november 2019 2 - icici direct · november 30 are some of lic's best-selling and high-yielding...

When it comes to inves�ng for saving taxes, it is important to keep in mind that our investments are backed by a concrete plan and are chasing a fixed goal. In fact, all our investments, which are of tax planning nature or otherwise, must have a plan and must have a thought behind it.

More importantly, our tax system is designed in a way, which not only helps us save taxes, but also helps us achieve our financial goals. Consider this, for securing our child's financial future, there are child plans; similarly, for our re�rement planning, there are pension products. All these get us tax benefits. Hence it is important that we do not restrict ourselves to the amount eligible for saving taxes. We should go beyond and should actually be looking at what amount we will need in future and not just how much tax we will save now.

Tax planning is an important component for our overall financial plan. By developing and implemen�ng appropriate investment strategies, we can improve our prospects of saving taxes as well as mee�ng our financial goals.

For instance, insurance is one of our most important financial goals. Ge�ng a life and a health insurance not only provides protec�on, but also provides tax benefits. We must make the most of it. However, health insurance tax limits under sec�on 80D are up to Rs. 25, 000 per year and they are over and above Rs. 1.5 lakh that we get under sec�on 80C. If assesee and parents, both are senior ci�zens (above age 60 years), Rs. 50,000 can be claimed as deduc�on for health insurance premiums paid. One can even claim tax deduc�on on expenses incurred for preven�ve health check-ups, up to Rs. 5,000, as a part of sec�on 80D. We must take health insurance with a high level of confidence so that we can put it to best use in case of an emergency. Most salaried individuals, with employer-provided health cover, feel that they do not need more cover. However, it is important to consider a top-up cover or a standalone health cover, as it will help in case of job switch and will also give larger coverage.

Vijay Chandok, MD & CEO, ICICI Securi�es Ltd.

Once we are through with securing our health and life, we must secure our housing. Buying a house for self-use early on also gives a lot of �me to pay off installments comfortably and thus creates forced savings and there are tax breaks available for that as well. The principal and interest repayment on home loans qualify for tax benefits. In fact, for first-�me home buyers, there are addi�onal tax benefits available up to Rs. 50,000 under sec�on 80EE, subject to certain condi�ons.

Securing our children's financial future, their educa�on and marriage are other important financial goals that we have. There are various investments available such as child plans and equity linked savings scheme (ELSS), which could be appropriate investments and also qualify for tax benefits. For our re�rement planning too, there are various instruments available which not only help build our re�rement corpus but also provide tax benefits. Unit Linked Pension Plans (ULPPs), bonds and even ELSS are certain op�ons that come to mind.

So, I would urge you to not just look at the tax-saving investments as a means to just save tax. Make adequate use of these opportuni�es to help achieve your life goals. Do not just restrict yourself to the maximum investments that you can make in these instruments. Ascertain how much funds you would need to achieve your goals and work backward to know how much you need to start inves�ng now.

Remember, your financial goals are important and the investments should go beyond just tax saving and should focus more on fulfilling your goals. This is one way to ascertain that our hard earned money is put to the right use.

Our message remains the same - 'Keep inves�ng and stay invested for your life goals.' Through this magazine and our website www.icicidirect.com we want to make an earnest a�empt to partner with you in se�ng and achieving your financial goals. Give us an opportunity to serve you, walk into any of your Neighbourhood Financial Superstore and talk to us.

ICICIdirect Money Manager 1 November 2019

Editor & Publisher : Abhishake Mathur, CFA

Editorial Board : Sameer Chavan, CWM®, Pankaj Pandey

Coordinating Editor : Rhea Miranda CMEditorial Team : Nithyakumar VP CFP , Sachin Jain, Research Team

ICICIdirect Money Manager 2

Tax planning is an integral part of financial planning. It's just that tax-saving related investments and other investments occupy a different part in our mental account. So it is very natural to start inves�ng in tax-saving instruments right at the end of the financial year. However, that is not the best approach.

Your investments need to reflect your long-term investment plans. This means to have a financial goal first and then decide an asset alloca�on strategy. Once you know how much to invest in an asset class, start with inves�ng into the most tax- efficient product. Clearly, a systema�c way of tax planning cannot be le� to the last minute. And while you are at it, take this opportunity to re-evaluate your insurance requirements and insure yourself adequately.

There are a host of products that are tax-efficient and would fit into your investment plan. This edi�on offers comprehensive informa�on and analysis on these products and the relevant Income Tax provisions. We hope this will help you plan your taxes more efficiently and in sync with your financial goals.

The November edi�on of Money Manager also offers comprehensive review of mutual funds recommended by our research team. The top two stock picks of the months are also selected by some of our finest research analysts. So stay updated, start inves�ng and keep reading to stay financially fit.

Note: Explorer users, compa�ble mode should be IE11 for be�er view of our magazine.

Your magazine is now also available on www.magzter.com, adigital newsstand.

November 2019

https://www.magzter.com/


MD Desk........................................................................................................ 1

Editorial......................................................................................................... 2

Contents........................................................................................................ 3

News............................................................................................................. 4

Stock ideas: Balrampur Chini and Kansai Nerolac........................................5

Flavour of the Month: Tax Out Savings in: Your ul�mate guide to Tax Saving Instruments.The ul�mate aim of a tax planning is to ensure you are able to minimize the tax liability by choosing the right tax saving instrument. Tax planning needs to be efficient enough that enables you to not only save taxes but should sync in with your financial goals. To understand the different deduc�ons and exemp�ons available to salaried and re�red individual at different stages of life, go ahead

and read the full ar�cle….................................................................................13

Ask Our PlannerOur financial expert answers your personal finance queries …................ 26

Mutual Fund AnalysisWhich are the top performing mutual funds in current market scenario? Check these top midcap funds recommended by our research team......... 30

This month on iCommunityLook out for an extraordinary financial pla�orm for traders and investors... 41

Equity Model Por�olio................................................................................ 43

Quiz Time........................................................................................................ 47

Prime Numbers............................................................................................... 48

November 2019


LIC to withdraw multiple high-yielding schemes from November 30

Courtesy: Times of India

Visa exemption for foreigners seeking medical treatment in India

Courtesy: Live Mint

Banks face possible $5 billion NBFC write-off

Courtesy: Live Mint

Courtesy: Live Mint

Life Insurance Corpora�on of India (LIC), the country's biggest life insurance company, is about to withdraw over two-dozen individual insurance products, eight group insurance schemes and seven-eight riders from November 30. The individual insurance schemes that are to be withdrawn on November 30 are some of LIC's best-selling and high-yielding schemes such as Jeevan Anand, Jeevan Umang, Jeevan Lakshya and Jeevan Labh. “We will be closing some products, modifying them as per the new norms and then relaunching them in the coming months,” M. R.

India has announced a slew of exemp�ons for foreigners seeking medical treatment in India following the implementa�on of a liberalised medical visa policy, the Consulate General of India here has said. According to a statement released by the Consulate General of India in Dubai, exemp�on has been given to foreigners from ge�ng their primary visa converted into medical visa for obtaining indoor treatment up to 180 days for seeking admission in a hospital owing to illness. "A foreigner suffering from a minor medical condi�on which needs only OPD consulta�on/ treatment may take treatment at any hospital/ treatment center on his/her primary visa," the statement said. "In case of illness which requires indoor medical treatment of less than 180 days or the stay s�pula�on period, if any, s�pulated on his/her primary visa or the dura�on of his/ her primary visa, whichever is earlier, a foreigner (other than a Pakistani na�onal) is permi�ed to take such indoor medical treatment subject to the following condi�ons," it said.

India’s surprise seizure of a troubled Indian shadow bank won’t end the woes of its lenders, faced with the risk of heavy write-offs if Dewan Housing Finance Corp. is declared a fraudulent account. That’s because the Reserve Bank of India requires banks to provision fully for their en�re exposure over four quarters if they decide a loan account involves fraud. The decision on Dewan will be based on a final report by the interna�onal accountancy firm KPMG on the firm’s lending prac�ces, which is due to be submi�ed soon, according to bankers with knowledge of the ma�er, who asked not to be iden�fied further. An interim KPMG study of Dewan’s books earlier this year cited anomalies including ₹16,500 crore of loans to en��es connected to the company’s founders, equivalent to just under half of the banks’ total exposure of ₹38,000 crore to the shadow lender.

Con�nuing their buying spree, foreign por�olio investors (FPIs) infused a net ₹17,722 crore into the Indian markets in November so far amid encouraging domes�c and global cues. According to depositories data, overseas investors pumped in a net sum of ₹17,547.55 crore into equi�es and ₹175.27 crore in the debt segment during November 1-22, taking the cumula�ve net investment to ₹17,722.82 crore. FPIs were net buyers in the preceding two months as well. They infused a net ₹16,464.6 crore in October and ₹6,557.8 crore in September into the domes�c capital markets (both equity and debt). However, some experts said FPIs are s�ll wary of increasing their alloca�on to the Indian markets.

FPIs pour `17,722 crore into Indian markets in November so far

November 2019

STOCK IDEAS

Balrampur Chini


Company Background

Balrampur Chini is second largest sugar company in India with 76,500 TCD (tonnes crushed per day) sugarcane capacity. It also have 360 KLD (kilolitres per day) and 228 MW co-generation (163 MW saleable) capacity. The company would be increasing its ethanol capacity by 160 KLD to leverage the opportunity of ethanol blending with petrol to 10% by 2022.

Investment Rationale

New distillery to aid earningsThe company is likely to commission 160 KLD distillery capacity in December 2019, which would increase its distillery volumes from 11.0 crore litre in FY19 to 17 crore litre in FY21E. Oil marketing companies have f loated tenders for 511 crore litre of ethanol for 2019-20. We believe UP based sugar mills would significantly increase the supply of ethanol to OMCs this year. Moreover, higher realisation of B heavy ethanol would prompt the companies to divert more sugarcane

towards the production of B heavy ethanol. We expect the company to divert 50% of sugarcane towards B Heavy ethanol in the current sugar season. We expect 30.6% CAGR to ` 790 crore in distillery sales during FY19-21E.

Robust cash flows to further strengthen balance sheet

Balrampur Chini remains among the most de-leveraged companies in the sugar industry with long term debt of 350 crore at 5% interest `rate. Moreover, working capital debt remains at 1173 `crore also at a less than 7-8% interest rate. Sugar inventory declined from a peak of 2315 `crore in March 2019 to 1633 `crore in September 2019. We believe a further reduction in sugar inventories in the next six months would result in r o b u s t c a s h f l o w f r o m operations. We expect 635 `crore & 535 crore of cash `flow from operations in FY20E & F Y 2 1 E , r e s p e c t i v e l y. Working capital debt would come down by 250 crore & `` 200 crore in FY20E & FY21E, respectively.

November 2019

STOCK IDEAS


Valuation & OutlookThe sugar industry is going through a transformation with the introduction of MSPs & increasing level of ethanol blending programme. With increasing ethanol volumes, prices and higher export this year, we believe the company would be able to aggressively

liquidate its inventory. This, in turn, would result in additional free cash flows and further de-leverage its balance sheet. We value the stock 1.7x FY21E book value. We revise our target price to ̀ 210/share and m a i n t a i n B U Y recommendat ion on the stock.

Key Financials

Valuations Summary

` Crore FY18 FY19 FY20E FY21E

FY18 FY19 FY20E FY21E

Revenues 4,342.5 4,285.8 4,422.6 4,405.6

EBITDA 451.7 689.1 670.9 789.3

PAT 231.7 575.8 428.1 504.6

EPS (|) 10.1 25.2 19.5 22.9

PE (x) 14.2 5.7 7.4 6.3

EV to EBITDA (x) 9.1 7.1 6.7 6.0

P/B (x) 2.0 1.6 1.3 1.2

ROE (%) 14.3 27.2 18.1 19.1

RoCE (%) 14.3 27.2 18.1 19.1

Stock Data

Particulars Amount

Market Capitalisation ` 3518.1

Debt (CY18) ` 1673.9

Cash (CY18) ` 4.9

EV ` 5187.1

52 week H/L `173 / 89

Equity capital ̀ 22.8

Face value ̀ 1.0

November 2019

STOCK IDEAS


Key risks include:

Risk & Concerns

Diversion of ethanol blending programme Though the government seems to be serious about its 10%, 20% ethanol blending programme, historically it has faced multiple issues like lack of capacity, lower feedstock availability, l ower c rude p r i ces and OMC resistance to adopt 10% ethanol blending. Hence, any change in government policy can derail the EBP and negatively impact sugar millers. However, this looks unlikely as the government has approved a soft loan to 114 projects for increasing distillery capacity.

Significant increase in sugarcane prices In 2010-12, the UP government disproportionally increased sugarcane prices, resulting in losses for most sugar mills in the state and, in turn, delay in payment to farmers. Any similar arbitrary increase in sugarcane prices could negatively impact cash flows of sugar companies in UP. In turn, this could delay payment to farmers and break the entire value chain. H o w e v e r , w e b e l i e v e s t a t e governments in the last five years have been concent ra t ing on t ime ly payments to farmers rather than any

i r r a t i o n a l i n c r e a s e i nsugarcane pr ices. We be l ieve sugarcane, by far, remains the most remunerative crop for farmers. Hence, t ime ly payment remains the i r p r i m a r y d e m a n d o f f a r m e r s .

Sunset clause for sugar MSP The concept of minimal selling price (MSP) for sugar was introduced in June 2018 mainly to curb the decline in sugar prices due to excess inventory in the system. This was done to control sugar prices in a sugar glut scenario till the industry expands sufficient distillery capacity to utilise excess sugarcane in the system. If the government decides to abolish MSP for sugar before dip in sugar inventory to 7-8 MT, then sugar prices could decline significantly below the cost of production. This could bring back cyclicity of the sector. However, we believe the government is unlikely to abolish this MSP as it would indirectly impact the payment to farmers. We believe more than 200 crore litre per year of distillery capacity would be commissioned in the next two years. This would rationalise inventory levels automatically while sunset clause for MSP till that time remains a highly unlikely proposition.

November 2019

STOCK IDEAS


ANALYST CERTIFICATION

Terms & conditions and other disclosures:

I/We, Sanjay Manyal, MBA (Finance) and Kapil Jagasia, CFA, MBA (Finance), Research Analysts, authors and the names subscribed to this report, hereby certify that all of the views expressed in this research report accurately reflect our views about the subject issuer(s) or securities. We also certify that no part of our compensation was, is, or will be directly or indirectly related to the specific recommendation(s) or view(s) in this report. It is also confirmed that above mentioned Analysts of this report have not received any compensation from the companies mentioned in the report in the preceding twelve months and do not serve as an officer, director or employee of the companies mentioned in the report.

ICICI Securities Limited (ICICI Securities) is a full-service, integrated investment banking and is, inter alia, engaged in the business of stock brokering and distribution of financial products. ICICI Securities Limited is a SEBI registered Research Analyst with SEBI Registration Number – INH000000990. ICICI Securities Limited SEBI Registration is INZ000183631 for stock broker. ICICI Securities is a subsidiary of ICICI Bank which is India's largest private sector bank and has its various subsidiaries engaged in businesses of housing finance, asset management, life insurance, general insurance, venture capital fund management, etc. (“associates”), the details in respect of which are available on www.icicibank.com

ICICI Securities is one of the leading merchant bankers/ underwriters of securities and participate in virtually all securities trading markets in India. We and our associates might have investment banking and other business relationship with a significant percentage of companies covered by our Investment Research Department. ICICI Securities generally prohibits its analysts, persons reporting to analysts and their relatives from maintaining a financial interest in the securities or derivatives of any companies that the analysts cover.

Recommendation in reports based on technical and derivative analysis centre on studying charts of a stock's price movement, outstanding positions, trading volume etc as opposed to focusing on a company's fundamentals and, as such, may not match with the recommendation in fundamental reports. Investors may visit icicidirect.com to view the Fundamental and Technical Research Reports.

Our proprietary trading and investment businesses may make investment decisions that are inconsistent with the recommendations expressed herein.

ICICI Securities Limited has two independent equity research groups: Institutional Research and Retail Research. This report has been prepared by the Retail Research. The views and opinions expressed in this document may or may not match or may be contrary with the views, estimates, rating, target price of the Institutional Research.

The information and opinions in this report have been prepared by ICICI Securities and are subject to change without any notice. The report and information contained herein is strictly confidential and meant solely 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 any form, without prior written consent of ICICI Securities. While we would endeavour to update the information herein on a reasonable basis, ICICI Securities is under no obligation to update or keep the information current. Also, there may be regulatory, compliance or other reasons that may prevent ICICI Securities from doing so. Non-rated securities indicate that rating on a particular security has been suspended temporarily and such suspension is in compliance with applicable regulations and/or ICICI Securities policies, in circumstances where ICICI Securities might be acting in an advisory capacity to this company, or in certain other circumstances.

This report is based on information obtained from public sources and sources believed to be reliable, but no independent verification has been made nor is its accuracy or completeness guaranteed. This report and information herein is solely for informational purpose and shall not be used or considered as an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial instruments. Though disseminated to all the customers simultaneously, not all customers may receive this report at the same time. ICICI Securities will not treat recipients as customers by virtue of their receiving this report. Nothing in this report constitutes investment, legal, accounting and tax advice or a representation that any investment or strategy is suitable or appropriate to your specific circumstances. The securities discussed and opinions expressed in this report may not be suitable for all investors, who must make their own investment decisions, based on their own investment objectives, financial positions and needs of specific recipient. This may not be taken in substitution for the exercise of independent judgment by any recipient. The recipient should independently evaluate the investment risks. The value and return on investment may vary because of changes in interest rates, foreign exchange rates or any other reason. ICICI Securities accepts no liabilities whatsoever for any loss or damage of any kind arising out of the use of this report. Past performance is not necessarily a guide to future performance. Investors are advised to see Risk Disclosure Document to understand the risks associated before investing in the securities markets. Actual results may differ materially from those set forth in projections. Forward-looking statements are not predictions and may be subject to change without notice.

ICICI Securities or its associates might have managed or co-managed public offering of securities for the subject company or might have been mandated by the subject company for any other assignment in the past twelve months.

ICICI Securities or its associates might have received any compensation from the companies mentioned in the report during the period preceding twelve months from the date of this report for services in respect of managing or co-managing public offerings, corporate finance, investment banking or merchant banking, brokerage services or other advisory service in a merger or specific transaction.

ICICI Securities encourages independence in research report preparation and strives to minimize conflict in preparation of research report. ICICI Securities or its associates or its analysts did not receive any compensation or other benefits from the companies mentioned in the report or third party in connection with preparation of the research report. Accordingly, neither ICICI Securities nor Research Analysts and their relatives have any material conflict of interest at the time of publication of this report.

Compensation of our Research Analysts is not based on any specific merchant banking, investment banking or brokerage service transactions.

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Since associates of ICICI Securities are engaged in various financial service businesses, they might have financial interests or beneficial ownership in various companies including the subject company/companies mentioned in this report.

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November 2019

STOCK IDEAS


Kansai Nerolac – Decorative paint demand to drive performance

Company BackgroundKansai is the largest industrial paint

company in India with more than

35% market share in industrial paints

and third largest player with an

overall market share of 14%. With

sustainable growth in decorative

paints and subdued industrial

demand, company has increased its

revenue contribution from decorative

paints to 55% while rest comes from

the Industrial. In order to increase

market share, Kansai continues to

invest in brands with 4-5% of sales

going towards advertisement and

promotion. We believe decorative

paints would continue to grow at

rapid pace with the presence of

limited players and strong repainting

demand. We expect a revival in

industrial paints demand led by a

recovery in automotive segments.

We expect blended volume CAGR 9%

for FY19E-21E led by ~13% volume

CAGR in the decorative paints

category.

Investment Rationale

S t r o n g v o l u m e g r o w t h o f

decorative segment in Q2

KNL has recorded strong volume

growth of ~12% YoY (I-direct

estimate) in the decorative paint

segments , desp i te ex tended

monsoon and almost nil sales in the

Jammu & Kashmir regions where

company has a major presence. We

b e l i e v e t h e p e r f o r m a n c e o f

decorative segment will remain

strong in FY19-21E (with volume

CAGR of 13%) supported by strong

demand from tier II and tier III cities

and shorter repainting demand. On

the industrial front, the management

expects improvement in the

per formance in H2FY20 over

H1FH20, with shift in focus towards

other industrial categories like coil

coat ing & funct iona l powder

coatings. However, industrial paint

volume growth would only visible

from FY21 onwards with recovery in

automotive sales.

Maintained strong gross marginKNL's gross margin during the period

increased 300 bps YoY despite

pressure in the industrial paints

category. In addition to this, saving in

other expenditure in Q2FY20 (down

STOCK IDEAS


~3% YoY) despite starting a new

manufacturing plant in Punjab helped

drive EBITDA margin up by 200 bps

YoY for KNL. We believe improved

product mix in the decorative

s e g m e n t ( t o w a r d s p r e m i u m

products categories) helped offset

lower profitability from industrial

segment. Whi le there was a

s lowdown in industr ia l pa int

demand, we believe margin pressure

will ease, going forward, owing to a

change in product mix and gradual

price hike

Strong performance of decorative

paints and recovery in industrial

paints led by improvement in the

automotive demand to drive

valuation

Increasing urbanisation, higher rural

income levels and a brief repainting

cycle have been the main reason for

sustainable decorative paints

demand. This coupled with social

schemes such as Housing for All and

better

monsoons (would help in improving

rural income) would be a strong

trigger for the paint industry. We

believe, strong revenue earning

CAGR of 10% and 26% in FY19-21E

supported by recent corporate tax

rate cut. Given the strong balance

sheet, zero debt on the books, higher

operating margins and sustainable

free cash flows, we expect return

ratios to remain at elevated level in

FY19-21E., we ascribe a BUY rating

to Kansai nerolac with a target price

of ̀ 620 (45x FY21E P/E)

Key Financials

` Crore FY18 FY19 FY20E FY21E

Net Sales 4,569.6 5,138.9 5,242.4 6,249.0

EBITDA 789.8 742.0 897.0 1,079.1

PAT 516.4 467.3 640.2 736.0

EPS (|) 9.6 8.7 11.9 13.7

STOCK IDEAS


Valuations Summary

Stock Data

FY18 FY19 FY20E FY21E

Particular Amount

Key risks include:

P/E (x) 56.1 62.0 45.3 39.4

M.Cap/Sales (x) 6.3 5.6 5.5 4.6

EV to EBITDA 36.6 39.0 32.1 26.5

P/B (x) 9.3 8.5 7.9 6.9

RoCE (%) 24.5 20.2 21.6 22.9

RoE (%) 16.5 13.6 17.4 17.5

Market Capitalisation (` cr) ` 28993 crore

52 Week High / Low (`) 573 / 372

Promoter Holding (%) 75.0

FII Holding (%) 3.8

DII Holding (%) 11.0

Dividend Yield (%) 0.5

1 . S lugg ishness in the automotive demandIndustrial paint contributes ~45% in total sales for of which large chunk of business comes from the automotive segments . Sharp fa l l in demand o f au tomot ive , negatively impacted the demand of industrial paints in H2FY20. Slow recovery in demand would keep volume growth of industrial paints under check

2. Increase in raw material costsT h e r e a r e s e v e r a l r a w

materials which are directly driven by crude oil. Adverse price movement of crude oil and its derivatives would impact the gross margin of the business if company delays the price hike on the relative products

3. Geographical riskCompany is one of the leading p layer in the Jammu & Kashmir (J&K) under the decorative paint segment. Any adverse development in J&K would hurt volume growth in the part icular region.

STOCK IDEAS


ANALYST CERTIFICATION

Terms & conditions and other disclosures:

I/We, Sanjay Manyal, MBA (Finance) and Hitesh Taunk, MBA (Finance) Research Analysts, authors and the names subscribed to this report, hereby certify that all of the views expressed in this research report accurately reflect our views about the subject issuer(s) or securities. We also certify that no part of our compensation was, is, or will be directly or indirectly related to the specific recommendation(s) or view(s) in this report. It is also confirmed that above mentioned Analysts of this report have not received any compensation from the companies mentioned in the report in the preceding twelve months and do not serve as an officer, director or employee of the companies mentioned in the report.

ICICI Securities Limited (ICICI Securities) is a full-service, integrated investment banking and is, inter alia, engaged in the business of stock brokering and distribution of financial products. ICICI Securities Limited is a SEBI registered Research Analyst with SEBI Registration Number – INH000000990. ICICI Securities Limited SEBI Registration is INZ000183631 for stock broker. ICICI Securities is a subsidiary of ICICI Bank which is India's largest private sector bank and has its various subsidiaries engaged in businesses of housing finance, asset management, life insurance, general insurance, venture capital fund management, etc. (“associates”), the details in respect of which are available on www.icicibank.com

ICICI Securities is one of the leading merchant bankers/ underwriters of securities and participate in virtually all securities trading markets in India. We and our associates might have investment banking and other business relationship with a significant percentage of companies covered by our Investment Research Department. ICICI Securities generally prohibits its analysts, persons reporting to analysts and their relatives from maintaining a financial interest in the securities or derivatives of any companies that the analysts cover.

Recommendation in reports based on technical and derivative analysis centre on studying charts of a stock's price movement, outstanding positions, trading volume etc as opposed to focusing on a company's fundamentals and, as such, may not match with the recommendation in fundamental reports. Investors may visit icicidirect.com to view the Fundamental and Technical Research Reports.

Our proprietary trading and investment businesses may make investment decisions that are inconsistent with the recommendations expressed herein.

ICICI Securities Limited has two independent equity research groups: Institutional Research and Retail Research. This report has been prepared by the Retail Research. The views and opinions expressed in this document may or may not match or may be contrary with the views, estimates, rating, and target price of the Institutional Research.

The information and opinions in this report have been prepared by ICICI Securities and are subject to change without any notice. The report and information contained herein is strictly confidential and meant solely 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 any form, without prior written consent of ICICI Securities. While we would endeavour to update the information herein on a reasonable basis, ICICI Securities is under no obligation to update or keep the information current. Also, there may be regulatory, compliance or other reasons that may prevent ICICI Securities from doing so. Non-rated securities indicate that rating on a particular security has been suspended temporarily and such suspension is in compliance with applicable regulations and/or ICICI Securities policies, in circumstances where ICICI Securities might be acting in an advisory capacity to this company, or in certain other circumstances.

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FLAVOUR OF THE MONTH

Tax Out Savings in: Your ultimate guide to Tax Saving Instruments


When it comes to reducing our tax outgo, we often select the first investment options that helps us 'save' taxes. We tend to ignore the basic fact whether they really fit into our overall financial plan. This may be because we do not devote much time, effort and thought to the tax planning exercise. Successful tax planning requires more than just selecting the tax-saving instruments. It also requires that our financial goals are met in the process. Suppose, you plan your taxes well but do not save up enough for your daughter's higher education or your son's marriage, or your retirement, you may be called an excellent tax planner but an awful financial planner. Hence it is very important to keep your focus on your financial goals and tax planning should be a part of your financial planning, and not an end-goal in itself. In this article, we look at how proper tax planning can serve the twin objectives of saving taxes as well as helping you reach your financial goals.

Tax PlanningTax planning is an instrument that processes the estimate tax liability along with a plan to add tax-efficient instrument to reduce tax by way of different deductions, exemptions, allowances and rebates. Tax planning include sections under 80C, 80D, 80CCD, 80E, 80G, Section 24, section 10 and many more.

Is tax saving instrument an essential move?Yes, tax savings is an essential move as, yearly based on the tax slabs individuals are entitled to pay tax. Income earned below 5 lakhs p.a. do not have to pay tax, but

beyond that amount certain percentage has to be bared by them for age group below 60 years. Tax savings enables investors to save on tax.One needs to check its tax liability and that could be done by using the tax calculators. Post that they need to check for different tax savings tools to reduce the tax burden. This move ensures 3 things; flexibility during your ITR process, better returns from the right investment and reduction in tax liability.

Tax Calculators:Investors could calculate the taxes implied on their income earned and likewise with the

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help of this calculator you can j o t y o u r t a x s a v i n g instruments and understand the status of the tax to be paid. You could refer to the link: https://cleartax.in/paytax/taxcalculator for calculating your taxes.

Types of Instruments to save income from tax1. Retired individual

S e n i o r c i t i z e n s a v i n g s scheme:Senior citizen age 60+ get the highest benefit as the interest is higher as compared to other schemes. This scheme allows tax investors to get a benefit of 1.5 lakhs under Section 80C of the Income tax.

Below mentioned instruments for salaried individual could be ut i l i zed by a re t i red individual.

2. Salaried/ Non-Salaried individual

Public provident fund (PPF):While investing in Public Provident Fund, salaried individuals get the exposure of tax benefit up to 1.5 Lakh under sect ion 80C. The

interest received is tax free at the maturity. Lock-in period of this instrument is 15 years. The only drawback here is the withdrawal happens from the 7th year of the date of investment.

5 years Fixed Income:Fixed income secures your investment for 5 years. This income is exempt from tax under section 80C with a limit up to 1.5 lakh. Though the interest received on this instrument is taxable.

ELSS (Equity Linked Savings Schemes)T h i s i s a M u t u a l Fu n d instrument that has advantage of both equity markets and tax saving option. Though this scheme is risky as its market based, but it offers higher returns. Capital gains of up to Rs. 1 lakh are tax exempted but gains received excess than 1 lakh will be taxed at 10% plus cess. Investors taken dividend option have to pay dividend distribution tax. ELSS avails tax benefit of Rs. 1.5 lakh under section 80C.

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Sukanya Samriddhi YojanaThis scheme is beneficial for an individual as well as girl child. The child receives interest till 21 years of age and simultaneously you receive tax benefit of 1.5 lakhs under Section 80C of the Income tax. Post 18 years the girl child could withdraw only 50% of the amount. Likewise, there is n o t a x c h a r g e d o n t h e investment, withdrawal or on maturity value.

Tax free bondsThey are fixed municipal bonds that are low r isk investment avenue. The interest earned under this instrument is complete tax free under section 10 (15) (iv) (h) of the Income tax 1961. Th is ins t rument can be withdrawn post 10-20 years.

National Pension System (NPS):NPS subscribers could avail tax benefit up to 10% of the gross income under section 80CCD (1) with in the overall ceiling of 1.5 lakh under sec 80CCE. There is an additional tax benefit of Rs. 50,000 to the

N P S s u b s c r i b e r s u n d e r subsection 80CCD (1B) that m e a n s y o u g e t a t o t a l deduction up to 2 lakhs under section 80C.

National Saving Certificate:Another instrument that can claim a deduction of 1.5 lakh under section 80C. With tax saving this scheme enables a guaranteed returns and could be used as a collateral while taking a loan.

Unit Link Insurance Plan (ULIP):Part amount goes to insurance whereas the remaining is invested in the direct market. Individuals could claim up to 1.5 lakh under section 80C. Be it investment, withdrawal or maturity this instrument is tax free.

Savings Account:An individual could claim interest received up to Rs. 10,000 under section 80TTA. Individual as well as HUF could avail it.

Other ways to save on tax (Expenses that leads to saving taxes)

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Travel bills over leave travel allowance (LTA):Leave travel allowance is a part of your CTC but can be reimbursed if you are eligible for it. Bus, air and rail fares are t h e o n l y c r i t e r i a f o r reimbursement. Based on the terms and conditions, the r e i m b u r s e m e n t o f t h i s expense doesn't include in your taxable income. The claim is available to self as well as family members that is undertaken within India. One could avail LTA once in 2 years in a block of 4 years.

C h i l d r e n E d u c a t i o n Allowance:With this allowance from an employer, one can claim an exemption of Rs. 100 per month or Rs. 1, 200 per annum up to maximum 2 children. An additional benefit that one could take is the deduction under section 80C for tuition fees.

Education Loan:The process of repaying education loan gives a tax benefit to the individuals who have taken a loan. The interest

that is to be paid could be claimed under Section 80E of the income tax deduction. This rebate is available to spouse or children going for an education loan. Loan taken for higher education is also eligible for the claim.

Donation:Income tax enables you with a deduction under Section 80G. Based on the charitable trust that you are donating the deduction limit is availed accordingly such as 50% or 100%. One should not forget t o k e e p a c o p y o f t h e charitable trust receipt with the name of the individual donating and the payment done to them.

Rent Payers (HRAs – House Rent Allowance):Employees entitled to HRAs can claim the rent paid to the landlord that is a component of your CTC under section 10 (13 A). With the current provision HRA takes the minimum of the below points:

Actual HRA

Rent paid - 10 % of the Salary (Basic + Allowance)



50% of basic salary residing in Kolkata, Chennai, Mumbai and Delhi and 40% of basic salary for individuals not r e s i d i n g a t t h e p l a c e s mentioned above.

If the rent payment is more than Rs. 1, 00, 000 per year, the employee is required to submit the landlord's PAN card for claiming exemption over HRA.

Home loan:Investors could seek claim on the principal paid for home loan up to 1.5 lakh under section 80C. Until 5 years the position of the house should remain with the buyer that means at that duration he cannot sell the ownership if he wants to claim the amount under tax. One could claim the registration and stamp duty charges through deduction u n d e r s e c t i o n 8 0 C . Additionally they are entitling a benefit on interest paid for the same under section 24. Interest on home loan coming up to Rs 2 lakh can be deducted as a tax benefit in the financial year. In case of Joint owners, the maximum deduction of interest availed is

Rs 2 lakh each. For new home buyers, an additional 50, 000 per financial year is availed beyond the 2 lakh under section 80 EE of income tax but that is available for a period between 1st April 2019 - 31st March 2020.

Health Insurance:Section 80D avails deduction up to Rs. 25, 000 per year for the premium on medical insurance. The premium should include self, spouse, parents and children. The limit is increased up to Rs. 50, 000 if self and spouse are senior citizen as per A.Y 19-20.

Life Insurance:Premium paid should not exceed 10% of the sum assured post 1st April 2012 and prior to this date the premium should not exceed 20%. Similarly, if insurance is under section 80U referring disabled individual or section 80DDB stating any disease, premium should not exceed 15% post 1st April 2013. Then one could avai l the tax deduction up to 1.5 lakh under 80C based on the above criteria's.

While parking money in life

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insurance, investors could ava i l exempt ion on the matur i ty that saves the amount from going in tax. Be it the maturity value or amount received as bonus exemption is received under section 10 (10D) of the Income tax Act 1961.

For a disabled individual, Section 80DD allows to claim Rs. 75,000 if disability ranges 40-80% and Rs 1,25,000 if there is serve disability more than 80%.

Individuals could avail tax benefit on expenses made towards senior citizen and super senior citizen for a claim of deduction up to Rs. 1 lakh.

Employee Provident Fund (EPF)This is a retirement benefit g i v e n t o t h e s a l a r i e d employee of which 12% of the basic salary + DA (Dearness Allowance) is deducted from the salary. The interest earned on this is high. There is tax benefit on the amount as well as the interest but it has to be withdrawn post 5 years of continues service in that organization.

Amount invested in Annuity plan:

The amount invested in an annuity plan of LIC avails deduction on the premium paid under Section 80CCC of which the pension plan is specified under section 10 (23AAB). 80CCC comes under the roof of Section 80C. However, the maturity value and bonus/ interest received on th is pens ion p lan is taxable.

Tax saving instruments for NRI in India

Can avail deductions:Deductions based under sec t ion 80C i .e . pay ing premiums on Life Insurance, c h i l d r e n ' s t u i t i o n f e e s , i n v e s t m e n t s i n E L S S , contribution in Unit linked insurance plan and principal r e p a y m e n t o n l o a n f o r purchasing a house property. Deduction on Income from house property purchased in India. Deduction claimed for premiums paid on health insurance for senior citizen Rs. 50,000 and Rs 25,000 for self, spouse and children, Rs. 25,000 for parents and Rs. 50,000 for senior citizen also R s . 5 , 0 0 0 a v a i l e d f o r preventive health check-ups. Deduc t ion on dona t ion

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amount under Section 80G, Section 80TTA for claiming deduction on income from interest on savings account maximum up to Rs. 10,000. NRIs could claim exemption under Section 54, Section 54EC and Section 54F on long term capital gains.

Cannot avail deductions:A few tax saving instruments in Section 80C isn't available

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Every life stage has tax savings included

At every life stage we could save on tax. Below mentioned is the life stages along with the applied tax saving tools.

Age Group: 20-30

Individuals at this age have just started earning and they aspire to have a house or vehicle. There is not much financial responsibility over them.

The tax saving instrument used:

l Equity linked savings scheme (ELSS) - 1.5 Lakh under section 80C

l Term life insurance – Premiums claimed up to 1.5 Lakh under section 80C

Age Group: 31-40

Individuals at this age our good earners but there is an added responsibility that comes at this stage. Along with your financial goals you have to consider your family's financial goals as well.


l Public Provident fund (PPF) -1.5 Lakh under section 80C

l Life insurance – Premiums claimed up to 1.5 Lakh under section 80C

to an NRI such as new PPF or extension of PPF post its m a t u r i t y ( e x i s t i n g P P F deduction can be availed), investments in NSCs, 5-year Post-office deposit scheme, S e n i o r c i t i z e n s a v i n g s scheme. Deduction under 80DD which implies medical treatment for handicapped depended, Section 80DDB and Section 80U is also not availed to NRI individuals.



l Education loan - Interest amount under Section 80E

l Home loan – Interest amount under Section 24b

l Contribution to Employee Provident Fund (EPF) – Only after 5 years continues service amount and interest is tax free.

Age Group: 41-60

Individual at this stage have enough of investment spread in their portfolio and a little changes have to be made in the investments i.e. re-allocating your assets. Addition of a few Insurance products for your family members.

Age Group: 51-60

Individuals at this stage are at the phase of preparing themselves for retirement. They need to get their debts paid-off and accomplish their financial goals. Spending needs to be less. Shift from Equities towards Fixed income.


National Pension System (NPS) – 50, 000 under subsection 80CCD (1B)

Age Group: 60+

Individuals at this stage is at their retirement. There will be no income from salary but individual might receive earnings through various retirement schemes. Here, the tax slab is lower as compared to the tax slab for age group below 60 years.


Senior citizen savings scheme (SCSS) - 1.5 lakhs under Section 80C.

Fixed deposit – 5-year deposit and receiving claim up to 1.5 lakh under section 80C.

At any age, individual could avail deduction on Donation under Section 80G without any criteria on the limit.



Things to keep in mind while saving on taxes. l Should have all the files

(documents) in place that eases the tax process.

l List down your short and long term financial goals along with the tax implied and accordingly select the tax saving instruments.

l A Low post tax returns after adjusting inflation reduces the chances to achieve your goal in long run.

l Don't stick to Section 80C of Income tax, diversify into d i f f e r e n t t a x s a v i n g instruments.

l Not submitting the tax saving documents could incline paying off excess TDS

l Don't pick instrument that has higher tax savings and low returns that leads you to hamper your financial goals.

Points to remember while filing an ITRAn ITR stands for Income Tax Return, which includes details o f i n c o m e , t a x s a v i n g instruments and deductions made for the financial year. Last date to file your ITR for A.Y. 2019-20 is 31st March 2020.

There are different ITR forms available based on the category of individual (person, HUF, firm, etc.) ITR 1, ITR 2 and so on.

l Selecting the right ITR form is essential as there are 2 criteria's of form namely based on nature of income earned by you and other is the total income threshold you have.

l Don't forget to mention the income earned from foreign financial instruments.

l Details such as PAN, TAN, address, salary earned and tax deducted is mentioned in Form 16 and Form 26as which has to be submitted at the time of filing ITR.

l Make sure you have all your deduction documents, as it gets easier to justify your proof at the time of filing the ITR.

l Fill your personal details rightly and also your bank account details especially the case of a tax refund.

l I t s m a n d a t o r y f o r ind iv idua ls to f i le ITR electronically except for senior citizen 80 and above could file in paper format.



l On selling the property individual needs to have the buyer's details mentioned on the ITR form.

l Avoid making mistakes while filling the ITR form.

Types of ITR forms for Income Tax:Form No. :ITR-1 SAHAJFor individuals being a resident (other than not ordinarily resident) having total income up to Rs.50 lakhs, having Income from Salaries, one house property, other sources (Interest etc.), and agricultural income up to Rs.5 thousandForm No. :ITR-2For Individuals and HUFs not having income from profits and gains of business or professionForm No. :ITR-3For individuals and HUFs having income from profits and gains of business or professionForm No. :ITR-4 SugamFor Individuals, HUFs and Firms (other than LLP) being a resident having total income up to Rs.50 lakhs and having income from business and profession which is computed under sections 44AD, 44ADA or 44AEForm No. :ITR-5For persons other than, - (i) individual, (ii) HUF, (iii) company and (iv) person filing Form ITR-7Form No. :ITR-6For Companies other than companies claiming exemption under section 11Form No. :ITR-7For persons including companies required to furnish return under sections 139(4A) or 139(4B) or 139(4C) or 139(4D) only Form No. :AcknowledgementAcknowledgement

l Tax payers that are eligible to pay tax with respect to the income of any other person espec ia l l y the clubbing income needs to be filed in an ITR.



Summing Up:The main reason to have a tax planning is to reduce the tax liability and abide with the right investments that will help you achieve your financial goals. At the same time ensuring you have taken the advantage of all the deductions and exemptions to save on taxes.

The views expressed in the article are personal views of the author and do not necessarily represent the views of ICICI Securities



Tax Slabs and rates for Financial Year 2019-2020

Individuals with the age group below 60 years

Income Tax Slab Individuals Below The Age Of 60 Years

Up to 2,50,000 Nil

2,50,001 to 5,00,000 5%

5,00,001 to 10,00,000 12,500 + 20% of total income exceeding 5,00,000

Above 10,00,000 1,12,500 + 30% of total income exceeding 10,00,000

Note: The rebate under Section 87A has been hiked to Rs 12,500. This would effectively make tax liability zero for taxpayers having net taxable income not exceeding Rs 5 lakh.

Individuals with the age group between 60-80 years:

Income Tax Slab Senior Citizens (Aged 60 Years But Less Than 80 Years)

Up to 3,00,000 Nil

3,00,001 to 5,00,000 5%




Up to 3,00,000 Nil

3,00,001 to 5,00,000 5%




Up to 3,00,000 Nil

3,00,001 to 5,00,000 5%




Up to 3,00,000 Nil

3,00,001 to 5,00,000 5%



Individuals with the age group Above 80 years:

Income Tax Slab Very Senior Citizens (Aged 80 Years And Above)

Up to 5,00,000 Nil

5,00,001 to 10,00,000 20%



Above rates does not include Surcharge and Cess.10% surcharge is applicable on income tax if income exceeds 50 lacs but up to 1 crore15% surcharge is applicable on income tax if income exceeds 1 crore4% Health & Education Cess is applicable on the income tax and applicable surcharge.

Taxes on Short and Long term Capital gains:

Tax Type Long-term capital gains tax Short-term capital gains tax

Condition Except on sale of equity shares/ units of equity oriented fund

On sale of Equity shares/ units of equity oriented fund

When securities transaction tax is not applicable

When securities transaction tax is applicable

Tax applicable

20% 10% over and above Rs. 1 lakh

The short-term capital gain is added to your income tax return and the taxpayer is taxed according to his income tax slab.

15%.

Tax on Equity and Debt Funds:

Funds

Equity Funds

Debt Funds

Short Term

At tax slab rates of the individual

Long Term

At 20% with indexation

15% Nil


ASK OUR PLANNER


Is overseas pension plan taxable?

Q. I have purchased a ICICI Life stage pension plan and the same is due to mature. The plan was purchased overseas and the payment of premium was done through NRE account. I wish to know if TDS is deductible.

- Derick Almeida

A. Tax will be deducted at source (TDS) under Section 195 of the Income Tax Act, 1961 on any sum paid under a life insurance policy to Non-Resident Indians, if the policy is not exempt under Section 10(10D). Further, no tax will be deducted for countries where DTAA benefit is available as per Section 90 of The Income Tax Act, 1961, and you have submitted complete & valid Form 10F and Tax residency certificate with the insurance company.

Please go through the link https://www.iciciprulife.com/services/nri-corner/nri-tax-benefits-on-life-insurance.html for more details.

You can write to your insurer directly at

[email protected], quoting your policy number, to get specific details pertaining to your policy.

Q. Please guide me how I can invest in ETF and how much should I Invest to make considerable corpus for my retirement fund. My salary is one lac/month and expenses is about 70-75000. My present age is 50.

- Partha Bhowmick

A. You can invest into ETF through your trading account by placing an order through a stock exchange, similar to any stock. These funds are traded in stock exchanges and hence the name. There are different asset classes in ETFs like equity ETFs, gold ETFs, liquid ETFs, gilt ETFs, etc. Equity ETFs generally invest in a specific index like Nifty 50, Sensex, etc. and follows the s a m e . I t ' s a p a s s i v e investment strategy, which means the fund manager does not manage it actively and just mirrors the index which the fund follows. The expense ratio of these ETFs is much lower compared to active mutual funds.

ASK OUR PLANNER


T o k n o w h o w m u c h investments, you should m a k e t o w a r d s y o u r retirement, firstly, you need to make a financial plan for yourself. This will help you project your complete post-retirement cashflow and estimate the corpus you would actually need to fund the deficit in the cashflow. After taking into account your existing investments made towards re t i rement and retirement benefits, then you can f ina l i ze the fu r ther investments to be made to accumulate the shortfall in the corpus required. ICICIdirect also provides customized financial planning service to its customers for a fee. To know more about it, you may write to [email protected]

Q I have a Life Time Policy no. 00774314. It was started in March 2004. I am paying premium of Rs. 10,000/- per year. My last payment was done in March 2019. If I surrender the policy now, what is the tax implication? IF tax is applicable, then if I don't want top continue till maturity, what is the better option to save tax?

- Umesh Parekh

A As your policy is purchased before April 1, 2012, the surrender proceeds would be exempt from tax, if the sum assured of the policy was always atleast 5 times or more (i.e. Rs. 50, 000 or more in your case) . I f not , the ent i re surrender proceeds would be taxed as per your income slab.

Q. I have a ULIP Policy (ICICI Pru life time pension Maxima) on march 2010, (premium-60000). For 10 years. I pay 6 time premium (yearly) then stop paying premium. My fund value is now approx 6 Lacs on November 2019. I want to surrender my policy and get full fund value. I want to know, in my policy is there any TDS deducted, when I surrender my policy? Thank you.

- Vivek Kumar Shrivastava

A If the policy has a life cover, then under Section 10(10D), the surrender proceeds is exempt from tax, if the sum assured was atleast 5 times of the annual premium, during the entire duration of the policy. Else, the surrender proceeds is taxable.

November 2019

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If the policy did not have a life c o v e r, t h e n t h e e n t i r e surrender proceeds shall be added to your income and taxed as per the income slab, if you have claimed any deduction on the premiums p a i d f o r t h e p o l i c y. I f deduction was not claimed for the premiums paid, then the accumulated gains (Surrender Value Less Total Premiums Paid) will be added to your income and taxed as per the tax slab.

If the amount is taxable and payout exceeds Rs.1 lakh, then the insurance company will deduct TDS at 5% on the accumulated gains.

Q. Interest on NHAI Capital Gain Exemption Bonds - Sec 54EC bonds, are paid on 1st April every year and are taxable. I invested in these bonds in August 2019 and will receive my first interest for period August 2019 to 31st March 2020 on 1st April 2020 and thereon on 1st April every year. Can I declare the interest for year 2019-20, received on 1st April 2020 on receipt /cash basis in the financial year 2020-21? or Should I declare this interest in my tax return on accrual basis in Financial year 2019-20 or do I have a choice to

choose between cash / receipt basis or accrual basis and follow the same rule every year?

- A.Venkata

A. You can declare the interest either on accrual basis or cash basis. However, you will have to be consistent and follow the same every year. You cannot use cash method this year and accrual basis next year.

Q. Please note that I had an ICICI Pru Life stage pension Policy, for which I have paid total premium is 3 Lakhs, which is paid in 3 years from 2009 to 2011, with 100,000 per year. This Policy, there was pension annuity with this plan but recently I have surrendered the entire amount and value is 5.7 Lacs. My question is how much will be the taxable amount. Will it consider the capital gain after indexation? Please note that during 2009 to 2011, I have spent all these 3 lacs premium money from salaried income, for which I have already filed income tax and its clean. Will the taxable amount will be calculated as per below?

Indexed cost of acquisition = 300000 * 1024/632 = 486076

November 2019

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so taxable capital gain = 570000 - 486076 = 83924

Is it correct?

- Shyamal RoyChaudhuri

A. Being a pension policy, then the entire surrender proceeds shall be added to your income and taxed as per the income slab, if you have claimed any deduction on the premiums paid for the policy. However, if deduction was not claimed for the premiums paid, then the

accumulated gains (Surrender Value less Total Premiums Paid) will be added to your income and taxed as per the tax slab. The concept of indexation of capital gains will not apply for insurance policies.

Accordingly, either Rs.5.7 lakh or Rs.2.7 lakh (i.e. 5.7 lakh less 3 lakh of premiums paid) would be added to your income and taxed as per your income slab, based on whether you have claimed deduction on the premiums paid or not.

November 2019

Note: ICICIdirect now offers a discount up to 25% on its Financial Planning Service, valid till 31st Dec, 2019.

Do you also have similar queries to ask our experts? Write tous at: [email protected].

After remaining under pressure from the start of July till mid-September 2019, the equity market saw a sharp turnaround after the government's unexpected corporate tax rate cut announcement. The same, along with positive global markets helped the Sensex scale back to all-time highs of above 40000 levels.

While the midcap index participated in the recent market rally, small caps continued to underperform as investors remained cautious in their approach. However, we believe the broader markets are likely to perform better, going forward.

While the Sensex has regained its all-time high levels, midcap and small caps remained well below their peak levels. Low interest rates, expected recovery in the second half and continued government measures are likely to revive sentiments in the broader markets.

Investors who continued their SIP during the recent volatile markets have benefited the most after markets rebounded. It has been repeatedly witnessed that investors who simply continue their SIPs without looking at the market and getting swayed by sharp short-term market corrections benefit the most.

The government is expected to continue its coordinated fiscal and monetary response to boost growth and lift sentiments. Some positives like support for real estate and allied sectors, accelerated Government spending to release liquidity, lower interest rate, and easy global liquidity will all help revive India's sluggish growth and keep market sentiments positive from a medium-to-long-term perspective.

MUTUAL FUND ANALYSIS

Investing in Investing in midcap funds


Source: ACE MF, ICICI Direct Research



Fund name: Kotak Emerging Equity SchemeFund Manager’s name: Pankaj Tibrewal

Company Name Oct-19 Sep-19 Oct-2019(Cr.) Sep-2019(Cr.) Oct-19 Sep-19 %Change

Hold Percentage Market Value Shares

Supreme Industries Ltd. 3.7 3.8 196.2 189.4 16,85,449 15,36,352 10

PI Industries Ltd. 3.6 3.5 194.3 172.5 13,59,874 13,19,874 3

The Ramco Cements Ltd. 3.4 3.1 182.9 155.6 23,31,107 20,69,039 13

Coromandel International Ltd. 3.4 3.1 180.8 152.9 38,02,230 36,79,806 3

Atul Ltd. 3.3 3.2 173.6 160.0 4,04,233 4,00,386 1

Schaeffler India Ltd. 3.2 3.3 171.1 161.4 3,97,984 3,69,034 8

Thermax Ltd. 2.7 2.8 144.3 139.9 12,78,135 12,40,371 3

AU Small Finance Bank Ltd. 2.7 2.8 143.6 138.2 20,94,935 20,94,935 0

Tata Global Beverages Ltd. 2.4 2.0 125.8 99.9 39,68,761 36,18,761 10

Kajaria Ceramics Ltd. 2.2 2.3 116.8 114.4 20,92,714 20,82,377 0

Mahindra & Mahindra Financial Services Ltd. 2.1 2.0 112.7 98.2 31,93,929 29,93,929 7

Solar Industries (India) Ltd. 2.1 2.3 112.5 113.2 10,56,753 10,17,905 4

Shree Cement Ltd. 2.1 2.0 111.4 96.8 55,966 51,229 9

Torrent Pharmaceuticals Ltd. 1.9 2.0 103.7 97.4 5,83,864 5,83,864 0

SRF Ltd. 1.9 1.9 100.3 95.3 3,46,405 3,46,405 0

Page Industries Ltd. 1.7 1.0 89.6 47.7 34,803 21,161 64

Cadila Healthcare Ltd. 1.7 1.7 89.0 82.5 35,37,064 35,37,064 0

Sheela Foam Ltd. 1.7 1.7 88.4 83.4 7,13,294 6,46,720 10

IndusInd Bank Ltd. 1.7 1.9 88.3 93.0 6,72,097 6,72,097 0

Indraprastha Gas Ltd. 1.6 1.6 87.8 78.4 22,41,484 22,41,484 0

Exide Industries Ltd. 1.6 1.5 87.2 76.4 45,16,599 39,15,239 15

Axis Bank Ltd. 1.6 1.6 85.0 79.0 11,53,895 11,53,895 0

APL Apollo Tubes Ltd. 1.5 1.6 82.6 77.4 5,68,484 5,68,484 0

The Federal Bank Ltd. 1.5 1.7 82.4 84.4 98,37,739 93,37,739 5

Apollo Hospitals Enterprise Ltd. 1.5 1.6 82.0 77.0 5,52,011 5,52,011 0

Hindustan Petroleum Corporation Ltd. 1.5 1.5 80.5 74.7 24,74,719 24,74,719 0

Shriram City Union Finance Ltd. 1.5 1.5 77.7 74.5 5,88,196 5,55,285 6

Voltas Ltd. 1.4 1.5 77.4 74.2 10,92,386 10,92,386 0

RBL Bank Ltd. 1.4 1.6 75.5 80.1 24,36,206 24,36,206 0

MRF Ltd. 1.4 1.4 74.4 71.7 11,336 11,336 0

Godrej Agrovet Ltd. 1.4 1.2 73.9 60.1 14,44,582 12,59,286 15

Finolex Cables Ltd. 1.3 1.3 70.5 64.5 18,38,794 16,60,686 11

Sundaram Finance Ltd. 1.3 1.4 69.0 69.7 4,27,931 4,27,067 0

State Bank Of India 1.3 1.2 68.7 59.6 22,00,000 22,00,000 0

Ratnamani Metals & Tubes Ltd. 1.3 1.2 66.9 61.0 6,98,462 6,43,271 9

City Union Bank Ltd. 1.2 1.4 65.7 67.8 31,01,027 31,01,027 0

Bharat Electronics Ltd. 1.2 1.1 64.4 53.6 54,49,695 49,49,695 10

Motherson Sumi Systems Ltd. 1.2 1.1 62.6 53.5 50,94,015 50,94,015 0

V-Guard Industries Ltd. 1.2 1.1 61.8 54.4 24,72,469 24,20,300 2

SKF India Ltd. 1.1 1.2 60.7 59.7 2,77,724 2,77,724 0

Oberoi Realty Ltd. 1.1 1.1 59.4 52.9 11,70,912 10,41,318 12

Max Financial Services Ltd. 1.1 0.8 57.2 38.6 14,08,270 9,03,941 56






Amara Raja Batteries Ltd. 1.0 1.2 55.7 58.6 8,16,981 8,16,981 0

Emami Ltd. 1.0 1.1 54.9 53.5 16,78,296 16,78,296 0

Bata India Ltd. 1.0 1.1 54.9 52.3 3,03,741 3,03,741 0

Lux Industries Ltd. 1.0 1.1 54.6 52.1 4,48,902 4,32,998 4

Future Retail Ltd. 1.0 1.0 51.1 51.1 13,41,146 13,41,146 0

Hawkins Cookers Ltd. 0.9 0.8 48.2 37.5 1,38,587 1,12,587 23

Divis Laboratories Ltd. 0.9 0.9 48.1 45.7 2,74,107 2,74,107 0

Persistent Systems Ltd. 0.9 0.8 48.0 39.9 7,74,496 6,99,609 11

Jindal Steel & Power Ltd. 0.9 0.8 46.3 39.2 39,86,915 37,86,915 5

BEML Ltd. 0.9 0.9 45.7 42.2 4,41,683 4,41,683 0

Eris Lifesciences Ltd. 0.8 0.6 43.3 29.4 10,00,713 6,50,713 54

Alkem Laboratories Ltd. 0.7 0.8 40.0 38.2 2,00,370 2,00,370 0

Cholamandalam Financial Holdings Ltd. 0.7 0.8 38.7 41.5 8,47,869 8,47,869 0

Gujarat State Petronet Ltd. 0.7 0.8 37.1 38.5 17,74,353 17,74,353 0

Laurus Labs Ltd. 0.7 0.7 36.2 36.7 9,80,180 9,80,180 0

PNC Infratech Ltd. 0.7 0.6 34.7 28.1 20,42,507 14,72,507 39

Kewal Kiran Clothing Ltd. 0.6 0.7 33.3 33.6 3,36,114 3,36,114 0

Navneet Education Ltd. 0.6 0.7 30.4 32.5 29,76,584 29,76,584 0

Cummins India Ltd. 0.5 27.2 5,00,000 100

Edelweiss Financial Services Ltd. 0.4 0.5 23.9 24.5 25,84,391 25,84,391 0

Whirlpool Of India Ltd. 0.4 0.7 23.4 33.4 1,06,805 1,77,117 -40

Kirloskar Oil Engines Ltd. 0.4 0.5 21.3 23.3 12,53,309 12,53,309 0

ICICI Securities Ltd. 0.4 0.4 21.2 18.2 6,54,627 6,54,627 0

Ramkrishna Forgings Ltd. 0.2 0.3 11.8 12.5 4,01,875 4,01,875 0

Abbott India Ltd. 0.2 0.3 11.2 14.3 9,489 13,489 -30

WPIL Ltd. 0.1 0.1 4.5 4.8 67,786 67,786 0

5144.7 4716.2

You can view performance of other schemes being managed by the fund manager of this scheme on the following link: https://assetmanagement.kotak.com/documents/19/9b3b0824-c9d6-4896-81f0-a796635d36da



Fund name: L&T Midcap FundFund Manager’s name: Soumendra Nath Lahiri



City Union Bank Ltd. 2.8 3.1 164.2 169.5 77,50,300 77,50,300 0

The Ramco Cements Ltd. 2.7 2.8 158.1 150.3 20,14,400 19,99,400 1

Cholamandalam Inv. & Fin. Company Ltd. 2.5 2.2 147.2 119.5 48,25,800 38,81,997 24

Manappuram Finance Ltd. 2.3 1.6 134.7 84.4 79,55,789 59,77,600 33

Emami Ltd. 2.3 2.2 132.8 118.9 40,60,500 37,31,600 9

Berger Paints India Ltd. 2.2 2.0 129.6 107.0 24,60,355 24,60,355 0

Shree Cement Ltd. 2.1 2.2 123.4 117.1 62,000 62,000 0

Abbott India Ltd. 2.1 2.3 120.1 124.5 1,02,000 1,17,485 -13

ACC Ltd. 2.0 2.2 116.3 119.3 7,42,000 7,42,000 0

Sundaram Finance Ltd. 1.9 1.8 110.1 99.5 6,83,310 6,09,706 12

Godrej Properties Ltd. 1.9 2.0 110.1 108.5 11,03,850 10,44,450 6

Thermax Ltd. 1.9 1.9 108.2 99.7 9,58,107 8,83,500 8

Voltas Ltd. 1.8 1.2 105.1 62.3 14,83,000 9,16,500 62

Engineers India Ltd. 1.8 1.8 103.1 95.7 86,20,000 81,57,000 6

MRF Ltd. 1.8 1.2 102.8 65.5 15,650 10,350 51

Supreme Industries Ltd. 1.8 2.0 102.2 106.4 8,78,201 8,63,201 2

Aarti Industries Ltd. 1.7 1.7 101.9 88.9 11,62,711 11,10,490 5

The Indian Hotels Company Ltd. 1.7 1.9 99.3 104.4 65,31,300 65,31,300 0

General Insurance Corp. of India Ltd. 1.7 1.1 98.8 57.5 31,75,600 26,15,333 21

Multi Commodity Exchange Of India Ltd. 1.7 1.5 96.7 81.6 8,49,569 8,49,569 0

Jindal Steel & Power Ltd. 1.6 0.5 94.8 26.7 81,52,200 25,80,000 216

Kajaria Ceramics Ltd. 1.6 1.7 94.1 91.5 16,86,300 16,66,300 1

EIH Ltd. 1.6 1.9 93.8 102.4 55,98,415 55,98,415 0

Oberoi Realty Ltd. 1.6 1.6 93.6 88.0 18,47,000 17,32,885 7

Atul Ltd. 1.6 1.5 93.0 78.4 2,16,413 1,96,200 10

Bayer CropScience Ltd. 1.6 1.6 92.5 85.6 2,57,331 2,55,331 1

Ratnamani Metals & Tubes Ltd. 1.5 1.2 89.9 64.9 9,39,403 6,84,403 37

Page Industries Ltd. 1.5 1.0 89.7 52.0 34,826 23,100 51

ICICI Securities Ltd. 1.4 1.3 84.5 72.6 26,06,400 26,06,400 0

Coromandel International Ltd. 1.4 1.2 84.1 64.2 17,68,473 15,44,600 14

Castrol India Ltd. 1.4 1.3 83.6 70.6 54,97,494 51,91,782 6

ABB India Ltd. 1.4 1.5 81.2 82.8 5,56,400 5,46,400 2

Syngene International Ltd. 1.4 1.3 80.9 72.2 24,42,041 23,30,000 5

Ipca Laboratories Ltd. 1.4 1.0 78.9 55.5 8,04,155 6,14,163 31

Future Lifestyle Fashions Ltd. 1.3 1.3 76.4 72.5 18,61,500 17,21,715 8

Mphasis Ltd. 1.3 1.3 76.3 72.0 8,03,020 7,52,136 7


AIA Engineering Ltd. 1.3 1.4 73.6 75.7 4,24,500 4,24,500 0

Amara Raja Batteries Ltd. 1.2 1.1 71.6 58.0 10,50,300 8,08,000 30

Sundram Fasteners Ltd. 1.1 1.1 65.6 61.2 13,39,835 12,90,000 4

Mahanagar Gas Ltd. 1.1 1.0 63.2 51.5 6,20,200 5,64,600 10

Cummins India Ltd. 1.1 1.2 62.8 66.1 11,53,800 11,53,800 0

Exide Industries Ltd. 1.0 1.1 60.9 61.6 31,54,300 31,54,300 0

3M India Ltd. 1.0 1.0 60.7 55.8 27,000 27,000 0

Godfrey Phillips India Ltd. 1.0 0.9 60.4 49.0 5,52,978 5,10,400 8






Affle (India) Ltd. 1.0 0.9 60.3 48.9 4,34,871 4,34,871 0

Divis Laboratories Ltd. 1.0 1.1 59.6 56.6 3,39,852 3,39,852 0

RBL Bank Ltd. 1.0 1.2 59.1 62.7 19,07,000 19,07,000 0

Tata Global Beverages Ltd. 1.0 58.6 18,49,289 100

Bharat Electronics Ltd. 1.0 0.5 56.9 25.4 48,19,400 23,45,035 106

Max Financial Services Ltd. 0.9 1.0 53.4 56.1 13,15,000 13,15,000 0

Apollo Hospitals Enterprise Ltd. 0.9 1.7 51.8 90.4 3,49,000 6,47,600 -46

Gujarat Pipavav Port Ltd. 0.8 0.9 48.8 48.5 56,36,347 56,36,347 0

Future Retail Ltd. 0.8 0.9 47.1 47.0 12,35,524 12,35,524 0

AU Small Finance Bank Ltd. 0.8 0.3 46.2 17.4 6,73,700 2,63,137 156

Deepak Nitrite Ltd. 0.8 0.7 44.2 38.7 12,96,107 12,96,107 0

Welspun India Ltd. 0.8 0.8 44.1 41.6 78,98,900 78,98,900 0

Torrent Pharmaceuticals Ltd. 0.7 0.7 42.1 39.5 2,37,000 2,37,000 0

Trent Ltd. 0.7 0.4 41.4 23.9 7,64,900 4,93,158 55

Canara Bank 0.7 0.5 39.6 24.8 19,45,900 13,57,071 43

Pfizer Ltd. 0.7 38.6 95,161 100

Century Textiles & Industries Ltd. 0.7 1.5 38.3 82.1 9,06,000 9,06,000 0

National Aluminium Company Ltd. 0.6 0.7 37.6 38.5 82,81,800 82,81,800 0

Vinati Organics Ltd. 0.6 0.6 37.3 31.2 1,72,200 1,45,168 19

Blue Dart Express Ltd. 0.6 0.6 37.1 31.3 1,54,167 1,26,167 22

CRISIL Ltd. 0.6 0.4 35.9 23.7 2,45,462 1,73,217 42

Birlasoft Ltd. 0.5 0.6 32.0 33.3 48,04,900 48,04,900 0

Aegis Logistics Ltd. 0.5 0.6 31.5 33.2 18,33,744 18,33,744 0

Indian Bank 0.5 0.5 27.6 26.0 20,71,800 20,71,800 0

ISGEC Heavy Engineering Ltd. 0.4 0.4 22.2 23.9 5,96,330 5,96,330 0

Timken India Ltd. 0.4 0.4 22.2 19.2 2,49,023 2,49,023 0

Techno Electric & Eng. Company Ltd. 0.4 0.4 22.1 21.7 8,20,722 8,20,722 0

HG Infra Engineering Ltd. 0.4 0.5 21.8 24.7 11,64,044 11,64,044 0

Ashoka Buildcon Ltd. 0.4 0.4 21.8 20.6 21,16,989 21,16,989 0

Triveni Turbine Ltd. 0.3 0.4 19.8 20.3 19,64,226 19,64,226 0

Bosch Ltd. 0.3 18.6 12,133 100

KPR Mill Ltd. 0.3 0.3 17.0 14.4 2,62,000 2,62,000 0

Eris Lifesciences Ltd. 0.3 0.3 16.4 17.0 3,77,808 3,77,808 0

Varroc Engineering Ltd. 0.2 0.2 13.7 12.6 2,78,000 2,78,000 0

Dollar Industries Ltd. 0.2 0.2 11.5 12.4 6,33,300 6,33,300 0

Poddar Housing and Development Ltd. 0.1 0.1 4.8 5.1 1,32,000 1,32,000 0

Arti Surfactants Ltd. 0.0 0.0 2.4 2.4 49,442 49,442 0

Union Bank Of India 0.3 17.8 33,69,048 -100

Swaraj Engines Ltd. 0.1 6.2 53,284 -100

Mindtree Ltd. 0.2 8.1 1,14,271 -100

5629.7 4939.6

You can view performance of other schemes being managed by the fund manager of this scheme on the following link: https://www.ltfs.com/content/dam/lnt-financial-services/lnt-mutual-fund/downloads/factsheets/2019-20/L&T%20Factsheet%20October%202019%20(Web%20version).pdf



Fund name: Reliance Small Cap FundFund Manager’s name: Samir Rachh



Deepak Nitrite Ltd. 3.2 2.8 266.9 230.8 78,23,172 77,23,172 1

CreditAccess Grameen Ltd. 2.5 2.2 212.6 182.0 33,30,775 27,69,370 20

Orient Electric Ltd. 2.2 2.0 188.5 158.6 95,74,898 95,74,898 0

Affle (India) Ltd. 2.2 1.8 184.8 148.7 13,32,084 13,21,014 1

HDFC Bank Ltd. 2.1 2.2 178.2 177.8 14,48,646 14,48,646 0

Tube Investments of India Ltd. 2.0 2.0 170.4 164.2 42,76,100 42,76,100 0

Zydus Wellness Ltd. 2.0 2.0 165.0 165.4 9,67,400 9,67,400 0

Navin Fluorine International Ltd. 1.9 1.6 156.0 127.6 17,38,627 17,38,627 0

Tata Global Beverages Ltd. 1.8 1.7 155.2 135.1 48,96,099 48,96,099 0

VIP Industries Ltd. 1.8 1.9 153.4 155.7 32,49,070 32,49,070 0

Birla Corporation Ltd. 1.7 1.1 140.0 92.4 24,57,475 16,38,475 50

Fine Organic Industries Ltd. 1.6 1.5 136.2 125.2 7,16,817 7,24,074 -1

Balrampur Chini Mills Ltd. 1.4 1.3 119.9 108.8 73,58,037 70,47,232 4

Security & Intelligence Services India Ltd. 1.4 1.4 119.0 114.5 13,01,162 13,01,162 0

Axis Bank Ltd. 1.4 1.4 117.9 109.7 16,00,930 16,00,930 0

Thermax Ltd. 1.4 1.4 114.6 114.5 10,15,372 10,15,372 0

Kalpataru Power Transmission Ltd. 1.3 1.5 107.7 122.5 24,96,172 24,96,172 0

Cochin Shipyard Ltd. 1.3 0.6 106.6 51.6 27,36,906 15,26,906 79

Lemon Tree Hotels Ltd. 1.2 1.2 103.7 96.6 1,69,80,000 1,69,30,000 0

Cyient Ltd. 1.2 1.5 102.9 117.7 25,28,797 25,28,797 0

Multi Commodity Exchange Of India Ltd. 1.2 1.1 101.4 85.6 8,90,510 8,90,510 0

FDC Ltd. 1.2 1.2 100.8 97.8 56,00,432 56,00,432 0

West Coast Paper Mills Ltd. 1.2 1.4 100.4 117.4 42,78,015 42,53,015 1

Carborundum Universal Ltd. 1.2 1.2 99.9 93.6 31,15,372 31,15,372 0

NIIT Ltd. 1.2 1.1 97.4 90.5 99,11,414 99,11,414 0

Elantas Beck India Ltd. 1.1 1.2 94.2 95.1 3,68,891 3,66,891 1

Vindhya Telelinks Ltd. 1.1 1.3 93.6 107.1 10,30,279 10,27,779 0

ICICI Bank Ltd. 1.1 1.6 92.6 130.0 20,00,000 29,98,000 -33

The Indian Hotels Company Ltd. 1.1 1.2 92.6 97.4 60,92,428 60,92,428 0

Radico Khaitan Ltd. 1.1 1.1 88.6 88.2 27,99,347 27,99,347 0

Atul Ltd. 1.0 1.0 87.2 81.2 2,03,129 2,03,129 0

Raymond Ltd. 1.0 1.0 86.8 83.5 14,95,053 14,95,053 0

Honda Siel Power Products Ltd. 1.0 0.9 84.9 74.2 7,37,642 7,05,342 5

Bajaj Electricals Ltd. 1.0 1.1 84.9 87.7 22,42,267 22,42,267 0

Polyplex Corporation Ltd. 1.0 0.8 84.2 66.0 17,21,170 15,32,318 12

Rallis India Ltd. 1.0 1.1 83.5 87.9 49,69,475 49,64,475 0

GAIL (India) Ltd. 1.0 0.7 82.4 53.8 60,00,000 40,00,000 50

Cadila Healthcare Ltd. 1.0 0.9 81.1 75.1 32,20,000 32,20,000 0

Mahindra Logistics Ltd. 0.9 0.9 78.2 72.9 20,31,606 20,31,606 0

Astrazeneca Pharma India Ltd. 0.9 0.8 77.6 65.4 2,84,804 2,82,804 1

JK Cement Ltd. 0.9 0.9 76.0 71.5 6,80,477 6,80,477 0

Dixon Technologies (India) Ltd. 0.9 0.9 75.4 72.5 2,49,665 2,49,665 0

Tata Steel Long Products Ltd. 0.9 0.9 74.7 70.1 18,26,190 17,53,320 4

Intellect Design Arena Ltd. 0.9 0.9 74.0 70.7 38,75,218 38,75,218 0





KPIT Technologies Ltd. 0.9 0.9 72.8 73.7 79,96,361 77,36,681 3

Apar Industries Ltd. 0.8 0.9 70.2 73.2 13,13,041 13,13,041 0

Bajaj Consumer Care Ltd. 0.8 0.8 69.0 67.4 27,45,155 27,45,155 0

Akzo Nobel India Ltd. 0.8 0.8 68.5 62.1 3,23,506 3,23,506 0

Johnson Controls-Hitachi Air Con. India Ltd. 0.8 0.7 67.4 58.1 3,16,969 3,14,167 1

Sterling and Wilson Solar Ltd. 0.8 0.9 66.8 73.0 11,41,521 11,69,234 -2

HG Infra Engineering Ltd. 0.8 0.9 66.5 71.0 35,55,334 33,45,334 6

LG Balakrishnan & Brothers Ltd. 0.8 0.8 66.1 65.8 21,02,306 21,02,306 0

Voltamp Transformers Ltd. 0.7 0.8 62.9 62.7 5,49,267 5,47,267 0

Galaxy Surfactants Ltd. 0.7 0.7 62.1 58.6 4,01,866 4,01,866 0

Steel Authority Of India Ltd. 0.7 0.7 61.4 56.1 1,67,80,010 1,67,80,010 0

Karur Vysya Bank Ltd. 0.7 0.8 61.2 66.6 1,11,48,965 1,11,48,965 0

ICRA Ltd. 0.7 0.8 60.5 65.9 2,33,591 2,33,591 0

KEC International Ltd. 0.7 0.7 58.9 59.4 21,71,547 21,71,547 0

Garden Reach Shipbuilders & Engineers Ltd. 0.7 0.6 58.7 46.7 27,60,523 26,40,486 5

ISGEC Heavy Engineering Ltd. 0.7 0.8 58.2 61.4 15,60,180 15,32,680 2

Sterlite Technologies Ltd. 0.7 0.9 57.8 69.5 44,14,807 44,14,807 0

Honeywell Automation India Ltd. 0.7 0.7 56.2 57.4 20,000 20,000 0

Kirloskar Brothers Ltd. 0.7 0.7 56.1 57.9 36,65,644 36,34,198 1

Timken India Ltd. 0.7 0.6 55.8 48.3 6,26,626 6,26,626 0


Indian Railway Catering & Tourism Corpn. Ltd. 0.7 55.2 6,26,438 100

Somany Home Innovation Ltd. 0.7 0.7 54.8 54.8 32,22,175 32,22,175 0

Hindustan Aeronautics Ltd. 0.6 0.6 54.4 50.4 7,13,330 7,13,330 0

Kirloskar Pneumatic Company Ltd. 0.6 0.7 54.0 58.6 38,43,541 38,34,541 0

JTEKT India Ltd. 0.6 0.6 53.0 49.3 57,50,000 57,50,000 0

PSP Projects Ltd. 0.6 0.7 52.7 54.4 9,63,276 9,63,276 0

Ashoka Buildcon Ltd. 0.6 0.6 51.6 48.8 50,13,928 50,13,928 0

Sheela Foam Ltd. 0.6 0.6 49.1 51.0 3,95,736 3,95,736 0

Ion Exchange (India) Ltd. 0.6 0.5 47.0 41.9 6,06,485 6,06,485 0

INEOS Styrolution India Ltd. 0.6 0.5 46.9 44.4 6,97,128 6,97,128 0

Central Depository Services (India) Ltd. 0.5 0.5 45.7 40.2 19,64,859 19,64,859 0

Apex Frozen Foods Ltd. 0.5 0.6 45.3 46.0 19,11,913 19,01,913 1

Orient Cement Ltd. 0.5 0.6 45.3 51.2 56,96,526 56,96,526 0

KPR Mill Ltd. 0.5 0.5 44.6 37.7 6,86,425 6,86,425 0

Seya Industries Ltd. 0.5 1.0 44.3 79.6 19,98,059 19,98,059 0

Future Supply Chain Solutions Ltd. 0.5 0.5 42.3 42.9 8,28,315 8,28,315 0

Sundaram Finance Holdings Ltd. 0.5 0.5 41.6 43.7 60,35,631 60,35,631 0

EIH Ltd. 0.5 0.5 40.2 43.9 24,00,000 24,00,000 0

Automotive Axles Ltd. 0.5 0.5 39.2 39.2 4,04,000 4,04,000 0

Tejas Networks Ltd. 0.5 0.5 38.2 42.7 51,27,267 51,27,267 0

Magma Fincorp Ltd. 0.4 0.4 37.8 36.5 70,60,983 70,60,983 0

Navkar Corporation Ltd. 0.4 0.4 34.3 33.4 95,40,571 95,40,571 0

Siyaram Silk Mills Ltd. 0.4 0.4 34.0 32.8 13,90,979 13,90,979 0






Srikalahasthi Pipes Ltd. 0.4 0.4 32.7 33.5 18,14,787 18,14,787 0

Indoco Remedies Ltd. 0.4 0.4 32.4 30.8 20,13,755 20,13,755 0

Tata Coffee Ltd. 0.4 0.4 32.3 28.4 37,87,173 36,80,344 3

Genus Power Infrastructures Ltd. 0.4 0.4 31.9 28.9 1,23,94,225 1,23,94,225 0

State Bank Of India 0.4 31.2 10,00,000 100

Advanced Enzyme Technologies Ltd. 0.4 0.3 31.0 25.9 16,65,196 16,65,196 0

Texmaco Rail & Engineering Ltd. 0.4 0.4 29.8 32.0 67,65,047 67,65,047 0

TD Power Systems Ltd. 0.4 0.4 29.6 30.6 20,40,797 20,40,797 0

Orient Paper & Industries Ltd. 0.3 0.4 28.1 33.8 1,03,90,000 1,03,00,000 1

Pokarna Ltd. 0.3 0.2 26.9 18.2 15,73,267 13,46,022 17

Entertainment Network (India) Ltd. 0.3 0.4 25.2 31.7 9,54,789 9,41,194 1

Dhampur Sugar Mills Ltd. 0.3 0.2 25.1 15.0 11,69,496 7,20,581 62

Gujarat Alkalies & Chemicals Ltd. 0.3 0.3 24.6 24.0 5,26,468 5,26,468 0

Arvind Fashions Ltd. 0.2 0.2 16.3 15.7 3,60,000 3,60,000 0

KCP Ltd. 0.2 0.2 15.9 16.1 23,48,219 23,48,219 0

Shree Pushkar Chemicals & Fertilisers Ltd. 0.2 0.2 15.7 16.3 16,15,814 16,15,814 0

Ramco Systems Ltd. 0.2 0.2 14.9 14.4 8,88,031 8,88,031 0

Indian Terrain Fashions Ltd. 0.2 0.2 14.4 15.0 19,06,478 19,07,462 0

Shoppers Stop Ltd. 0.2 0.2 14.3 17.3 3,82,241 4,04,000 -5

Arvind Ltd. 0.2 0.2 12.8 12.6 25,51,518 26,32,122 -3

HSIL Ltd. 0.2 0.1 12.7 10.8 26,47,680 26,47,680 0

Sandhar Technologies Ltd. 0.1 0.1 12.5 11.8 5,12,164 4,85,739 5

Jamna Auto Industries Ltd. 0.1 0.1 8.2 6.8 18,06,705 18,14,047 0

Camlin Fine Sciences Ltd. 0.1 0.1 7.9 6.3 12,01,754 11,50,943 4

Jagran Prakashan Ltd. 0.1 0.1 4.9 5.6 8,71,450 8,71,450 0

Rites Ltd. 0.0 0.1 3.1 7.6 1,08,493 2,87,318 -62

Heritage Foods Ltd. 0.0 0.1 3.0 9.2 1,00,067 2,41,564 -59

Digicontent Ltd. 0.0 0.0 0.2 0.4 5,19,359 7,26,987 -29

United Breweries Ltd. 0.6 45.8 3,39,818 -100

The India Cements Ltd. 0.6 48.4 61,21,035 -100

RBL Bank Ltd. 0.6 49.3 15,00,000 -100

LT Foods Ltd. 0.2 14.8 56,23,791 -100

7993.7 7730.1

You can view performance of other schemes being managed by the fund manager of this scheme on the following link: https://www.nipponindiamf.com/InvestorServices/FactsheetsDocuments/Fundamentals-November-2019.pdf



Performance of other schemes managed by these fund managers:1. Kotak Emerging Equity Scheme

Performance of other schemes managed by the fund manager - Pankaj Tibrewal

1 YearFund Name 2 Year 3 YearTop 3 Performing Schemes

Note : The schemes may or may not have been managed by the same Fund Manager since its inception Note : The concerned Fund Manager manages 2 other schemes of the concerned Mutual Fund

Kotak Equity Hybrid Fund(D) 14.64 8.45 7.62

NIFTY 50 Hybrid Composite Debt 65:35 Index -- -- --

Kotak Emerging Equity Fund(G) 10.90 10.16 11.34

Nifty Midcap 100 - TRI -0.70 6.66 8.24

Kotak Small Cap Fund(G) 5.57 6.34 8.47

Nifty Smallcap 100 - TRI -6.37 1.62 3.60

November 2019




2. L&T Midcap Fund

Performance of other schemes managed by the fund manager - Vihang Naik


Note : The schemes may or may not have been managed by the same Fund Manager since its inceptionNote : The concerned Fund Manager manages 2 other schemes of the concerned Mutual Fund

L&T Focused Equity Fund-Reg(G) 14.04 -- --

NIFTY 500 - TRI 11.78 13.50 8.84

L&T Emerging Opp Fund-II-Reg(D) 2.79 -- --

S&P BSE Small-Cap - TRI -5.20 4.71 4.93

L&T Midcap Fund-Reg(G) 1.10 9.70 10.96

Nifty Midcap 100 - TRI -0.70 6.66 8.24

L&T Emerging Opp Fund-I-Reg(D) -0.98 -- --


Bottom 3 Performing Schemes

Performance of other schemes managed by thefund manager - Soumendra Nath Lahiri


Note : The schemes may or may not have been managed by the same Fund Manager since its inceptionNote : The concerned Fund Manager manages 9 other schemes of the concerned Mutual Fund

L&T Focused Equity Fund-Reg(G) 14.04 -- --

NIFTY 500 - TRI 11.78 13.50 8.84

L&T Balanced Advantage Fund-Reg(G) 8.79 7.44 5.99

S&P BSE 200 - TRI 13.33 14.39 9.26

L&T Hybrid Equity Fund-Reg(G) 7.38 8.88 8.78

S&P BSE 200 - TRI 13.33 14.39 9.26

L&T Midcap Fund-Reg(G) 1.10 9.70 10.96

Nifty Midcap 100 - TRI -0.70 6.66 8.24

L&T Infrastructure Fund-Reg(G) -2.15 9.59 8.87

NIFTY INFRA - TRI 10.09 9.19 2.21

L&T Emerging Businesses Fund-Reg(G) -6.95 9.01 11.28



November 2019




3. Nippon India Small Cap Fund

Performance of other schemes managed by the fund manager - Samir Rachh

Fund Name 1 Year 2 Year 3 YearTop 3 Performing Schemes


Nippon India Small Cap Fund(G) -2.83 9.82 10.92


Nippon India Capital Builder Fund-IV-D(G) -9.86 -- --

S&P BSE 200 12.01 12.97 7.86

Nippon India Capital Builder Fund-IV-C(G) -11.66 -- --

S&P BSE 200 12.01 12.97 7.86

Performance of other schemes managed by the fund manager - Kinjal Desai

Fund Name 1 Year 2 Year 3 YearTop 3 Performing Schemes


Nippon India US Equity Opp Fund(G) 24.35 17.46 --

S&P BSE SENSEX - TRI 18.24 17.24 9.03

Nippon India Nivesh Lakshya Fund(G) 17.22 -- --

Crisil Long Term Debt Index -- -- –

Nippon India Japan Equity Fund(G) 15.15 10.40 8.02

TOPIX (Tokyo Stock Price Index) -- -- –

Nippon India Capital Builder Fund-IV-C(G) -11.66 -- --

S&P BSE 200 12.01 12.97 7.86

Nippon India Equity Hybrid Fund-Segregated Portfolio 1(G) -- -- --

CRISIL Hybrid 35+65 - Aggressive Index 13.34 11.73 9.33

Nippon India Ultra Short Duration Fund-Segregated Portfolio 1-(G) -- -- --

NIFTY Ultra Short Duration Debt Index -- -- –


Disclaimer: ICICI Securities Ltd. (I-Sec). Registered office of I-Sec is at ICICI Securities Ltd. - ICICI Centre, H. T. Parekh Marg, Churchgate, Mumbai - 400020, India, Tel No: 022 - 2288 2460, 022 - 2288 2470. AMFI Regn. No.: ARN-0845. Please note that Mutual Fund Investments are subject to market risks, read the scheme related documents carefully before investing for full understanding and detail. Investors can view regulatory disclosures in reports issued for respective funds which can be accessed on www.icicidirect.com.

November 2019

ICICIdirect Community (iCommunity)


Introducing ICICIdirect LearnHub – Investment Learning simplified on iCommunity

To help investors understand the nuances of money and various investment products, we are pleased to introduce a new learning initiative "ICICIdirect LearnHub".

Our endeavour through ICICIdirect LearnHub is to:

Simplify - help you to understand Investments in a simplified manner

Coverage - help you learn on various asset classes including equities, debt, currency, commodities, etc

Practical - help you understand concepts with practical examples that you can relate to.

The idea is to empower all learners with knowledge that helps them in making their investment journey exciting and rewarding.

Checkout some of our sample questions on equity and derivatives segment available on ICICIdirect LearnHub.

Equity Segment:

Q. How do the prices of equity shares move?

A. Stock prices change every day by market forces, i.e. because of supply and demand. If more people want to buy a stock (demand) than sell it (supply), then the price moves up. Conversely, if more people wanted to sell a stock than buy it, there would be a greater supply than demand, and the price would fall.

But there are other factors too, which drives the stock prices. We can categorize these factors into Internal factors, External factor and Market sentiments.

The internal factors include earning of the company, growth in the earning, company management, etc.

External factors include economic condition, industry scenario, inflation, interest rate, etc.

Market sentiments deal with the behavioral aspect of the market participants, where they react based on a stock's future growth prospects.

You can Click Here to access daily top gainers and losers stocks on ICICIdirect.com

https://secure.icicidirect.com/markets/market-overview

https://secure.icicidirect.com/markets/market-overview


Related Questions:

What is the risk associated with equity investments?

How is the value of stock indices calculated?

What is EPS (Earning per share)?

Derivatives Segment:

Q. What is the meaning of Open Interest in futures contract?

A. The term Open Interest is used quite often in derivatives to assess the depth of the market. Open interest states the number of contracts which are still due in the market and yet to be settled. The two parties in 1 futures contract would account for 1 open interest. This is because every contract would have two sides, so we need to count for the number of contracts and not the parties to the contract while calculating the figure of open interest. The higher the number of open positions of a particular futures contract, the higher is the commitment showcased by the participants at that level.

Open interest can also be used to understand market movement. Rising open interest supported by rising prices gives a signal of uptrend, and falling open interest along with falling price is a sign of a downtrend. Flat open interest along with rising or falling stock is a sign of trend reversal.

You can check the open interest of futures contract on ICICIdirect under F&O @ Fingertips tab.

Related Questions:

What is a Derivative?

What are the different instruments available in India under the derivative segment?

How do I choose the right future contract out of available contracts of different expiry?

Being our valued customer, we are pleased to invite you to access and explore this new initiative by clicking here or from the following path.

www.icicidirect.com > Log in > Customer Service > iCommunity > LearnHub.

Find support for your Financial journey online. Quick reply, in-depth expertise, and everything in between: The ICICIdirect community has it all. The ICICIdirect community will unlock your curiosity and unleash the expert in you. From market updates to Research advice, there are lots of ways to take your skills to the next level.

https://community.icicidirect.com/what-is-the-risk-associated-with-equity-investments-

https://community.icicidirect.com/how-is-the-value-of-stock-indices-calculated-

https://community.icicidirect.com/what-is-eps-earning-per-share-

https://community.icicidirect.com/what-is-a-derivative-

https://community.icicidirect.com/what-are-the-different-instruments-available-in-india-under-the-derivative-segment-

https://community.icicidirect.com/how-do-i-choose-the-right-future-contract-out-of-available-contracts-of-different-expiry-

https://community.icicidirect.com/learnhub/equity

EQUITY MODEL PORTFOLIO


Our indicative large-cap equity model portfolio is delivering an impressive return (inclusive of dividends) of 163.84% till date (as on October 31, 2019) since its inception (June 21, 2011) vis-à-vis the benchmark index (S&P BSE Sensex) return of 125.13% during the same period, an outperformance of 38.71. This validates our thesis of selecting companies with sound business fundamentals that forms the core theme of our portfolio. We have revised stocks in our midcap portfolio. It continues to outperform, delivering 267.05% (inclusive of dividends) till date (as on October 31, 2019) vis-à-vis the benchmark index (CNX Midcap) return of 117.51%, an outperformance of 149.54. Our consistent outperformance demonstrates our superior stock picking ability as markets aligned to our view of favourable risk reward, good franchisee vs. reward-at-any-risk businesses.

We have always suggested the SIP mode of investment and still find a lot of merit in it as the preferred mode of deployment given the market conditions and volatility associated since the inception of the portfolio. We highlight that the SIP return of our portfolio has consistently outperformed the indices.

Following the same pace and opportunities in the market, our latest portfolio (large caps) remains overweight on BFSI sector – HDFC Bank (10%), HDFC Limited (9%), Axis Bank (6%) Bajaj Finance (6%) and SBI (6%). Large cap portfolio remains unchanged while we made fresh changes to our midcap portfolio. Reliance Nippon Life Asset Management and Mahanagar Gas are the latest addition to the mid-cap portfolio, both given 6% weightage. Please note that Somany Ceramics and Arvind Fashions have been removed from the mid-cap and diversified model portfolio. The weightage for State Bank of India and Divis Laboratories have been revised. Affirming our view on consumption demand, Dabur (5%) and Marico (4%) continue to be part of our large cap portfolio.

We remain positive on auto, IT and pharma. We remain overweight to neutral on pure play defensives (IT, FMCG) as secular earnings coupled with sector rotation could lead to consolidation in near term valuations and offer stock specific opportunities.

We continue to remain underweight on metals and oil & gas with our only pick being Gail Ltd., which has a better risk reward opportunity. Among individual names, we recommend TCS in the IT space, HDFC and HDFC Bank in the BFSI space and ITC in consumer space.

November 2019


Name of the company Model Portfolio

Largecap(%)

Midcap(%)

Diversified(%)


Largecap Stocks

Mahindra & Mahindra (M&M) 4.0 2.8

HDFC Bank 10.0 7.0

Axis Bank 6.0 4.2

HDFC Limited 9.0 6.3

Bajaj Finance 6.0 4.2

State Bank of India 8.0 5.6

Larsen & Toubro 6.0 4.2

UltraTech Cement 4.0 2.8

Dabur India 5.0 3.5

Marico 4.0 2.8

ITC 6.0 4.2

Nestle India 4.0 2.8

Tata Consultancy Services 6.0 4.2

Tech Mahindra Limited 6.0 4.2

Hindustan Zinc 6.0 4.2

GAIL Ltd. 5.0 3.5

Divis Laboratories 5.0 3.5

Total 100.0

Largecap share in diversified 70.0

November 2019


Midcap share in diversified 30

TOTAL 100.0


Bharat Forge 6.0 1.8

Bajaj Finserve 8.0 2.4

Indian Bank 6.0 1.8

AIA Engineering 6.0 1.8

Kalpataru Power transmission 6.0 1.8

Ramco Cement 6.0 1.8

Kansai Nerolac 6.0 1.8

Pidilite Industries 6.0 1.8

Tata Chemicals 6.0 1.8

Bata India 6.0 1.8

Brigade Enterprises 6.0 1.8

Reliance Nippon Life Asset Management 6.0 1.8

Firstsource Solutions 6.0 1.8

Container Corporation of India 6.0 1.8

Syngene International 8.0 2.4

Mahanagar Gas Ltd 6.0 1.8

Total 100.0

November 2019


Performance so far since inception*

Value of Rs 1,00,000 invested via SIP at end of every month


Large-cap Portfolio Benchmark: BSE Sensex; Mid-cap Portfolio Benchmark: CNX Midcap; Diversified Portfolio Benchmark: Combination of BSE Sensex and CNX Midcap

November 2019

*Returns (in %) as on October 31, 2019

Investment Value of Investment in Portfolio Value if invested in Benchmark

Start date of SIP: June 30, 2011; *Value as on October 31, 2019

163.84

267.05

193.07

125.13 117.51 119.47

0

100

200

300

Large Cap Midcap Diversified

%

Portfolio Benchmark

10200000

10200000

10200000

15890033.47

23386144.1

16782751.51

14329903.63

13749682.22

13440850.75

0

2000000

4000000

6000000

8000000

10000000

12000000

14000000

16000000

Largecap Midcap Divesified

|

Investment Value of Investment in Portfolio Value if invested in Benchmark

QUIZ TIME


1. Which ITR Form is for Individuals and HUFs not having income from profits and gains of business or profession?

2. ________ cannot avail tax benefits in investments in NSCs, 5-year Post-office deposit scheme, Senior citizen savings scheme.

3. Interest earned under tax free bonds is completely tax free under section ____________ of the Income Tax Act, 1961.

4. For an HRA, what percentage of basic salary is allowed to claim if the individual is residing in Kolkata, Chennai, Mumbai and Delhi?

5. A retirement benefit to the salaried employee, where 12% of their basic salary + Dearness allowance is deducted.

6. Interest received from savings account of up to _______ could be claimed under section 80TTA.

Note: You may send in your answers at:[email protected]. The answers will be published in

our next edition. The names of the earliest all correct entries will be published too. So jog your grey cells and be quick to send in your entries.

Correct answers for the October 2019 Quiz is:

1. A fund that is traded on the exchange - ETF

2. When an Authorized participant sells shares to the Sponsors in exchange for ETFs it is called as Creation

3. An Inverse ETF is used when markets go against your market direction.

4. One can save on Tax by investing in Bharat 22 ETF and CPSE ETF under ELSS scheme. - True

5. Smart Beta ETF is a combination of active and passive investment strategy.

6. Are there any withdrawal charges on ETFs? - No

November 2019

PRIME NUMBERS

Equity Markets

Domestic Equity Indices

Global Equity Indices

Sectoral Indices


31-Oct-19 30-Sep-19 Change (%)

CNX Nifty 11877.0 11474.0 3.5%

CNX Midcap 16819.0 16026.0 4.9%

S&P BSE Sensex 40129.0 38667.3 3.8%

S&P BSE 100 11999.0 11580.9 3.6%

S&P BSE 200 4984.0 4794.3 4.0%

S&P BSE 500 15387.0 14810.0 3.9%


Dow Jones 27,046.2 26,916.8 0.5%

S&P 500 3,037.6 2,976.7 2.0%

Nasdaq 8,292.4 7,999.3 3.7%

FTSE 7,248.4 7,408.2 -2.2%

DAX 12,866.8 12,428.1 3.5%

CAC 40 5,729.9 5,677.8 0.9%

Nikkei 22,927.0 21,755.8 5.4%

Hang Seng 26,906.7 26,092.3 3.1%

Shanghai Composite 2,929.1 2,905.2 0.8%

Taiwan Weighted 11,358.7 10,829.7 4.9%

Straits Times 3,229.9 3,120.0 3.5%


S&P BSE Auto 18,945.0 16,761.8 13.0%

S&P BSE Bankex 33,925.0 32,889.1 3.1%

S&P BSE FMCG 18,823.0 18,695.3 0.7%

S&P BSE Healthcare 13,229.0 12,493.5 5.9%

S&P BSE Metals 9,305.0 9,085.7 2.4%

S&P BSE Oil & Gas 15,735.0 14,642.1 7.5%

S&P BSE Power 1,986.0 1,934.4 2.7%

S&P BSE Realty 2,063.0 1,978.0 4.3%

S&P BSE Teck 7,462.0 7,654.0 -2.5%

November 2019

PRIME NUMBERS

Debt Markets

Volatility Index (VIX)

Government Securities Yield (in %) Oct-19 Sep-19 Change (bps)

Corporate Bond Yields (in %) Oct-19 Sep-19 Change (bps)

Commercial Paper (in %) Oct-19 Sep-19 Change (bps)

Note : Data not available on Bloomberg for 3,6 and 12 month CP post 1/15/19and for 1 month CP post 3/27/18

T-Bills Yields (in %) Oct-19 Sep-19 Change (bps)

Note : Data not available on Bloomberg for 3,6 and 12 month Tbill post 3/28/18


31-Oct-19 30-Sep-19

VIX 16.28 15.87

10 year 6.45 6.70 -25

5 year 6.22 6.37 -15

3 year 5.79 6.13 -35

1 year 5.60 -560

AAA 10 year 8.01 7.94 6

AAA 5 year 7.52 7.66 -14

AAA 3 year 7.19 7.35 -16

AAA 1 year 6.48 6.92 -44

AA 10 year 8.47 8.46 1

AA 5 year 7.95 8.06 -11

AA 3 year 7.66 7.79 -12

AA 1 year 7.20 7.36 -16

12 Months 0

6 Months 0

3 Months 0

1 Month 0

91D TB 0

182D TB 0

364D TB 0

Note : Data not available on Bloomberg for 1 year G-sec yield as of October 31

November 2019

PRIME NUMBERS

10-year benchmark yields (%) across countries

Macro-economic Indicators

Consumer price index (CPI)

Wholesale price index (WPI)

MF Investment Oct-19 Sep-19 Fy19

FII Investment Oct-19 Sep-19 Fy19

Items Weights(%) Aug-19 Sep-19 Oct-19

*WPI numbers are based on new series with 2011-12 as the base year'


Countries 31-Oct-19 30-Sep-19 Change in bps

US 1.691 1.665 3

UK 0.629 0.488 14

Japan (0.133) (0.213) 8

Spain 0.234 0.142 9

Germany (0.407) (0.571) 16

France (0.099) (0.277) 18

Italy 0.923 0.822 10

Brazil 6.491 7.047 (56)

China 3.282 3.141 14

India 6.452 6.702 (25)

Equity 3,427 11,029 87,667

Debt 41,537 31,354 3,89,356

Equity 14,656 6,674 9,722

Debt 5,055 (1,913) (39,425)

Food&bev. 45.86 2.96 4.70 6.93

Pan,tob& intox. 2.38 5.00 4.59 3.92

Cloth & Foot 6.53 1.23 0.96 1.65

Housing 10.07 4.84 4.75 4.58

Fuel & light 6.84 -1.70 -2.18 -2.02

Misc. 28.31 4.71 4.45 3.45

CPI 100 3.21 3.99 4.62

Weights Aug-19 Sep-19 Oct-19

WPI 100.0 1.1 0.3 0.2

Primary Articles 22.6 6.4 5.5 6.4

Fuel & Power 13.2 -4.0 -7.1 -8.3

Manufactured Goods 64.2 0.0 -0.4 -0.8

Month

November 2019

PRIME NUMBERS

Commodities

Mutual Funds: Category Average Returns

Equity Funds Returns (in %)

Debt Funds Returns (in %)

Index of industrial production (IIP) Sector-wise growth rate (%)

Currencies and Commodities

Currencies

Sources for above data: Bloomberg, Reuters, CRISIL, MOSPI, ICICIdirect.com Research

*IIP numbers are based on new series with 2011-12 as the base year'

Returns as on June 28, 2019

Returns as on June 28, 2019


Categories 30-Sep-19 31-Aug-19 31-Jul-19 Weight(%)

Mining -6.0 -8.1 -6.0 14.4

Manufacturing -1.6 -3.7 3.5 77.6

Electricity -4.2 -2.4 -1.9 8.0

Overall -2.3 -4.0 1.8 100.0

31-Oct-19 30-Sep-19 Change (%) Status

USDINR 70.9 70.9 0.1% Depreciated

EURINR 79.2 77.3 2.4% Depreciated

GBPINR 91.9 87.3 5.3% Depreciated

AUDINR 48.9 47.9 2.2% Depreciated

CHFINR 71.9 71.2 0.9% Depreciated

JPYINR 0.7 0.7 0.2% Depreciated

CNYINR 10.1 9.9 1.6% Depreciated


Crude ($/barrel) 60.2 60.8 -0.9%

Gold ($/ounce) 1,513.0 1,472.5 2.8%

Multicap Midcap Large Cap Small cap ELSS

6 months 1.54 0.68 3.22 -3.89 0.74

1 year 10.29 7.75 16.52 2.59 10.90

3 year 7.61 4.71 9.16 2.59 8.00

5 year 8.94 9.12 8.74 8.61 9.27

Liquid Debt ST Ultra ST Debt LT

6 months 6.03 2.73 6.78 18.37

1 year 6.65 5.70 7.02 17.27

3 year 6.68 5.61 6.47 7.76

November 2019

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