January 29, 2025
mayank
PGIM India Arbitrage Fund details, NAV, Portfolio, Returns, Peer Comparison, Fund Managers & Guidance by Sahifund.com
NAV Growth: Rs 19.0333
Monthly NAV IDCW: Rs 11.3249
NAV IDCW: Rs 12.7985
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 seeks to generate income by investing in arbitrage opportunities that potentially exist between the cash and derivatives market as well as within the derivatives segment of the market. Investments may also be made in debt & money market instruments.
Fund Manager:
1) Chetan Chavan
Education: Mr. Chavan has done B.Com
Experience: Prior to joining PGIM India Mutual Fund, he was associated with Bajaj Finserv Mutual Fund, Mahindra Manulife Investment Management Private Limited and Invesco Asset Management (India) Private Limited.
2) Puneet Pal
Education: Mr. Pal is a B.Com (H) and MBA from SIBM Pune.
Experience: Prior to joining PGIM India Mutual Fund, he has worked with BNP Paribas AMC as Head Fixed Income, UTI AMC as Sr. Vice President & Fund Manager & TATA AMC as Fund Manager.
Investment Details
| Min. Investment (Rs) | 5,000 |
| Min. Addl Investment (Rs) | 1,000 |
| Min. SIP Investment (Rs) | 1,000 |
| Min. Withdrawal (Rs) | 1,000 |
| Min. No of Cheques | 5 |
| Min. Balance (Rs) | 1 |
| Lock-in Period | NA |
| Exit Load | 0.25% for redemption within 30 days |
Basic Details of PGIM India Arbitrage Fund
| Fund House | PGIM India Mutual Fund |
| Launch Date | 27-Aug-2014 |
| Return Since Launch | 6.36% |
| Benchmark | NIFTY 50 Arbitrage TRI |
| Riskometer | Low |
| Type | Open-ended |
| Assets | Rs 87 Cr |
| (As on 31-Dec-2024) | |
| Expense | 0.35% |
| (As on 31-Dec-2024) | |
| Risk Grade | Average |
| Return Grade | Below Average |
| Turnover | 101.00% |
PGIM India Arbitrage Fund Trailing Returns (%)
| Fund name | YTD | 1D | 1M | 3M | 6M | 1Y | 3Y | 5Y | 7Y | 10Y |
| PGIM India Arbitrage Dir | 0.56 | -0.04 | 0.62 | 1.79 | 3.64 | 7.53 | 6.60 | 5.68 | 5.87 | 6.26 |
| CCIL T Bill Liquidity Weight | 0.40 | 0.05 | 0.39 | 1.11 | 2.32 | 4.75 | 3.99 | 3.40 | 3.62 | 3.93 |
| Hybrid: Arbitrage | 0.58 | -0.01 | 0.64 | 1.81 | 3.66 | 7.76 | 6.85 | 5.86 | 6.07 | 6.44 |
| Rank within category | 24 | 30 | 21 | 22 | 19 | 22 | 20 | 17 | 14 | 12 |
| Number of funds in category | 31 | 31 | 31 | 28 | 27 | 27 | 24 | 22 | 16 | 14 |
PGIM India Arbitrage Fund Peer Comparison
| 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 (%) | |
| PGIM India Arbitrage Dir | 2 star | 7.53 | 6.60 | 5.68 | 0.35 | 87 | 6.36 | 0.25 (30) | 10Y 5M | 101.00 |
| Kotak Equity Arbitrage Dir | 4 star | 8.12 | 7.24 | 6.22 | 0.43 | 54,913 | 7.10 | 0.25 (30) | 12Y | 2124.14 |
| Invesco India Arbitrage Dir | 5 star | 8.02 | 7.42 | 6.28 | 0.39 | 18,910 | 6.94 | 0.50 (15) | 12Y | 1736.00 |
| Nippon India Arbitrage Dir | 4 star | 7.87 | 7.03 | 6.12 | 0.38 | 14,739 | 7.10 | 0.25 (30) | 12Y | 1308.00 |
| ABSL Arbitrage Dir | 4 star | 7.97 | 7.01 | 6.04 | 0.29 | 14,115 | 6.97 | 0.25 (15) | 12Y | 1353.00 |
Portfolio Analysis of PGIM India Arbitrage Fund
| No. of Stocks | 26 |
| Top 10 Holdings | 63.25% |
| Top 5 Stocks | 39.97% |
| Top 3 Sectors | –% |
| Portfolio P/B Ratio | 2.25 |
| Portfolio P/E Ratio | 17.48 |
Portfolio Breakup
| Fund | Category | |
| Average Mkt Cap (Rs Cr) | 2,19,118 | 2,07,080 |
| Giant (%) | 59.33 | 55.37 |
| Large (%) | 25.07 | 31.33 |
| Mid (%) | 15.61 | 13.88 |
| Small (%) | — | 0.48 |
| Tiny (%) | — | — |
| Fund | Category | |
| Number of Securities | 58 | 256 |
| Macaulay Duration (yrs) | — | — |
| Average Maturity (yrs) | — | — |
| Yield to Maturity (%) | — | — |
| Avg Credit Rating | GOI/Cash | — |
Chanakya’s Mutual Fund Guidance For PGIM India Arbitrage Fund
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