SBI Magnum Children’s Benefit Fund
Investment Objective
SBI Magnum Children’s Benefit Fund is an open-ended investment scheme for children with a lock-in of minimum 5 Years, or till the child reaches majority age i.e 18. The scheme's investment objective is to achieve long-term capital appreciation by investing primarily in equity and equity-related securities across different sectors and market capitalizations. The scheme will also be investing in fixed income generating debt and money market instruments.
Asset Allocation
Following is the indicative asset allocation:
| Instruments | Minimum Indicative Allocation | Maximum Indicative Allocation | Risk Profile |
| Equity & Equity related securities including ETFs | 65 | 100 | High |
| Debt securities including ETFs & money market instruments | 0 | 35 | Low-Medium |
| Units issued by REITs and InvITs | 0 | 10 | Medium-HIgh |
| Gold ETFs | 0 | 20 | Medium-High |
The scheme may also seek to invest in foreign equities,overseas ETFs, and debt securities. Such investments will not surpass 35% of the scheme's assets.
Exposure to equity derivatives(including covered call options) may account for 100% of the total assets. The scheme may invest up to 20% of its net assets in debt derivatives.
Investment Strategy
The Scheme aims to invest in equity and equity-related securities, debt, money market instruments, and derivatives. The Equity and Debt investment strategy is as follows
Equity:
The scheme will be investing in a well-diversified portfolio of equity & equity related instruments. While selecting stocks for investments, the fund manager will emphasize on company dynamics, management efficiency, the company's financial strength, market leadership, etc. The scheme would be investing without market cap or sector-based bias across industries.
Debt:
The scheme will be investing in a high-quality diversified portfolio of debt and money market instruments. The fund manager will make the asset allocations taking into account the prevailing interest rate scenario, yield spread, yield curve, and the liquidity of the instruments.
About the scheme
| Name | SBI Magnum Children’s Benefit Fund- Investment Plan |
| Fund House | SBI Mutual Fund |
| Asset Management Company | SBI Funds Management Private Limited |
| Type of scheme | An open ended scheme facilitating investments for children having a lock-in term of 5 years or till the child matures i.e at the age of 18. |
| Investment Objective | Investment objective of the scheme is to generate long term capital appreciation for investors by predominantly investing in equity & equity related securities of the companies across market capitalizations. Also, the fund will make investments in debt & money market instruments for generating income. |
| Benchmark | CRISIL Hybrid 35+65 -Aggressive Index |
| Entry Load | Not Applicable |
| Lock-in period | 5 Years or till the child attains majority |
| Exit Load |
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| Plan |
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| Minimum Application Amount | Rs. 5,000 & in multiple of Rs.1 thereafter |
| Minimum Additional Amount | Rs. 1,000 & in multiple of Rs.1 thereafter |
| Fund Managers | Mr. R Srinivasan – Equity Mr. Dinesh Ahuja - Debt Mr. Mohit Jain will be the fund manager for managing overseas investments under the scheme. |
| New Fund Offer Dates | From 8 September, 2020 to 22 September, 2020 |
SIP Details
| Type | Minimum Installments | Minimum Amount |
| Daily | 12 | Rs.500 & in multiples of Rs.1 thereafter. |
| Weekly | 6 12 | Rs.1,000 & in multiples of Rs.1 thereafter. Rs.500 & in multiples of Rs.1 thereafter. |
| Monthly | 6 12 | Rs.1,000 & in multiples of Rs.1 thereafter. Rs.500 & in multiples of Rs.1 thereafter. |
| Quarterly | 1 Year | Rs.1,500 & in multiples of Rs.1 thereafter. |
| Semi-annual | 4 | Rs.3,000 & in multiples of Rs.1 thereafter. |
| Annual | 4 | Rs.5,000 & in multiples of Rs.1 thereafter. |