Investment Objective and Approach

The primary investment objective of the Scheme is to generate long-term capital appreciation to unit holders from a portfolio that is invested predominantly in equity and equity related securities of companies engaged in Manufacturing activity. The fund maintains a minimum investment of 80% of total assets in equity & equity related instruments of a particular sector/particular theme.

The fund follows a focused investment approach by exclusively targeting companies within the manufacturing sector. The Investment Universe excludes sectors like Financial Services, IT Services, Logistics, Travel & Leisure, and Infrastructure Development. All companies selected are analyzed considering business fundamentals like nature and stability of business, prospects of future growth and scalability, financial discipline and returns, valuations relative to broad market and expected growth in earnings, the company's financial strength and track record.

The scheme can also allocate up to 20% of its net assets into cash, money market and debt instruments to manage its liquidity requirements. This thematic fund is launched on 23 December 1994 and has been serving investors for nearly three decades.

Key Investment Details (as of December 2024):

- AUM: ₹1,187 Cr as of 31-Dec-2024

- Returns since inception: 13.17%

- Expense Ratio (Direct Plan): 1.26%

- Minimum SIP Investment: ₹100, Minimum Lumpsum Investment: ₹1,000

- Exit Load: 1.00% if redeemed within 90 days, Nil thereafter

Fund Managers

The fund is managed by Harish Krishnan. Mr. Harish Krishnan is Co-CIO and Head Equity at Aditya Birla Sun Life AMC Limited. He has an experience of nearly 20 years in the Asset Management industry, both domestically and internationally. Prior to joining Aditya Birla Sun Life AMC Limited as the Co-CIO and Head Equity, he was associated with Kotak Mutual Fund for more than 10 years as Senior Fund Manager - Equity.

He has also worked at Kotak Mahindra (UK) Limited where he managed offshore funds based out of Singapore and Dubai. He holds a Bachelor's Degree in Engineering from the Government College, Trichur and has done his PGDBM from IIM Kozhikode. He is also a Chartered Financial Analyst from CFA Institute, USA.

Harish Krishnan, with an extensive experience of 15 years while managing equity & related investments, is focused on picking quality companies and holds them for a long duration to generate good compounding returns in their funds.

About the Fund House (AMC)

Aditya Birla Sun Life Mutual Fund (ABSLMF) is a collaborative venture jointly sponsored by Aditya Birla Capital Limited and Sun Life (India) AMC Investments Inc. Managed by Birla Sun Life Asset Management Company Limited, it is headquartered in Mumbai and was established in 1994, celebrating nearly 3 decades of successful operation in the Indian financial landscape.

The parent companies, Aditya Birla Group and Sun Life AMC Investments, Inc., are prominent financial entities with a substantial legacy in wealth creation and management. The Aditya Birla Group, one of the largest business conglomerates in India, boasts a gross revenue of $65 billion. Conversely, Sun Life is a global giant in life insurance, holding a significant position on the Fortune 500 list, with expertise extending to investment management.

The company is a joint venture between Aditya Birla Group and Sun Life Financial Inc, one of the leading international financial organizations. They are one of the leading asset managers in India, servicing around 8.25 million investor folios. Their PAN-India presence across 290+ locations serves investors all around the country. Their exemplary asset management skills and consistent risk-adjusted performance are backed by 30 years of strong research and expert fund management.

ABSLMF takes an active approach to make the entire mutual fund management process straightforward and transparent to ease it for both investors and channel partners. Their portfolio of financial products and services includes sector-specific equity options, treasury and debt products, fund of fund schemes and hybrid income funds, to name a few.

Should I Invest in Aditya Birla Sun Life Manufacturing Equity Fund?

This fund is suitable for investors who:

- Have a long-term investment horizon (5+ years)

- Believe in the growth potential of India's manufacturing sector

- Can tolerate high volatility associated with sectoral/thematic funds

- Seek exposure to manufacturing companies across various sub-sectors

Considerations:

This is a fund that invests mainly in companies that adhere to the narrow investment mandate mentioned in its investment objective. Value Research believes that investors should avoid funds that have a narrowly defined investment focus such as this one. Instead, they should invest in flexi-cap funds which provide complete freedom to the fund management team to invest in companies from which it expects maximum gains.

However, if you do invest, you must do so only through the SIP route. Do not invest in this, or any other thematic fund, if you need to redeem your investment in less than five years.

The fund has shown mixed performance with inconsistent outperformance of its benchmark index on an average 3-year rolling returns basis, making it not the most suitable fund for SIP according to some analysts.

FAQs

What is today's NAV of Aditya Birla Sun Life Manufacturing Equity Fund?

The NAV changes daily based on market movements. You can check the latest NAV on the AMC's official website or financial platforms like Groww, Angel One, or INDmoney.

What is the AUM of Aditya Birla Sun Life Manufacturing Equity Fund?

The AUM of Aditya Birla Sun Life Manufacturing Equity Fund - Direct Plan Fund is ₹1,187 Cr as of 31-Dec-2024.

What is the expense ratio of Aditya Birla Sun Life Manufacturing Equity Fund?

The expense ratio of Aditya Birla Sun Life Manufacturing Equity Fund - Direct Plan is 1.26. Regular plans typically have higher expense ratios.

What are the returns of Aditya Birla Sun Life Manufacturing Equity Fund since inception?

The fund has delivered 13.17% returns since inception. Past performance doesn't guarantee future results.

What is the minimum SIP amount to invest in Aditya Birla Sun Life Manufacturing Equity Fund?

The minimum SIP Investment is ₹100. This makes it accessible for small investors to start their investment journey.

How do I invest in Aditya Birla Sun Life Manufacturing Equity Fund?

You can invest through Allvest platform, AMC's official website, or other registered mutual fund distributors. Complete your KYC, choose between direct/regular plans, and start investing through SIP or lump sum.

How to start a SIP in Aditya Birla Sun Life Manufacturing Equity Fund?

Register on Allvest, complete KYC verification, search for the fund, select SIP option, choose investment amount and frequency, set up payment mandate, and confirm your investment.

How do I automate an SIP in Aditya Birla Sun Life Manufacturing Equity Fund?

Set up a bank mandate or UPI autopay through Allvest platform. This will automatically deduct the SIP amount from your account on the chosen dates without manual intervention.

How can I withdraw/redeem my investment in Aditya Birla Sun Life Manufacturing Equity Fund?

Log into Allvest platform, go to your portfolio, select the fund, choose redemption option, specify amount or units to redeem, and confirm. The amount will be credited to your registered bank account within 3-4 working days.