P/B Ratio | 2.47 |
| Portfolio P/E Ratio | 17.76 |
Portfolio Breakup
| Fund | Category | |
| Average Mkt Cap (Rs Cr) | 1,54,549 | 2,07,080 |
| Giant (%) | 47.30 | 55.37 |
| Large (%) | 35.45 | 31.33 |
| Mid (%) | 16.79 | 13.88 |
| Small (%) | 0.46 | 0.48 |
| Tiny (%) | — | — |
| Fund | Category | |
| Number of Securities | 150 | 257 |
| Macaulay Duration (yrs) | 0.10 | 0.28 |
| Average Maturity (yrs) | 0.10 | 0.28 |
| Yield to Maturity (%) | 6.54 | 6.99 |
| Avg Credit Rating | GOI/Cash | — |
Chanakya’s Mutual Fund Guidance For JM Arbitrage Fund
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