Canara Robeco Short Term Fund Open Ended Debt Scheme

Transcription

1 Canara Robeco Short Term Fund Open Ended Debt Scheme December 2017 This product is suitable for investors who are seeking* Income / capital appreciation over short term Investing in short term to medium term debt and money market securities *Investors should consult their financial advisers if in doubt about whether the product is suitable for them Mutual Fund investments are subject to market risks, read all scheme related documents carefully.

2 Risks What are Short Term Funds? Short Term Funds aims to manage average maturity of portfolio between 1-3 years to generate returns by investing in debt and money market instruments Short Term Funds are positioned between floating rate funds and medium term opportunities fund with respect to the riskreward matrix. Positioning of Short Term Funds on Risk Reward Matrix Short Term Funds vis-à-vis Floating rate & Medium Term Funds Gilt Fund Floating Rate Short-Term Medium Term Volatility Low High Medium Term Income Fund Floating Rate Exp. Risk Low Adj. Ret Short-Term Medium Term High Liquid Fund Ultra Short Term Fund Short Term Fund Rewards Average Maturity Investor Profile Floating Rate Low Floating Rate Short-Term Short-Term Medium Term High Medium Term >2 Months Days 365 Days+ A fund for your shorter term investment needs

3 What is Canara Robeco Short Term Fund? Canara Robeco Short Term Fund An Open Ended debt scheme that seeks to generate income from a portfolio constituted of short term to medium term debt and money market securities A unique combination of carry and trading portfolio that helps to gain from high interest rate scenario and spread contractions in the market An ideal investment avenue for investors to generate returns without compromising on liquidity of the investment Higher investments in highest rated instruments (AAA and A1+ & Equivalent)

4 Canara Robeco Short Term Fund Characteristics Accrual and endeavour to generate capital gains Portfolio Features Open ended debt scheme that provides a short to medium term investment avenue Plans & Options Regular & Direct Plan: Optimize Portfolio Yield Short Portfolio Maturities Primarily Accrual Strategy with Alpha endeavour Provides liquidity to the investors a)growth; b)monthly Dividend Reinvestment / Payout; c)weekly Dividend Reinvestment Highest Quality Investment Grade Papers Diversified Investments Average maturity of the portfolio is towards shorter end of yield curve Low Duration Risk & Low Credit Risk Risk Profile Low Oriented towards short end of yield curve with an ability to capture opportunities in short to medium term intervals. High Quality Issuers Limited Interest Risk Rate Liquidity

5 TRADING ACCRUAL Portfolio Strategy Accrue Yields on high-quality Money Market Instruments Fund to capture accruals in the form of portfolio running yields on high-quality money market instruments which may constitute about 65% - 100% of the portfolio, hence providing higher liquidity and low duration. Active Trading Strategy Fund aims to capture capital gains by taking limited and directional duration calls and yield curve trading Fund also aims to identify any tactical opportunities to capture possible alpha at regular intervals which could arise either by (a) Temporary liquidity bouts in the market or (b) Mispricing in the yield curve CANARA ROBECO SHORT TERM FUND

6 Performance at a Glance Data as on 29th Dec'17 The performance of other funds managed by fund managers of Canara Robeco Short Term Fund is on the slide number 12

7 Portfolio Analysis 100% Asset Allocation 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 CBLO/ Repo/Reverse Repo/Net Current Assets CD's CP's NCD/Bonds Treasury Bill/Sovereign A high proportion of the portfolio is invested in NCD / Bonds Investments are also made in Money Market Instruments viz. Certificate of Deposits Data as on 29th Dec'17

8 Portfolio Analysis Average Maturity (Yrs.) Maturity Profile Greater than 2 Years 9.47% years 6 to 12 Months 13.95% 43.64% to 6 Months 4.64% to 3 Months 26.11% Net Current Assets 2.19% 0% 10% 20% 30% 40% 50% With Average Maturity ranging between 12 to 24 months in the last 1 year, the scheme is oriented towards short end of yield curve Data as on 29th Dec'17

9 100% Portfolio Analysis Rating Allocation 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 CBLO/ Net Current Assets AAA & Equivalent AA+ & Equivalent A1+ & Equivalent Sovereign Data as on 29th Dec'17 The fund invests all its portfolio investments in highest credit quality rated instruments viz. A1+, AAA, AA+ & Equivalent rated debt instruments.

10 Why Canara Robeco Short Term Fund? An average maturity of 1-3 years makes the fund less prone to interest rate changes than long term instruments Investments in a liquid portfolio with intention to maintain minimum concentration risk Higher investments in highest rated instruments (AAA and A1+ & Equivalent) Robust and coherent Fixed Income investment process Tax Efficient Returns- Tax Free dividends* *Distributed Dividends are tax free; however Dividend Distribution Tax is deducted by the AMC in case of individual investor. For personal tax implication investors are requested to consult their tax advisors before investing.

11 Fund Features Fund Manager Investment Objective Ms. Suman Prasad To generate income from a portfolio constituted of short to medium term debt and money market securities. There is no assurance that the objective of the Fund will be realized and the Fund does not assure or guarantee any returns. Inception Date March 31, 2009 Month end AUM* (INR Crs) Benchmark Index ## Crisil Short Term Bond Fund Index Asset Allocation # Money Market Instruments/Debt Securities with less than 2 years residual maturity : 65% - 100% Debt Securities with less than 5 years residual maturity (including Securitised Debt): 0% - 35% Plan & Options Regular Plan Growth Option Regular Plan Monthly Dividend Payout Regular Plan Monthly Dividend Reinvestment Regular Plan Weekly Dividend Reinvestment Direct Plan Growth Direct Plan Monthly Dividend Reinvestment Direct Plan Monthly Dividend Payout Direct Plan Weekly Dividend Reinvestment Minimum Investment Amount Entry Load Exit Load (Lump sum /SIP /STP) Lumpsum: Rs 5000/- under each option and in multiples of Rs. 1 thereafter. Subsequent Purchases: Minimum amount of Rs. 1,000/- & in multiples of Re. 1 thereafter. SIP/STP/SWP: For monthly frequency - Rs 1000 and in multiples of Rs 1 thereafter For quarterly frequency - Rs 2000 and in multiples of Rs 1 thereafter Nil 0.25% - If redeemed/switched out within 60 days from the date of allotment. Nil if redeemed / switched out after 60 days from the date of allotment Data as on 29th Dec'17

12 Performances of All Schemes Managed by Ms. Suman Prasad : Data as on 29th Dec'17

13 Disclaimer: The information used towards formulating the outlook have been obtained from sources published by third parties. While such publications are believed to be reliable, however, neither the AMC, its officers, the trustees, the Fund nor any of their affiliates or representatives assume any responsibility for the accuracy of such information. CRMF, its sponsors, its trustees, CRAMC, its employees, officer, directors, etc assume no financial liability whatsoever to the user of this document. Mutual Fund Investments are subject to market risk. Investors are requested to read the Scheme related documents carefully before investing. Mutual Fund investments are subject to market risks, read all Scheme related documents carefully.