SBI Magnum Equity has outperformed its category in past 5 years

SBI Magnum Equity has outperformed its category in the past five years.

FUND FACTS

INCEPTION: January 1991
CATEGORY: Equity large-cap
TYPE: Open-ended
AUM: Rs 1127.74 crore
BENCHMARK INDEX: S&P CNX Nifty

WHAT IT COSTS

NAV:Rs 48.16 (G), Rs 32.36 (D)
MIN INVESTMENT:Rs 1000 MIN
SIP AMOUNT:Rs 500
EXPENSE RATIO:2.26 per cent
EXIT LOAD:1 per cent for redemption within 365 days



WHO SHOULD INVEST IN IT?
The SBI Magnum Equity fund does exceptionally well in rising markets. In the rising market between 12 March 2009 and 9 November 2010, the fund's NAV shot up 141 per cent when the benchmark rose 108.59 per cent. However, the fund also falls heavily during market falls: between 1 January 2008 and 9 March 2009, the fund lost 62.9 per cent compared with 58.1 per cent lost by the benchmark. Starting as a multi-cap fund, it was classified as a large-cap fund in 2002. However, for a brief period on two occasions, it was also classified as a large- and mid-cap fund. This fund delivers dependable above average returns over the long term.

MEET THE FUND MANAGER
Fund manager R Srinivasan has stock and sector constraints of no more than 4 per cent stock variation and 6 per cent sector variation compared with Nifty. The fund maintains a minimum 50 per cent allocation in Nifty stocks.

Data and analysis of the fund have been sourced from Value Research