Table of Contents
Best Government Bond Mutual Funds 2020
Want to invest during falling interest rates? Gilt Funds in India are an answer to this! Gilt Mutual Funds provide good returns during times of falling interest rates depending upon its maturity (or duration). Investors Investing in these funds need to have enough time for tracking their investments since the NAVs of these funds move very sharply with movement in interest rates. One needs to be careful in the entry and exit of their investments accurately.
More importantly, considering important parameters to shortlist or invest in the best Gilt funds can be an optimal way to strengthen your portfolio. We take you to some of those parameters, following the best Gilt funds or Best Performing Mutual Funds to Invest in 2020.
What are Government Bond Funds?
Corporations need money for their day-to-day requirements, and therefore borrow from lenders such as banks, mutual funds and Insurance companies. Similarly, when the Government of India needs money, it borrows through its banker, the Reserve Bank of India (RBI).
The RBI, in-turn, takes money from the lenders like banks, insurance companies and mutual funds; and passes it on to the government, and issues g-secs in return.
These g-secs have a specific tenure, at the end of which lenders give back the g-secs and take their money back. Many types of Debt fund invest in g-secs but g-sec funds invest only in g-secs. Although debt funds were introduced to the Indian mutual funds industry in 1994, Kotak Mahindra Asset Management Co. Ltd launched India’s first gilt fund in December 1998.
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Best Government Bond Mutual Funds To Invest In 2020
IDFC – GSF -IP is an open ended dedicated gilt scheme with an objective to generate optimal returns with high liquidity by investing in Government Securities.However there is no assurance that the investment objective of the scheme will be realized. IDFC Government Securities Fund - Investment Plan is a Debt - Government Bond fund was launched on 3 Dec 08. It is a fund with Moderate risk and has given a Below is the key information for IDFC Government Securities Fund - Investment Plan Returns up to 1 year are on (Erstwhile ICICI Prudential Long Term Gilt Fund) To generate income through investment in Gilts of various maturities. ICICI Prudential Gilt Fund is a Debt - Government Bond fund was launched on 19 Aug 99. It is a fund with Moderate risk and has given a Below is the key information for ICICI Prudential Gilt Fund Returns up to 1 year are on The Scheme aims to generate returns through investments in Central Govt Securities. DSP BlackRock Government Securities Fund is a Debt - Government Bond fund was launched on 30 Sep 99. It is a fund with Moderate risk and has given a Below is the key information for DSP BlackRock Government Securities Fund Returns up to 1 year are on (Erstwhile Axis Constant Maturity 10 Year Fund) To generate returns similar to that of 10 year government bonds. Axis Gilt Fund is a Debt - Government Bond fund was launched on 23 Jan 12. It is a fund with Moderate risk and has given a Below is the key information for Axis Gilt Fund Returns up to 1 year are on Fund NAV Net Assets (Cr) 3 MO (%) 6 MO (%) 1 YR (%) 3 YR (%) 2019 (%) Debt Yield (YTM) Mod. Duration Eff. Maturity IDFC Government Securities Fund - Investment Plan Growth ₹27.0645
↑ 0.00 ₹1,631 0.7 7.8 13 9.5 13.3 6.3% 5Y 7M 28D 7Y 4M 20D ICICI Prudential Gilt Fund Growth ₹75.7225
↓ -0.16 ₹4,232 0.6 7.1 12.3 8.2 10.8 6.31% 8Y 18D 12Y 10M 24D DSP BlackRock Government Securities Fund Growth ₹71.8967
↓ -0.04 ₹833 0.8 6.7 12.3 9.1 12.5 5.63% 6Y 3M 7D 9Y 1M 20D Axis Gilt Fund Growth ₹19.2529
↓ -0.04 ₹140 1.3 7.2 11.1 8.2 12 5.86% 6Y 6M 9Y 10M 24D Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 25 Sep 20 1. IDFC Government Securities Fund - Investment Plan
CAGR/Annualized return of 8.8% since its launch. Ranked 14 in Government Bond category. Return for 2019 was 13.3% , 2018 was 7.8% and 2017 was 3.1% . IDFC Government Securities Fund - Investment Plan
Growth Launch Date 3 Dec 08 NAV (25 Sep 20) ₹27.0645 ↑ 0.00 (0.01 %) Net Assets (Cr) ₹1,631 on 31 Aug 20 Category Debt - Government Bond AMC IDFC Asset Management Company Limited Rating ☆☆☆ Risk Moderate Expense Ratio 1.05 Sharpe Ratio 1.33 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 1,000 Exit Load NIL Yield to Maturity 6.3% Effective Maturity 7 Years 4 Months 20 Days Modified Duration 5 Years 7 Months 28 Days Growth of 10,000 investment over the years.
Date Value 31 Aug 15 ₹10,000 31 Aug 16 ₹11,086 31 Aug 17 ₹12,270 31 Aug 18 ₹12,157 31 Aug 19 ₹14,310 31 Aug 20 ₹15,893 Returns for IDFC Government Securities Fund - Investment Plan
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 25 Sep 20 Duration Returns 1 Month 0.9% 3 Month 0.7% 6 Month 7.8% 1 Year 13% 3 Year 9.5% 5 Year 9.7% 10 Year 15 Year Since launch 8.8% Historical performance (Yearly) on absolute basis
Year Returns 2019 13.3% 2018 7.8% 2017 3.1% 2016 13.9% 2015 6% 2014 16.5% 2013 6.3% 2012 13% 2011 9.9% 2010 4% Fund Manager information for IDFC Government Securities Fund - Investment Plan
Name Since Tenure Suyash Choudhary 15 Oct 10 9.89 Yr. Data below for IDFC Government Securities Fund - Investment Plan as on 31 Aug 20
Asset Allocation
Asset Class Value Cash 0.44% Debt 99.56% Debt Sector Allocation
Sector Value Government 99.56% Cash Equivalent 0.44% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity 6.79% Govt Stock 2027
Sovereign Bonds | -48% ₹790 Cr 76,200,000
↑ 76,200,000 7.26% Govt Stock 2029
Sovereign Bonds | -35% ₹564 Cr 53,100,000
↑ 53,100,000 7.17% Govt Stock 2028
Sovereign Bonds | -17% ₹270 Cr 25,606,300
↑ 25,600,000 Triparty Repo
CBLO/Reverse Repo | -1% ₹21 Cr Net Current Assets
Net Current Assets | -1% -₹15 Cr Cash Margin - Ccil
CBLO/Reverse Repo | -0% ₹2 Cr 2. ICICI Prudential Gilt Fund
CAGR/Annualized return of 10.1% since its launch. Ranked 5 in Government Bond category. Return for 2019 was 10.8% , 2018 was 6.8% and 2017 was 2.1% . ICICI Prudential Gilt Fund
Growth Launch Date 19 Aug 99 NAV (25 Sep 20) ₹75.7225 ↓ -0.16 (-0.21 %) Net Assets (Cr) ₹4,232 on 31 Aug 20 Category Debt - Government Bond AMC ICICI Prudential Asset Management Company Limited Rating ☆☆☆☆ Risk Moderate Expense Ratio 0.92 Sharpe Ratio 1.25 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 1,000 Exit Load NIL Yield to Maturity 6.31% Effective Maturity 12 Years 10 Months 24 Days Modified Duration 8 Years 18 Days Growth of 10,000 investment over the years.
Date Value 31 Aug 15 ₹10,000 31 Aug 16 ₹11,472 31 Aug 17 ₹12,578 31 Aug 18 ₹12,668 31 Aug 19 ₹14,198 31 Aug 20 ₹15,722 Returns for ICICI Prudential Gilt Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 25 Sep 20 Duration Returns 1 Month 1% 3 Month 0.6% 6 Month 7.1% 1 Year 12.3% 3 Year 8.2% 5 Year 9.4% 10 Year 15 Year Since launch 10.1% Historical performance (Yearly) on absolute basis
Year Returns 2019 10.8% 2018 6.8% 2017 2.1% 2016 18.2% 2015 5.5% 2014 18% 2013 0.3% 2012 11% 2011 5.9% 2010 5.3% Fund Manager information for ICICI Prudential Gilt Fund
Name Since Tenure Rahul Goswami 27 Sep 12 7.93 Yr. Anuj Tagra 30 Oct 13 6.84 Yr. Data below for ICICI Prudential Gilt Fund as on 31 Aug 20
Asset Allocation
Asset Class Value Debt 101.18% Debt Sector Allocation
Sector Value Government 101.18% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity 6.19% Govt Stock 2034
Sovereign Bonds | -40% ₹1,673 Cr 171,500,000
↑ 37,500,000 5.77% GOI 2030
Sovereign Bonds | -34% ₹1,437 Cr 147,500,000
↑ 142,500,000 7.57% Govt Stock 2033
Sovereign Bonds | -7% ₹303 Cr 27,800,000
↓ -22,500,000 7.19% Govt Stock 2060
Sovereign Bonds | -5% ₹217 Cr 20,500,000
↑ 1,000,000 6.68% Govt Stock 2031
Sovereign Bonds | -4% ₹148 Cr 14,500,000
↓ -7,500,000 8.33% Govt Stock 2026
Sovereign Bonds | -3% ₹111 Cr 10,000,000 7.59% Govt Stock 2026
Sovereign Bonds | -2% ₹76 Cr 7,000,000
↓ -500,000 8.15% Govt Stock 2026
Sovereign Bonds | -2% ₹72 Cr 6,500,000 08.31 RJ SDL 2027
Sovereign Bonds | -2% ₹66 Cr 6,000,000 7.27% Govt Stock 2026
Sovereign Bonds | -1% ₹53 Cr 5,000,000
↑ 5,000,000 3. DSP BlackRock Government Securities Fund
CAGR/Annualized return of 9.9% since its launch. Ranked 9 in Government Bond category. Return for 2019 was 12.5% , 2018 was 7.4% and 2017 was 1.4% . DSP BlackRock Government Securities Fund
Growth Launch Date 30 Sep 99 NAV (25 Sep 20) ₹71.8967 ↓ -0.04 (-0.05 %) Net Assets (Cr) ₹833 on 31 Aug 20 Category Debt - Government Bond AMC DSP BlackRock Invmt Managers Pvt. Ltd. Rating ☆☆☆ Risk Moderate Expense Ratio 1.37 Sharpe Ratio 1.28 Information Ratio -0.3 Alpha Ratio 1.18 Min Investment 1,000 Min SIP Investment 500 Exit Load 0-7 Days (0.1%),7 Days and above(NIL) Yield to Maturity 5.63% Effective Maturity 9 Years 1 Month 20 Days Modified Duration 6 Years 3 Months 7 Days Growth of 10,000 investment over the years.
Date Value 31 Aug 15 ₹10,000 31 Aug 16 ₹11,314 31 Aug 17 ₹12,251 31 Aug 18 ₹12,198 31 Aug 19 ₹14,195 31 Aug 20 ₹15,677 Returns for DSP BlackRock Government Securities Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 25 Sep 20 Duration Returns 1 Month 1.5% 3 Month 0.8% 6 Month 6.7% 1 Year 12.3% 3 Year 9.1% 5 Year 9.5% 10 Year 15 Year Since launch 9.9% Historical performance (Yearly) on absolute basis
Year Returns 2019 12.5% 2018 7.4% 2017 1.4% 2016 15.3% 2015 6.2% 2014 15% 2013 1.3% 2012 9% 2011 3.6% 2010 5% Fund Manager information for DSP BlackRock Government Securities Fund
Name Since Tenure Vikram Chopra 17 Jul 16 4.13 Yr. Saurabh Bhatia 1 Mar 18 2.5 Yr. Data below for DSP BlackRock Government Securities Fund as on 31 Aug 20
Asset Allocation
Asset Class Value Cash 22.33% Debt 80.74% Debt Sector Allocation
Sector Value Government 80.74% Cash Equivalent 22.33% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity 6.19% Govt Stock 2034
Sovereign Bonds | -42% ₹347 Cr 35,000,000
↓ -17,000,000 5.77% GOI 2030
Sovereign Bonds | -25% ₹210 Cr 21,500,000
↑ 21,500,000 7.27% Govt Stock 2026
Sovereign Bonds | -14% ₹115 Cr 10,500,000
↑ 10,500,000 6.45% Goi 07102029 24sep20
Derivatives | -3% -₹26 Cr 2,500,000
↑ 2,500,000 Net Receivables/Payables
Net Current Assets | -18% ₹151 Cr Cash Offset For Derivatives
Derivative Margin | -3% ₹26 Cr 2,559
↑ 2,559 Treps / Reverse Repo Investments / Corporate Debt Repo
CBLO/Reverse Repo | -1% ₹5 Cr Cash Margin
Net Current Assets | -0% ₹3 Cr 4. Axis Gilt Fund
CAGR/Annualized return of 7.8% since its launch. Ranked 16 in Government Bond category. Return for 2019 was 12% , 2018 was 5.3% and 2017 was 1.4% . Axis Gilt Fund
Growth Launch Date 23 Jan 12 NAV (25 Sep 20) ₹19.2529 ↓ -0.04 (-0.19 %) Net Assets (Cr) ₹140 on 31 Aug 20 Category Debt - Government Bond AMC Axis Asset Management Company Limited Rating ☆ Risk Moderate Expense Ratio 0.66 Sharpe Ratio 1.22 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 1,000 Exit Load NIL Yield to Maturity 5.86% Effective Maturity 9 Years 10 Months 24 Days Modified Duration 6 Years 6 Months Growth of 10,000 investment over the years.
Date Value 31 Aug 15 ₹10,000 31 Aug 16 ₹11,202 31 Aug 17 ₹12,061 31 Aug 18 ₹11,888 31 Aug 19 ₹13,763 31 Aug 20 ₹15,132 Returns for Axis Gilt Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 25 Sep 20 Duration Returns 1 Month 1% 3 Month 1.3% 6 Month 7.2% 1 Year 11.1% 3 Year 8.2% 5 Year 8.6% 10 Year 15 Year Since launch 7.8% Historical performance (Yearly) on absolute basis
Year Returns 2019 12% 2018 5.3% 2017 1.4% 2016 13.7% 2015 6.3% 2014 15% 2013 -0.6% 2012 2011 2010 Fund Manager information for Axis Gilt Fund
Name Since Tenure Devang Shah 5 Nov 12 7.83 Yr. Kaustubh Sule 4 Sep 20 0 Yr. Data below for Axis Gilt Fund as on 31 Aug 20
Asset Allocation
Asset Class Value Cash 14.8% Debt 85.2% Debt Sector Allocation
Sector Value Government 85.2% Cash Equivalent 14.8% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity 6.19% Govt Stock 2034
Sovereign Bonds | -42% ₹60 Cr 6,100,000
↑ 500,000 5.77% GOI 2030
Sovereign Bonds | -31% ₹44 Cr 4,500,000
↑ 4,500,000 7.26% Govt Stock 2029
Sovereign Bonds | -8% ₹11 Cr 1,000,000
↓ -4,000,000 8.18% HR SDL Spl 2024
Domestic Bonds | -4% ₹5 Cr 500,000 Clearing Corporation Of India Ltd
CBLO | -13% ₹19 Cr Net Receivables / (Payables)
Net Current Assets | -2% ₹2 Cr
Best 10 Year-Government Bond Mutual Funds To Invest In 2020
(Erstwhile IDFC Government Securities Fund - Short Term Plan) IDFC – GSF -ST is an open ended dedicated gilt scheme with an objective to generate optimal returns with high liquidity by investing Government Securities.
However there is no assurance that the investment objective of the scheme will be realized. IDFC Government Securities Fund - Constant Maturity Plan is a Debt - 10 Yr Govt Bond fund was launched on 9 Mar 02. It is a fund with Moderate risk and has given a Below is the key information for IDFC Government Securities Fund - Constant Maturity Plan Returns up to 1 year are on The Scheme aims to provide reasonable returns by investing in portfolio of Government Securities with average maturity of around 10 years. However, there can be no assurance that the investment objective of the
Scheme will be realized. ICICI Prudential Constant Maturity Gilt Fund is a Debt - 10 Yr Govt Bond fund was launched on 12 Sep 14. It is a fund with Moderate risk and has given a Below is the key information for ICICI Prudential Constant Maturity Gilt Fund Returns up to 1 year are on (Erstwhile SBI Magnum Gilt Fund Short Term) To provide the investors with the returns generated through investments in government securities issued by the Central Govt. and State Govt. SBI Magnum Constant Maturity Fund is a Debt - 10 Yr Govt Bond fund was launched on 30 Dec 00. It is a fund with Moderately Low risk and has given a Below is the key information for SBI Magnum Constant Maturity Fund Returns up to 1 year are on (Erstwhile DSP BlackRock Constant Maturity 10Y G-Sec Fund) The investment objective of the Scheme is to seek to generate returns commensurate with risk from a portfolio of Government Securities with weighted average maturity of around 10 years. There is no assurance that the investment objective of the Scheme will be realized. DSP BlackRock 10Y G-Sec Fund is a Debt - 10 Yr Govt Bond fund was launched on 26 Sep 14. It is a fund with Moderate risk and has given a Below is the key information for DSP BlackRock 10Y G-Sec Fund Returns up to 1 year are on Fund NAV Net Assets (Cr) 3 MO (%) 6 MO (%) 1 YR (%) 3 YR (%) 2019 (%) Debt Yield (YTM) Mod. Duration Eff. Maturity IDFC Government Securities Fund - Constant Maturity Plan Growth ₹34.851
↓ -0.01 ₹302 0.5 7.1 12.6 11.9 14.2 6.39% 6Y 3M 14D 8Y 6M 14D ICICI Prudential Constant Maturity Gilt Fund Growth ₹18.6137
↓ -0.01 ₹263 1.2 7.6 13.1 10.4 12.8 6.16% 7Y 4D 9Y 8M 19D SBI Magnum Constant Maturity Fund Growth ₹48.513
↓ -0.01 ₹733 0.8 6.4 10.7 10.4 11.9 6.31% 6Y 9M 9Y 9M 18D DSP BlackRock 10Y G-Sec Fund Growth ₹17.1665
↓ -0.04 ₹42 0.1 6.2 11.5 7.8 10.8 5.94% 6Y 11M 16D 9Y 4M 2D Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 25 Sep 20 1. IDFC Government Securities Fund - Constant Maturity Plan
CAGR/Annualized return of 7% since its launch. Ranked 2 in 10 Yr Govt Bond category. Return for 2019 was 14.2% , 2018 was 11.8% and 2017 was 6.2% . IDFC Government Securities Fund - Constant Maturity Plan
Growth Launch Date 9 Mar 02 NAV (25 Sep 20) ₹34.851 ↓ -0.01 (-0.03 %) Net Assets (Cr) ₹302 on 31 Aug 20 Category Debt - 10 Yr Govt Bond AMC IDFC Asset Management Company Limited Rating ☆☆☆ Risk Moderate Expense Ratio 0.47 Sharpe Ratio 1.3 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 1,000 Exit Load NIL Yield to Maturity 6.39% Effective Maturity 8 Years 6 Months 14 Days Modified Duration 6 Years 3 Months 14 Days Growth of 10,000 investment over the years.
Date Value 31 Aug 15 ₹10,000 31 Aug 16 ₹10,998 31 Aug 17 ₹12,029 31 Aug 18 ₹12,433 31 Aug 19 ₹15,115 31 Aug 20 ₹16,722 Returns for IDFC Government Securities Fund - Constant Maturity Plan
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 25 Sep 20 Duration Returns 1 Month 0.9% 3 Month 0.5% 6 Month 7.1% 1 Year 12.6% 3 Year 11.9% 5 Year 10.9% 10 Year 15 Year Since launch 7% Historical performance (Yearly) on absolute basis
Year Returns 2019 14.2% 2018 11.8% 2017 6.2% 2016 10.1% 2015 9% 2014 12.6% 2013 10.6% 2012 8.6% 2011 1.9% 2010 3.5% Fund Manager information for IDFC Government Securities Fund - Constant Maturity Plan
Name Since Tenure Harshal Joshi 15 May 17 3.3 Yr. Data below for IDFC Government Securities Fund - Constant Maturity Plan as on 31 Aug 20
Asset Allocation
Asset Class Value Cash 1.92% Debt 98.08% Debt Sector Allocation
Sector Value Government 98.08% Cash Equivalent 1.92% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity 7.26% Govt Stock 2029
Sovereign Bonds | -85% ₹257 Cr 24,200,000
↑ 24,000,000 6.79% Govt Stock 2029
Sovereign Bonds | -10% ₹31 Cr 3,000,000
↑ 3,000,000 6.19% Govt Stock 2034
Sovereign Bonds | -2% ₹5 Cr 500,000
↑ 500,000 6.79% Govt Stock 2027
Sovereign Bonds | -1% ₹2 Cr 200,000 7.17% Govt Stock 2028
Sovereign Bonds | -0% ₹1 Cr 100,000 Triparty Repo
CBLO/Reverse Repo | -1% ₹3 Cr Net Current Assets
Net Current Assets | -1% ₹2 Cr Cash Margin - Ccil
CBLO/Reverse Repo | -0% ₹1 Cr 2. ICICI Prudential Constant Maturity Gilt Fund
CAGR/Annualized return of 10.8% since its launch. Ranked 6 in 10 Yr Govt Bond category. Return for 2019 was 12.8% , 2018 was 9.7% and 2017 was 2.4% . ICICI Prudential Constant Maturity Gilt Fund
Growth Launch Date 12 Sep 14 NAV (25 Sep 20) ₹18.6137 ↓ -0.01 (-0.05 %) Net Assets (Cr) ₹263 on 31 Aug 20 Category Debt - 10 Yr Govt Bond AMC ICICI Prudential Asset Management Company Limited Rating ☆☆☆ Risk Moderate Expense Ratio 0.33 Sharpe Ratio 1.47 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 1,000 Exit Load 0-7 Days (0.25%),7 Days and above(NIL) Yield to Maturity 6.16% Effective Maturity 9 Years 8 Months 19 Days Modified Duration 7 Years 4 Days Growth of 10,000 investment over the years.
Date Value 31 Aug 15 ₹10,000 31 Aug 16 ₹11,377 31 Aug 17 ₹12,395 31 Aug 18 ₹12,487 31 Aug 19 ₹14,817 31 Aug 20 ₹16,463 Returns for ICICI Prudential Constant Maturity Gilt Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 25 Sep 20 Duration Returns 1 Month 1.3% 3 Month 1.2% 6 Month 7.6% 1 Year 13.1% 3 Year 10.4% 5 Year 10.5% 10 Year 15 Year Since launch 10.8% Historical performance (Yearly) on absolute basis
Year Returns 2019 12.8% 2018 9.7% 2017 2.4% 2016 16.2% 2015 6.9% 2014 2013 2012 2011 2010 Fund Manager information for ICICI Prudential Constant Maturity Gilt Fund
Name Since Tenure Rahul Goswami 12 Sep 14 5.97 Yr. Data below for ICICI Prudential Constant Maturity Gilt Fund as on 31 Aug 20
Asset Allocation
Asset Class Value Cash 2.07% Debt 97.93% Debt Sector Allocation
Sector Value Government 97.93% Cash Equivalent 2.07% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity 5.77% GOI 2030
Sovereign Bonds | -52% ₹136 Cr 14,000,000
↑ 14,000,000 7.88% GS 2030
Sovereign Bonds | -34% ₹89 Cr 8,000,000
↑ 5,000,000 7.61% Govt Stock 2030
Sovereign Bonds | -12% ₹33 Cr 3,000,000
↑ 3,000,000 Treps
CBLO/Reverse Repo | -2% ₹5 Cr Net Current Assets
Net Current Assets | -0% ₹0 Cr 3. SBI Magnum Constant Maturity Fund
CAGR/Annualized return of 8.3% since its launch. Ranked 1 in 10 Yr Govt Bond category. Return for 2019 was 11.9% , 2018 was 9.9% and 2017 was 6.2% . SBI Magnum Constant Maturity Fund
Growth Launch Date 30 Dec 00 NAV (25 Sep 20) ₹48.513 ↓ -0.01 (-0.02 %) Net Assets (Cr) ₹733 on 31 Aug 20 Category Debt - 10 Yr Govt Bond AMC SBI Funds Management Private Limited Rating ☆☆☆☆ Risk Moderately Low Expense Ratio 0.75 Sharpe Ratio 1.09 Information Ratio 0 Alpha Ratio 0 Min Investment 5,000 Min SIP Investment 500 Exit Load NIL Yield to Maturity 6.31% Effective Maturity 9 Years 9 Months 18 Days Modified Duration 6 Years 9 Months Growth of 10,000 investment over the years.
Date Value 31 Aug 15 ₹10,000 31 Aug 16 ₹11,073 31 Aug 17 ₹12,222 31 Aug 18 ₹12,738 31 Aug 19 ₹14,962 31 Aug 20 ₹16,310 Returns for SBI Magnum Constant Maturity Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 25 Sep 20 Duration Returns 1 Month 1.1% 3 Month 0.8% 6 Month 6.4% 1 Year 10.7% 3 Year 10.4% 5 Year 10.4% 10 Year 15 Year Since launch 8.3% Historical performance (Yearly) on absolute basis
Year Returns 2019 11.9% 2018 9.9% 2017 6.2% 2016 12.8% 2015 9.1% 2014 12.6% 2013 8.7% 2012 9.2% 2011 8.4% 2010 5.2% Fund Manager information for SBI Magnum Constant Maturity Fund
Name Since Tenure Dinesh Ahuja 25 Jan 20 0.6 Yr. Data below for SBI Magnum Constant Maturity Fund as on 31 Aug 20
Asset Allocation
Asset Class Value Cash 1.62% Debt 98.38% Debt Sector Allocation
Sector Value Government 98.38% Cash Equivalent 1.62% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity 7.26% Govt Stock 2029
Sovereign Bonds | -54% ₹398 Cr 37,500,000
↑ 12,000,000 7.57% Govt Stock 2033
Sovereign Bonds | -26% ₹191 Cr 17,500,000
↑ 500,000 5.79% Govt Stock 2030
Sovereign Bonds | -16% ₹117 Cr 12,000,000
↑ 500,000 6.19% Govt Stock 2034
Sovereign Bonds | -1% ₹10 Cr 1,000,000
↑ 1,000,000 6.45% Govt Stock 2029
Sovereign Bonds | -1% ₹5 Cr 500,000 Treps
CBLO/Reverse Repo | -1% ₹9 Cr Net Receivable / Payable
CBLO | -0% ₹3 Cr 4. DSP BlackRock 10Y G-Sec Fund
CAGR/Annualized return of 9.4% since its launch. Ranked 8 in 10 Yr Govt Bond category. Return for 2019 was 10.8% , 2018 was 5.9% and 2017 was 2.3% . DSP BlackRock 10Y G-Sec Fund
Growth Launch Date 26 Sep 14 NAV (25 Sep 20) ₹17.1665 ↓ -0.04 (-0.21 %) Net Assets (Cr) ₹42 on 31 Aug 20 Category Debt - 10 Yr Govt Bond AMC DSP BlackRock Invmt Managers Pvt. Ltd. Rating ☆☆☆ Risk Moderate Expense Ratio 0.46 Sharpe Ratio 1.06 Information Ratio 0 Alpha Ratio 0 Min Investment 1,000 Min SIP Investment 500 Exit Load 0-7 Days (0.1%),7 Days and above(NIL) Yield to Maturity 5.94% Effective Maturity 9 Years 4 Months 2 Days Modified Duration 6 Years 11 Months 16 Days Growth of 10,000 investment over the years.
Date Value 31 Aug 15 ₹10,000 31 Aug 16 ₹11,255 31 Aug 17 ₹12,444 31 Aug 18 ₹12,108 31 Aug 19 ₹14,073 31 Aug 20 ₹15,400 Returns for DSP BlackRock 10Y G-Sec Fund
absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 25 Sep 20 Duration Returns 1 Month 1% 3 Month 0.1% 6 Month 6.2% 1 Year 11.5% 3 Year 7.8% 5 Year 9% 10 Year 15 Year Since launch 9.4% Historical performance (Yearly) on absolute basis
Year Returns 2019 10.8% 2018 5.9% 2017 2.3% 2016 15.5% 2015 6.6% 2014 2013 2012 2011 2010 Fund Manager information for DSP BlackRock 10Y G-Sec Fund
Name Since Tenure Vikram Chopra 17 Jul 16 4.13 Yr. Vivek Ved 17 Jul 16 4.13 Yr. Data below for DSP BlackRock 10Y G-Sec Fund as on 31 Aug 20
Asset Allocation
Asset Class Value Cash 5.91% Debt 94.09% Debt Sector Allocation
Sector Value Government 94.09% Cash Equivalent 5.91% Credit Quality
Rating Value AAA 100% Top Securities Holdings / Portfolio
Name Holding Value Quantity 5.77% GOI 2030
Sovereign Bonds | -94% ₹39 Cr 4,000,000
↑ 4,000,000 Treps / Reverse Repo Investments / Corporate Debt Repo
CBLO/Reverse Repo | -5% ₹2 Cr Net Receivables/Payables
Net Current Assets | -1% ₹0 Cr
Returns and risks
Since g-secs are the most liquid of all instruments in the debt market, g-sec funds carry no credit risk because the Government of India is the borrower. Since the government typically doesn’t default unlike a corporate, gilt funds don’t carry a credit risk.
That is also why government securities are sovereign rated. That’s as good as—or considered to be better than—a AAA rating.
Risks
Does that mean g-sec funds carry no risk? No. They carry interest rate risk. Typically, g-sec funds invest in securities that mature over a long period of time. As a debt security’s maturity goes up, it becomes more sensitive to interest rate movements.
If interest rates drop, prices of debt securities rise. The higher maturity scrips’ prices rise sharper than the rest. Similarly, when interest rates rise, prices of debt securities fall. Here’s where g-sec funds can suffer the most, as their average maturity is typically the highest.
Typically, a g-sec fund’s average maturity is higher than the fund house’s own bond fund that invests a part of its portfolio in gilts. In fact, for a bond fund manager, the easiest way to increase a bond fund’s maturity is by buying gilts. Hence, gilt funds are usually more volatile than bond funds.
Returns
As per figures provided to us by Crisil, a rating agency, gilt funds have given 3-year returns of as high as 16% and as low as little less than zero returns—which means they have also lost money—between January 2007 and now. The 5-year returns in the same period have gone as high as 13% and as low as 1.02%.
Why Invest in Govt Bond Funds?
If you understand debt markets well, then gilt funds are for you. If you expect interest rates to fall, then a small exposure to gilt funds is a good idea because, typically, these funds move the most of all debt funds when interest rate move. Remember: in such times, you make money only when you actually withdraw your money and encash.
How to Invest in Govt Bond Funds Online?
Open Free Investment Account for Lifetime at Fincash.com.
Complete your Registration and KYC Process
Upload Documents (PAN, Aadhaar, etc.). And, You are Ready to Invest!
All efforts have been made to ensure the information provided here is accurate. However, no guarantees are made regarding correctness of data. Please verify with scheme information document before making any investment.
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