SBI Short Term Debt Fund This product is suitable for investors who - - PowerPoint PPT Presentation

SBI Short Term Debt Fund

This product is suitable for investors who are seeking:  Investment in debt and money- market securities  Regular income for short term  Low risk

Disclaimer: Investors should consult their financial advisors if in doubt whether this product is suitable for them.

SBI Short Term Debt Fund

Scheme Highlights

Options Growth & Dividend Plans Regular Plan & Direct Plan Dividend Declaration of dividends on a weekly, fortnightly and monthly basis with reinvestment/payout facilities. Minimum Investment

• Rs. 5000 & in multiples of Rs. 1 thereafter

Facilities SIP , STP , SWP facilities available Minimum Application- Rs.1000/week for 6 weeks, Rs.500/month for 12 months, Rs.1000/month for 6 months, Rs. 1500/quarter Exit Load 0.25% for exit within 45 days from the date of allotment

Short Term Fund positioning

Short Term Bond Fund lies in between Liquid /Ultra Short term Funds & Long Term Bond Funds in terms of risk/return positioning

Liquid Funds Short Term Bond Funds Long Term Bond Funds Dynamic Bond Fund Ultra Short Term Bond Funds

Duration profile Yield

Portfolio Analysis

Data as on August 31, 2016 Issuer % Of NAV GOVERNMENT OF INDIA 26.00 HOUSING DEVELOPMENT FINANCE CORPORATION LIMITED 8.70 POWER FINANCE CORPORATION LTD 7.81 LIC HOUSING FINANCE LTD 7.42 CORPORATION BANK 5.30 STATE GOVERNMENT OF RAJASTHAN 3.65 FULLERTON INDIA CREDIT COMPANY LTD 3.59 ICICI BANK LTD 3.54 RURAL ELECTRIFICATION CORP LTD 3.40 TATA MOTORS LTD 3.33

Total

72.74

Top 10 Holdings

Ratings Breakdown % of NAV Below AA+

5.66

AA+

5.99

SOV,AAA and Equivalent

80.48

NCA(Incl. Cash,Deposits)

7.87 9.73 1.35 29.65 48.41 0.47 2.52 7.87 CD CP Dated Govt Securities NCD T-Bills ZCB NCA/CBLO/Reverse Repo

Performance Report

Data as on June 30, 2016 Past performance may or may not be sustained in future. Returns (in %) other than since inception are absolute, calculated for regular plan, 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 short-term debt schemes is used for comparison purposes.

30-Jun-2015 to 30- Jun-2016 30-Jun-2014 to 30- Jun-2015 28-Jun-2013 to 30- Jun-2014 Since Inception

Absolute Returns (%) CAGR Returns (%) PTP Returns (INR)

SBI Short Term Debt Fund 8.75 9.02 7.73 6.59 17,681 Crisil Short Term Bond Fund Index (Scheme Benchmark) 8.94 9.56 8.81 8.11 20,070 Crisil 1 year T-Bill Index (Additional Benchmark) 7.67 8.54 5.93 6.30 17,267 2 4 6 8 10 12

30-Jun-2015 to 30-Jun- 2016 30-Jun-2014 to 30-Jun- 2015 28-Jun-2013 to 30-Jun- 2014 SBI Short Term Debt Fund - Reg Plan - Growth Scheme Benchmark: - Crisil Short Term Bond Fund Index Additional Benchmark: - Crisil 1 Yr T-Bill Index

Investment Objective: To provide investors with an

• pportunity

to generate regular income through investments in a portfolio comprising of debt instruments which are rated not below investment grade by a credit rating agency and money market instruments.

Type of Instrument % of net assets Risk profile Debt securities including money- market instruments and debt Derivatives 65-100 Low to Medium Securitized Debt 0-35 Medium

Scheme Highlights

Average Maturity: Portfolio average maturity is capped at 3 years. Average maturity is tactically maintained within the boundary range.

2.99 2.81 2.54 2.53 2.68 2.70 2.95 2.85 2.77 2.93 2.87 2.88 1 2 3 4 5

Average Maturity over last 12 months

Trends in short term rates

Source: Bloomberg as on August 31, 2016

Less volatility is expected in short-term rates in the near term as RBI has engaged in active liquidity management.

6 7 8 9 10 11 12

MIBOR 91 Days T-bill 3 Month CD Rate 12 Month CD Rate

Narrowing Spreads Between the Long term and the Short term Bonds

Source: Bloomberg as on August 31, 2016

Corporate bond spreads have recently corrected to lower levels

7 8 9 10 11 Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Percentage

AAA Yield Curve

1 Year AAA 3 Year AAA

 The portfolio would be invested in mark to market securities, with exposure to non mark to market securities kept largely for liquidity requirements and on a tactical basis .  The Portfolio in normal cases to have higher maturity / duration & mark to market component vis-à-vis liquid & ultra short term funds.  Investments in scheme suitable for investors having investment horizon of at least 3 months to a year.  Over the next 3-6 months, inflation is expected to decline significantly supported largely by softening food prices. This along with RBI’s neutral liquidity stance and rate cut expectation could result in further spread contraction across the curve. The scheme would maintain a predominantly AAA /AA+ focus on credit.  The scheme would maintain a predominantly AAA /AA+ focus on credit, while taking selective exposure to non AAA bonds with a rating floor of AA-.

Current Investment Approach

• Focus on consistent

above average risk adjusted returns – Fundamental research based approach and focus on risk management to generate consistent above average returns

• Fundamental

research based approach – Capturing inefficiencies in the Fixed income markets that give rise to multiple sources of alpha through disciplined risk taking

• Focus on risk

management – Risk management is crucial to achieving the investment objective and is an integral part of portfolio management.

• Identifying multiple

sources of alpha – Sharper focus on credit research: credit cycles will be shorter and lack of liquidity pose another challenge.

Focus on Fundamental Research & Risk Management

Biographies

Navneet Munot joined SBI Funds Management as Chief Investment Officer in December 2008. He brings with him over 15 years of rich experience in Financial Markets. In his previous assignment, he was the Executive Director & Head - multi - strategy boutique with Morgan Stanley Investment Management. Prior to joining Morgan Stanley Investment Management, he worked as the CIO - Fixed Income and Hybrid Funds at Birla Sun Life Asset Management Company Ltd. Navneet had been associated with the financial services business of the group for over 13 years and worked in various areas such as fixed income, equities and foreign exchange. Navneet is a postgraduate in Accountancy and Business Statistics and a qualified Chartered

• Accountant. He is also 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). Navneet Munot CFA, Chief Investment Officer Rajeev joined SBIFM as a fixed income portfolio manager in 2008. He currently heads the Fixed Income desk at the AMC. Prior to joining SBIFM, Rajeev was Co-Fund Manager for Fixed Income with UTI Asset Management for seven years. Rajeev is an Engineering graduate and holds a Masters degree in finance from Mumbai

• University. He is also a charter holder of the CFA

Institute, USA Rajeev Radhakrishnan CFA, Head of Fixed Income

Performance of other schemes managed by Mr. Rajeev Radhakrishnan

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

• ption and in INR are point-to-point (PTP) returns calculated on a standard investment of 10, 000/-. Additional benchmark as prescribed by

SEBI for long-term and short-term debt schemes is used for comparison purposes only. Performance calculated for regular plan.

Managing since June, 2008 30-Jun- 2015 to 30- Jun-2016 30-Jun-2014 to 30-Jun- 2015 28-Jun-2013 to 30-Jun- 2014

Since Inception Absolute Returns (%) CAGR Returns (%) PTP Returns (INR)

SBI Ultra-short Term Debt Fund - Growth

8.40 8.98 9.25 7.98 19,857

CRISIL Liquid Fund Index (Scheme Benchmark)

7.90 8.77 9.68 7.62 19,265

Crisil 1 Year T-Bill Index (Additional benchmark)

7.67 8.54 5.93 6.30 17,267

Managing since November, 2013 30-Jun- 2015 to 30-Jun- 2016 30-Jun- 2014 to 30-Jun- 2015 28-Jun- 2013 to 30-Jun- 2014

Since Inception Absolute Returns (%) CAGR Returns (%) PTP Returns (INR)

SBI Treasury Advantage Fund - Growth

8.53 9.26 9.76 8.30 17,096

CRISIL 1 year CD Index (Scheme Benchmark)

8.26 9.19 7.82 N.A. N.A.

Crisil 1 Year T-Bill Index (Additional benchmark)

7.67 8.54 5.93 6.55 15,328

Managing since June, 2008 30-Jun- 2015 to 30-Jun- 2016 30-Jun-2014 to 30-Jun- 2015 28-Jun- 2013 to 30-Jun- 2014

Since Inception Absolute Returns (% CAGR Returns (%) PTP Returns (INR)

SBI Magnum Children’s Benefit Plan - Growth

15.04 9.76 26.39 10.33 41,023

CRISIL MIP Blended Index (Scheme Benchmark)

8.63 11.05 8.28 N.A. N.A.

Crisil 10 year Gilt Index (Additional benchmark)

10.03 11.76

• 2.47

6.53 24,807

Managing since May, 2010

7 Days 15 Days 30 Days

30-Jun- 2015 to 30- Jun- 2016 30-Jun- 2014 to 30-Jun- 2015 28-Jun- 2013 to 30-Jun- 2014

Since Inception

SA Returns (%)

Absolute Returns (%)

CAGR Returns (%) PTP Retur ns (INR) SBI Magnum Insta- Cash Fund – Growth Plan

7.66 7.59 7.58 8.10 8.77 9.61 7.41 34,019

CRISIL Liquid Fund Index (Scheme Benchmark

8.20 7.47 7.82 7.90 8.77 9.68 N.A. N.A.

Crisil 1 Year T-Bill Index (Additional benchmark)

7.64 7.22 7.40 7.67 8.54 5.93 6.57 29,720

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. These views alone are not sufficient and should not be used for the development or 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, 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 SBI Funds Management Private Limited (A joint venture between SBI and AMUNDI) Registered Office: 9th Floor, Crescenzo, C-38 & 39, ‘G’ Block, Bandra Kurla Complex, Bandra (E), Mumbai - 400 051 Board line: +91 22 61793000 Fax: +91 22 67425687

Call: 1800 425 5425 SMS: “SBIMF” to 56161 Email: customer.delight@sbimf.com Visit us @ www.facebook.com/SBIMF www.sbimf.com Website Visit us @ www.youtube.com/user/sbimutualfund