September 22, 2022
mayank
Nippon India Balanced Advantage Fund
NAV Growth: Rs 137.9665
NAV IDCW: Rs 37.2009
Suitable For Which Investors?
When you invest for five years or more, you can expect gains that beat the inflation rate as well as returns from fixed income options. But be prepared for ups and downs in your investment value along the way.
Dynamic Asset Allocation or Balanced Advantage funds invest your money in equity shares and bonds though their proportions are not fixed. The fund management team may increase of decrease the allocation to equity shares depending upon their market outlook.
These funds tend to fall less than pure equity funds when the stock markets decline because of their debt allocation. This makes them suitable for conservative equity investors.
Like for all equity-linked investments, you must invest only through the SIP route.
Fund’s Investment Strategy:
The scheme seeks to capitalize on the potential upside in equity markets while attempting to limit the downside by dynamically managing the portfolio through investment in equity & equity related instruments and active use of debt, money market instruments and derivatives.
Fund Manager:
1) Manish Gunwani
Education: Mr. Gunwani is a B.Tech. and PGDM.
Experience: Prior to joining Nippon India Mutual Fund, he has worked with ICICI Prudential Mutual Fund as Fund Manager and as Analyst in various organisations: Vicisoft Technologies, Lehman Brothers, Brics Securities, Lucky Securities, SSKI Securities and Prime Securities.
2) Amar Kalkundrikar
Education: Mr. Kalkundrikar has done B.Com, CA, CFA, and MBA from Columbia Business School.
Experience: Prior to joining Nippon India Mutual Fund, he has worked with HDFC Asset Management Company Limited where he has handled multiple roles in Investment – Equity function such as Portfolio Management for PMS business, & performing Equity research in various sectors such as Consumer Staples, Consumer Discretionary, Retail, Construction Materials.
3) Ashutosh Bhargava
Education: Mr. Bhargava is B.Com & MBA (Finance)
Experience: Prior to joining Nippon India Mutual Fund he has worked with Reliance Capital Ltd and JP Morgan India Service Pvt. Ltd.
4) Sushil Budhia
Education: Mr. Budhia has done CA
Experience: Prior to joining Nippon India Mutual Fund, he has worked with YES Bank as Senior President, Axis Bank and UTI Mutual Fund.
Investment Details
| Min. Investment (Rs) | 100 |
| Min. Addl Investment (Rs) | 100 |
| Min. SIP Investment (Rs) | 100 |
| Min. Withdrawal (Rs) | 100 |
| Min. No of Cheques | 60 |
| Min. Balance (Rs) | — |
| Exit Load | For units in excess of 10% of the investment, 1% will be charged for redemption within 365 days |
Basic Details
| Fund House | Nippon India Mutual Fund |
| Launch Date | 01-Jan-13 |
| Return Since Launch | 12.09% |
| Benchmark | CRISIL Hybrid 50+50 Moderate Index |
| Riskometer | High |
| Type | Open-ended |
| Assets | Rs 6,519 Cr |
| (As on 31-Aug-2022) | |
| Expense Ratio | 0.70% |
| (As on 31-Jul-2022) | |
| Risk Grade | Average |
| Return Grade | Average |
| Turnover | 315.00% |
Nippon India Balanced Advantage Fund Trailing Returns (%)
| Fund name | YTD | 1D | 1M | 3M | 6M | 1Y | 3Y | 5Y | 7Y | 10Y |
| Nippon Ind Balanced Advtg Dir | 5.05 | -1.07 | 0.33 | 9.47 | 6.63 | 4.7 | 13.66 | 9.55 | 11.03 | — |
| VR Balanced TRI | 2.16 | -1.72 | -0.63 | 13.01 | 3.95 | 1.03 | 16.1 | 11.93 | 12.32 | — |
| Hybrid: Dynamic Asset Allocation | 3.42 | -1.22 | 0.29 | 9.61 | 5.04 | 4.07 | 13.53 | 8.92 | 10.13 | — |
| Rank within category | 8 | 12 | 14 | 13 | 5 | 11 | 10 | — | — | — |
| Number of funds in category | 28 | 31 | 30 | 29 | 29 | 26 | 22 | 14 | 11 | 0 |
Nippon India Balanced Advantage Fund Peer Comparison
| Fund name | Rating | 1 Year Returns | 3 Year Returns | 5 Year Returns | Expense Ratio (%) | Net Assets (Rs Cr) | Return Since Launch (%) | Exit Load (Days) | Fund Age | Turn over (%) |
| Nippon Ind Balanced Advtg Dir | 3 star | 4.70 | 13.66 | 9.55 | 0.70 | 6,519 | 12.09 | 1.00 (365) | 9yrs 8mo | 315.00 |
| ICICI Pru Balanced Advtg Dir | 4 star | 7.67 | 14.16 | 10.74 | 0.93 | 42,930 | 12.94 | 1.00 (365) | 9yrs 8mo | 24.00 |
| ICICI Pru Asset Allocator (FOF) Dir | 4 star | 6.09 | 14.61 | 11.66 | 0.07 | 17,342 | 11.95 | 1.00 (365) | 9yrs 8mo | 6.00 |
| Kotak Balanced Advtg Dir | 4 star | 3.61 | 13.19 | — | 0.49 | 14,587 | 11.21 | 1.00 (365) | 4yrs 1mo | 27.35 |
| Edelweiss Balanced Advtg Dir | 5 star | 1.76 | 17.69 | 12.2 | 0.47 | 8,733 | 12.55 | 1.00 (365) | 9yrs 8mo | 91.00 |
Portfolio Analysis
| No. of Stocks | 60 |
| Top 10 Holdings (*) | –% |
| Top 5 Stocks (*) | –% |
| Top 3 Sectors (*) | –% |
| Portfolio P/B Ratio (*) | 3.13 |
| Portfolio P/E Ratio | 20.03 |
| Avg Credit Rating | AAA |
Portfolio Breakup
| Fund | Category | |
| Average Mkt Cap (Rs Cr) | 1,74,009 | 1,86,784 |
| Giant (%) | 54.58 | 55.50 |
| Large (%) | 26.50 | 23.55 |
| Mid (%) | 15.71 | 16.43 |
| Small (%) | 3.21 | 5.02 |
| Tiny (%) | — | 0.03 |
| Fund | Category | |
| Number of Securities | 163 | 105 |
| Modified Duration (yrs) | 2.40 | 1.89 |
| Average Maturity (yrs) | 3.04 | 2.67 |
| Yield to Maturity (%) | 6.92 | 6.54 |
| Avg Credit Rating | AAA | — |
Chanakya’s Mutual Fund Guidance for Nippon India Balanced Advantage Fund
Do not invest in this, or any other balanced hybrid fund, if you need to redeem your investment in less than five years.
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