IIFL Monthly Investment Report - April 2019

Apr 03, 2019

2

Table of Contents Page No.

Equity Market

How the Indian equity markets fared in Mar 2019? 3

FIIs accelerate buying momentum, SIP flows remain robust 4

Global risk-assets rally on continued dovish tilt by the US Fed 5

Crude oil prices rise marginally in March 2019 6

Earnings downgrade increases equity valuations 7

Election Option Strategy 9

Model portfolios - Direct Equity

Aggressive model portfolio – Equity 11-16

Moderate model portfolio – Equity 17-23

Conservative model portfolio – Equity 24-29

Mutual Funds

Top 5 recommended mutual funds 32-36

Aggressive model portfolio – Mutual Funds 37-40

Moderate model portfolio – Mutual Funds 41-44

Conservative model portfolio - Mutual Funds 45-48

In March 2019, broader markets witnessedrally as increased probability of the currentgovernment coming back to powercoupled with global central banks’accommodative stance boosted investorsentiments. Nifty gained 7.4%, whileSensex gained 7.8% on MoM basis for themonth.

Indian markets are expected to continuethe upward trend on improving globalsentiments and ongoing optimism aroundthe election outcome.

Mid and small caps too joined the pre-election rally as investors scooped-upstocks with reasonable valuations.

On the sectoral front, PSU Bank index ledthe gains (value buying) with ~20% MoMreturns, whereas IT (appreciating rupee)and Auto (lower volumes) indices were flatMoM. During the month, money waschurned out of expensive sectors to highbeta midcaps with cheap valuations.

3

How the Indian equity markets fared in Mar 2019?

Index Return 01-Apr-19 1 M (%) 1 YR (%)

NIFTY 50 11,669.2 7.4 15.4

S&P BSE SENSEX 38,871.9 7.8 17.9

S&P BSE Mid-Cap 15,560.1 7.3 -2.5

S&P BSE Small-Cap 15,144.4 8.3 -10.9

Dow Jones 25,928.7 -0.4 7.6

Nasdaq-100 7,378.8 3.2 12.1

S&P 500 2,834.4 1.1 7.3

Hang Seng 29,051.4 0.8 -3.5

Nikkei 225 21,205.8 -1.8 -1.2

Returns as on April 1, 2019

0.0

0.02.5

4.56.1

8.7 10.1 10.5 11.3 12.1

16.019.5

NIF

TY IT

NIF

TY A

UTO

NIF

TY F

MC

G

NIF

TY P

HA

RM

A

NIF

TY M

ETA

L

NIF

TY C

OM

MO

DIT

IES

NIF

TY IN

FRA

NIF

TY F

INA

NC

IAL

SER

VIC

ES

NIF

TY E

NER

GY

NIF

TY B

AN

K

NIF

TY R

EALT

Y

NIF

TY P

SU B

AN

K

Sector Returns in 1 Month (%)

In March 2019, FIIs accelerated theirbuying momentum on increasedpossibility of current govt. coming backto power in India. FIIs poured `33,116crin the Indian equities during the month.Overall, global sentiments strengthenedas central banks across the globe turnedpro-liquidity to support growth.

Domestic mutual funds which have beenstrong buyers in the India equity marketsfor many quarters, turned net sellers inMarch 2019. DIIs sold `7,036cr worth ofequities during the month.

Indian mutual funds continued to receivestable SIP inflows. In February 2019, SIPinflows were `8,095cr (up 0.4% MoM).This indicates retail investors’ awarenessabout mutual fund investments andimportance of sticking to asset allocation.

The average AUM of Indian Mutual Fundindustry for the month of February 2019stood at `24.3 lakh cr.

4

FIIs accelerate buying momentum, SIP flows remain robust

6,542

478

-7,036

-505

15,328

33,116

Jan-19 Feb-19 Mar-19

Net Inflows in Equity (`cr)

Domestic Mutual Fund FIIs

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

Mar

/17

Ap

r/1

7

May

/17

Jun

/17

Jul/

17

Au

g/1

7

Sep

/17

Oct

/17

No

v/1

7

De

c/1

7

Jan

/18

Feb

/18

Mar

/18

Ap

r/1

8

May

/18

Jun

/18

Jul/

18

Au

g/1

8

Sep

/18

Oct

/18

No

v/1

8

De

c/1

8

Jan

/19

Feb

/19

SIP Inflows (`cr)

Source: Bloomberg, IIFL Research

US Fed’s dovish stance with expectationsof no rate hike in the near future fueledrallies in the global risk-assets i.e.equities, bonds and commodities.

Emerging markets saw inflows as marketparticipants believed that global centralbanks may turn accommodative with thetalks of global slowdown.

In March 2019, yield differential betweenGoI 10YR and US 10YR expandedmarginally as the US treasury yieldsdeclined relatively faster after the changein Fed’s view. This may strengthen thecase for the RBI to cut policy rates on Apr04, 2019.

During the last three months, LME BaseMetals Index rose ~9% to 3,057, whileBrent crude rallied ~33 to $69/barrel onimproved global sentiments.

Large emerging economies such as Indiamay continue to witness stable foreigninflows due to rise in global liquidity.

5

Global risk-assets rally on continued dovish tilt by the US Fed

Data till April 2, 2019Source: Bloomberg, IIFL Research

1,500

2,000

2,500

3,000

3,500

4,000

Mar

/14

Jun

/14

Sep

/14

De

c/1

4

Mar

/15

Jun

/15

Sep

/15

De

c/1

5

Mar

/16

Jun

/16

Sep

/16

De

c/1

6

Mar

/17

Jun

/17

Sep

/17

De

c/1

7

Mar

/18

Jun

/18

Sep

/18

De

c/1

8

Mar

/19

LME Base Metals Index (US$)

0.000.501.001.502.002.503.003.504.004.505.00

0.001.002.003.004.005.006.007.008.009.00

10.00

Mar

/14

Jun

/14

Sep

/14

De

c/1

4

Mar

/15

Jun

/15

Sep

/15

De

c/1

5

Mar

/16

Jun

/16

Sep

/16

De

c/1

6

Mar

/17

Jun

/17

Sep

/17

De

c/1

7

Mar

/18

Jun

/18

Sep

/18

De

c/1

8

Mar

/19

GIND10Y vs. US 10Y (%)

GIND10YR Spread US 10YR

Crude oil prices rose around 5% MoM to~$69/barrel in March 2019, primarilydriven by OPEC-led supply cut.

This is the second consecutive month ofgains and its is likely to advance furtherdriven by Saudi Arabia’s (largest producer)commitment for more output cuts(currently 1.2mn barrels per day) tosupport benchmark prices.

Higher oil price is a key risk to India’smacros, as India imports 80% of the totaldomestic demand for crude oil.

Meanwhile, India’s current account deficitfor Q3FY19 has moderated to 2.5% of GDP(from 2.9% in the last quarter), mainlysupported by improved services exportsand inwards remittances.

Indian rupee strengthened to ~69 againstthe US Dollar, mainly due to FII-led stronginflow in the Indian equities markets.

6

Crude oil prices rise marginally in Mar 2019

55

60

65

70

75

Mar

/14

Jun

/14

Sep

/14

De

c/1

4

Mar

/15

Jun

/15

Sep

/15

De

c/1

5

Mar

/16

Jun

/16

Sep

/16

De

c/1

6

Mar

/17

Jun

/17

Sep

/17

De

c/1

7

Mar

/18

Jun

/18

Sep

/18

De

c/1

8

Mar

/19

USD/INR

20

30

40

50

60

70

80

90

100

110

120

Mar

/14

Jun

/14

Sep

/14

Dec

/14

Mar

/15

Jun

/15

Sep

/15

Dec

/15

Mar

/16

Jun

/16

Sep

/16

Dec

/16

Mar

/17

Jun

/17

Sep

/17

Dec

/17

Mar

/18

Jun

/18

Sep

/18

Dec

/18

Mar

/19

Brent Crude Oil ($/bbl)

Data till April 2, 2019Source: Bloomberg, IIFL Research

Currently, the Indian market is trading at~27% premium (18.1x) to its 10-yearaverage P/E ratio (14.2x), despite earningsdowngrades on multiple occasions.However, market participants expectcorporate earnings to improve with thereturn of business friendly government.With Q4 results round the corner, FY19may end up with ~18% earnings growthafter several years of single-digit growth.

Bond yields softened on hopes of furthermonetary easing and strong inflows ofliquidity in the markets leading tostrengthening of INR vs. USD. Theearnings-bond yield spread continues towiden due to rich valuations.

We recommend to invest in qualitymidcap and smallcap stocks (with goodcorporate governance) that are trading atattractive valuations post correction andcan deliver strong earnings growth overthe longer term.

7

Earnings downgrade increases equity valuations

8.0

10.0

12.0

14.0

16.0

18.0

20.0

Mar

/10

Sep

/10

Mar

/11

Sep

/11

Mar

/12

Sep

/12

Mar

/13

Sep

/13

Mar

/14

Sep

/14

Mar

/15

Sep

/15

Mar

/16

Sep

/16

Mar

/17

Sep

/17

Mar

/18

Sep

/18

Mar

/19

Nifty Forward P/E

P/E Ratio (Next Ann) +1 Std dev -1 Std dev 10 year Avg

2.0

4.0

6.0

8.0

10.0

12.0

Mar

/10

Sep

/10

Mar

/11

Sep

/11

Mar

/12

Sep

/12

Mar

/13

Sep

/13

Mar

/14

Sep

/14

Mar

/15

Sep

/15

Mar

/16

Sep

/16

Mar

/17

Sep

/17

Mar

/18

Sep

/18

Mar

/19

Yield SpreadEarning Yield (%) Bond Yield (%)

NIFTY Forward PE data till March 31, 2019; Yield Spread Data till April 2, 2019Source: Bloomberg, IIFL Research

Election Option Strategy

8

9

Volatility is the name of the game when its comes to major events like general elections. Indianequities would be no different than the global pattern of increase in volatility pre and post the majorelection results.

How do we reap benefits from such scenario?A Long Iron Butterfly Spread can be implemented when a trader is expecting higher volatility in theunderlying assets. This strategy is initiated to capture the movement outside the wings of options atexpiration. It is a limited risk and a limited reward strategy.

StrategyBuy 1 Nifty 11700CE, Sell 1 Nifty 12300CE, Buy 1 Nifty 11700PE and Sell 1Nifty 11100PE

Expiry May 30,2019

Market Outlook Movement above the highest or lowest strike

Motive Profit from movement in either direction

Upper Breakeven 12010

Lower Breakeven 11190

Risk Limited to Net Premium Paid i.e. 425 (CMP)

Reward(Target) 175 Points

Stop Loss 125 Points

Model Portfolios – Direct Equity

10

Aggressive Model Portfolio

11

No. Company Allocation (%)

1 Aurobindo Pharma 7.0

2 Axis Bank 7.0

3 Bajaj Finance 7.0

4 Chola. Invest & Fin. 8.0

5 ICICI Bank 7.0

6 Ipca Laboratories 8.0

7 KEC International 9.0

8 L&T Infotech 8.0

9 Petronet LNG 7.0

10 SBI 8.0

11 Tata Steel 8.0

12 TeamLease Services 8.0

13 Tech Mahindra 8.0

Total 100.0

Aggressive model portfolio – Equity

Model Portfolio vs. Benchmark

Investment Objective & Portfolio Strategy

The objective of the strategy is to generate long term capital appreciation for investors from a portfolio ofequity and equity related securities.

The investment strategy is to invest in companies that are under valued and provide earnings visibility. Thestrategy takes a concentrated position in stocks and endeavours to strategically change allocation betweensectors depending on change in the business cycles.

100

110

120

130

140

150

Feb

/17

Mar

/17

Ap

r/1

7M

ay/1

7Ju

n/1

7Ju

l/1

7A

ug/

17

Sep

/17

Oct

/17

No

v/1

7D

ec/1

7Ja

n/1

8Fe

b/1

8M

ar/1

8A

pr/

18

May

/18

Jun

/18

Jul/

18

Au

g/1

8Se

p/1

8O

ct/1

8N

ov/

18

Dec

/18

Jan

/19

Feb

/19

Mar

/19

Aggressive NIFTY 50

12


Market Cap Allocation

Large cap59%

Mid cap16%

Small cap25%

Sector Allocation

Risk Reward Statistics

Portfolio Beta 1.03

Sharpe Ratio 0.63

Portfolio Std. Deviation 32.38

Valuation Multiples (Forward)

Large Cap P/E 16.4Mid Cap P/E 16.9Small Cap P/E 4.6Portfolio P/E 13.5Portfolio P/B 3.4Nifty P/E 15.5Nifty P/B 2.4

Banks22%

IT16%

Capital Goods

9%

Metals8%

Pharma15%

NBFC15%

Staffing8%

Gas7%


No. Company Sector Outlook

1 Axis Bank

Banks

Fall in slippages and increase in NII will improve the ROE in the medium term. Valuationwill likely improve due to execution, fundamental changes within the bank andprofitability.

2 ICICI BankImproving cost-income ratio, declining slippages (most large stressed assets arerecognized) will aid profitability and drive re-rating. Core revenue growth is gatheringmomentum and the standalone bank is undervalued at ~2.4x FY21E BVPS.

3 SBIBeneficiary of normalisation of credit cost, loan book improvement and focus on highmargin retail book will aid earnings and lead to re-rating in the stock.

4 LTI

IT

The company is set to benefit from its focused micro-vertical led strategy, clientmining, strong deal inflow and deal pipeline. Expect LTI to post USD revenue and EPSCAGR of ~13% and ~12% respectively over FY19-21E

5 Tech MahindraExpect Telecom business to post ~9% CAGR over FY19-21E (after ~1% revenue CAGRdecline over FY16-18) on large telecom deal ramp-up. Enterprise business momentumis likely to sustain on steady performance of BFSI, Manufacturing and Healthcare.

6 KEC International Capital Goods

To benefit from traction in power T&D segment (increased focus on international T&Dmarket) and healthy railway pipeline in FY19-20E. Margins to expand, driven byincreasing operating efficiencies and contribution from high margin railways and civilbusiness.

7 Tata Steel MetalsTata Steel and ThyssenKrupp are working on remedial plans for the joint venture,hence any favourable news flow on the same will likely be a positive factor for thestock. Consequent debt reduction remains the key near term trigger.

13



8 IPCA Lab

Pharma

The management expects India’s business to grow at 1.5x the industry rate. Moreover, focuson clinical research, scientific detailing and improving sales representatives productivity shoulddrive mid-teen growth in India business and also improve the margins by 150-200bps duringFY19-21E. Further, significant pick up in Institutional business along with 10-15% growth in USbusiness could drive earnings growth of 24% CAGR over FY19-21E.

The drug shortage in US market have started inching up and almost half of all drug shortages inthe US are for injectable products. Aurobindo has a decent portfolio for the US injectablesmarket, with annual revenue of US$200m (vs. US$600m US injectables revenue for Hikma),which is a key positive for the company.

9 Aurobindo Pharma

10 Bajaj Finance

NBFC

Strong performance despite liquidity crisis demonstrates BFL's ability to raise funds in anunfavourable scenario, aiding it to achieve growth across segments. We expect BFL's AUM togrow at a CAGR of 38% over FY18-21E, while consistently improving cost-income ratio will aidprofitability. Stock currently trades at 5.6x FY21E P/BV.

CIFC is likely to diversify its product profile and increase penetration to drive asset growth.Scaling-up loans for 2/3-wheelers, used vehicles, tractors and affordable housing wouldsupplement growth in vehicle finance and home equity segments. Moreover, severaldigitization initiatives would drive efficiencies, speed-up customer acquisition and improvecompetitiveness.

11 CIFC

12 Teamlease Services Staffing

The company should perform well on higher penetration of flexi staffing across sectors,industry consolidation and favourable margin levers in place (increasing share of specializedstaffing and improvement in associate/core ratio). Superior cash flow conversion justifiespremium valuations vs. peers.

13 Petronet LNG Gas

Petronet LNG is expected to benefit from Dahej terminal expansion, improvement in Kochiterminal utilization and attractive valuations. Petronet is in the process of expanding capacityof the Dahej LNG terminal from 15MMTPA to 17.5MMTPA. The expansion is likely to becommissioned in June 2019. We anticipate the completion of Kochi-Mangalore pipeline toincrease utilization of Kochi terminal to ~40% by FY20E from ~12% in FY18.

14


15

Absolute % Returns

CAGR % Return Quant's

Sr. No

Scheme NameAllocation

(%)6 M 1 Yr 2 Yr 3 Yr

1 Yr FwdPE

1 Yr FwdP/BV

Beta

1 Aurobindo Pharma 7.0 3.0 42.1 8.3 2.7 14.6 2.7 1.1

2 Axis Bank 7.0 28.8 50.2 24.8 19.4 18.8 2.6 1.2

3 Bajaj Finance 7.0 35.9 69.6 59.8 63.4 34.9 7.4 1.4

4 Chola. Invest & Fin. 8.0 22.0 4.2 25.1 27.4 16.3 3.1 1.7

5 ICICI Bank 7.0 26.9 43.2 25.8 22.5 17.6 2.2 1.3

6 Ipca Laboratories 8.0 46.6 48.2 24.7 19.2 22.2 3.6 0.5

7 KEC International 9.0 4.4 -23.5 19.8 33.9 13.0 2.6 1.1

8 L&T Infotech 8.0 -11.3 27.6 55.0 -- 17.5 5.2 0.8

9 Petronet LNG 7.0 11.2 6.9 10.8 26.0 13.6 2.9 0.7

10 SBI 8.0 18.2 29.1 5.0 18.2 11.7 1.2 1.4

11 Tata Steel 8.0 -8.4 -6.3 7.8 20.9 7.4 0.8 1.3

12 TeamLease Services 8.0 30.7 37.7 76.3 50.2 38.1 7.7 0.3

13 Tech Mahindra 8.0 3.3 23.1 30.7 19.3 14.5 2.9 0.7

Total 100.0

Returns and ratios as on April 01, 2019


16


No. What’s in Rationale

1 Ipca LabFocus on clinical research, scientific detailing and improving sales representative productivity should drive mid-teen growth in India business.

2 Tata SteelTata Steel and ThyssenKrupp are working on remedial plans for the joint venture, hence any favourable news flow on the same will likely be a positive factor for the stock

3 SBIBeneficiary of normalisation of credit cost, loan book improvement and focus on high margin retail book will improve earnings.

4AurobindoPharma

Decent portfolio in injectable business is positive for the company.

No. What’s Out Rationale

1Jubilant LifeScience

Due to limited upside in the stock.

2 Bajaj Auto Expected to post weak quarter.

3 Mindtree Due to recent run up in stock.

4 Titan Due to recent run up in stock.


17

No. Company Allocation (%)

1 Aurobindo Pharma 7.0

2 Bajaj Finserv 8.0

3 Biocon 9.0

4 HCL Tech. 8.0

5 HDFC Bank 7.0

6 Larsen & Toubro 9.0

7 Navin Fluorine Intl 8.0

8 NTPC 7.0

9 Reliance Industries 7.0

10 SBI 7.0

11 SBI Life Insuran 7.0

12 Tech Mahindra 8.0

13 Varun Beverages Ltd. 8.0

Total 100.0

Moderate model portfolio – Equity

Model Portfolio vs. Benchmark



The investment strategy is to invest in companies that are available at significant discount to their intrinsicvalue and provide earnings visibility. The strategy takes a concentrated position in stocks and endeavours tostrategically change allocation between sectors depending on change in the business cycles.

100

110

120

130

140

Feb

/17

Mar

/17

Ap

r/1

7

May

/17

Jun

/17

Jul/

17

Au

g/1

7

Sep

/17

Oct

/17

No

v/1

7

Dec

/17

Jan

/18

Feb

/18

Mar

/18

Ap

r/1

8

May

/18

Jun

/18

Jul/

18

Au

g/1

8

Sep

/18

Oct

/18

No

v/1

8

Dec

/18

Jan

/19

Feb

/19

Mar

/19

Moderate NIFTY 50

18



Large cap84%

Mid cap8%

Small cap8%


Portfolio Beta 0.86

Sharpe Ratio 0.48



Large Cap P/E 20.8Mid Cap P/E 38.9Small Cap P/E 18.5

Portfolio P/E 22.1

Portfolio P/B 3.5Nifty P/E 15.5Nifty P/B 2.4

IT16%

Banks14%

Insurance7%

Diversified15%

Power7%

Infrastructure

9%

Chemicals8%

Pharma16%

FMCG8%

Sector Allocation



1 HCL Tech

IT

Valuation is attractive and will benefit from various IMS deal ramp-ups. IP bets areexpected to future proof the business whilst providing cross selling opportunities.Requisite investments to scale up Mode-2 capabilities would aid in filling gap withpeers.

2 Tech Mahindra

Expect Telecom business to post ~9% CAGR over FY19-21E (after ~1% revenue CAGRdecline over FY16-18) on large telecom deal ramp-up. Enterprise businessmomentum is likely to sustain on steady performance of BFSI, Manufacturing andHealthcare.

3 HDFC Bank

Banks

Beneficiary of better loan growth, high operating efficiency, robust capital positionrelatively superior asset quality

4 SBIBeneficiary of normalisation of credit cost, loan book improvement and focus on highmargin retail book will aid earnings and lead to re-rating in the stock.

5 SBI Life Insurance

SBI Life is expected to benefit from its distribution strength due to its relation with SBIBank. We expect new business premium (APE) CAGR of ~14% over FY18-21Esupported by vast banca network. New business underwritten at lower cost is valueaccretive and will improve operating leverage resulting into VNB margin expansion of~138bps over FY18-21E. Stock is currently trading at valuation of 2.0x FY21E P/EV.

6 Bajaj Finserv

Diversified

We expect Bajaj Allianz General Insurance's earnings to witness CAGR of ~24% overFY18-21E on regulatory changes in motor TP (third-party) segment and healthinsurance. Its life insurance business is expected to stabilize over the next two yearswith focus towards a sustainable product mix leading to increase in value of newbusiness (VNB) margin. The AUM of lending vertical i.e. Bajaj Finserv is expected toregister CAGR of more than ~30% over FY18-21E.

7 Reliance IndustriesReliance Industries is expected to benefit from strong petrochemicals volume growth,improvement in GRMs and traction in Jio subscribers.

19



8 NTPC Power

NTPC will benefit from capacity addition and higher power generation volumes overFY19-20E supported by improved offtake from discoms. Moreover, the new tariffregulation will allow the company to recover select costs fully which are impacting itsearnings now, provide adequate incentives to improve efficiency, and inject powerduring peak hours. This will lead to pickup in EPS.

9 Larsen & Toubro InfrastructureLarsen and Toubro is expected to benefit from strong order book (Rs2.84 lakh cr), pickup in execution and improvement in working capital.

10 Navin Fluorine Chemicals

Fluorspar prices have corrected by ~20% in March 2019, whereas the INR has alsoappreciated, this should ease cost pressures for NFIL. Hence, margins should improvesignificantly in coming quarters. CRAMS revenue should grow in FY20E on risingcustomer enquiries, and commissioning of the new unit at Dewas should alsocontribute from Aug 2019.

20


No.

Company Sector Outlook

11 Biocon

Pharma

Mylan/Biocon has launched Pegfilgrastim in the US, while Trastuzumab is expected tobe launched in H1FY20E. Biosimilar Insulin Glargine (Semglee) and biosimilarAdalimumab (in-licensed from Fujifilm Kyowa Kirin Biologics) are expected to belaunched by Mylan in Europe in CY20E. We expect Biocon to deliver PAT growth of~6x over next five years due to the strong contribution from the above products inthe US and EU.

12 Aurobindo Pharma

The drug shortage in US market has started inching up and almost half of all drugshortages in the US are for injectable products. Aurobindo has a decent portfolio forthe US injectables market, with annual revenue of US$200m (vs. US$600m USinjectables revenue for Hikma), which is a key positive for the company.

13 Varun Beverages FMCGTo benefit from recent acquisition of PepsiCo’s franchise rights in southern & westernIndia, thereby controlling 80-85% of PepsiCo’s volume in the country, market sharegain and improvement in FCF going forward.

21


22

Absolute % Returns


Sr. No


(%)6 M 1 Yr 2 Yr 3 Yr

1 Yr FwdPE

1 Yr FwdP/BV

Beta

1 Aurobindo Pharma 7.0 3.0 42.1 8.3 2.7 14.6 2.7 1.1

2 Bajaj Finserv 8.0 21.3 37.9 32.1 60.0 26.2 4.1 1.4

3 Biocon 9.0 -8.9 4.1 27.9 55.8 33.1 5.2 0.9

4 HCL Tech. 8.0 1.0 14.4 12.7 10.6 13.6 3.1 0.6

5 HDFC Bank 7.0 13.4 22.1 26.5 29.5 24.2 3.6 0.7

6 Larsen & Toubro 9.0 13.2 7.7 15.9 19.6 19.7 2.8 1.0

7 Navin Fluorine Intl 8.0 4.3 -6.6 8.7 28.3 18.5 3.0 0.8

8 NTPC 7.0 -4.2 -4.5 -1.2 7.6 10.2 1.1 0.6

9 Reliance Industries 7.0 13.0 57.6 45.2 39.1 17.4 2.3 1.5

10 SBI 7.0 18.2 29.1 5.0 18.2 11.7 1.2 1.4

11 SBI Life Insuran 7.0 15.1 -11.2 -- -- 42.0 7.0 0.4

12 Tech Mahindra 8.0 3.3 23.1 30.7 19.3 14.5 2.9 0.7

13 Varun Beverages Ltd. 8.0 23.2 45.6 49.0 -- 38.9 6.0 0.2

Total 100.0



23



1 NTPCNTPC will benefit from capacity addition and higher power generation volumes over FY19-20E supported by improved offtake from discoms.

2NavinFluorine

Fluorspar prices have corrected by ~20% in March 2019. This should ease cost pressures for NFIL


1 Atul Ltd Due to recent run up in the stock.

2 Bajaj AutoExpected to post weak quarter.


24

No. Company Allocation

1 Asian Paints 7.0

2 Biocon 8.0

3 Coal India 6.0

4 Coromandel Interntl. 7.0

5 Dabur India 8.0

6 HCL Tech. 8.0

7 HDFC Bank 6.0

8 ICICI Lombard General Ins 9.0

9 Infosys 8.0

10 ITC 8.0

11 Maruti Suzuki 8.0

12 Power Grid Corpn. 9.0

13 Reliance Industries 8.0

Total 100%

Conservative model portfolio – Equity

Model Portfolio Vs Benchmark



The investment strategy is to invest in companies that are available at significant discount to their intrinsicvalue and provide earnings visibility. The strategy takes a concentrated position in stocks and endeavours tostrategically change allocation between sectors depending on change in the business cycles.

100

110

120

130

140

Feb

/17

Mar

/17

Ap

r/1

7

May

/17

Jun

/17

Jul/

17

Au

g/1

7

Sep

/17

Oct

/17

No

v/1

7

Dec

/17

Jan

/18

Feb

/18

Mar

/18

Ap

r/1

8

May

/18

Jun

/18

Jul/

18

Au

g/1

8

Sep

/18

Oct

/18

No

v/1

8

Dec

/18

Jan

/19

Feb

/19

Mar

/19

Conservative NIFTY 50

25



Large cap93%

Mid cap7%


Portfolio Beta 0.79

Sharpe Ratio 0.5



Large Cap P/E 25.6Mid Cap P/E 16.9Portfolio P/E 25.0Portfolio P/B 5.4Nifty P/E 15.5Nifty P/B 2.4

Sector Allocation

FMCG23%

Auto8%

Banks6%

Power9%Insurance

9%

IT16%

Pharma8%

Agriculture7%

Mining6%

Diversified8%



1 ITC

FMCG

Market share gain in FMCG, recovery in cigarette segment (acceptance of high cigaretteprice among consumers and volume growth) and attractive valuation.

2 Dabur Beneficiary of increasing rural reach, market share gain and new product launches.

3 Asian PaintsLeadership position (~54% market share), capacity expansion (1.1mn MT currently to2.2mn MT over next 1-1.5 years) and price hikes to aid growth.

4 Maruti Suzuki AutoMaruti is better placed than other OEMs in FY21E as the BS-VI related price hike wouldbe lowest in petrol cars vs. all other auto segments. Agreement between Toyota andSuzuki to mitigate the key risk of electrification for Maruti.

5 HDFC Bank BanksBeneficiary of better loan growth, high operating efficiency, robust capital position andrelatively superior asset quality.

6 Power Grid Corp Power

PGCIL’s standalone project pipeline is ~Rs66000cr, which provides good visibility throughFY21; however, growth beyond FY21 would be largely driven by TBCB projects, wherepipeline remains healthy. The CEA expects ~Rs2,00000cr in inter and intra statetransmission over the next 5-8 years. PGCIL is well placed to bag a major share of theseprojects, considering its balance sheet strength.

7 ICICI Lombard General Insurance

ILom is well positioned to capture the growth potential in the sector driven by significantlower penetration and market share gains from PSUs. Change in regulations (especiallyunder motor segment), improving competitive dynamics and ILOM’s conservativestrategy focusing on profitability are likely to accelerate premium growth andimprovement in loss ratios.

26



8 HCL tech

IT

Valuation is attractive and will benefit from various IMS deal ramp-ups. IP bets areexpected to future proof the business whilst providing cross selling opportunities.Requisite investments to scale up Mode-2 capabilities would aid in filling gap with peers.

9 InfosysFocus on execution and investments behind digital to drive revenues.Infosys announced large deal wins worth TCV of USD2bn+, its highest ever. This willprovide strong revenue visibility.

10 Biocon Pharma

Mylan/Biocon has launched Pegfilgrastim in the US while Trastuzumab is expected to belaunched in H1FY20E. Biosimilar Insulin Glargine (Semglee) and biosimilar Adalimumab (in-licensed from Fujifilm Kyowa Kirin Biologics) are expected to be launched by Mylan inEurope in CY20E. We expect Biocon to deliver PAT growth of ~6x over next five years dueto the strong contribution from the above products in the US and EU.

11 Coromandel Intl Agriculture

Coromandel is likely to benefit from capacity augmentation in phosphoric acid, providingstrong backward integration. Enhanced capacity of mancozeb (crop-protection segment)from Sarigam plant and Dahej plant will help the company gain market access in newgeographies. We expect moderation in input-costs coupled with likely price hikes, leadingto improvement in operating margin.

12 Coal India Mining

The inventories at major thermal power plants have increased to 30.9mt (18 days) by endof March 2019 vs. 10mt at October end. Additionally, critical power plants (inventories lessthan 7 days) were nil compared with high of 28 at end of October. This increases room forCoal India to supply more through e-auction and linkages to non-power sector at apremium. Besides, expected improvement in rail & logistics infrastructure would supportmedium-term volumes.

13 Reliance Industries DiversifiedReliance Industries is expected to benefit from strong petrochemicals volume growth,improvement in GRMs and traction in Jio subscribers.

27


28

Absolute % Returns


Sr. No


(%)6 M 1 Yr 2 Yr 3 Yr

1 Yr FwdPE

1 Yr FwdP/BV

Beta

1 Asian Paints 7.0 16.6 33.0 17.9 19.7 52.0 13.3 1.0

2 Biocon 8.0 -8.9 4.1 27.9 55.8 33.1 5.2 0.9

3 Coal India 6.0 -13.3 -16.6 -10.1 -6.4 8.9 6.0 0.5

4 Coromandel Interntl. 7.0 26.2 -5.1 26.0 37.5 16.9 3.4 0.5

5 Dabur India 8.0 -8.4 22.9 20.4 17.1 39.5 10.1 1.0

6 HCL Tech. 8.0 1.0 14.4 12.7 10.6 13.6 3.1 0.6

7 HDFC Bank 6.0 13.4 22.1 26.5 29.5 24.2 3.6 0.7

8 ICICI Lombard General Ins 9.0 28.9 28.1 -- -- 38.4 7.5 0.4

9 Infosys 8.0 1.5 33.2 21.6 7.8 18.7 4.7 0.6

10 ITC 8.0 0.2 16.2 3.0 9.9 26.1 6.0 0.9

11 Maruti Suzuki 8.0 -8.3 -22.8 6.6 22.5 23.8 4.0 1.1

12 Power Grid Corpn. 9.0 1.7 0.9 -0.4 12.2 10.1 1.6 0.6

13 Reliance Industries 8.0 13.0 57.6 45.2 39.1 17.4 2.3 1.5

Total 100.0



29



1 Coal IndiaDue to increase in inventories at thermal power plants Coal India can supply more coal through e-auction and linkages to non-power sector at a premium.


1TataChemicals

Due to expected weak performance in the near term.

Mutual Funds

30

31

Top 5 recommended mutual funds

Returns less than 1 year are absolute; Returns greater than 1 year are CAGR.AUM as on: February 2019; Returns as on 1 April, 2019Source: ACE MF

Equity is the best way to create wealth in long term vs. other asset classes like debt, gold, realestate, etc., since historically it has been seen that equity based investments have given inflationbeating returns over long term despite short term volatilities. Equity mutual fund is a right wayfor investors to invest in equity market who do not have time and/or knowledge to understandthe equity market.

The Indian mutual fund industry is well regulated, transparent and mature. Instead of timing themarket, investors can regularly invest in the market and can reap the benefit of ‘Rupee CostAveraging’ via SIP.

Thus, we present some mutual fund recommendations to create wealth in the long term.

Scheme Name Fund Manager AUM (` cr)

1M(%)

6 M(%)

1 Y (%)

3 Y (%)

5 Y (%)

Canara Rob Equity Hybrid Fund(G)

Shridatta Bhandwaldar 1,896 5.4 7.0 10.2 13.6 15.3

Axis Bluechip Fund(G) Shreyash Devalkar 4,221 5.7 7.1 14.9 16.0 14.4

L&T India Value Fund(G) Venugopal M. 7,726 8.1 4.6 1.0 14.8 21.2

ICICI Pru Midcap Fund(G) Mrinal Singh 1,518 7.7 6.5 -1.6 14.1 19.5

Sundaram Small Cap Fund(G) S. Krishnakumar 1,039 10.7 9.6 -13.7 9.9 19.8

32

Canara Robeco Equity Hybrid Fund

Fund Benchmark CRISIL Hybrid 35+65 - Aggressive Index AUM (`cr) 1,896

Inception Date Feb 1993 Exit Load Nil on 10% of units within 1Y and 1% for more than 10% of units within 1Y, Nil after 1Y

Fund Manager Shridatta Bhandwaldar Expense Ratio 1.8%

Fund Basic Details

10.2

13.615.3

10.4

13.3 12.7

1 Year 3 Years 5 YearsFund Benchmark

Asset Allocation It is an equity-oriented balanced fund, which does tacticalallocation between debt and equity based on the marketoutlook to ensure optimal risk reward.

The fund increases its exposure in debt when the equitymarket is overvalued and increases its allocation to equitywhen it is undervalued.

As of February 2019, the fund had invested ~68% of AUM inequity. The fund had invested ~54% of the AUM in largecapstocks, while ~14% was invested in midcap and smallcapstocks.

Investors who want to follow balanced approach i.e. 65%equity and ~35% debt, can invest in the scheme to createwealth in the long term. The scheme can also invest up to~10% in REITs/InvITs.

Returns (%)

54%

12%

2%

32%

LargeCap

Mid Cap

SmallCap

Others


33

Axis Bluechip Fund

Fund Benchmark NIFTY 50 - TRI AUM (` cr) 4,221

Inception Date Jan 2010 Exit Load Nil on 10% of units within 1Y and 1% for more than 10% of units within 1Y, Nil after 1Y

Fund Manager Shreyash Devalkar Expense Ratio 1.6%

Fund Basic Details

Asset Allocation It is an equity fund which primarily invests in top 100 stocks

by market capitalization. The fund invests in companieswhich have significant market share and are leaders in theirrespective industries.

The fund’s strategy is to invest in quality companies withcredible management, sustainable profit growth & cash flowand having a clean balance sheet.

As of February 2019, the fund had invested ~82% of AUM inlargecap stocks. The fund had highest allocation to PrivateBanks (~25%), followed by IT (~17%).

Investors who want to primarily invest in diversifiedportfolio of largecap stocks can invest in this fund to createwealth in the long term.

Returns (%)

82%

18%Large Cap

Others

14.916

14.4

16.9 16.3

13.1

1 Year 3 Years 5 YearsFund Benchmark


34

L&T India Value Fund

Fund Benchmark S&P BSE 200 TRI AUM (`cr) 7,726

Inception Date Jan 2010 Exit Load 1% upto 1 Y of investments and Nil after 1 Y

Fund Manager Venugopal M. Expense Ratio 1.5%

Fund Basic Details

Asset Allocation It is a value-conscious equity fund that aims to investpredominantly in equity and equity related securities in theIndian markets with higher focus on undervaluedsecurities. The Scheme could also additionally invest inForeign Securities in international markets.

As of February 2019, the fund had invested ~64% of AUM inlargecap stocks, ~22% was allocated to midcap and ~12% insmallcap stocks. The fund had the highest allocation toInfosys(5.6%), followed by ICICI Bank(5.5%) and Axis Bank(3.9%).

Investors who are value conscious and want to invest inlargecap and midcap stocks can invest in the fund to createwealth in the long term.

Returns (%)

64%

22%

12%2% Large

Cap

Mid Cap

SmallCap

Others

1

14.8

21.2

12.6

16.314.4

1 Year 3 Years 5 Years

Fund Benchmark


35

ICICI Pru Midcap Fund

Fund Benchmark Nifty 50 AUM (` cr) 1,518

Inception Date Oct 2004 Exit Load 1% on or before 1Y, Nil after 1Y

Fund Manager Mrinal Singh Expense Ratio 1.8%

Fund Basic Details

Asset Allocation It predominantly invests in diversified midcap stocks, whichtend to exhibit higher growth than largecap stocks.

It aims to identify and invest in growth companies whichhave potential to grow. It also emphasizes on managementintegrity.

As of February 2019, the fund had invested ~65% of AUM inmidcap stocks, ~8% was in largecap stocks and ~23% wasallocated to smallcap stocks. The fund had highestallocation to Indian Hotels(5.8%), followed by ExideIndustries(5.1%) and Tata Chemicals(4%).

Investors who want to primarily invest in midcap stocks caninvest in this fund to create wealth in long term.

Returns (%)

8%

65%

23%

4% Large Cap

Mid Cap

Small Cap

Others


-1.6

14.1

19.5

-3.4

14.811.7


Fund Benchmark

36

Sundaram Small Cap Fund

Fund Benchmark S&P BSE Small Cap TRI AUM (`cr) 1,039

Inception Date Feb 2005 Exit Load 1% on or before 1Y, Nil after 1Y.

Fund Manager S. Krishnakumar Expense Ratio 1.8%

Fund Basic Details

Asset Allocation This fund is a smallcap focused fund which invests inattractively valued high growth stocks. It is currentlyoverweight on sectors aligned towards impending domesticeconomic recovery.

The fund uses a bottom-up approach for stock picking. As of February 2019, ~95% of its AUM was invested in

smallcap stocks and ~5% was allocated to debt instruments.The fund had highest allocation to NRB Bearings(4.8%) andPraj Industries(4.5%) followed by Navin Fluorine(3.9%).

Investors who are looking to invest money for at least 3years and expect very high returns can invest in this fund.

Returns (%)

95%

5%Small Cap

Others

-13.7

9.9

19.8

-10.2

13.317.4


Fund Benchmark


Aggressive Model Portfolio The objective of the strategy is to generatelong term capital appreciation for investorsfrom a portfolio of aggressive equityoriented mutual funds.

The strategy takes a concentrated positionin mutual funds across different market-capand sectors and endeavours to strategicallychange allocation between differentmarket-cap and sectors depending onchange in the business cycles.

37

Aggressive model portfolio – Mutual Funds

Investment Theme & StrategySr.

No.Scheme Name Allocation

1 Axis Focused 25 Fund(G) 20%

2 ICICI Pru Midcap Fund(G) 15%

3 HDFC Mid-Cap Opportunities Fund(G) 15%

4 Sundaram Small Cap Fund(G) 30%

5 L&T India Value Fund(G) 20%

Total 100%

What’s In What’s Out

ICICI Pru Midcap Fund(G) Franklin India Prima Fund(G)

Sundaram Small Cap Fund(G) HDFC Small Cap Fund(G)

38



Large Cap29%

Mid Cap28%

Small Cap38%

Other5%

Top Sectors (%)

AMC Wise Holdings

4.5

5.3

5.5

11.2

ENGINEERING

IT

NBFC

BANKS

HDFC MF15%

Axis MF20%

L&T MF20%

ICICI MF15%

SUNDARAM MF30%

Top 10 Stocks (%)

1.3

1.4

1.4

1.5

1.5

1.6

1.7

1.8

1.9

2.0

Praj Industries Ltd.

NRB Bearing Ltd.

Kotak Mahindra Bank Ltd.

Indian Hotels Ltd.

ICICI Bank Ltd.

Bajaj Finserv Ltd.

Bajaj Finance Ltd.

Tata Consultancy Services Ltd.

HDFC Bank Ltd.

HDFC Ltd.


No. Scheme Name Rationale

1Axis Focused 25 Fund(G)

It is a focused fund that invests in high conviction stocks, maximum 25 stocks from top 200stocks by market capitalization. The fund’s strategy is to invest in quality companies withcredible management, sustainable profit growth and cash flow, and having clean balance sheet.

2ICICI Pru Midcap Fund(G)

It predominantly invests in diversified midcap stocks, which tend to exhibit higher growth thanlargecap stocks. It aims to identify and invest in growth companies which have potential togrow. It also emphasizes on management integrity.

3HDFC Mid-Cap Opportunities Fund(G)

This fund predominantly invests in a diversified portfolio of midcap companies which havereasonable growth prospects, sound financial strength, sustainable business models andacceptable valuation.

4Sundaram Small Cap Fund(G)

This fund is a smallcap focused fund which invests in attractively valued high growth stocks. It iscurrently overweight on sectors aligned towards impending domestic economic recovery. Thefund uses a bottom-up approach for stock picking.

5L&T India Value Fund-(G)

It is a value-conscious equity fund that aims to invest predominantly in equity and equityrelated securities, in the Indian markets with higher focus on undervalued securities. TheScheme could also additionally invest in Foreign Securities in international markets.

39


40

Sr. No


(%)

Absolute % Returns CAGR % Return Quant's

6 M 1 Yr 3 Yr 5 Yr Beta NAV

1 Axis Focused 25 Fund(G) 20.0 2.4 8.1 17.3 16.6 0.9 27.2

2 ICICI Pru Midcap Fund(G) 15.0 6.5 -1.6 14.1 19.5 0.8 96.9


15.0 8.4 1.6 15.7 20.1 0.8 56.4

4 Sundaram Small Cap Fund(G) 30.0 9.6 -13.7 9.9 19.8 0.9 85.0

5 L&T India Value Fund(G) 20.0 4.6 1.0 14.8 21.2 1.0 36.3

Total 100.0

Mutual Funds Performance

Returns and quants as on 01 April, 2019

Aggressive Model Portfolio The objective of the strategy is to generatelong term capital appreciation for investorsfrom a portfolio of equity oriented mutualfunds.


41

Moderate model portfolio – Mutual Funds

Investment Theme & StrategySr. No.

Scheme Name Allocation

1 Axis Bluechip Fund(G) 30%

2 Axis Focused 25 Fund(G) 20%

3 ICICI Pru Midcap Fund(G) 15%

4 HDFC Mid-Cap Opportunities Fund(G) 15%

5 L&T India Value Fund(G) 20%

Total 100%


ICICI Pru Midcap Fund(G) Franklin India Prima Fund(G)

42



Large Cap54%

Mid Cap28%

Small Cap9%

Other9%

Top Sectors (%)

AMC Wise Holdings

Axis MF50%

L&T MF20%

HDFC MF15%

ICICI MF15%

Top 10 Stocks (%)

2.3

2.4

2.4

2.8

2.9

3.2

3.7

4.1

4.3

4.8

Maruti Suzuki India Ltd.

Bajaj Finserv Ltd.

Avenue Supermarts Ltd.

ICICI Bank Ltd.

HDFC Ltd.

Infosys Ltd.



Bajaj Finance Ltd.

HDFC Bank Ltd.

3.5

8.3

9.3

16.2

PHARMA

NBFC

IT

BANKS



1Axis BluechipFund(G)

It is an equity fund which primarily invests in top 100 stocks by market capitalization. The fundinvests in companies which have significant market share and are leaders in their respectiveindustries. The fund’s strategy is to invest in quality companies with credible management,sustainable profit growth & cash flow, and having a clean balance sheet.

2Axis Focused 25 Fund(G)

It is a focused fund that invests in high conviction stocks, maximum 25 stocks, from top 200stocks by market capitalization. The fund’s strategy is to invest in quality companies withcredible management, sustainable profit growth and cash flow, and having clean balance sheet.

3ICICI Pru Midcap Fund(G)

It predominantly invests in diversified mid-cap stocks, which tend to exhibit higher growth thanlarge-cap stocks. It aims to identify and invest in growth companies which have potential togrow. It also emphasizes on management integrity.


This fund predominantly invests in a diversified portfolio of mid-cap companies which havereasonable growth prospects, sound financial strength, sustainable business models andacceptable valuation.

5L&T India Value Fund(G)

It is a value-conscious equity fund that aims to invest predominantly in equity and equityrelated securities, in the Indian markets with higher focus on undervalued securities. TheScheme could also additionally invest in Foreign Securities in international markets.

43


44

Sr. No


(%)



1 Axis Bluechip Fund(G) 30.0 7.1 14.9 16.0 14.4 0.8 28.4

2 Axis Focused 25 Fund(G) 20.0 2.4 8.1 17.3 16.6 0.9 27.2

3 ICICI Pru Midcap Fund(G) 15.0 6.5 -1.6 14.1 19.5 0.8 96.9


15.0 8.4 1.6 15.7 20.1 0.8 56.4

5 L&T India Value Fund(G) 20.0 4.6 1.0 14.8 21.2 1.0 36.3

Total 100.0



Aggressive Model Portfolio The objective of the strategy is to generatelong term capital appreciation for investorsfrom a portfolio of equity and debt orientedmutual funds.


45

Conservative model portfolio – Mutual Funds

Investment Theme & StrategySr. No. Scheme Name Allocation

1 Axis Bluechip Fund(G) 30%

2 DSP Equity & Bond Fund(G) 15%

3 SBI Magnum Multicap Fund(G) 20%

4Canara Rob Equity Hybrid Fund-(G)

15%

5 Kotak Equity Savings Fund(G) 20%

Total 100%


SBI Magnum Multicap Fund(G) HDFC Equity Savings Fund(G)

Canara Rob Equity Hybrid Fund-(G) ICICI Pru Equity & Debt Fund(G)

46



Large Cap60%

Mid Cap10%

Small Cap8%

Others22%

Top Sectors (%)

AMC Wise Holdings

Axis MF30%

SBI MF20%

KOTAK MF20%

DSP MF15%

CANARA ROB MF15%

Top 10 Stocks (%)

2.2

2.4

2.5

2.7

4.6

4.6

5.8

5.9

7.3

8.5

Bajaj Finserv Ltd

Avenue Supermarts Ltd.

Asian Paints Ltd.

Maruti Suzuki India Ltd.

ICICI Bank Ltd.



Bajaj Finance Ltd.

Infosys Ltd.

HDFC Bank Ltd.

3.3

8.4

12.6

21.0

AUTO

NBFC

IT

BANKS



1Axis BluechipFund(G)

It is an equity fund which primarily invests in top 100 stocks by market capitalization. The fundinvests in companies which have significant market share and are leaders in their respectiveindustries. The fund’s strategy is to invest in quality companies with credible management,sustainable profit growth & cash flow, and having a clean balance sheet.

2DSP Equity & Bond Fund(G)

It invests in equity for potential high-return and to curtain the volatility it invests in fixedincome instruments. Fund manages a well-diversified equity portfolio. It invests in Large-capstocks, which are expected to benefit from economic recovery and applies bottom-up approachto invest in mid/small cap stocks to generate alpha. In debt portfolio, it maintains high qualityfixed income portfolio and actively manages duration through long dated government bonds.

3SBI Magnum Multicap Fund(G)

It invests in a diversified basket of equity stocks spanning the entire market capitalizationspectrum and in debt and money market instruments. The scheme follows a bottom-upapproach to stock-picking.

4Canara Rob Equity Hybrid Fund(G)

It is an equity-oriented balanced fund, which does tactical allocation between debt and equitybased on the market outlook to ensure optimal risk reward. The fund increases its exposure indebt when the equity market is overvalued and increases its allocation to equity when it isundervalued.

5Kotak Equity Savings Fund(G)

It invests in equity, arbitrage opportunities, and in debt and money market instruments toprovide capital appreciation and income distribution. Broadly, it invests 20-40% in equity baseson the market valuations and sentiments. It primarily invest in large cap stocks. In fixed income,it follows accrual portfolio strategy and invested in low maturity and high quality assets.

47


48

Sr. No


(%)



1 Axis Bluechip Fund(G) 30.0 7.1 14.9 16.0 14.4 0.8 28.4

2 DSP Equity & Bond Fund(G) 15.0 8.7 6.6 12.7 15.2 0.2 151.8

3 SBI Magnum Multicap Fund(G) 20.0 7.8 6.2 14.5 18.6 0.9 48.8

4 Canara Rob Equity Hybrid Fund(G) 15.0 7.0 10.2 13.6 15.3 0.2 159.0

5 Kotak Equity Savings Fund(G) 20.0 3.8 7.7 9.1 -- 0.0 14.2

Total 100.0



Mutual Fund investments are subject to market risks, read all scheme related documents carefully.

Nothing in this document constitutes investment, legal, accounting or tax advice or a representation that any investment or strategy is suitable or appropriate to the investor's specificcircumstances. The details included are based on information obtained from public sources and sources believed to be reliable, but no independent verification has been made nor isits accuracy or completeness guaranteed.

Investors should consult their financial advisers if in doubt about whether the product is suitable for them. The fund may or may not be suitable for all investors, who must make theirown investment decisions, based on their own investment objectives, financial positions and needs. This document may not be taken in substitution for the exercise of independentjudgment by any investor. The investor should independently evaluate the investment risks.

India Infoline Ltd. or any of its director/s or principal officer/employees and associate companies (IIFL) does not assure/give guarantee for accuracy of any of the facts/interpretations inthis document, and shall not be liable to any person including the beneficiary for any claim or demand for damages or otherwise in relation to this opinion or its contents.

The aimed returns mentioned anywhere in this document are purely indicative and are not promised or guaranteed in any manner. Returns are dependent on prevalent market factors,liquidity and credit conditions. Instrument returns depicted are in the current context and may be significantly different in the future.

The group company of India Infoline Limited, IIFL Wealth Management Limited is the Sponsor of IIFL Mutual Fund and holding company of the Investment Manager & Trustee Companyof IIFL Mutual Fund.

IIFL or its subsidiaries & affiliates may be holding all or any of the units of the scheme(s), referred in the document. The information contained herein is strictly confidential and meantsolely for the selected recipient and may not be altered in any way, transmitted to, copied or distributed, in part or in whole, to any other person or to the media or reproduced in anyform, without prior written consent of IIFL. While due care has been taken in preparing this document, IIFL and its affiliates accept no liabilities for any loss or damage of any kindarising out of any inaccurate, delayed or incomplete information nor for any actions taken in reliance thereon.

This document is not directed or intended for distribution to, or use by, any person or entity who is a citizen or resident of or located in any locality, state, country or other jurisdiction,where such distribution, publication, availability or use would be contrary to law, regulation or which would subject IIFL or its affiliates to any registration or licensing requirementwithin such jurisdiction. IIFL and/or its associates receive compensation/ commission for distribution of Mutual Funds from various Asset Management Companies (AMCs).

IIFL hosts the details of the commission rates earned by IIFL from Mutual Fund houses on our website https://ttweb.indiainfoline.com/trade/downloads/brokerage%20file.pdf. Hence,IIFL or its associates may have received compensation from AMCs whose funds are mentioned in the report during the period preceding twelve months from the date of this report fordistribution of Mutual Funds or for providing marketing advertising support to these AMCs. IIFL group, associate and subsidiary companies are engaged in providing various financialservices and for the said services (including the service for acquiring and sourcing the units of the fund) may earn fees or remuneration in form of arranger fees, referral fees, advisoryfees, management fees, trustee fees, Commission, brokerage, transaction charges, underwriting charges, issue management fees and other fees.

Please refer to http://www.indiainfoline.com/research/disclaimer and http://www.indiainfoline.com/mf/disclaimer for additional recommendation parameter, analyst disclaimer andother disclosures.

Please refer to http://www.indiainfoline.com/research/disclaimer for recommendation parameter, analyst disclaimer and other disclosures.

IIFL Securities Limited (Formerly ‘India Infoline Limited’), CIN No.: U99999MH1996PLC132983, Corporate Office – IIFL Centre, Kamala City, Senapati Bapat Marg, Lower Parel, Mumbai –400013 Tel: (91-22) 4249 9000 .Fax: (91-22) 40609049, Regd. Office – IIFL House, Sun Infotech Park, Road No. 16V, Plot No. B-23, MIDC, Thane Industrial Area, Wagle Estate, Thane –400604 Tel: (91-22) 25806650. Fax: (91-22) 25806654 E-mail: [email protected] Website: www.indiainfoline.com, Refer www.indiainfoline.com for detail of Associates.

Stock Broker SEBI Regn.: INZ000164132, PMS SEBI Regn. No. INP000002213, IA SEBI Regn. No. INA000000623, SEBI RA Regn.:- INH000000248

For Research related queries, write at [email protected]

For Sales and Account related information, write to customer care: [email protected] or call on 91-22 4007 1000

49

Disclosure

https://ttweb.indiainfoline.com/trade/downloads/brokerage file.pdf

http://www.indiainfoline.com/research/disclaimer

http://www.indiainfoline.com/mf/disclaimer

mailto:[email protected]

mailto:[email protected]

IIFL Monthly Investment Report - April 2019

Documents

Transcript of IIFL Monthly Investment Report - April 2019