October 18, 2022
mayank
SBI Corporate Bond Fund
NAV Growth: Rs 12.9104
NAV IDCW Quarterly: Rs 12.5506
NAV IDCW Monthly: Rs 12.1861
Suitable For Which Investors?
“Corporate Bond funds invest mainly in high-grade corporate bonds (those with a credit rating of AA+ and above). They are suitable for a short investment horizon of two to three years, or for the fixed-income allocation in your longer-term portfolio. You can expect to earn higher returns than what a bank fixed deposit can fetch.
The risk of incurring a loss in these funds is low, but they do not guarantee returns or safety of capital like a bank deposit.
Remember, their returns may not be substantially higher than inflation. They are meant to deliver steady, but low to moderate returns and are not suitable to build wealth in the long run.”
Fund’s Investment Strategy:
The scheme seeks to provide the investors an opportunity to predominantly invest in corporate bonds rated AA+ and above to generate additional spread on part of their debt investments from high quality corporate debt securities while maintaining moderate liquidity in the portfolio through investment in money market securities.
Fund Manager:
1) Rajeev Radhakrishnan
Education: Mr. Radhakrishnan is B.E (Production), MMS (Finance) and CFA.
Experience: Prior to joining SBI AMC he has worked with UTI Asset Management Company Ltd.
Investment Details
| Min. Investment (Rs) | 5,000 |
| Min. Addl Investment (Rs) | 1,000 |
| Min. SIP Investment (Rs) | 500 |
| Min. Withdrawal (Rs) | 500 |
| Min. No of Cheques | 12 |
| Min. Balance (Rs) | 1,000 |
| Lock-in Period | NA |
| Exit Load | 0 |
Basic Details
| Fund House | SBI Mutual Fund |
| Launch Date | 01-Feb-19 |
| Return Since Launch | 7.13% |
| Benchmark | NIFTY Corporate Bond Index B-III |
| Riskometer | Low to Moderate |
| Type | Open-ended |
| Assets | Rs 15,754 Cr |
| (As on 30-Sep-2022) | |
| Expense Ratio | 0.34% |
| (As on 30-Sep-2022) | |
| Risk Grade | Average |
| Return Grade | Average |
SBI Corporate Bond Fund Trailing Returns (%)
| Fund name | YTD | 1D | 1M | 3M | 6M | 1Y | 3Y | 5Y | 7Y | 10Y |
| SBI Corp Bond Dir | 2.13 | 0.13 | 0.14 | 0.97 | 1.43 | 2.68 | 6 | — | — | — |
| VR Bond | 1.59 | -0.09 | -0.56 | 1.53 | 2.07 | 2.4 | 4.23 | — | — | — |
| Debt: Corporate Bond | 1.8 | 0.14 | 0.02 | 1.04 | 1.44 | 2.44 | 6.06 | — | — | — |
| Rank within category | 10 | 15 | 5 | 12 | 11 | 10 | 13 | — | — | — |
| Number of funds in category | 22 | 22 | 22 | 22 | 22 | 21 | 19 | 14 | 12 | 0 |
SBI Corporate Bond 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 |
| SBI Corp Bond Dir | 3 star | 2.68 | 6.00 | — | 0.34 | 15,754 | 7.13 | — | 3yrs 8mo |
| ICICI Pru Corp Bond Dir | 4 star | 4.09 | 6.76 | 7.16 | 0.27 | 14,781 | 8.25 | — | 9yrs 9mo |
| ABSL Corp Bond Dir | 4 star | 3.22 | 6.73 | 7.20 | 0.30 | 13,504 | 8.26 | — | 9yrs 9mo |
| Axis Corp Debt Dir | 5 star | 3.44 | 7.02 | 7.21 | 0.24 | 3,179 | 7.28 | — | 5yrs 3mo |
| Nippon Ind Corp Bond Dir | 5 star | 3.68 | 6.56 | 6.83 | 0.25 | 1,414 | 7.92 | — | 9yrs 9mo |
Portfolio Breakup
| Fund | Category | |
| Number of Securities | 111 | 64 |
| Modified Duration (yrs) | 1.42 | 1.76 |
| Average Maturity (yrs) | 1.71 | 2.46 |
| Yield to Maturity (%) | 7.22 | 7.27 |
| Avg Credit Rating | AAA | — |
Chanakya’s Mutual Fund Guidance For SBI Corporate Bond Fund
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