birla insurance group aug · 2017-04-10 · market update 2 outlook for equities indian equity...

August 2016

Index

Secure Fund

Stable Fund

Stable Fund 2

Growth Fund

Growth Fund 2

Money Market Fund

Money Market Fund 2

Income Advantage Fund

Gilt Fund

Bond Fund

Fixed Interest Fund

Fixed Interest Fund 2

Short Term Debt Fund

Short Term Debt Fund 2

Pg 1

Pg 3

Pg 4

Pg 5

Pg 6

Pg 7

Pg 8

Pg 9

Pg 10

Pg 11

Pg 12

Pg 13

Pg 14

Pg 15

Pg 16

Pg 17

Pg 18

Pg 19

Growth Advantage Fund

Market Outlook

Fund Managers Profile

Fund Performance

Market Update

1

Economy Review

The passing of the Goods and Services Tax (GST) bill in the Rajya Sabha and better than expected

corporate earnings for Q1FY17 boosted market sentiments in the month. Sixteen states assemblies

have ratified the GST bill and the bill will now be sent for Presidential assent. The government is

looking to rollout GST by April 2017. The Reserve Bank of India, in its August monetary policy review,

kept rates unchanged. The key focus of the policy was to maintain neutral liquidity in the system. The

overall policy stance continues to be accommodative.

CPI for July was 6.07 per cent compared to 5.77 per cent in June. An increase in prices of sugar,

vegetables and pulses led to higher inflation. With the monsoon progressing well and the expectation

of better farm output, CPI should ease to around the RBI target levels of 5 per cent, by March-2017.

IIP for June-16 was recorded at 2.1 per cent compared to 1.1 per cent in May-16 – positive for the

second straight month.

Market Update

2

Outlook for Equities

Indian equity markets gained 1.5 per cent in August. FIIs bought stock worth $1.5bn in August.

Cumulatively, they are net buyers of $6.1bn for the year. Domestic institutions sold stock worth $661mn in

August. Cumulatively, they are net seller of $92mn for the year.

At a 15.6 multiple of FY18 earnings, markets are now trading at near their 15 year average. Investors in

equity funds can still expect gains in long-term as corporate earnings growth recovers.

Outlook for Debt

The 10 year government bond yield moved from 7.17 per cent to 7.11 per cent in the month, as liquidity in

the system improved.

We expect the 10 year G-sec yield to be in the range of 7 per cent to 7.25 per cent in the near term. The

corporate bond yields are expected to trail the G-sec yields, with a spread of 40-60 basis points.

Investors in bond funds will gain as bond yields soften.

31-Aug-16 29-Jul-16 % ChangeINDEX

Nifty

Sensex

BSE 100

Dow Jones

Hang Seng

Nikkei

Nasdaq

8786.20 8638.50 1.71%

28452.17 28051.86 1.43%

9021.45 8856.01 1.87%

18400.88 18432.24 -0.17%

16887.40 16569.27 1.92%

22976.88 21891.37 4.96%

5213.22 5162.13 0.99%

NSEBSE

4000

5000

6000

7000

8000

9000

10000

22000

23000

24000

25000

26000

27000

28000

29000

30000

Au

g-1

5

Au

g-1

6

Se

pt-

15

Oct-

15

No

v-1

5

De

c-1

6

Ja

n-1

6

Fe

b-1

6

Ma

r-1

6

Ap

r-1

6

Ma

y-1

6

Ju

n-1

6

Ju

ly-1

6

bps

Pe

rce

nta

ge

(%)

Key Indices

10 year G-Sec

5 Year G-Sec

91 Day T Bill

364 day T-Bill

Call Rates

31-Aug-16 29-Jul-16 % Change

7.11% 7.17% -0.84%

7.02% 7.05% -0.43%

6.56% 6.53% 0.46%

6.68% 6.73% -0.75%

6.39% 6.35% 0.63%

5 year AAA Corporate Bond Spread 10 Yr G-Sec Yield

15

40

65

90

115

140

4.0

5.0

6.0

7.0

8.0

9.0

Au

g-1

5

Au

g-1

6

Se

pt-

15

Oct-

15

No

v-1

5

De

c-1

6

Ja

n-1

6

Fe

b-1

6

Ma

r-1

6

Ap

r-1

6

Ma

y-1

6

Ju

n-1

6

Ju

ly-1

6

Fund Managers Profile

Mr. Sameer Mistry

Mr. Parin Vora

Mr. Sameer Mistry joined BSLI in January 2009. He has over 17 years of experience in Equity Research and Fund Management. Prior to joining us, he worked as a Fund Manager wi th Rel iance Capi ta l Asset Management, Tata Mutual Fund and SBI Life Insurance. Sameer has done his BE (Electronics & Telecom) as well as an MBA in Finance.

Mr. Sameer Mistry – Joint Vice President - Investments

Mr. Parin S Vora has been with BSLI since October 2007 and is primarily responsible for Fixed Income trading and Fund Management. He has 17 years of experience in Fixed Income Industry and was associated with Birla Sun Life Securities & Mata Securities. Parin has done his MBA in Finance from Welingkar’s Institute of Management and DPMIR from Narsee Monjee Institute of Management studies.

Mr. Parin Vora – Assistant Vice President - Investments

3

Fund Performance as on 31st August 2016

Group Funds Figures in percentage (%)

Disclaimer:This document is issued by BSLI. While all reasonable care has been taken in preparing this document, no responsibility or liability is accepted for errors of fact or for any opinion expressed herein. This document is for information purposes only. It does not constitute any offer, recommendation or solicitation to any person to enter into any transaction or adopt any investment strategy, nor does it constitute any prediction of likely future movements in NAVs. Past performance is not necessarily indicative of future performance. We have reviewed the report, and in so far as it includes current or historical information, it is believed to be reliable though its accuracy or completeness cannot be guaranteed. Neither Birla Sun Life Insurance Company Limited, nor any person connected with it, accepts any liability arising from the use of this document. You are advised to make your own independent judgment with respect to any matter contained herein. The investment risk in investment portfolio is borne by the policyholder. The name of the funds do not in any way indicate their quality, future prospects or returns. The premium paid in unit linked life insurance policies are subject to investment risk associated with capital markets and the unit price of the units may go up or down based on the performance of investment fund and factors influencing the capital market and the policyholder is responsible for his/her decisions Insurance is the subject matter of solicitation.BEWARE OF SPURIOUS PHONE CALLS AND FICTITIOUS/FRAUDULENT OFFERS: IRDA clarifies to public that IRDA or its officials do not involve inactivities like sale of any kind of insurance or financial products nor invest premiums. IRDA does not announce any bonus. Public receiving such phone calls are requested to lodge a police complaint along with details of phone call, number.* Duration for Money Market Instrument and FD’s is considered as "Zero".

4

Secure

Stable

Stable 2

Growth

Growth 2

Growth Advantage

Money Market

Money Market 2

Short Term Debt Fund

Short Term Debt 2

Income Advantage

Gilt Fund

Bond Fund

Fixed Interest

Fixed Interest 2

BSE 100

BSE 100

BSE 100

BSE 100

BSE 100

BSE 100

-

-

-

-

-

-

-

-

-

20%

35%

35%

50%

50%

60%

-

-

-

-

-

-

-

-

-

70%

55%

55%

40%

40%

30%

-

-

100%

100%

85%

-

70%

15%

85%

85%

10%

10%

10%

10%

10%

10%

100%

100%

-

-

15%

-

15%

15%

15%

Crisil Composite Bond Fund Index






-

-

Crisil Short Term Bond Fund Index

Crisil Short Term Bond Fund Index


-

Crisil AAA Long Term Bond Index

Crisil AA Short Term Bond Index



Crisil Liquid Fund Index








-

-


-




ULGF00212/06/01BSLGSECURE109

ULGF00312/06/01BSLGSTABLE109

ULGF02228/11/11BSLGSTABL2109

ULGF00112/06/01BSLGGROWTH109

ULGF01828/11/11BSLGROWTH2109

ULGF01026/11/07BSLIGGRADV109

ULGF00824/08/04BSLIGRMMKT109

ULGF01928/11/11BSLGRMMKT2109

ULGF01322/09/08BSLGSHTDBT109

ULGF02128/11/11BSLGSHTDB2109

ULGF01425/02/10BSLGINCADV109

ULGF00630/05/03BSLIGRGILT109

ULGF00530/05/03BSLIGRBOND109

ULGF00416/07/02BSLGFIXINT109

ULGF01728/11/11BSLGFXINT2109

Absolute

CAGR

Returns Period

Absolute

CAGR

Returns

1 month

3 months

6 months

1 Year

2 Years

3 Years

4 Years

5 Years

Since Inception

1 month

3 months

6 months

1 Year

2 Years

3 Years

4 Years

5 Years

Since Inception

SecureFund

BMStableFund

BMStableFund 2

BMGrowthFund

BMGrowthFund 2

BM

Growth Advantage

BMMoney

Market Fund BM

Money Market Fund 2

BMShort TermDebt Fund

BMShort Term

Debt Fund 2BM

Absolute

CAGR

Returns

1 month

3 months

6 months

1 Year

2 Years

3 Years

4 Years

5 Years

Since Inception

Period BMBMGilt FundFixed

Interest Fund 2BM

Fixed Interest Fund

Bond FundIncome

Advantage Fund BM

Period

Fund NameBenchmark Composition

SFINWeightage Weightage WeightageIndex Index Index

1.72 1.18

6.40 4.85

13.20 10.68

12.21 10.14

11.07 9.26

13.25 11.48

10.79 9.53

10.24 9.16

10.84 8.61

1.79 1.29

7.04 5.53

16.40 13.50

12.20 10.18

10.69 8.63

14.86 12.47

11.78 10.23

10.92 9.57

13.28 9.94

1.76 1.29

7.26 5.53

16.98 13.50

13.37 10.18

11.90 8.63

15.13 12.47

12.35 10.23

- -

12.59 10.15

2.15 1.39

7.97 6.20

19.81 16.37

12.27 10.17

10.54 7.95

16.58 13.43

12.81 10.89

11.62 9.94

14.65 11.17

1.97 1.39

8.25 6.20

20.24 16.37

13.36 10.17

11.43 7.95

17.59 13.43

14.00 10.89

- -

13.99 10.71

2.02 1.45

8.26 6.64

21.85 18.31

12.15 10.14

10.42 7.47

17.83 14.04

13.74 11.31

12.29 10.16

12.74 6.54

0.72 0.51

1.97 1.57

3.88 3.39

7.82 6.59

8.09 6.99

8.40 7.61

8.62 7.48

8.79 7.64

9.27 6.68

0.62 0.51

1.82 1.57

3.75 3.39

7.78 6.59

8.17 6.99

8.67 7.61

8.67 7.48

- -

8.83 7.63

0.91 0.72

2.59 2.57

4.95 4.95

8.79 8.25

8.76 8.35

9.14 8.89

8.85 8.16

9.10 8.21

8.87 7.55

0.85 0.72

2.56 2.57

5.29 4.95

9.41 8.25

9.65 8.35

10.18 8.89

10.10 8.16

- -

10.31 8.27

1.99

7.57

12.94

14.86

13.87

12.54

10.15

9.47

7.58

1.21 1.27

3.90 4.19

7.19 7.39

10.06 10.20

10.28 9.97

10.54 10.34

9.66 8.91

9.93 8.89

10.77 8.47

1.51 1.01

5.37 3.82

9.64 6.79

12.21 9.86

11.89 9.96

11.47 10.06

10.44 8.49

10.73 8.50

9.10 6.41

1.51 1.01

5.50 3.82

9.52 6.79

12.48 9.86

11.92 9.96

11.78 10.06

9.95 8.49

10.01 8.49

10.01 7.83

1.55 1.01

5.60 3.82

9.27 6.79

13.68 9.86

13.65 9.96

14.83 10.06

12.27 8.49

- -

12.23 8.64

Asset held as on 3 ` 1465.69 cr1st August 2016:

GOVERNMENT SECURITIES: 50.01%

9.2% Government Of India 2030 13.20%










Other Government Securities 8.66%

8.45% HDFC Ltd. 2026 2.11%

9% Godrej And Boyce Manufacturing Company Limited 2021 1.76%

8.9% Steel Authority Of India Ltd. 2019 1.33%

8.57% REC. Ltd. 2024 1.12%

9.25% PGC. Of India Ltd. 2019 0.97%

9.25% Reliance Jio Infocomm Ltd 2024 0.73%

9.15% ICICI Bank Ltd. 2022 0.73%

8.39% HDFC. Ltd. 2019 0.69%

9% Tata Capital Fin Services Ltd 2017 0.69%

9.95% Tata Motors Ltd. 2020 0.64%

Other Corporate Debt 11.16%

HDFC Bank Ltd. 1.62%

Infosys Ltd. 1.13%

Reliance Industries Ltd. 1.02%

Larsen & Toubro Ltd. 0.92%

ICICI Bank Ltd. 0.88%

ITC Ltd. 0.81%

Mahindra And Mahindra Ltd. 0.60%

HDFC Ltd. 0.59%

Sun Pharmaceutical Inds. Ltd. 0.58%

State Bank Of India 0.53%

Other Equity 11.20%

RATING PROFILE

Exposure to equities has slightly increased to 19.89% from 19.86% G-Secs has decreased to 50.01% from 53.90% and MMI has increased to 8.18% from 4.02% on a MOM basis. Over 90% of the debt portfolio remains invested in highest rated instruments.The fund is predominantly invested in large cap stocks and maintains a well diversified equity portfolio.

Modified Duration: 6.10 years

EQUITY: 19.89%

NAV as on 31st August 2016: 47.82`

CORPORATE DEBT: 21.91%

Maturity Profile

ASSET ALLOCATION

MMI, Deposits, CBLO & Others: 8.18%

Objective: This investment fund option helps build your capital and generate better returns at moderate level of risk, over a medium or long-term period through a balance of investment in equity and debt.

Strategy: To generate better return with moderate level of risk through active management of fixed income portfolio and focus on creating long term equity portfolio which will enhance yield of composite portfolio with low level of risk appetite.

Fund Snapshot Know the Fund Better

Group Secure FundFund Manager: Sameer Mistry (Equity) & Parin Vora (Debt) | Total Experience: 17 years &17 years

ULGF00212/06/01BSLGSECURE109

Benchmark: BSE 100, Crisil Composite Bond Fund Index & Crisil Liquid Fund Index

SECTORAL ALLOCATION

Portfolio as on Wednesday, August 31, 2016

Maturity Profile

Date of Inception: 19-Jun-01

AAA

20.35%

68.34%

Sovereign

3.54%AA+AA

5.97%

50.01%G-Secs

MMI, Deposits, CBLO & Others

8.18%NCD21.91%

Equities19.89%

5

1.73%A1+

0.07%AA-

Secure BM

1.09%

1.44%

1.88%

2.06%

2.50%

3.76%

3.92%

6.26%

6.77%

7.84%

8.11%

9.02%

11.33%

11.97%

22.04%

AGRI RELATED

DIVERSIFIED

MANUFACTURING

POWER

OTHERS

CEMENT

TELECOMMUNICATION

PHARMACEUTICALS

FMCG

FINANCIAL SERVICES

AUTOMOBILE

CAPITAL GOODS

SOFTWARE / IT

OIL AND GAS

BANKING

7 years & above2 to 7 years

Less than 2years

64.48%

20.41%

15.11%

Au

g-0

9

Feb

-10

Au

g-1

0

Feb

-11

Au

g-1

1

Feb

-12

Au

g-1

2

Feb

-13

Au

g-1

3

Feb

-14

Au

g-1

4

Feb

-15

Au

g-1

5

Feb

-16

Au

g-1

6

Asset held as on 3 381.16 cr1st August 2016: `

RATING PROFILE

Over 99% of the debt portfolio remains invested in highest rated instruments.The fund is predominantly invested in large cap stocks and maintains a well diversified equity portfolio.

Modified Duration: 6.48 yearsNAV as on 31st August 2016: ` 64.98

SECTORAL ALLOCATION

Objective: This investment fund option helps you grow your capital through enhanced returns over a medium to long term period through investments in equity and debt instruments, thereby providing a good balance between risk and return. this fund is suitable for those who want to earn higher return on investment through balanced exposure to equity and debt securities.Strategy: To earn capital appreciation by maintaining diversified equity portfolio and seek to earn regular return on fixed income portfolio by active management resulting in wealth creation for policyholders.


Group Stable FundFund Manager: Sameer Mistry (Equity) & Parin Vora (Debt) | Total Experience: 17 years &17 years

ULGF00312/06/01BSLGSTABLE109



6

Date of Inception: 31-Aug-01


NCD

34.78%

AAA22.52%

Sovereign76.37%

AA+1.01%

13.78%

Equities

ASSET ALLOCATION

Maturity Profile

44.53%G-Secs


6.90%













8.65% REC. Ltd. 2019 2.50%

8.9% LIC Housing Finance Ltd. 2020 1.35%

10.1% PGC. Of India Ltd. 2017 1.34%



10.05% Can Fin Homes Ltd. 2017 0.87%

9.4% NABARD 2016 0.79%

9.61% Power Finance Corpn. Ltd. 2021 0.71%

9.33% NABARD 2017 0.67%

8.95% Bajaj Finance Ltd. 2020 0.54%



Infosys Ltd. 1.96%




ITC Ltd. 1.41%

HDFC. Ltd. 1.04%




Other Equity 19.59%

EQUITY: 34.78%CORPORATE DEBT: 13.78%

AA0.10%

Stable BM

1.09%

1.17%

1.43%

1.53%

1.80%

2.06%

3.76%

3.87%

6.24%

6.75%

7.95%

8.03%

9.02%

11.29%

11.87%

22.13%

AGRI RELATED

CONSTRUCTION

DIVERSIFIED

OTHERS

MANUFACTURING

POWER

CEMENT

TELECOMMUNICATION

PHARMACEUTICALS

FMCG

FINANCIAL SERVICES

AUTOMOBILE

CAPITAL GOODS

SOFTWARE / IT

OIL AND GAS

BANKING


Less than 2years

63.55%

20.35%

16.11%

Au

g-0

9

Feb

-10

Au

g-1

0

Feb

-11

Au

g-1

1

Feb

-12

Au

g-1

2

Feb

-13

Au

g-1

3

Feb

-14

Au

g-1

4

Feb

-15

Au

g-1

5

Feb

-16

Au

g-1

6


RATING PROFILE



SECTORAL ALLOCATION

Objective: This investment fund option helps you grow your capital through enhanced returns over a medium to long term period through investments in equity and debt instruments, thereby providing a good balance between risk and return. this fund is suitable for those who want to earn higher return on investment through balanced exposure to equity and debt securities.Strategy: To earn capital appreciation by maintaining diversified equity portfolio and seek to earn regular return on fixed income portfolio by active management resulting in wealth creation for policyholders.


Group Stable Fund 2Fund Manager: Sameer Mistry (Equity) & Parin Vora (Debt) | Total Experience: 17 years &17 years

ULGF02228/11/11BSLGSTABL2109



7

Date of Inception: 28-Nov-11


NCD8.08%

33.05%

Equities

ASSET ALLOCATION

Maturity Profile

43.28%G-Secs






10.7% IRFC. Ltd. 2023 8.08% HDFC Bank Ltd. 2.72%

Infosys Ltd. 1.88%




ITC Ltd. 1.42%



HDFC Ltd. 0.93%

Tata Motors Ltd. 0.91%

Other Equity 18.49%

EQUITY: 33.05%CORPORATE DEBT: 8.08%


15.59%

Sovereign86.59%

AAA13.41%

Stable 2 BM

1.07%

1.55%

2.03%

3.31%

3.94%

3.95%

6.25%

7.53%

7.62%

7.87%

9.23%

11.55%

12.26%

21.83%

AGRI RELATED

DIVERSIFIED

POWER

OTHERS

TELECOMMUNICATION

CEMENT

PHARMACEUTICALS

FMCG

AUTOMOBILE

FINANCIAL SERVICES

CAPITAL GOODS

SOFTWARE / IT

OIL AND GAS

BANKING


Less than 2years

63.25%

14.59% 22.16%

Au

g-1

2

Feb

-13

Au

g-1

3

Feb

-14

Au

g-1

4

Feb

-15

Au

g-1

5

Feb

-16

Au

g-1

6






9.53% State Government Of Gujrat 2024 2.23%








9.34% REC. Ltd. 2024 2.04%


8.55 Power Finance Corpn. Ltd. 2021 1.67%

8.45% HDFC Ltd. 2026 1.65%

NABARD 2017 0.79%

9.02% REC. Ltd. 2022 0.77%

10.15% Kotak Mahindra Prime Ltd. 2017 0.71%



10.3% Tata Motors Ltd. 2018 0.42%



Infosys Ltd. 2.79%




ITC Ltd. 1.91%

HDFC. Ltd. 1.48%




Other Equity 27.84%

RATING PROFILE



EQUITY: 49.42%

NAV as on 31st August 2016: ` 77.89


Maturity Profile

ASSET ALLOCATION


SECTORAL ALLOCATION

Objective: The objective is to achieve optimum balance between growth and stability to provide long term capital appreciation with balanced level of risk by investing in fixed income securities and high quality equity security. This fund option is for those who are willing to take average to high level of risk to earn attractive returns over a long period of time.Strategy: The strategy is to invest into fixed income securities & maintaining diversified equity portfolio along with active fund management policyholder’s wealth in long run.



Group Growth Fund

ULGF00112/06/01BSLGGROWTH109

Portfolio as on Wednesday, August 31, 2016Date of Inception: 31-Aug-01

Fund Manager: Sameer Mistry (Equity) & Parin Vora (Debt) | Total Experience: 17 years &17 years

G-Secs

31.85%

49.42%

Equities

NCD

5.51%

MMI, Deposits, CBLO & Others13.22%

AAA

27.63%

70.66%

Sovereign

AA+

1.71%

Fund Snapshot

8

Gr. Growth BM

1.11%

1.43%

1.98%

2.07%

2.49%

3.78%

3.88%

6.35%

6.58%

7.87%

8.07%

9.05%

11.12%

11.94%

22.29%

AGRI RELATED

DIVERSIFIED

MANUFACTURING

POWER

OTHERS

CEMENT

TELECOMMUNICATION

PHARMACEUTICALS

FMCG

FINANCIAL SERVICES

AUTOMOBILE

CAPITAL GOODS

SOFTWARE / IT

OIL AND GAS

BANKING


Less than 2years

63.16%

22.61%

14.23%

Au

g-0

9

Feb

-10

Au

g-1

0

Feb

-11

Au

g-1

1

Feb

-12

Au

g-1

2

Feb

-13

Au

g-1

3

Feb

-14

Au

g-1

4

Feb

-15

Au

g-1

5

Feb

-16

Au

g-1

6







8.4% NPC of India Ltd. 2027 7.12%

9.74% Tata Sons Ltd. 2024 2.18%


Infosys Ltd. 2.53%


Larsen And Toubro Ltd. 2.30%

Tata Consultancy Services Ltd. 2.17%


Maruti Suzuki India Ltd. 1.84%


Tata Communications Ltd. 1.71%


Other Equity 27.63%

RATING PROFILE



EQUITY: 49.85%



Maturity Profile

ASSET ALLOCATION


SECTORAL ALLOCATION

Objective: The objective is to achieve optimum balance between growth and

stability to provide long term capital appreciation with balanced level of risk by

investing in fixed income securities and high quality equity security. This fund option

is for those who are willing to take average to high level of risk to earn attractive

returns over a long period of time.

Strategy: The strategy is to invest into fixed income securities & maintaining

diversified equity portfolio along with active fund management policyholder’s wealth

in long run.


Group Growth Fund 2

ULGF01828/11/11BSLGROWTH2109



9


Fund Manager: Sameer Mistry (Equity) & Parin Vora (Debt) | Total Experience: 17 years &17 years

G-Secs

36.51%

49.85%

Equities

4.34%

MMI, Deposits, CBLO & OthersNCD

9.30%

AAA

19.99%

80.01%

Sovereign

Gr. Growth 2 BM

0.53%

1.07%

1.42%

1.77%

2.03%

2.31%

3.26%

3.92%

4.85%

6.29%

7.47%

7.81% 9.50%

12.08%

14.95%

20.75%

OTHERS

CONSTRUCTION

DIVERSIFIED

POWER

RETAILING

AGRI RELATED

CEMENT

TELECOMMUNICATION

FMCG

FINANCIAL SERVICES

CAPITAL GOODS

PHARMACEUTICALS

AUTOMOBILE

OIL AND GAS

SOFTWARE / IT

BANKING

Au

g-1

2

Feb

-13

Au

g-1

3

Feb

-14

Au

g-1

4

Feb

-15

Au

g-1

5

Feb

-16

Au

g-1

6

7 years & above

Less than 2 years

90.56%

9.44%














8.57% REC Ltd. 2024 2.16%

9.05% Petronet LNG Ltd. 2019 2.11%

8.99% Tata Capital Financial Services Limited 2017 1.44%

8.95% HDFC Bank Ltd. 2022 0.62%


11.95% HDFC Ltd. 2018 0.22%


Infosys Ltd. 3.35%




ITC Ltd. 2.31%

HDFC Ltd. 1.86%




Other Equity 32.87%

RATING PROFILE

82% of the debt portfolio remains invested in highest rated instruments.The fund is predominantly invested in large cap stocks and maintains a well diversified equity portfolio.


EQUITY: 59.02%



Maturity Profile

ASSET ALLOCATIONSECTORAL ALLOCATION

Objective: The Objective of the fund is to provide blend of fixed return by investing in debt &

money market instruments and capitalappreciation by predominantly investing in equities of

fundamentally strong and large blue chip companies.

Strategy: The fund option will invest at least 40% and maximum of 60% in fundamentally strong

and large blue chip companies and minimum 40% in Debt and money market Instruments. The

Strategy of the fund is to build and actively manage a well-diversified equity portfolio of value &

growth driven stocks by following a research-focused investment approach. While appreciating the

high risk associated with equities, the fund would attempt to maximize the risk-return pay-off for the

long-term advantage of thepolicyholders. The fund will also explore the option of having exposure to

quality mid cap stocks. The Fund Manager would endeavor to outperform the benchmark. The non-

equity portion of the fund will be invested in highrated debt and money market instruments and fixed

deposits.

Fund SnapshotKnow the Fund Better

Group Growth Advantage Fund

ULGF01026/11/07BSLIGGRADV109



10

Date of Inception: 18-Feb-08

Fund Manager: Sameer Mistry (Equity) & Parin Vora (Debt) | Total Experience: 17 years & 17 years

59.02%

Equities

G-Secs

24.16%


6.98%

NCD9.83%

Sovereign

75.86%

AAA10.50%


10.88%

AA+ A1+

2.76%

Gr. Advantage BM

1.06%

1.37%

1.42%

1.60%

1.76%

1.99%

3.63%

3.79%

6.25%

6.54%

7.87%

8.05%

8.99%

11.13%

11.70%

22.83%

AGRI RELATED

DIVERSIFIED

OTHERS

CONSTRUCTION

MANUFACTURING

POWER

CEMENT

TELECOMMUNICATION

PHARMACEUTICALS

FMCG

FINANCIAL SERVICES

AUTOMOBILE

CAPITAL GOODS

SOFTWARE / IT

OIL AND GAS

BANKING


Less than 2years

56.85%

15.12% 28.03%

Au

g-0

9

Feb

-10

Au

g-1

0

Feb

-11

Au

g-1

1

Feb

-12

Au

g-1

2

Feb

-13

Au

g-1

3

Feb

-14

Au

g-1

4

Feb

-15

Au

g-1

5

Feb

-16

Au

g-1

6


100% of the fund is invested in highest rated instruments.The fund continues to maintain very low maturity profile.


Objective: The primary objective of the investment fund option is to provide

reasonable returns, at a high level of safety and liquidity for capital conservation for

the policyholder.

Strategy: The strategy of the investment fund option is to make judicious

investments in high quality debt and money market instruments protect capital of the

policyholder with very low level of risk.


Group Money Market FundFund Manager: Parin Vora | Total Experience: 17 years

ULGF00824/08/04BSLIGRMMKT109

Benchmark: Crisil Liquid Fund Index


11

Maturity Profile

Less than 2 years

100.00%

ASSET ALLOCATION

Date of Inception: 30-Mar-05

NCD

8.75%



91.25%

RATING PROFILE

AAA

12.62%

A1+

87.38%%



MM BM

Aug

-09

Feb-

10

Aug

-10

Feb-

11

Aug

-11

Feb-

12

Aug

-12

Feb-

13

Aug

-13

Feb-

14

Aug

-14

Feb-

15

Aug

-15

Feb-

16

Aug

-16


100% of the fund is invested in highest rated instruments.The fund continues to maintain very low maturity profile.


Objective: The primary objective of the investment fund option is to provide

reasonable returns, at a high level of safety and liquidity for capital conservation for

the policyholder.

Strategy: The strategy of the investment fund option is to make judicious

investments in high quality debt and money market instruments protect capital of the

policyholder with very low level of risk.


Group Money Market Fund 2Fund Manager: Parin Vora | Total Experience: 17 years

ULGF01928/11/11BSLGRMMKT2109

Benchmark: Crisil Liquid Fund Index


12

Maturity Profile

Less than 2 years

100.00%

ASSET ALLOCATION



74.24%

G-Secs

25.76%

RATING PROFILE


Government Of India 2016 25.76%

37.26%

A1+

Sovereign62.74%


MM BM

Au

g-1

2

Feb

-13

Au

g-1

3

Feb

-14

Au

g-1

4

Feb

-15

Au

g-1

5

Feb

-16

Au

g-1

6

Exposure to corporate debt has decreased to 45.36%

from 50.05% and MMI has increased to 54.64% from

49.95% on a MOM basis. Over 83% of the fund is

invested in highest rated instruments.


9.04% REC Ltd. 2019 7.67%

10.5% AU Financiers (India) Ltd 2019 7.51%

9.15% Larsen & Toubro Ltd. 2019 6.83%

9.1% HDFC Bank Ltd. 2022 5.62%

9% Indiabulls Housing Finance Ltd 2019 5.57%

9.2% Cholamandalam Investment And Finance Co. Ltd. 2019 3.73%

8.5% IRFC Ltd. 2020 2.68%

8.64% PGC. of India Ltd. 2025 1.95%

8.64% PGC. Of India Ltd. 2020 1.91%




Benchmark: Crisil Short Term Bond Fund Index

Objective: This BSLI fund option helps to provide capital preservation at a high level of

safety & liquidity through judicious investments in high quality short-term debt instruments.

Strategy: To actively manage the fund by building a portfolio of fixed income instruments with

short-term duration. The quality & duration of the assets purchased would aim to minimize the

credit risk &liquidity risk of the portfolio. Fund will maintain reasonable level of liquidity.


Group Short Term Debt Fund

ULGF01322/09/08BSLGSHTDBT109

Asset held as on 3 27.20 cr1st August 2016: ` Modified Duration: 1.49 years


13

Maturity Profile

ASSET ALLOCATION

Date of Inception: 10-Dec-08

Fund Manager: Parin Vora | Total Experience: 17 years


45.36%NCD

54.64%

RATING PROFILE

AAA

50.44%

A+

11.11%A1+

32.92%

AA

5.52%

BMShort Term Debt


Less than 2years

2.15%

51.87%

45.97%

Aug-

09

Feb-

10

Aug-

10

Feb-

11

Aug-

11

Feb-

12

Aug-

12

Feb-

13

Aug-

13

Feb-

14

Aug-

14

Feb-

15

Aug-

15

Feb-

16

Aug-

16

Exposure to corporate debt has increased to 69.96% from 42.56% and MMI has decreased to 30.04% from 57.44% on a MOM basis. Over 83% of the fund is invested in highest rated instruments.



Benchmark: Crisil Short Term Bond Fund Index

Objective: This BSLI fund option helps to provide capital preservation at a high level of safety

& liquidity through judicious investments in high quality short-term debt instruments.

Strategy: To actively manage the fund by building a portfolio of fixed income instruments with

short-term duration. The quality & duration of the assets purchased would aim to minimize the

credit risk &liquidity risk of the portfolio. Fund will maintain reasonable level of liquidity.


Group Short Term Debt Fund 2

ULGF02128/11/11BSLGSHTDB2109

Asset held as on 3 41.66 cr1st August 2016: ` Modified Duration: 1.08 years


14

Maturity Profile

ASSET ALLOCATION



NCD

30.04%


69.96%



9.33% NABARD 2017 6.08%

9.13% Cholamandalam Investment And

Finance Co. Ltd. 2019 4.87%

8.58% HDFC Ltd. 2018 4.85%

8.49% NHPC Ltd. 2016 4.33%

9.25% PGC Of India Ltd. 2017 4.30%

9.04% REC Ltd. 2019 3.75%

9.64% PGC Of India Ltd. 2018 3.73%


9.3% HDFC Ltd. 2017 3.41%


RATING PROFILE

AA

12.38%AA+

2.96%

AAA

67.86%

A1+

15.32%A+

1.48%

BMShort Term Debt 2


Less than 2years

3.30% 26.06%

70.64%

Au

g-1

2

Feb

-13

Au

g-1

3

Feb

-14

Au

g-1

4

Feb

-15

Au

g-1

5

Feb

-16

Au

g-1

6


100% of the fund remains invested in highest rated instruments.


9.34% REC Ltd. 2024 8.86%

9.9% HDFC Ltd. 2021 6.20%


9.15% Export Import Bank Of India 2022 4.97%

8.65% India Infradebt Ltd 2026 4.70%


9.02% REC Ltd. 2022 3.45%

8.57% REC Ltd. 2024 2.43%

9.25% PGC of India Ltd. 2020 1.84%

8.4% NPC of India Ltd. 2027 1.23%



Benchmark: Crisil Composite Bond Fund index & Crisil Liquid Fund Index

Objective: To provide capital preservation and regular income, at a high level of

safety over a medium term horizon by investing in high quality debt instruments

Strategy: To actively manage the fund by building a portfolio of fixed income

instruments with medium term duration. The fund will invest in government

securities, high rated corporate bonds, high quality money market instruments and

other fixed income securities. The quality of the assets purchased would aim to

minimize the credit risk and liquidity risk of the portfolio. The fund will maintain

reasonable level of liquidity.


Group Income Advantage Fund

ULGF01425/02/10BSLGINCADV109


Maturity Profile

ASSET ALLOCATIONRATING PROFILE














15

Date of Inception: 23-Mar-10


NCD

42.69% 6.15%


51.17%G-Secs

54.52%

Sovereign

AAA

45.48%

Gr. Inc Adv BM


Less than 2years

66.99%

28.77%

4.24%

Au

g-1

1

Feb

-12

Au

g-1

2

Feb

-13

Au

g-1

3

Feb

-14

Au

g-1

4

Feb

-15

Au

g-1

5

Feb

-16

Au

g-1

6


Exposure to G-Secs has increased to 96.17% from 93.54% and MMI has decreased to 3.83% from 6.46% on a MOM basis.


Objective: The investment fund option aims to deliver safe and consistent returns

over a long-term period by investing in government securities for capital

preservation of the policyholder.

Strategy: The investment fund option strategy is to invest in government securities,

maintaining a medium to long-term duration of the portfolio to achieve capital

conservation.


Group Gilt Fund

ULGF00630/05/03BSLIGRGILT109


Maturity Profile

ASSET ALLOCATION


RATING PROFILE

16

Sovereign100.00%

Date of Inception: 28-Apr-04



3.83%

96.17%G-Secs













Less than 2years

93.35%

4.53%

2.12%


Exposure to corporate debt has slightly increased to 89.96% from 89.94% and MMI has slightly decreased to 10.04% from 10.06% on a MOM basis. Over 79% of the fund remains invested in highest rated instruments.


Objective: The investment fund option aims to achieve capital preservation along

with stable returns by investing in corporate bonds over medium-term period.

Strategy: The fund follows a strategy to invest in high credit rated corporate bonds,

maintaining a short-term duration of the portfolio at a medium level of risk to achieve

capital conservation.


Group Bond Fund

ULGF00530/05/03BSLIGRBOND109



9.74% Tata Sons Ltd. 2024 5.19%

9.05% Petronet LNG Ltd. 2019 4.94%

9.5% HDFC Ltd. 2024 4.53%

8.54% NPC Of India Ltd. 2023 4.41%

8.57% REC Ltd. 2024 3.30%

9.15% ICICI Bank Ltd. 2022 3.11%

8.46% HDFC Ltd. 2026 3.01%


8.9% Steel Authority Of India Ltd. 2019 2.92%



Benchmark: Crisil AAA Long Term Bond Index, Crisil AA Short Term Bond Index & Crisil Liquid Fund Index

Maturity Profile


17

ASSET ALLOCATION

RATING PROFILE

Date of Inception: 28-Jan-07


10.15%AA+

10.62%

AA

AAA

77.35%

1.41%A+

NCD

89.96%


10.04%

0.47%

Sovereign

Gr. Bond BM


Less than 2years

35.22%

54.11%

10.66%

Aug

-09

Feb-

10

Aug

-10

Feb-

11

Aug

-11

Feb-

12

Aug

-12

Feb-

13

Aug

-13

Feb-

14

Aug

-14

Feb-

15

Aug

-15

Feb-

16

Aug

-16

Asset held as on 3 1020.78 cr1st August 2016: ` Modified Duration: 5.96 yearsNAV as on 31st August 2016: ` 33.26

Objective: The investment fund option with full exposure in debt market instrument,

aims to achieve value creation at low risk over along-term horizon by investing into

high quality fixed interest securities.

Strategy: Active fund management at a medium level of risk by having entire

exposure to government securities, corporate bonds maintaining medium to long-

termduration of the portfolio to achieve capital conservation.


Group Fixed Interest Fund

ULGF00416/07/02BSLGFIXINT109










8.67% State Government Of Maharashtra 2026 2.11%



8.75% HDFC Ltd. 2021 4.94%



9.55% Hindalco Industries Ltd. 2022 2.35%




9.55% Hindalco Industries Ltd. 2022 1.17%

10.5% AU Financiers (India) Ltd 2019 1.15%




Maturity Profile

ASSET ALLOCATION




18

RATING PROFILE



49.53%G-Secs


15.67%NCD

34.80%

Exposure to corporate debt has slightly decreased to 34.80% from 34.83% G-Secs has decreased to 49.53% from 53.84% and MMI has increased to 15.67% from 11.33% on a MOM basis. Over 85% of the fund remains invested in highest rated instruments.

AA-3.93%

5.76%A1+

1.29%A+

AAA

29.63%

55.35%

Sovereign

3.33%AA

0.71%AA+

FIF BM


Less than 2years

66.66%

20.78%

12.56%

Au

g-0

9

Fe

b-1

0

Au

g-1

0

Fe

b-1

1

Au

g-1

1

Fe

b-1

2

Au

g-1

2

Fe

b-1

3

Au

g-1

3

Fe

b-1

4

Au

g-1

4

Fe

b-1

5

Au

g-1

5

Fe

b-1

6

Au

g-1

6

Asset held as on 3 3.98 cr1st August 2016: ` Modified Duration: 6.22 yearsNAV as on 31st August 2016: ` 17.32

Objective: The investment fund option with full exposure in debt market instrument,

aims to achieve value creation at low risk over along-term horizon by investing into

high quality fixed interest securities.

Strategy: Active fund management at a medium level of risk by having entire

exposure to government securities, corporate bonds maintaining medium to long-

term duration of the portfolio to achieve capital conservation.


Group Fixed Interest Fund 2

ULGF01728/11/11BSLGFXINT2109




8.99% Tata Capital Financial Services Limited 2017 2.53%


Maturity Profile

ASSET ALLOCATION




19

RATING PROFILE



Exposure to corporate debt has slightly decreased to 2.53% from 2.55%, G-Secs has slightly decreased to 94.00% from 94.02% and MMI has slightly increased to 3.47% from 3.43% on a MOM basis. Over 97% of the fund remains invested in highest rated instruments.

AA+

2.62%

97.38%

Sovereign

7 years & above

Less than 2 years

97.18%%

2.82%%

94.00%G-Secs


3.47% NCD2.53%

FIF 2 BM

Au

g-1

2

Feb

-13

Au

g-1

3

Feb

-14

Au

g-1

4

Feb

-15

Au

g-1

5

Feb

-16

Au

g-1

6

birla insurance group aug · 2017-04-10 · market update 2 outlook for equities indian equity...

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