November 7, 2022
mayank
SBI Magnum Low Duration Fund
NAV Growth: Rs 2,976.8905
NAV IDCW Weekly: Rs 1,149.2385
NAV IDCW Monthly: Rs 1,322.7915
NAV IDCW Fortnightly: Rs 1,167.6036
NAV IDCW Daily: Rs 1,147.6292
Suitable For Which Investors?
“Low Duration debt funds invest in bonds maturing in six months to a year. They aim to earn slightly better returns than what you can get from a bank account or a short duration fixed deposit. The risk of incurring a loss in these funds is negligible but they do not guarantee returns or safety of capital. Retail investors can avoid these funds altogether. Here’s why. Debt funds are very finely classified depending upon the maturity of the bonds they invest in. For instance, there’s a different category of funds that invests in bonds of up to three months maturity, from the one that invests in bonds maturing in three to six months, and so on. We believe that such a nuanced classification adds little value to retail investors. They can avoid this complexity and simply invest the money they don’t need for up to a year in a Liquid fund.”
Fund’s Investment Strategy:
The scheme seeks to provide investors an opportunity to generate regular income with reasonable degree of liquidity through investments in debt and money market instruments in such a manner that the Macaulay duration of the portfolio is between 6 months and 12 months.
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) | 5,000 |
| 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-Jan-13 |
| Return Since Launch | 7.39% |
| Benchmark | CRISIL Low Duration Fund BI Index |
| Riskometer | Moderate |
| Type | Open-ended |
| Assets | Rs 7,869 Cr |
| (As on 30-Sep-2022) | |
| Expense Ratio | 0.40% |
| (As on 30-Sep-2022) | |
| Risk Grade | Below Average |
| Return Grade | Average |
SBI Magnum Low Duration Fund Trailing Returns (%)
| Fund name | YTD | 1D | 1M | 3M | 6M | 1Y | 3Y | 5Y | 7Y | 10Y |
| SBI Magnum Low Duration Dir | 3.39 | 0.02 | 0.41 | 1.21 | 2.3 | 3.99 | 5.13 | 6.29 | 6.7 | — |
| CCIL T Bill Liquidity Weight | 1.89 | 0.05 | 0.28 | 0.73 | 1.22 | 2.24 | 2.52 | 3.21 | 3.56 | — |
| Debt: Low Duration | 3.47 | 0.02 | 0.4 | 1.26 | 2.38 | 4.08 | 5.66 | 5.75 | 6.45 | — |
| Rank within category | 15 | 16 | 7 | 12 | 14 | 15 | 15 | 10 | 12 | — |
| Number of funds in category | 22 | 22 | 22 | 22 | 22 | 22 | 22 | 22 | 21 | 0 |
SBI Magnum Low Duration 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 Magnum Low Duration Dir | 3 star | 3.99 | 5.13 | 6.29 | 0.40 | 7,869 | 7.39 | — | 9yrs 10mo |
| HDFC Low Duration Dir | 4 star | 4.22 | 5.88 | 6.60 | 0.43 | 15,292 | 7.67 | — | 9yrs 10mo |
| ABSL Low Duration Dir | 4 star | 4.63 | 5.93 | 6.94 | 0.39 | 12,094 | 8.04 | — | 9yrs 10mo |
| Kotak Low Duration Dir | 4 star | 4.09 | 5.85 | 6.88 | 0.42 | 6,862 | 7.98 | — | 9yrs 10mo |
| Nippon Ind Low Duration Dir | 4 star | 4.33 | 5.84 | 6.43 | 0.37 | 6,237 | 7.65 | — | 9yrs 10mo |
Portfolio Breakup
| Fund | Category | |
| Number of Securities | 68 | 53 |
| Modified Duration (yrs) | 0.53 | 0.68 |
| Average Maturity (yrs) | 0.58 | 1.20 |
| Yield to Maturity (%) | 7.07 | 6.99 |
| Avg Credit Rating | AAA | — |
Chanakya’s Mutual Fund Guidance For SBI Magnum Low Duration Fund
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