Table of Contents
SBI Blue Chip Fund and DSP BlackRock Focus Fund both belong to the large-cap category of Equity Funds. Though both the schemes belong to the same category, nevertheless; they both differ on various parameters. On a general note, Large cap funds are a part of equity funds. These schemes have a Market capitalization of more than INR 10,000 crores and form the top of the pyramid when equity funds are compared on the Basis of market capitalization. Large-cap funds generally show a steady growth and performance. These companies are huge in size, Capital, and manpower. Though SBI Blue Chip Fund and DSP BlackRock Focus Fund belong to the same category, yet they differ on account of various parameters. So, let us understand the differences between both the schemes.
SBI Blue Chip Fund is an open-ended large-cap scheme and is managed by SBI Mutual Fund. This scheme is suitable for individuals seeking for exposure in Indian bluechip companies and having an investment horizon of medium to long-term. The objective of the scheme is to achieve long-term capital appreciation by Investing in an active and diversified basket of equity stocks of large-cap companies. As per the scheme’s investment composition, it invests around 70-100% of its investments in equity and equity-related instruments while the remaining in fixed Income instruments. Some of the constituents of SBI Blue Chip Equity Fund as on March 31, 2018, included HDFC Bank Limited, Larsen & Toubro Limited, ITC Limited, and Nestle India Limited. SBI Blue Chip Fund is solely managed by Ms. Sohini Andani.
DSP BlackRock Focus Fund (earlier known as DSP BlackRock Focus 25 Fund) is managed and offered by DSP BlackRock Mutual Fund. This open-ended large-cap scheme was launched on June 10, 2010. The investment objective of DSP BlackRock Focus Fund is to attain long-term capital growth by predominantly investing in equity and equity-related instruments of various companies. DSP BlackRock Focus Fund is jointly managed by Mr. Harrish Zaveri and Mr. Jay Kothari. HDFC Bank Limited, Maruti Suzuki India Limited, Larsen & Toubro Limited, Reliance Industries Limited, and IndusInd Bank Limited are the top 5 constituents of the scheme’s Portfolio as on March 31, 2018. Based on the prescribed Asset Allocation of the scheme, it invests around 65-100% of its pooled money in equity and equity-related instruments while the remaining proportion in Fixed Income instruments.
There are differences between both the schemes on account of various parameters though they belong to the same category. So, let’s understand the differences between SBI Blue Chip Fund and DSP BlackRock Focus Fund by comparing numerous parameters that are divided into four sections, namely, basics section, performance section, yearly performance section, and other details section.
It is the first section in the comparison of both the schemes and includes parameters like current NAV, Fincash Rating, and scheme category. To begin with the current NAV, it can be said that there is a difference between the NAV of both the schemes. As on April 23, 2018, the NAV of SBI Blue Chip Fund was approximately INR 38 while the NAV of DSP BlackRock Focus Fund was approximately INR 22. The comparison of Fincash Rating reveals that SBI Mutual Fund’s scheme is a 4-Star rated scheme while DSP BlackRock Mutual Fund’s scheme is a 3-Star rated scheme. With respect to scheme category, it can be said that both the schemes belong to the same category, that is, Equity Large Cap. The summary comparison of the basics section is as shown in the table given below.
Parameters Basics NAV Net Assets (Cr) Launch Date Rating Category Sub Cat. Category Rank Risk Expense Ratio Sharpe Ratio Information Ratio Alpha Ratio Benchmark Exit Load SBI Bluechip Fund
Growth
Fund Details ₹89.2887 ↑ 0.10 (0.12 %) ₹49,177 on 30 Jun 24 14 Feb 06 ☆☆☆☆ Equity Large Cap 9 Moderately High 1.64 1.55 0 0 Not Available 0-1 Years (1%),1 Years and above(NIL) DSP BlackRock Focus Fund
Growth
Fund Details ₹51.945 ↑ 0.07 (0.14 %) ₹2,516 on 30 Jun 24 10 Jun 10 ☆☆☆ Equity Focused 27 Moderately High 2.15 2.23 -0.5 1.57 Not Available 0-12 Months (1%),12 Months and above(NIL)
This being the second section, it compares the Compounded Annual Growth Rate or CAGR returns of both the schemes. These returns are compared at various intervals such as 1 Month Return, 6 Month Return, 3 Year Return, and Return since Inception. The comparison of CAGR returns shows that in almost all the instances, the performance of SBI Blue Chip Fund is better as compared to the performance of DSP BlackRock Focus Fund. The table given below summarizes the comparison of performance section.
Parameters Performance 1 Month 3 Month 6 Month 1 Year 3 Year 5 Year Since launch SBI Bluechip Fund
Growth
Fund Details 2.4% 10.4% 16.7% 24.9% 16.7% 18.3% 12.6% DSP BlackRock Focus Fund
Growth
Fund Details 1.7% 13.3% 19.7% 38.9% 16.2% 18.4% 12.4%
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It is the third section in the comparison that analyses the absolute returns generated by both the schemes for a particular year. While comparing the absolute returns, we can say that for certain years, DSP BlackRock Focus Fund has done well while in others SBI Blue Chip Fund has done better. The summary comparison of the yearly performance section is tabulated as follows.
Parameters Yearly Performance 2023 2022 2021 2020 2019 SBI Bluechip Fund
Growth
Fund Details 22.6% 4.4% 26.1% 16.3% 11.6% DSP BlackRock Focus Fund
Growth
Fund Details 34.2% -4.5% 22.3% 9% 18%
It is the last section in the comparison of the schemes that includes elements like AUM, minimum SIP and lumpsum investment, and so on. While comparing the AUM, of both the schemes, we can say that there is a drastic difference between the AUM of both the schemes. As on March 31, 2018, the AUM of SBI Blue Chip Fund was INR 17,724 Crores while of DSP BlackRock Focus Fund is INR 2,830 Crores. However, the minimum SIP investment for both the schemes is same, that is, INR 500. On the contrary, the minimum lumpsum amount for both the schemes is different. With respect to SBI Blue Chip Fund, the lumpsum amount is INR 5,000 and for DSP BlackRock Focus Fund it is INR 1,000. The table given below summarizes the comparison of other details section.
Parameters Other Details Min SIP Investment Min Investment Fund Manager SBI Bluechip Fund
Growth
Fund Details ₹500 ₹5,000 Saurabh Pant - 0.25 Yr. DSP BlackRock Focus Fund
Growth
Fund Details ₹500 ₹1,000 Vinit Sambre - 4.08 Yr.
SBI Bluechip Fund
Growth
Fund Details Growth of 10,000 investment over the years.
Date Value 30 Jun 19 ₹10,000 30 Jun 20 ₹8,753 30 Jun 21 ₹13,582 30 Jun 22 ₹13,702 30 Jun 23 ₹17,229 30 Jun 24 ₹21,649 DSP BlackRock Focus Fund
Growth
Fund Details Growth of 10,000 investment over the years.
Date Value 30 Jun 19 ₹10,000 30 Jun 20 ₹9,022 30 Jun 21 ₹13,655 30 Jun 22 ₹12,265 30 Jun 23 ₹15,182 30 Jun 24 ₹21,705
SBI Bluechip Fund
Growth
Fund Details Asset Allocation
Asset Class Value Cash 3.07% Equity 96.93% Equity Sector Allocation
Sector Value Financial Services 29.26% Consumer Cyclical 15.83% Consumer Defensive 10.46% Industrials 10% Technology 8.61% Basic Materials 6.66% Health Care 5.89% Energy 5.58% Real Estate 2.62% Communication Services 2.47% Utility 0.25% Top Securities Holdings / Portfolio
Name Holding Value Quantity HDFC Bank Ltd (Financial Services)
Equity, Since 31 Mar 09 | HDFCBANK8% ₹4,117 Cr 24,450,000
↑ 2,450,000 ICICI Bank Ltd (Financial Services)
Equity, Since 31 Mar 06 | ICICIBANK7% ₹3,479 Cr 29,000,000 Reliance Industries Ltd (Energy)
Equity, Since 31 Mar 15 | RELIANCE5% ₹2,442 Cr 7,800,000
↑ 1,429,085 Larsen & Toubro Ltd (Industrials)
Equity, Since 28 Feb 09 | LT4% ₹2,199 Cr 6,198,441 Infosys Ltd (Technology)
Equity, Since 30 Nov 17 | INFY4% ₹2,146 Cr 13,700,000 ITC Ltd (Consumer Defensive)
Equity, Since 29 Feb 12 | ITC4% ₹2,137 Cr 50,300,000 Tata Consultancy Services Ltd (Technology)
Equity, Since 31 Mar 24 | TCS4% ₹1,781 Cr 4,562,331
↑ 1,667,328 Kotak Mahindra Bank Ltd (Financial Services)
Equity, Since 31 Mar 16 | KOTAKBANK3% ₹1,658 Cr 9,200,000 Britannia Industries Ltd (Consumer Defensive)
Equity, Since 31 Oct 14 | 5008253% ₹1,425 Cr 2,601,838 Cholamandalam Investment and Finance Co Ltd (Financial Services)
Equity, Since 31 Jan 15 | CHOLAFIN3% ₹1,322 Cr 9,284,982
↑ 1,984,982 DSP BlackRock Focus Fund
Growth
Fund Details Asset Allocation
Asset Class Value Cash 3.14% Equity 96.86% Equity Sector Allocation
Sector Value Financial Services 31.13% Consumer Cyclical 12.34% Industrials 11.5% Basic Materials 10.5% Technology 9.93% Health Care 9.2% Energy 5.86% Real Estate 3.99% Utility 2.42% Top Securities Holdings / Portfolio
Name Holding Value Quantity Bajaj Finance Ltd (Financial Services)
Equity, Since 31 May 22 | BAJFINANCE6% ₹158 Cr 221,914 ICICI Bank Ltd (Financial Services)
Equity, Since 31 Oct 16 | ICICIBANK5% ₹138 Cr 1,148,242
↑ 216,223 Kirloskar Oil Engines Ltd (Industrials)
Equity, Since 31 Dec 23 | KIRLOSENG5% ₹121 Cr 865,160 HDFC Bank Ltd (Financial Services)
Equity, Since 31 Jul 23 | HDFCBANK5% ₹114 Cr 677,687 Infosys Ltd (Technology)
Equity, Since 31 Oct 19 | INFY4% ₹112 Cr 717,698
↑ 165,042 Axis Bank Ltd (Financial Services)
Equity, Since 31 Jan 23 | AXISBANK4% ₹112 Cr 885,319
↑ 201,295 Cholamandalam Investment and Finance Co Ltd (Financial Services)
Equity, Since 31 Aug 21 | CHOLAFIN4% ₹109 Cr 766,081 Polycab India Ltd (Industrials)
Equity, Since 31 Jul 22 | POLYCAB4% ₹103 Cr 152,252 Phoenix Mills Ltd (Real Estate)
Equity, Since 31 Jul 22 | PHOENIXLTD4% ₹100 Cr 279,455 Bharat Forge Ltd (Consumer Cyclical)
Equity, Since 28 Feb 22 | BHARATFORG4% ₹92 Cr 553,385
Thus, in a nutshell, it can be said that both the schemes differ on account of various parameters. However, individuals should take into account all these parameters before making any investment decisions. If required, they can even take help of financial advisors. This will help them to attain their goal within their investment tenure and ensure that their investment is safe.