Investments in in companies that are considered emergent and have - - PowerPoint PPT Presentation

*Investors should consult their financial advisers if in doubt about whether the product is suitable for them.

Product Labeling This product is suitable for investors who are seeking*: Riskometer  Long term capital appreciation.  Investments in in companies that are considered emergent and have export

• rientation/ outsourcing opportunities or

globally competitive to participate in growth potential of Indian businesses potential to provide investors maximum growth opportunity.

Capital Agnostic: Flexible

• Large, mid & small caps usually follow the same market trend
• However, during times of volatility, large caps have comparatively been more consistent; whereas, when

markets rally, mid & small caps have taken the lead SBI Emerging Businesses Fund is a market capitalization agnostic fund; it may invest into large, mid and/or small cap stocks in any proportion based on the market conditions making the most of different market phases.

Source: Bloomberg. As on date: May 31, 2017.

• 60%
• 40%
• 20%

0% 20% 40% 60% 80% 100% 120% 140% 2009 2010 2011 2012 2013 2014 2015 2016 2017

Annual Returns

S&P BSE Large Cap S&P BSE Mid Cap S&P BSE Small Cap

High Conviction: Focused Approach

• The portfolio invests in 20-30 stocks based on return expectations

High Conviction

• The current top 10 holdings amount to 62.25%

Concentrated

• Since there are no sector holding limits, the portfolio is more flexible thereby

allowing the fund manager to hold the sectors that the fund manager believes are the best suited for the portfolio

Flexibility

Bottom-up

Sell - Side Primary Research Management Interaction Earnings Model Stress Testing Valuations Quantitative Tools

Bottom Up Strategy

• The fund has the flexibility to invest across market caps. However, to maintain liquidity on a portfolio basis, we

maintain a meaningful proportion in large caps

• Bottom Up: Stock selection is from a bottom up perspective which uses a combination of factors including

business model, profitability, growth, management and valuations

Five Pillars of Bottom-up Stock Picking

Management: Integrity, Capability Consistency Growth: Cyclicality, Scalability, Sustainability Business Model: Competitive Edge, Market share, Brand Franchise Valuations: Absolute valuations; relative to historic valuations & peers Returns on Capital: Past record, sustainable drivers A combination of the above factors are considered for stock picking under the bottom-up approach for mid & small cap stocks

SBI Emerging Businesses Fund

Current Strategy An actively managed, diversified equity portfolio, currently skewed towards mid and small caps given the sheer size of the population available in this space and the price-value arbitrage due to lower coverage The fund has no sector holding limits & may invest in any sectors as per the market view. Since liquidity risks are technically higher and investment is made from a 3-year perspective. To offset this liquidity risk, between one-fourth to one-fifth of the portfolio is into pure large caps (including cash, which has an upper ceiling of 10%)

Source: CRISIL Fund Analyser Risk Free rate : FBIL Overnight Mumbai Interbank Outright Rate 6.25% as on 31/May/2017 Basis for Ration Calculation : 3 Years Daily Data Points

Quantitative Data Ratio Standard Deviation 12.69% Beta 0.88 Sharpe Ratio 0.93 Expense Ratio (Regular Plan) 1.97% Expense Ratio (Direct Plan) 1.14%

Asset Allocation

Fund Details

Currently portfolio skewed towards mid cap stocks

Sector Exposure (%)

Data as on 31.05.2017

Higher concentration on Financial Services, Consumer Goods and Services

27.25 18.87 16.25 13.44 9.84 7.90 2.73 FINANCIAL SERVICES CONSUMER GOODS SERVICES INDUSTRIAL MANUFACTURING PHARMA CHEMICALS AUTOMOBILE Large Cap 29% Mid Cap 49% Small Cap 18% Cash 4%

Funds Details

Top 10 Holdings Dividend History Top 10 stocks comprise 62.25% of the fund

Data as on 31.05.2017

Past performance may not be sustained in the future. Pursuant to payment of dividend, the NAV of Dividend

• ption of scheme/plan would fall to the extent of payout and statutory levy, if applicable.

Face Value: Rs. 10/- Past performance may or may not be sustained in future. Stock Name % of Total AUM PROCTER & GAMBLE HYGIENE AND HEALTH CARE LTD. 9.60 HDFC BANK LTD. 8.79 SOLAR INDUSTRIES INDIA LTD. 7.90 GRUH FINANCE LTD. 6.59 ELGI EQUIPMENTS LTD. 5.86 THE GREAT EASTERN SHIPPING COMPANY LTD. 5.70 DIVI'S LABORATORIES LTD. 5.32 KOTAK MAHINDRA BANK LTD. 5.19 3M INDIA LTD. 3.72 HAWKINS COOKERS LTD. 3.60

Record Date Dividend (in Rs./ Unit) NAV (on the day of declaration of dividend) 07-Apr-16 (Regular Plan) 2.00 20.1119 07-Apr-16 (Direct Plan) 2.50 27.4503 28-Nov-14 (Regular Plan) 2.70 21.2616 26-Apr-13 (Regular Plan) 2.50 15.3680 30-Mar-12 2.50 14.37 30-Jul-09 2.50 11.47 28-Mar-08 2.50 18.14 31-Oct-05 5.10 17.74

Synopsis

MAGNUM SECTOR FUNDS UMBRELLA - EMERGING BUSINESSES FUND

High Conviction portfolio, concentrated portfolio with no sector bias Bottom -up stock picking approach for Mid & Small Caps The scheme is ideal for investors who would like to invest for long-term capital appreciation Market Capitalization agnostic, may invest into Large, Mid or Small caps

Past performance may or may not be sustained in future. Returns (in %) other than since inception are absolute, calculated for growth option and in INR are point-to-point (PTP) returns calculated on a standard investment of 10,000/-. Additional benchmark as prescribed by SEBI for equity schemes is used for comparison purposes. Performance calculated for Regular Plan.

Performance

31/03/2016 to 30/03/2017 31/03/2015 to 31/03/2016 31/03/2014 to 31/03/2015 Since Inception

Absolute Returns (%) CAGR Returns (%) PTP Returns (INR) SBI Emerging Businesses Fund

19.20

• 1.44

53.78 20.83 107,296

S&P BSE 500 Index (Scheme Benchmark)

24.02

• 7.82

33.19 14.77 56,266

S&P BSE Sensex (Additional Benchmark)

16.88

• 9.36

24.89 14.27 53,263

• 20
• 10

10 20 30 40 50 60 31/03/2016 to 31/03/2017 31/03/2015 to 31/03/2016 31/03/2014 to 31/03/2015 Since inception SBI Emerging Businesses Fund - Reg Plan - Growth Scheme Benchmark: - S&P BSE 500 Additional Benchmark: - S&P BSE Sensex

Performance of Schemes Managed by R. Srinivasan

Past performance may or may not be sustained in future. Returns (in %) other than since inception are absolute, calculated for dividend

• ption and in INR are point-to-point (PTP) returns calculated on a

standard investment of 10,000/-. It is assumed that dividends declared under the scheme have been reinvested at the then prevailing NAV. Growth option introduced on 27/11/2006. Additional benchmark as prescribed by SEBI for equity schemes is used for comparison purposes. Performance calculated for Regular Plan Performance of dividend plan for investor would be net of dividend distribution tax as applicable. Performance calculated for Regular Plan

31/03/2016 to 30/03/2017 31/03/2015 to 31/03/2016 31/03/2014 to 31/03/2015

Since Inception Absolute Returns (%) CAGR Returns (%) PTP Returns (INR) SBI Magnum Global Fund

15.23

• 6.19

66.01 14.90 228,118

S&P BSE Midcap Index (Scheme Benchmark)

35.14

• 3.34

51.11 N.A. N.A.

S&P BSE Sensex (Additional Benchmark)

16.88

• 9.36

24.89 8.97 69,191

Past performance may or may not be sustained in future. Returns (in %) other than since inception are absolute, calculated for dividend

• ption and in INR are point-to-point (PTP) returns calculated on a

standard investment of 10,000/-. It is assumed that dividends declared under the scheme have been reinvested at the then prevailing NAV. Growth option introduced on 27/06/2005. Additional benchmark as prescribed by SEBI for long-term equity schemes is used for comparison

• purposes. Performance calculated for Regular Plan. Performance of

dividend plan for investor would be net of dividend distribution tax as applicable.

31/03/2016 to 30/03/2017 31/03/2015 to 31/03/2016 31/03/2014 to 31/03/2015

Since Inception Absolute Returns (%) CAGR Returns (%) PTP Returns (INR) SBI Contra Fund

19.58

• 7.10

45.24 19.96 252,931

S&P BSE 100 Index (Scheme Benchmark)

21.17

• 8.96

28.32 13.05 88,283

S&P BSE Sensex (Additional Benchmark)

16.88

• 9.36

24.89 11.48 68,783

Past performance may or may not be sustained in future. Returns (in %) other than since inception are absolute, calculated for dividend option and in INR are point-to-point (PTP) returns calculated on a standard investment of 10,000/-. It is assumed that dividends declared under the scheme have been reinvested at the then prevailing NAV. Growth option introduced on 06/05/2005. Additional benchmark as prescribed by SEBI for equity schemes is used for comparison purposes. Performance of dividend plan for investor would be net of dividend distribution tax as applicable. Performance calculated for Regular Plan

31/03/2016 to 30/03/2017 31/03/2015 to 31/03/2016 31/03/2014 to 31/03/2015

Since Inception Absolute Returns (%) CAGR Returns (%) PTP Returns (INR) SBI Magnum Equity Fund

18.17

• 3.49

39.76 14.75 370,937

Nifty 50 (Scheme Benchmark)

18.55

• 8.86

26.65 13.65 287,623

S&P BSE Sensex (Additional Benchmark)

16.88

• 9.36

24.89 13.78 296,424

Performance of Schemes Managed by R. Srinivasan

Performance of Scheme Managed by R. Srinivasan & Dinesh Ahuja

31/03/2016 to 30/03/2017 31/03/2015 to 31/03/2016 31/03/2014 to 31/03/2015

Since Inception Absolute Returns (%) CAGR Returns (%) PTP Returns (INR) SBI Small and Midcap Fund – Growth

30.68 8.66 89.90 20.46 40,861

S&P BSE Small Cap Index (Scheme Benchmark)

36.92

• 3.20

53.99 9.67 20,093

S&P BSE Sensex (Additional Benchmark)

16.88

• 9.36

24.89 8.32 18,303

Past performance may or may not be sustained in future. Returns (in %) other than since inception are absolute, calculated for growth option and in INR are point-to-point (PTP) returns calculated on a standard investment of 10,000/-. Additional benchmark as prescribed by SEBI for equity schemes is used for comparison purposes. Performance calculated for Regular Plan

31/03/2016 to 30/03/2017 31/03/2015 to 31/03/2016 31/03/2014 to 31/03/2015

Since Inception Absolute Returns (%) CAGR Returns (%) PTP Returns (INR) SBI Magnum Balanced Fund – Growth

15.26

• 0.28

43.64 16.16 250,088

Crisil Balanced Fund Index (Scheme Benchmark)

16.10

• 2.90

22.53 N.A. N.A.

S&P BSE Sensex (Additional Benchmark)

16.88

• 9.36

24.89 10.33 82,672

Past performance may or may not be sustained in future. Returns (in %) other than since inception are absolute, calculated for dividend option and in INR are point-to-point (PTP) returns calculated on a standard investment of 10,000/-. It is assumed that dividends declared under the scheme have been reinvested at the then prevailing NAV. Growth option introduced on 25/05/2005. Additional benchmark as prescribed by SEBI for equity schemes is used for comparison purposes. Performance calculated for Regular Plan Performance of dividend plan for investor would be net of dividend distribution tax as applicable. Performance calculated for Regular Plan

NAV of the schemes Managed by the Fund Manager

Scheme Name 31/03/2017 31/03/2016 31/03/2015 31/03/2014 SBI Emerging Businesses Fund - Growth

107.2962 90.0162 91.3274 59.3896

SBI Magnum Equity Fund - Growth

86.0038 72.7772 75.4111 53.9569

SBI Magnum Global Fund 94 - Growth

145.9724 126.6779 135.0365 81.3419

SBI Contra Fund - Growth

99.9558 83.5901 89.9794 61.9512

SBI Small & Midcap Fund - Growth

40.8611 31.268 28.777 15.1537

SBI Magnum Balanced Fund - Growth

109.1553 94.7017 94.9637 66.1133

Performance of Schemes Managed by R. Srinivasan

• Mr. Navneet Munot

Navneet joined SBIFM as Chief Investment Officer in 2008. In his role Navneet is responsible for

• verseeing investments across asset classes worth over $29.10 billion. His prior stint was with

Morgan Stanley Investment Management as Executive Director and head- multi strategy boutique. Prior to that, Navneet was the Chief Investment Officer - Fixed Income and Hybrid Funds at Birla Sun Life Asset Management Company Ltd. Navneet had been associated with the financial services business of the Birla group for 14 years and worked in various areas such as fixed income, equities and foreign exchange. Navneet holds masters in accountancy and business statistics from the University of Ajmer and is a Chartered Accountant from ICAI. He is a charter holder of the CFA Institute USA and CAIA Institute

• USA. He is also an FRM charter holder of Global Association of Risk professionals (GARP).
• Mr. R. Srinivasan
• Mr. Srinivasan joined SBI Funds Management as a Senior Fund Manager in May 2009, now heads

equities and also directly manages a few funds. He has an experience of nearly 20 years in capital markets having worked with FCH, Principal PNB, Oppenheimer & Co, Indosuez WI Carr and Motilal Oswal, among others. Srinivasan is a post graduate in commerce and has done his MFM from the University of Bombay.

Biographies

SBI Funds Management Private Limited

63% 37%

• India’s premier and largest bank with over 200

years experience (Estd: 1806)

• Asset base of USD 465bn*
• Pan-India network of ~23,737 branches and

59,108 ATM’s as at end of December 2016

• Servicing over 299 million customers
• Only Indian bank in Fortune 500 list; ranked

among the top 100 banks in the world

• Global leader in asset management
• Backed by Credit Agricole and Amundi, the parent

company of Amundi Asset Management listed in Euronext Paris

• More than 2,000 institutional clients and distributors in

30 countries

• Over 100 million retail clients via its partner networks
• USD 1083 bn AuM as at end of December 2016
• Ranking No 1 in Europe, Top 10 worldwide #

Source: SBI Analyst Presentation as on end December 2016. USD 1 = INR 67.95 # Source : Amundi website as on end December 2016

SBI Funds Management: India’s First Bank Sponsored Funds

Established in 1987: A leading asset manager in India

Broad Investor Base AUM USD 14.09 bn Wide Distribution Network Experienced Investment Team Extensive Product Range Broad Investor Base AAUM

• Rs. 1,57,025 crs

Wide Distribution Network Experienced Investment Team Extensive Product Range

 INR 1,57,025 Crores* AAUM in mutual funds  Asset management across mutual funds, segregated managed accounts, domestic advisory & offshore advisory business  Multiple asset classes ranging from equities and debt, money market to ETFs and structured funds  Investment team of 35 professionals with strong track record  Broad customer base with ~ 5.10 million folios related to individual, corporate and institutional investors

* Quarterly average March 2017

SBIFM: A Complete Framework

Expertise

Highly experienced team Strong industry relations Complete in-house research

Processes

Structured & Disciplined Rigorous investment templates Agility with Flexibility

Risk Management

Six member team Coherent monitoring

Group Advantage

25 years of experience Both domestic and international strengths Investors trust

Disclaimer

Mutual Fund investments are subject to market risks, read all scheme related documents carefully. This presentation is for information purposes only and is not an offer to sell or a solicitation to buy any mutual fund units/securities. The views expressed herein are based on the basis of internal data, publicly available information &

• ther sources believed to be reliable. Any calculations made are approximations meant as guidelines only, which need to

be confirmed before relying on them. These views alone are not sufficient and should not be used for the development

• r implementation of an investment strategy. It should not be construed as investment advice to any party. All opinions

and estimates included here constitute our view as of this date and are subject to change without notice. Neither SBI Funds Management Private Limited, SBI Mutual Fund nor any person connected with it, accepts any liability arising from the use of this information. The recipient of this material should rely on their investigations and take their own professional advice