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Rev Up Your Portfolio: SBI Mutual Fund Launches SBI Automotive Opportunities Fund NFO!

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Calling all investment enthusiasts with a passion for the Indian automotive industry! SBI Mutual Fund, a leading name in the financial sector, has launched a new opportunity for you to tap into the potential of this dynamic sector. Buckle up, because the SBI Automotive Opportunities Fund NFO (New Fund Offer) is here!

SBI Automotive Opportunities Fund NFO

SBI Mutual Fund, a name synonymous with trust and experience, is a leading player in the Indian mutual fund industry. Established in 1987 as a joint venture between State Bank of India, India’s largest bank, and Amundi, a global asset management giant, SBI Mutual Fund offers a wide range of investment options across various asset classes. They are known for their focus on innovation, strong track record, and commitment to investor value. SBI Mutual Fund is largest mutual fund manager in India with average assets under management of Rs. 9,14,365.3 crores.

Why Automotive Themed Fund Now?

India’s automotive industry is witnessing a thrilling ride. From the growing demand for personal vehicles to the rapid adoption of electric mobility, the sector is brimming with exciting prospects. The SBI Automotive Opportunities Fund NFO aims to capitalize on this growth by investing in companies across the entire automotive ecosystem.

What’s Under the Hood?

This actively managed fund will focus on a diversified portfolio of companies engaged in:

  • Original Equipment Manufacturers (OEMs): The leading car and two-wheeler manufacturers driving the Indian automotive landscape.
  • Auto Component Manufacturers: The companies that supply critical parts and components to the automotive giants.
  • Electric Mobility Players: Businesses at the forefront of the electric vehicle revolution.
  • Companies with Auto Export Potential: Firms poised to benefit from India’s growing auto exports.

Benefits of Gearing Up with SBI Automotive Opportunities Fund NFO

  • Expertise at the Wheel: SBI Mutual Fund boasts a proven track record of managing successful investment schemes. Their experienced fund managers will navigate the automotive sector, selecting companies with strong growth potential.
  • Diversification Advantage: By investing across various segments within the automotive industry, the fund aims to mitigate risks and offer potentially stable returns.
  • Long-Term Potential: The Indian automotive industry is expected to witness significant growth in the coming years. This NFO offers investors a chance to participate in this long-term story.

NIFTY Auto TRI: Your Automotive Investment Compass

SBI Automotive Opportunities Fund will use the NIFTY Auto TRI for benchmaking. The Nifty Auto Index is designed to reflect the behaviour and performance of the Automobiles segment of the financial market. The Nifty Auto Index comprises 15 tradable, exchange listed companies. The index represents auto related sectors like Automobiles 4 wheelers, Automobiles 2 & 3 wheelers, Auto Ancillaries and Tyres.

Here’s a quick rundown:

  • Tracks Auto Giants: This index reflects the performance of leading car makers, two-wheeler companies, auto component suppliers, and tire companies listed on the NSE.
  • Total Return View: The TRI version goes beyond just stock prices. It considers reinvested dividends, providing a more comprehensive picture of an investor’s potential return.
  • Free-Float Focus: Companies with a higher portion of publicly traded shares have a greater influence on the index, reflecting real market activity.
  • Understanding the Market: The NIFTY Auto TRI’s performance is influenced by economic factors, consumer trends, government policies, and global automotive developments.

About Fund Managers of the fund

Leading the SBI Automotive Opportunities Fund are two experienced investment professionals:

  • Mr. Tanmaya Desai: With nearly 15 years of experience, Mr. Desai brings a strong understanding of the Indian capital markets, having spent over 6 years managing investments domestically.
  • Mr. Pradeep Kesavan: Mr. Kesavan focuses on overseeing the fund’s overseas securities, leveraging his expertise in international markets.

Open the Door to Opportunity

The SBI Automotive Opportunities Fund NFO is open for subscription until 31st May 2024. After the NFO (New Fund Offer) period closes, the fund will reopen for further investment at a later date.

Minimum Investment:

  • One-time Investment: A minimum of Rs. 5000 is required during the NFO period.
  • SIP (Systematic Investment Plan): You can also set up a monthly SIP (Systematic Investment Plan) during the NFO with a minimum investment of Rs. 500 per month for a period of 12 months.

Watch the video from fund manager to know more about the fund

You may also download detailed presentation of the fund

Ready to Invest?

Don’t miss this chance to be a part of India’s automotive journey! Talk to us for more details on the SBI Automotive Opportunities Fund NFO. Remember, all investment decisions require careful consideration.

Disclaimer: This blog post is for informational purposes only and should not be considered financial advice. Please consult with a qualified financial advisor before making any investment decisions.

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Tushar Seasoned Financial Companion | Mutual Fund Distributor | Providing Expert Guidance to Help Clients Achieve Their Financial Goals 📈💼 | Ex- Software Developer
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