With 38.59% Returns On 5 Years SIP, This Top-Rated Thematic-MNC Fund Is Good For SIP

This Thematic-MNC fund has given promising returns on investment via SIP. The MNC funds are a kind of thematic fund that primarily invests in multinational corporations. These funds have consistently outperformed other stock fund types. Despite being thematic funds, their performance has been steady throughout time. However, investors should understand, that the returns on thematic funds are highly volatile as they invest in a particular themed sector or industry. This particular thematic fund as said, offered promising returns over the last 5 years, given 38.59% SIP Returns.

SBI Magnum Global Fund - Direct Plan-Growth

As mentioned, this is a thematic-MNC Fund from the SBI Mutual Fund, launched on 30 September 1994. It is an open-ended medium-sized thematic fund. The size of the Asset Under Management (AUM) is worth Rs 4952.96 crore. The recent declared Net Asset value (NAV) as on 18th May 2022 is Rs 272.7406. The fund has a 1.25% expense ratio, which is high compared to its average expense ratio. The average expense ratio of the category is 1.1%.

It is a highly risky rated fund. However, the fund is rated 3-star by the CRISIL and has also shown average performance among peer funds. The fund seeks to generate returns or capital appreciation through active management of investments by investing in a diversified portfolio comprising primarily of MNC companies. The fund invests a minimum of 80% in stocks within the MNC space. The benchmark of the find is NIFTY MNC TRI.
 
You can start investing in this fund with the minimum required of Rs 5,000, whereas, the additional minimum required amount for the fund is Rs 1,000. To start investment via SIP, the minimum required amount is Rs 500. The Lock-in period is not applicable in this fund. The fund charges 1% for redemption within 365 days of the investment. 

Absolute & Annualised Returns

Lump-Sum Investment Amount

The fund has delivered 5.36% annualised returns in 1 year. Since its inception, it has delivered 15.81% average annual returns. 

Tenure	Absolute Returns	Annualised Returns
1 Year	5.36%	5.36%
2 Year	64.12%	28.11%
3 Year	59.27%	16.75%
5 Year	76.20%	11.99%
Since Inception	296.25%	15.81%

SIP Returns

In 1-year SIP, it has given negative returns.

Tenure	Absolute Returns	Annualised Returns
1 Year	-6.92%	-12.61%
2 Year	12.57%	11.85%
3 Year	26.39%	15.83%
5 Year	38.59%	13.02%

Portfolio

The fund invests 76.9% of its assets in equities, with 40.59 per cent in large-cap companies, 7.8% in mid-level stocks, and 22.83 per cent in small-cap stocks.

The Consumer Staples, Capital Goods, Services, Automobile, and Healthcare sectors account for the majority of the fund's holdings. The fund compared to other funds in the category, has less exposure to the Consumer Staples and Capital Goods sectors.

Maruti Suzuki India Ltd., Procter & Gamble Hygiene & Health Care Ltd., Grindwell Norton Ltd., Alphabet Inc Class A, and Divi's Laboratories Ltd. are among the fund's top holdings.

Disclaimer

Mutual fund investments are subject to market risk. Read all scheme related documents, and Terms and Conditions carefully before investing. The above-mentioned information is purely informational and doesn't guarantee any return. The Greynium Information Technologies and the Author are not liable for any losses caused as a result of a decision based on the article.