28 th March 2016 TRUSTPLUTUS. Presentation to the Investment Advisory Board: Product Primer

Transcription

1 28 th March 2016 TRUSTPLUTUS Presentation to the Investment Advisory Board: Product Primer

2 Disclaimer. DISCLAIMER: This document is provided for assistance only and is not intended to be and must not alone be taken as the basis for an investment decision. Nothing in this document should be construed as investment or financial advice, and nothing in this document should be construed as an advice to buy or sell or solicitation to buy or sell the securities of companies referred to in this document. The intent of this document is not in recommendatory in nature. The relationship manager role is limited to client servicing and relationship management and view/recommendation/advise shall be obtained only from TrustPlutus Family Office & Investment Advisers (India) Private Limited. The recipient of this document should make such investigations as is deemed necessary to arrive at an independent evaluation of an investment in the securities of companies referred to in this document (including the merits and risks involved), and should consult their own advisors to determine the merits and risks of such an investment. The investment discussed or views expressed may not be suitable for all investors. TrustPlutus Wealth Managers (India) Pvt. Ltd. and TrustPlutus Family Office & Investment Advisers (India) Private Limited has not independently verified all the information given in this document. Accordingly, no representation or warranty, express or implied, is made as to the accuracy, completeness or fairness of the information and opinions contained in this document. The Company reserves the right to make modifications and alternations to this statement as may be required from time to time without any prior approval. TrustPlutus Wealth Managers (India) Pvt. Ltd. and TrustPlutus Family Office & Investment Advisers (India) Private Limited, their affiliates, their directors and the employees may from time to time, effect or have effected an own account transaction in, or deal as principal or agent in or for the securities mentioned in this document. They may perform or seek to perform investment banking or other services for, or solicit investment banking or other business from, any company referred to in this report. Each of these entities functions as a separate, distinct and independent of each other. The recipient should take this into account before interpreting the document. This report has been prepared on the basis of information, which is already available in publicly accessible media or developed through analysis of the company. The views expressed are those of analyst and the Company may or may not subscribe to all the views expressed therein. Neither the Firm, nor its directors, employees, agents or representatives shall be liable for any damages whether direct or indirect, incidental, special or consequential including lost revenue or lost profits that may arise from or in connection with the use of the information. This document is being supplied to you solely for your information and may not be reproduced, redistributed or passed on, directly or indirectly, to any other person or published, copied, in whole or in part, for any purpose. You are advised to consult your financial planner/investment strategist at TrustPlutus Family Office & Investment Advisers (India) Private Limited for any queries that you may have on its content. DISCLAIMER

3 PRODUCT SNAPSHOT 3

4 EQUITY PERFORMANCE COMPARISON 4

5 Performance Comparison between Equity Model Portfolio, PMS and Equity MF Categories Performance comparison as on 29 th Feb, 2016 Equity 1 mth 3 mths 6 mths 1 year 2 years 3 years 5 years TrustPlutus Equity Model Portfolio % % % % 19.80% 26.73% n/a Chanakya Wealth Creation % % % -9.57% 19.62% 21.34% 21.55% Multi Act PMS -4.75% -7.26% -5.79% -3.70% 24.26% 18.75% 14.99% Karma Capital Advisors % % % -8.85% 25.62% 18.50% 11.94% Nine Rivers Aurum Small Cap Opportunities PMS % % -8.55% 4.97% 59.42% 56.39% n/a Equity Large Cap: White List Funds Average Returns -7.32% % % % 12.40% 11.74% 9.64% Equity Large Cap: Top Decile Funds Average Returns -6.07% -9.67% -9.89% % 13.95% 13.13% 9.99% Equity Multi Cap: White List Funds Average Returns -7.37% % % % 18.68% 16.75% 13.37% Equity Multi Cap: Top Decile Funds Average Returns -5.64% % -8.68% -9.84% 21.43% 18.25% 14.14% Equity Mid & Small Cap: White List Funds Average Returns -8.83% % % % 29.55% 26.18% 19.90% EQUITY COMPARISON Equity Mid & Small Cap: Top Decile Funds Average Returns -6.70% % -8.56% -5.88% 39.07% 31.03% 21.38% Nifty % % % % 5.04% 6.77% 5.41% BSE Sensex -7.51% % % % 4.36% 6.84% 5.24% BSE % % % % 8.69% 8.49% 6.16% *Returns less than 1 year are absolute and returns greater than 1 year are annualized **Top Decile funds vary for each time period and are not constant 5

6 DEBT PERFORMANCE COMPARISON 6

7 Performance Comparison between Debt PMS and Debt MF Categories Performance comparison as on 29 th Feb, 2016 Fixed Income 1 mth 3 mths 6 mths 1 year 2 years 3 years 5 years Debt PMS 0.29% 1.38% 3.89% 6.83% 11.38% 10.77% 11.55% Debt Gilt Med & Long Term: Whitelist Funds Avg Returns 0.08% 0.28% 2.04% 3.03% 11.88% 8.64% 9.27% Debt Gilt Med & Long Term: Top Decile Funds Avg Returns 0.55% 1.65% 3.74% 6.19% 12.37% 10.44% 10.22% Debt Income: Whitelist Funds Average Returns -0.14% 0.56% 2.47% 5.77% 9.94% 9.19% 9.37% Debt Income: Top Decile Funds Average Returns 0.84% 2.05% 3.99% 8.29% 11.17% 9.59% 9.99% Debt Short Term: Whitelist Funds Average Returns 0.17% 1.24% 3.40% 7.68% 9.57% 9.25% 9.37% Debt Short Term: Top Decile Funds Average Returns 0.58% 1.90% 4.14% 9.00% 10.27% 9.78% 10.14% Debt Liquid: Whitelist Funds Average Returns 0.60% 1.88% 3.81% 8.20% 8.62% 8.84% 9.03% Debt Liquid: Top Decile Funds Average Returns 0.63% 1.93% 3.94% 8.39% 8.79% 9.01% 9.25% Debt Ultra Short Term: Whitelist Funds Average Returns 0.60% 1.70% 3.74% 8.44% 8.84% 9.01% 9.14% DEBT COMPARISON Debt Ultra Short Term: Top Decile Funds Average Returns 0.68% 2.01% 4.30% 9.15% 9.45% 9.45% 9.62% ICICI Sec Composite Gilt Index -0.75% 0.41% 2.77% 5.67% 11.08% 8.19% 8.82% Crisil Composite Bond Index -0.57% 0.48% 2.73% 6.25% 10.79% 8.25% 8.41% Crisil Short Term Bond Fund Index 0.50% 1.61% 3.72% 8.12% 9.39% 9.08% 8.92% Crisil LiquiFex 0.55% 1.73% 3.62% 7.95% 8.56% 8.76% 8.59% *Returns less than 1 year are absolute and returns greater than 1 year are annualized **Top Decile funds vary for each time period and are not constant 7

8 MUTUAL FUND MODEL PORTFOLIO PERFORMANCE 8

9 Model Portfolio Performance (as on February 29, 2016) PROFILE TYPE PORTFOLIO Benchmark 3m 6m 1 Year 2 Years 3 Years Very Conservative Conservative Moderately Conservative Moderate Moderately Aggressive Aggressive Very Aggressive MODEL PORTFOLIO MUTUAL FUNDS Returns greater than 1 year are annualized

10 MF - INDIVIDUAL FUND LEVEL PERFORMANCE 10

11 Performance for Equity Large Cap Funds (as on 29 th February 2016) Equity Large Cap AUM (cr.) 1m 3m 6m 1yr 2yr 3yr 5yr Franklin India Bluechip 6, SBI Magnum Equity 1, Birla Sun Life Frontline Equity 10, Tata Large Cap (erstwhile Tata Pure Equity) ICICI Prudential Focused Bluechip 8, UTI Mastershare 2, Average BSE Sensex Category Average Equity Large Cap White list funds have on average outperformed the benchmark and category average across most of the time periods. Returns greater than 1 year are annualized 11

12 Performance for Equity Large Cap Funds (as on 29 th February 2016) Equity Large Cap Sharpe Ratio Information Ratio Sortino Ratio 1yr 3yr 1yr 3yr 1yr 3yr Ratio (%) Turnover Ratio Franklin India Bluechip SBI Magnum Equity Date Birla Sun Life Frontline Equity Tata Large Cap (erstwhile Tata Pure Equity) ICICI Prudential Focused Bluechip UTI Mastershare Category Average Equity Large Cap White list funds have outperformed the category average on a risk adjusted basis across all time periods. 12

13 Performance for Equity Multi-Cap Funds (as on 29 th February 2016) Equity Multi Cap AUM (cr.) 1m 3m 6m 1yr 2yr 3yr 5yr Franklin India Prima Plus 6, Kotak Select Focus 3, Mirae Asset India Opportunities 1, BNP Paribas Equity 1, ICICI Prudential Value Discovery 9, Average BSE Category Average Equity Multi Cap White list funds have on average outperformed the benchmark and category average across all time periods. Returns greater than 1 year are annualized 13

14 Performance for Equity Multi-Cap Funds (as on 29 th February 2016) Equity Multi Cap Sharpe Ratio Information Ratio Sortino Ratio 1yr 3yr 1yr 3yr 1yr 3yr Turnover Ratio Ratio (%) Franklin India Prima Plus Kotak Select Focus Date Mirae Asset India Opportunities BNP Paribas Equity ICICI Prudential Value Discovery Category Average Multi Cap Funds have outperformed the category average on a risk adjusted basis across time horizons 14

15 Performance for Mid & Small Cap Funds (as on 29 th February 2016) Equity Mid & Small Cap AUM (cr.) 1m 3m 6m 1yr 2yr 3yr 5yr Mirae Asset Emerging Bluechip 1, Franklin India Smaller Companies 2, SBI Magnum Global 2, HDFC Mid Cap Opportunities 10, Canara Robeco Emerging Equities Average BSE Midcap Category Average Equity Mid & Small Cap White list funds have on average outperformed the benchmark and category average in most of the time frames. Returns greater than 1 year are annualized 15

16 Performance for Mid & Small Cap Funds (as on 29 th February 2016) Equity Mid & Small Cap Sharpe Ratio Information Ratio Sortino Ratio 1yr 3yr 1yr 3yr 1yr 3yr Turnover Ratio Ratio (%) Mirae Asset Emerging Bluechip Franklin India Smaller Companies Date SBI Magnum Global HDFC Mid Cap Opportunities Canara Robeco Emerging Equities Category Average HDFC Mid Cap Opportunities & SBI Magnum Global has underperformed the category average on a 1 year risk adjusted basis w.r.t Sortino Ratio. Canara Robeco Emerging Equities has underperformed the category average on a 1 year risk adjusted basis w.r.t Information Ratio. 16

17 Performance of International Equity Feeder Funds in Base Currency and INR Performance for International Funds (as on 29 th February 2016) Equity International Funds 1m 3m 6m 1yr 2yr 3yr 5yr Europe Franklin India Feeder Franklin European Growth Religare Invesco Pan European Equity Franklin India Feeder Franklin European Growth Religare Invesco Pan European Equity United States ICICI Prudential US Bluechip Equity DSP BlackRock US Flexible Equity Franklin India Feeder Franklin US Opportunities ICICI Prudential US Bluechip Equity DSP BlackRock US Flexible Equity Franklin India Feeder Franklin US Opportunities Asia Franklin Asian Equity HSBC Asia Pacific Ex Japan Dividend Yield Mirae Asset China Advantage Franklin Asian Equity HSBC Asia Pacific Ex Japan Dividend Yield Mirae Asset China Advantage CURRENCY IMPACT ON PERFORMANCE OF INTL. EQ. FUNDS Returns greater than 1 year are annualized. Red indicates returns in base currency Black indicates returns in INR 17

18 Performance for Gold Funds (as on 29 th February 2016) Gold Funds AUM (cr.) 1m 3m 6m 1yr 2yr 3yr 5yr Goldman Sachs Gold ETF 1, SBI Gold ETF Reliance R*Shares Gold ETF 1, Average MCX India Gold Spot Index Category Average As per the SEBI guidelines for valuation of Gold ETF s, the AMC s need to use the Mumbai Landed Price of Gold provided by Nova Scotia which excludes the prevailing premium on gold price in the market. Secondly, the price provided by Nova Scotia includes the VAT payable on physical gold transactions which is excluded in the MCX India Gold Spot Index prices. Returns greater than 1 year are annualized 18

19 Performance for Gold Funds (as on 29 th February 2016) Sharpe Ratio Information Ratio Sortino Ratio Gold Funds 1yr 3yr 1yr 3yr 1yr 3yr Goldman Sachs Gold ETF SBI Gold ETF Reliance R*Shares Gold ETF Category Average Gold Funds have outperformed the category average on a risk adjusted basis across time horizons 19

20 Performance for Balanced Funds (as on 29 th February 2016) Balanced Funds AUM (cr.) 1m 3m 6m 1yr 2yr 3yr 5yr ICICI Prudential Balanced Advantage 10, SBI Magnum Balanced 3, Franklin India Balanced HDFC Balanced 4, Birla Sun Life Balanced 95 2, Tata Balanced 5, Average Crisil Balanced Fund Index Category Average White list funds have on average outperformed the benchmark and category average across all time periods except for 1 month, 3 months & 6 months. Returns greater than 1 year are annualized 20

21 Performance for Balanced Funds (as on 29 th February 2016) Equity Balanced Sharpe Ratio Information Ratio Sortino Ratio 1yr 3yr 1yr 3yr 1yr 3yr Turnover Ratio ICICI Prudential Balanced Advantage Ratio (%) SBI Magnum Balanced Date Franklin India Balanced HDFC Balanced Birla Sun Life Balanced Tata Balanced Category Average HDFC Balanced, Tata Balanced & Birla Sun Life Balanced 95 have underperformed category average on risk adjusted basis for 1 year time frame w.r.t Information Ratio. 21

22 Performance for Arbitrage Funds (as on 29 th February 2016) Arbitrage Funds AUM (cr.) 1m 3m 6m 1yr 2yr 3yr 5yr Edelweiss Arbitrage HDFC Arbitrage 2, Kotak Equity Arbitrage 4, UTI SPrEAD IDFC Arbitrage Plus Average Crisil LiquiFex Category Average White list funds on an average have outperformed the category average in 1,3,6 mth & 1 year time horizons. Returns greater than 1 year are annualized 22

23 Performance for Arbitrage Funds (as on 29 th February 2016) Equity Arbitrage Sharpe Ratio Information Ratio Sortino Ratio 1yr 3yr 1yr 3yr 1yr 3yr Edelweiss Arbitrage HDFC Arbitrage Kotak Equity Arbitrage UTI SPrEAD IDFC Arbitrage Plus Category Average IDFC Arbitrage Plus have underperformed the category average on risk adjusted basis for 1 & 3 year time frame. UTI SPrEAD & HDFC Arbitrage have underperformed the category average on risk adjusted basis in 3 year time frame. 23

24 Performance for Debt- Ultra Short Term Funds (as on 29 th February 2016) Debt - Ultra Short Term AUM (cr.) MOD (yrs) Fund Style Avg. Credit Quality 1m 3m 6m 1yr 2yr 3yr 5yr Birla Sun Life Savings 11, P UTI Treasury Advantage 10, P ICICI Prudential Flexible Income 14, P SBI Ultra Short Term 8, P HDFC Floating Rate Income ST 8, P Reliance Money Manager 12, P Average Crisil LiquiFex Category Average On an average the White List funds have outperformed the category average across all time horizons. Returns greater than 1 year are annualized 24

25 Performance for Debt- Ultra Short Term Funds (as on 29 th February 2016) Sharpe Ratio Information Ratio Debt - Ultra Short Term 6m 1yr 3yr 6m 1yr 3yr Birla Sun Life Savings UTI Treasury Advantage ICICI Prudential Flexible Income SBI Ultra Short Term HDFC Floating Rate Income ST Reliance Money Manager Category Average White List funds have outperformed the category average on a risk adjusted basis across all time horizons 25

26 Performance for Debt- Liquid Funds (as on 29 th February 2016) Debt - Liquid AUM (cr.) MOD (yrs) Fund Style Avg. Credit Quality 1m 3m 6m 1yr 2yr 3yr 5yr Birla Sun Life Cash Plus 22, P HDFC Liquid 25, P IDFC Cash 8, P Axis Liquid 10, P UTI Money Market 11, P SBI Premier Liquid 25, P Average Crisil LiquiFex Category Average On an average the White List funds have outperformed the category average across all time horizons. Returns greater than 1 year are annualized 26

27 Performance for Debt- Liquid Funds (as on 29 th February 2016) Debt - Liquid Sharpe Ratio Information Ratio 6m 1yr 3yr 6m 1yr 3yr Birla Sun Life Cash Plus HDFC Liquid IDFC Cash Axis Liquid UTI Money Market SBI Premier Liquid Category Average Liquid White list funds have outperformed the category average on a risk adjusted basis across all time periods. 27

28 Performance for Debt- Short Term Funds (as on 29 th February 2016) Debt - Short Term AUM (cr.) MOD (yrs) Fund Style Avg. Credit Quality 1m 3m 6m 1yr 2yr 3yr 5yr Franklin India Savings Plus AA UTI Short Term Income 5, AA Tata Short Term Bond 4, AAA DSP BlackRock Short Term 1, AA Birla Sun Life Treasury Optimizer 5, AAA Reliance Short Term 9, AAA Average Crisil Short Term Bond Fund Index Category Average On an average the White List funds have outperformed category average across all time horizons except 2 years. Returns greater than 1 year are annualized 28

29 Performance for Debt- Short Term Funds (as on 29 th February 2016) Sharpe Ratio Information Ratio Sortino Ratio Debt - Short Term 6m 1yr 3yr 6m 1yr 3yr 6m 1yr 3yr Franklin India Savings Plus UTI Short Term Income Tata Short Term Bond DSP BlackRock Short Term Birla Sun Life Treasury Optimizer Reliance Short Term Category Average Tata Short Term & DSP BlackRock Short Term have underperformed the category average on risk adjusted basis for 6 month time period. Reliance Short Term has underperformed the category average on risk adjusted basis across 6 mth and 1 year time periods. 29

30 Performance for Debt- Income Funds (as on 29 th February 2016) Debt Income AUM (cr.) MOD (yrs) Fund Style Avg. Credit Quality 1m 3m 6m 1yr 2yr 3yr 5yr IDFC SSI Medium Term 3, AAA Birla Sun Life Dynamic Bond 15, AAA Tata Dynamic Bond 1, AAA UTI Dynamic Bond AAA ICICI Prudential Long Term AAA Average Crisil Composite Bond Index Category Average Income funds on an average have outperformed the category average across all time horizons. Returns greater than 1 year are annualized 30

31 Performance for Debt- Income Funds (as on 29 th February 2016) Sharpe Ratio Information Ratio Sortino Ratio Debt Income 1yr 3yr 1yr 3yr 1yr 3yr IDFC SSI Medium Term Birla Sun Life Dynamic Bond Tata Dynamic Bond UTI Dynamic Bond ICICI Prudential Long Term Category Average ICICI Prudential Long Term has underperformed the category average on risk adjusted basis for 1 year time period w.r.t Sharpe, Information & Sortino Ratio. 31

32 Performance for Debt- Gilt Medium & Long Term Funds (as on 29 th February 2016) Debt - Gilt Medium & Long Term AUM (cr.) MOD (yrs) Fund Style Avg. Credit Quality 1m 3m 6m 1yr 2yr 3yr 5yr SBI Magnum Gilt Long Term 2, SOV IDFC GSF Investment SOV Reliance Gilt Securities 1, SOV HDFC Gilt Long Term 3, SOV UTI Gilt Advantage Long Term SOV Average ICICI Sec Composite Gilt Index Category Average Long Term Gilt Funds have outperformed the category average for time periods greater than 1 year. Returns greater than 1 year are annualized 32

33 Performance for Debt- Gilt Medium & Long Term Funds (as on 29 th February 2016) Sharpe Ratio Information Ratio Sortino Ratio Debt - Gilt Medium & Long Term 1yr 3yr 1yr 3yr 1yr 3yr SBI Magnum Gilt Long Term IDFC GSF Investment Reliance Gilt Securities HDFC Gilt Long Term UTI Gilt Advantage Long Term Category Average HDFC Gilt Long Term & UTI Gilt Advantage Long Term has underperformed the category average on a risk adjusted basis across for 1 year time frame w.r.t Sharpe, Information & Sortino Ratio. 33

34 Performance for Debt- MIP Funds (as on 29 th February 2016) Debt MIPs MIP: Conservative AUM (cr.) MOD (yrs) Fund Style Avg. Credit Quality 1m 3m 6m 1yr 2yr 3yr 5yr Birla Sun Life MIP II Savings AA UTI MIS Advantage Plan AA MIP: Moderate Franklin India MIP AA Reliance MIP 2, AA MIP: Aggressive ICICI Prudential MIP 25 1, AA Birla Sun Life MIP II Wealth 25 1, AAA Average Crisil MIP Blended Index Category Average MIPs have outperformed the category average across all time horizons. Returns greater than 1 year are annualized 34

35 Performance for Debt- MIP Funds (as on 29 th February 2016) Debt MIPs Sharpe Ratio Information Ratio Sortino Ratio 1yr 3yr 1yr 3yr 1yr 3yr MIP: Conservative Birla Sun Life MIP II Savings UTI MIS Advantage Plan MIP: Moderate Franklin India MIP Reliance MIP MIP: Aggressive ICICI Prudential MIP Birla Sun Life MIP II Wealth Category Average MIPs have outperformed the category average on a risk adjusted basis across all time horizons. 35

36 Performance for Credit Opportunities Funds (as on 29 th February 2016) Debt Credit Opportunities AUM (cr.) MOD (yrs) Fund Style JSPL (%) Avg. Credit Quality 1m 3m 6m 1yr 2yr 3yr 5yr HDFC Short Term 2, AA DSP BlackRock Income Opportunities 2, AA Birla Sun Life Medium Term 5, AA Reliance Regular Savings Debt 5, AA ICICI Prudential Regular Savings 5, % AA Franklin India Income Opportunities 3, % AA Franklin India Short Term Income 10, % AA Average Returns greater than 1 year are annualized 36

37 Performance for Debt- Credit Opportunities Funds (as on 29 th February 2016) Sharpe Ratio Information Ratio Sortino Ratio Debt Credit Opportunities 1yr 3yr 1yr 3yr 1yr 3yr HDFC Short Term DSP BlackRock Income Opportunities Birla Sun Life Medium Term Reliance Regular Savings Debt ICICI Prudential Regular Savings Franklin India Income Opportunities Franklin India Short Term Income

38 THANK YOU