Investment Fund Classification Quiz

Aditya Birla Sun Life Mutual Fund Presentation

• Focus Product Presentation, September 2024
• Presentation is for internal and private use only
• World map is a graphic, not an accurate representation

About ABSL AMC

• Total AUM (assets under management) over ₹3,676 billion
• 30 years of track record
• One of the largest fund houses in India
• Data as of Quarter Ending June 30, 2024

Fund Recommendations

• Aditya Birla Sun Life Mutual Fund

Fund House Recommendation

• Core Funds (60-70% of portfolio):
  • Large/diversified categories
  • Aim for higher market share (greater than 80% of industry AUM)
• Tactical Funds (20-25% of portfolio):
  • Cyclical or seasonal
  • Higher volatility
  • For investors with higher risk tolerance
• Tertiary Funds (5-10% of portfolio):
  • Complementary to tactical funds
  • Goal-planning products or categorical style-bias

Core Funds: Equity & Hybrid Funds

• Active Equity Funds:
  • ABSL Frontline Fund
  • ABSL Flexi Cap Fund
  • ABSL Multi-Cap Fund
  • ABSL Focused Fund
  • ABSL Equity Adv. Fund
  • ABSL Mid Cap Fund
  • ABSL Small Cap Fund
• Passive Funds:
  • ABSL Nifty Next 50 Index Fund
  • ABSL Nifty 50 Equal Weight Index Fund
  • ABSL Nifty 50 Index Fund
• Fund of Funds (FOF):
  • ABSL Asset Allocator FOF
• Active Hybrid/Debt Funds:
  • ABSL MAAF
  • ABSL BAF
  • ABSL Arbitrage Fund
  • ABSL Equity Hybrid '95 Fund
• Debt Funds:
  • ABSL Liquid Fund
  • ABSL Low Duration Fund
  • ABSL Corporate Bond Fund
  • ABSL Short Term Fund
  • ABSL Medium Term Fund
  • ABSL Dynamic Bond Fund
  • ABSL Floating Rate Fund
  • ABSL Savings Fund
  • ABSL Money Manager Fund

Tactical Funds

• Equity:
  • ABSL Quant Fund
  • ABSL India GenNext Fund
  • ABSL Digital India Fund
  • ABSL Pure Value Fund
  • ABSL Business Cycle Fund.
  • ABSL Flexi Cap Fund.
• Debt:
  • ABSL CRISIL IBX Gilt April 2033 Index Fund
  • ABSL Banking PSU Debt Fund
  • ABSL Income Fund
  • ABSL Government Securities Fund
  • ABSL Long Duration Fund

Tertiary Funds

• Equity:
  • ABSL ESG Integration Fund
  • ABSL Special Opportunities Fund
  • ABSL International Equity Fund
  • ABSL Bal Bhavishya Yojna
  • ABSL Retirement Fund
• Debt/Passive:
  • ABSL Overnight Fund
  • ABSL Credit Risk Fund
  • ABSL Reg Savings Fund
  • ABSL Nifty SDL Sep 2025 Index Fund
  • ABSL Nifty SDL Sep 2027 Index Fund
  • ABSL US Treasury 1-3 & 3-10 year Bond ETFs, FoF
  • ABSL Nifty IT ETF
  • ABSL Nifty Bank ETF
  • ABSL NASDAQ 100 FOF
  • ABSL Nifty 200 Quality 30 ETF
  • ABSL Nifty 200 Momentum 30 ETF

ABSL Frontline Equity Fund

• Aims to outperform the benchmark
• 80% or more in large-cap companies
• Up to 15% in mid- and small-caps
• Sectors like Healthcare, Automobiles, Construction, Oil and Gas, Metals, FMCG, IT, Consumer durables, and Power

ABSL Flexi Cap Fund

• Diversified large-cap fund
• Allocates between 60% and 75% of large caps.
• Investing based on 'Best-in-Breed'
• Top-down, tactical, long-term, compounders portfolio approach

ABSL Nifty Next 50 Index Fund

• Diversified portfolio of emerging blue-chip stocks
• Focus on Large Caps
• 20-year history of NIFTY 50 inclusion from NIFTY NEXT 50 index
• Investment in sunrise sectors (Consumer, commodities, and Industrials/utilities)
• Reduce unsystematic risk

ABSL Nifty 50 Equal Weight Index Fund

• Tracks the Nifty 50 Equal Weight TR Index
• Low concentration, high diversification, leading to lower risk
• Automatically rebalances, minimizing profit booking periods
• Simple investment with low costs
• Outperforming the Nifty 50 Index during broad market rallies

ABSL Quant Fund

• Quant-based investment theme
• Machine-based sell discipline (no human bias)
• Blend of growth, momentum, and low volatility with quality bias
• Sector and benchmark agnostic
• Portfolio rebalancing (mostly quarterly)

ABSL Asset Allocator FOF

• Open-ended fund scheme that invests predominantly in equity, ETF and debt schemes
• Investment in FOF (funds of funds) mitigates market volatility
• FOF provides favorable tax treatment (12.5% after 24 months)
• Utilizes rule-based, dynamic, quality-based strategy

ABSL Multi Asset Allocation Fund

• Asset allocation fund encompassing equity, debt, and commodities.
• Tracks a flexi-cap approach
• Maintains 65% equity, 20% fixed income, and 15% gold with deviation in extreme market scenarios
• Covers Consumer durables, Automobile, IT, etc.

ABSL India GenNext Fund

• Focus on consumption theme
• Increase in income levels and discretionary spending
• Investments in companies that cater to rising consumption
• Growing focus on organized retail

Fixed Income Funds

• This section focuses on different fixed income funds offered by the company

ABSL Liquid Fund

• Invests in instruments with maturities up to 91 days
• Liquid nature, enabling quick redemption
• Suitable for parking surplus short-term funds

ABSL Low Duration Fund

• Invests in high-quality short-maturity instruments (CDs, Commercial Papers, Treasury Bills, etc.)
• Duration range of 6–12 months
• An alternative to traditional savings instruments with high liquidity

ABSL Corporate Bond Fund

• Focuses on high credit quality (AAA & A1+ rated) instruments
• Duration range of 1 to 4 years

ABSL Short Term Fund

• Holds AAA/AA+ rated instruments
• Duration ranges from 1 to 3 years
• Captures spread dislocation across ratings and maturity segments

Tactical Funds - Debt

• This section focuses on specific debt funds offered by the company

ABSL CRISIL IBX Gilt April 2033 Index Fund

• Invests in Indian government bonds
• Tactical opportunity to benefit from potential price drops in yields
• Includes a large component of Indian government bonds (~51%)
• Current rates & yields are at elevated levels

Product Labelling & Risk-Meter

• Comprehensive table matching schemes with their primary target investor profile traits and associated risk tolerance levels.
• Includes various risk-meter diagrams for each scheme.

Disclaimer

• Important legal document regarding the use and distribution of the information, including claims against liability.

Test your knowledge on various types of investment funds in this quiz. From Tactical Funds to Debt Funds, challenge yourself with questions on fund categories, performance metrics, and investment strategies. Perfect for finance enthusiasts looking to sharpen their understanding of fund classifications.