SBI Magnum MidCap Direct Plan-Growth is an equity mutual fund scheme launched by SBI Mutual Fund. The scheme was launched for investors on 01 January 2013. Sohini Andani is the current fund manager of SBI Magnum Midcap Direct Plan-Growth. The fund currently has an Asset under Management (AUM) of up to 3,718 Cr, and the latest NAV is ₹82.63 as of February 14, 2020.
SBI Magnum MidCap Direct Plan-Growth is rated moderately high risk. The minimum investment in SIP is 500. The minimum investment in Lumpsum is 5000. If redeemed within one year, 1 percent of the exit fee will be charged if the units are redeemed within 1 year from the date of allotment of the units, and no exit fee for more than 1 year will be charged.
To provide investors with long-term growth opportunities in the capital with the liquidity of an open-ended plan by investing primarily in a well-diversified basket of equity shares of midcap companies and debt and money market instruments.
Tax Implications %
- 99.09% investment in Indian stocks
- 1.42% is in large-cap stocks
- 63.05% is in mid-cap stocks
- 28.65% in small-cap stocks
Fund Details
- Risk- Moderately High
- Min SIP Amount- ₹500
- Expense Ratio of- 1.21%
- NAV- ₹82.63 (14 Feb 2020)
- Fund Started- 01 Jan 2013
- Fund Size- ₹3,718 Cr
Returns
SBI Magnum mid-cap direct plan – one year 15.2%, Three Years 4.2%, Five years 8.1%.
SBI magnum midcap fund direct plan growth- Pros and Cons
The scheme yielded a 10-year return of 10.64 percent, and thus the average group (12.87 percent) underperformed but managed to beat the index benchmark (9.93 percent). There has been a vast underperformed of this scheme in the last year. As per SEBI guidelines, the universe for midcap stocks has been reduced from 300 to 150 stocks in half, and thus the scheme’s portfolio has been recently restructured.
- This scheme offers less risk than the benchmark
- Expense ratio low
- It’s one year return is more than the benchmark
- Risk-adjusted returns are lower than its range
- 3-year return is less than the benchmark
- 5Years return is less than the benchmark
The fund selects stocks that are based on compounding performance, capital efficiency, management quality and growth potential. Both in 2015 and 2016, which were good years for mid-cap stocks, but tough years for large-cap stocks, the fund achieved large outperformance as a benchmark for the group as well. This performance has resulted in three-year and five-year returns exceeding 4-9 percentage points in the segment and 2-6 percentage points on the benchmark.
Tax Benefits of investing in SBI Magnum Midcap Fund
Short-term capital gains earned on the sale of units within one year of the allocation date will be taxed at the rate of 15%. Long-term capital gains earned on the sale of units after one year from the date of allotment, at the rate of more than Rs 1 lakh and above, will be taxed at the rate of 10 percent (without indexing).
