This Top-Rated Saving Fund From Mahindra MF Is Good To Start SIP For 5 Year

As a mutual fund investor, you put money into the equity fund in the form of a SIP or a lump amount, and it invests it in various equities stocks on your behalf. The resulting profits or losses in the portfolio have an impact on the Net Asset Value of your fund (NAV). Of course, there are nuances to consider, but this is the heart of investing in equities mutual fund schemes. However, being a responsible long-term investor might help you learn more about how an equity mutual fund works. Here, we have picked an Equity Saving fund that is rated 5 stars by Value research in the 5-year investment category.

Mahindra Manulife Equity Savings Dhan Sanchay Yojana - Direct Plan

NAV	Fund Size	Expense Ratio
₹17.15	₹ 372.63 Cr	0.73%

NAV as on 08 February 2022

Mahindra Manulife Equity Savings Dhan Sanchay Yojana Direct-Growth is an Equity Savings mutual fund scheme from Mahindra Manulife Mutual Fund. It is a 5-year-old fund launched on 10 January 2017. As of 31 December 2022, the fund's AUM is Rs 373 Crores. The fund has an expense ratio of 0.73%, which is close to its category average of 0.88%. It has given 13.93% returns in the last 1 year, which is higher than its category average returns in one year. Since its launch, the fund has delivered 11.34% average annual returns.

The scheme's ability to deliver returns consistently is in-line with most funds of its category. Its ability to control losses in a falling market is above average. Investors who wish to create long-term capital appreciation and income by investing in equities and equity-related securities, arbitrage possibilities, and debt and money market instruments might choose to participate in the fund.

Returns Over The Years

Lumpsum Returns

On investment of Rs 10,000

Period	Absolute Returns	Annualised Returns	Category Avg
1 Year	13.93%	13.93%	10.29%
2 Year	35.56%	16.38%	11.57%
3 Year	51.25%	14.77%	10.91%
5 Year	70.38%	11.24%	9.02%
Since Inception	71.54%	11.34%	9.35%

SIP returns

On investment of Rs 1,000

Period	Absolute Returns	Annualised Returns
1 Year	6.22%	11.63%
2 Year	21.33%	19.71%
3 Year	29.04%	17.22%
5 Year	39.84%	13.35%

Portfolio

The fund has 66.35% investment in Indian stocks of which 54.79% is in large-cap stocks, followed by 4.32% and 4.01% in mid-cap and small-cap stocks, respectively. The fund has a 15% debt exposure, with 4.72 percent in government securities and 10.28% in funds investing in extremely low-risk securities. The fund's equity portion is primarily invested in the Financial, Automobile, Energy, Technology, FMCG sectors. It has taken less exposure in the Financial, Technology sectors compared to other funds in the category. The debt portion of the fund has low credit quality indicating the quality of borrowers it has lent it to is not too great. The fund's top 5 holdings are in Reliance Industries Ltd., GOI, Housing Development Finance Corpn. Ltd., ICICI Bank Ltd., State Bank of India.

Disclaimer

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