SBI Magnum Children’s Benefit Fund: Since its establishment on September 29, 2020, the SBI Magnum Children’s Benefit Fund has generated an extraordinary compound annual growth rate (CAGR) of 44.39%. In essence, the value of an investment that commenced at Rs 10 lakh during the fund’s New Fund Offer (NFO) has since escalated to Rs 30.10 lakh. A Rs 18.06 lakh investment in the S&P BSE Sensex TRI would have yielded the same result.
Over the past three years, the SBI Magnum Children’s Benefit Fund has also generated substantial returns on SIP investments. To illustrate, a three-year SIP of Rs 10,000 per month would have resulted in a cumulative investment of Rs 5.41 lakh. A SIP investment yielding a return of Rs 1.81 or greater than 50% would have been achieved.
What is The Magnum Children’s Benefit Fund?
For long-term capital appreciation, the SBI Magnum Children’s Benefit Fund is an open-ended investment vehicle. The mutual fund allocates the majority of its capital towards equities and equity-related securities across various industries and market sizes. Additionally, it generates income through investments in money market instruments and debt. A lock-in period of at least five years or until the minor attains majority applies to this plan. For parents seeking to save for the future requirements of their children, this mutual fund investment could prove to be an invaluable resource.
Portfolio of the SBI Magnum Children’s Benefit Fund
As of August 31, 2023, the AUM of the fund was documented at Rs 1,182.26 crore. In particular, AUM is concentrated across a mere 29 firms, which encompass both domestic and international securities. 65.03 percent of the portfolio is allocated to the following five sectors: financial services, chemicals, FMCG, IT, and consumer durables. This strategy is predicated on the CRISIL Hybrid 35+65 Aggressive Index.
The fund is administered by a group of seasoned fund administrators with a wide range of expertise. The group implements a growth-oriented and well-balanced investment strategy.
