Investment Strategy of SBI Magnum Children’s Benefit Fund
- The fund seeks to invest in a well-diversified portfolio of equity & equity related securities (across sectors without any market cap bias), derivatives and high quality debt and money market instruments.
- When selecting equity stocks, the fund manager will focus on the companies’ fundamentals, management quality, financial strength, market leadership, etc.
- When investing in debt and money market instruments, the fund manager will factor in the prevailing interest rate scenario, yield curve, liquidity and yield spread of the various instruments.
- The portfolio duration and credit exposures of the debt portfolio will be based on a thorough research of the general macroeconomic condition, political and fiscal environment, inflationary expectations and other economic considerations.
- The fund may also invest in derivatives instruments for hedging and/or non-hedging purposes.
Who Should Invest in SBI Magnum Children’s Benefit Fund?
SBI Magnum Children’s Benefit Fund is suitable for all those investors who:
- are seeking to invest in an actively managed portfolio to build corpus for their children’s higher education
- are comfortable to lock-in their investments for a period of 5 years or till the child does not attain 18 years of age
Frequently Asked Questions
What is the risk level of SBI Magnum Children’s Benefit Fund?
As per the fund factsheet published by the fund house, SBI Magnum Children’s Benefit Fund is considered to carry ‘Very High Risk’ for its investors.
Is there any lock-in period in SBI Magnum Children’s Benefit Fund?
SBI Magnum Children’s Benefit Fund has a lock-in period of at least 5 years or till the child attains age of majority, whichever comes earlier.
What type of mutual fund is the SBI Magnum Children’s Benefit Fund?
SBI Magnum Children’s Benefit Fund is an open-ended solution-oriented scheme for investors seeking to make investments for their children’s higher education. The scheme has a lock-in period of at least 5 years or till the child attains age of majority, whichever is earlier.
Is SBI Magnum Children’s Benefit Fund an open-ended or close-ended scheme?
SBI Magnum Children’s Benefit Fund is an open-ended equity mutual fund scheme with a lock-in period of at least 5 years or till the child attains age of majority, whichever is earlier.
What is the benchmark index for SBI Magnum Children’s Benefit Fund?
CRISIL Hybrid 35+65 -Aggressive Index is the benchmark index of the SBI Magnum Children’s Benefit Fund. The fund also has BSE Sensex TRI as its additional benchmark index.