SBI Magnum Children's Benefit Fund - Investment Plan (Direct - Growth)
Fund Objective & Structure
An open-ended fund designed for children's future, featuring a lock-in period of at least 5 years or until the child reaches the age of majority. The scheme aims to provide long-term capital appreciation by primarily investing in equities across market caps and secondarily in debt instruments.
Key Information
- Fund Managers: Mr. R Srinivasan (Equity), Mr. Rajeev Radhakrishnan (Debt)
- AUM (May 2025): ₹ 3,589.14 Crores
- Benchmark: CRISIL Hybrid 35+65 - Aggressive Index
- Exit Load: Graded (3% for <1yr, 2% for 1-2yrs, 1% for 2-3yrs, Nil after 3yrs)
- Riskometer: 🚩 Very High
Performance Snapshot (CAGR)
Latest NAV (17 Jun 2025)
₹43.566
1-Year CAGR
9.68%
3-Year CAGR
26.31%
5-Year CAGR
33.94%
Portfolio Allocation & Debt Profile
Asset Allocation (% of AUM)
Debt & Cash Portion Details
| Metric | Value |
|---|---|
| Modified Duration | 0.0027 years |
| Average Maturity | 0.0027 years |
| Macaulay Duration | 0.0027 years |
| Yield to Maturity (YTM) | 5.82% |
Strategic Insights & Analysis
1. An Aggressive Growth Engine in Disguise
Despite its "Children's Fund" label, this is a high-octane growth fund. A staggering 48.96% of its portfolio is allocated to small-cap stocks. This aggressive stance is designed to leverage a child's long investment horizon (10-18 years) by betting on high-potential companies that could be tomorrow's market leaders. The "Very High" risk rating directly reflects this bold strategy.
2. Core & Satellite: Blending Stability with Disruption
The portfolio employs a sophisticated "core and satellite" approach. The Core consists of stable, large-cap titans like HDFC Bank, Bajaj Finserv, and ITC, providing a solid foundation. The Satellite component is a curated list of exciting, new-age disruptors like Ather Energy (EVs), Firstcry (E-commerce), and Mobikwik (Fintech), offering explosive growth potential.
3. The Strategic War Chest: Significance of ~22% in Cash
Holding a substantial 22.18% in cash and equivalents may seem counterintuitive for an aggressive fund, but it is a deliberate strategic move. This cash acts as a defensive cushion during market downturns and provides the fund manager with the dry powder to seize buying opportunities when valuations become attractive. It signals proactive, patient, and prudent risk management.
4. Outpacing Its Mandate: More Aggressive Than Its Benchmark
The fund's benchmark, the CRISIL Hybrid 35+65 - Aggressive Index, suggests a 65% equity allocation. However, the fund's actual equity and equity-like exposure is nearly 78%. This significant overweight position demonstrates the fund manager's strong conviction in their stock-picking ability to generate alpha and justifies the higher risk profile.
SBI Magnum Children's Benefit Fund - Investment Plan
Portfolio Overview
Investment Strategy: This fund maintains a high allocation to small-cap stocks (48.96%) with a long-term growth focus. The portfolio is diversified across sectors with a 5-year lock-in period to align with children's long-term financial goals.
Portfolio Holdings
Allocation as percentage of Total Assets Under Management (AUM):
Top Equity Holdings
Asset Distribution
Detailed Portfolio Holdings
| Issuer Name | % of Total AUM |
|---|---|
| Hatsun Agro Product Ltd. | 4.57 |
| Muthoot Finance Ltd. | 4.32 |
| HDFC Bank Ltd. | 4.28 |
| K.P.R. Mill Ltd. | 4.08 |
| Thangamayil Jewellery Ltd. | 3.98 |
| Ajax Engineering Ltd. | 3.98 |
| Aether Industries Ltd. | 3.94 |
| Bajaj Finserv Ltd. | 3.93 |
| ITC Ltd. | 3.84 |
| Sanathan Textiles Ltd. | 3.70 |
| Equity Shares (Total) | 70.80% |
| Renew Energy Global | 4.14 |
| Foreign Equity Shares (Total) | 4.14% |
| 182 Day T-Bill 05.06.25 (SOVEREIGN) | 0.14 |
| Treasury Bills (Total) | 0.14% |
| Cube Highways Trust | 2.74 |
| Infrastructure Investment Trust (Total) | 2.74% |
| Cash, Cash Equivalents, And Others | 22.18 |
| Grand Total | 100.00% |
Portfolio Classification
By Industry Allocation
By Asset Allocation
| Industry | Allocation % |
|---|---|
| Financial Services | 16.01% |
| Fast Moving Consumer Goods | 13.87% |
| Textiles | 10.26% |
| Consumer Durables | 7.51% |
| Consumer Services | 7.44% |
| Capital Goods | 5.65% |
| Automobile and Auto Components | 4.48% |
| Power | 4.14% |
| Chemicals | 3.94% |
| Services | 2.74% |
| Forest Materials | 1.64% |
| Sovereign | 0.14% |
| Cash, Cash Equivalents and Others | 22.18% |
| Asset Type | Allocation % |
|---|---|
| Small Cap | 48.96% |
| Large Cap | 16.83% |
| Midcap | 5.01% |
| Foreign Equity Shares | 4.14% |
| Infrastructure Investment Trust | 2.74% |
| Sovereign | 0.14% |
| Cash, Cash Equivalents and Others | 22.18% |
SBI Magnum Children’s Benefit Fund – vs Peer Comparison
| Metric | SBI Magnum Children's Benefit | HDFC Children's Gift Fund | ICICI Pru Equity & Debt Fund | Quant Absolute Fund |
|---|---|---|---|---|
| Category | Children's Fund (Aggressive Hybrid) | Children's Fund (Aggressive Hybrid) | Aggressive Hybrid | Aggressive Hybrid |
| 1-Year Return | ~ 35.2% | ~ 28.5% | ~ 32.1% | ~ 48.9% |
| 3-Year Return (CAGR) | ~ 22.5% | ~ 18.2% | ~ 20.8% | ~ 25.4% |
| Expense Ratio (Direct) | ~ 0.95% | ~ 0.80% | ~ 0.85% | ~ 0.77% |
| AUM (in ₹ Crores) | ~ 3,589 | ~ 7,100 | ~ 25,500 | ~ 8,200 |
| Risk Level | Very High | Very High | Very High | Very High |
| Key Feature | High Small-Cap bet, 5-yr lock-in | Balanced approach, large-cap bias | Category stalwart, consistent | Hyper-dynamic, momentum-driven |
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