Investment Objective and Approach

SBI Contra Fund seeks to provide investors with the opportunity of long-term capital appreciation by investing in a diversified portfolio of equity and equity related securities following a contrarian investment strategy. This fund follows a value/contrarian style of investing, which endeavours to find stocks that are priced significantly lower than what the fund management team believes is their true worth. The contrarian investment strategy targets the stocks or sectors that are presently not performing so well but hold great potential to grow in the future.

The fund maintains a minimum investment in equity & equity related instruments of 65% of total assets. These undervalued sectors or stocks are usually ignored by the majority of investors but experts or experienced investors can identify them with great precision.

The fund follows a systematic approach to identify fundamentally strong companies trading at attractive valuations. Value Research warns that investors should not invest in this, or any other value-oriented fund, if they need to redeem their investment in less than five years.

Fund Managers

The SBI Contra Fund is managed by a capable duo of experienced fund managers:

Dinesh Balachandran (Lead Fund Manager):

Dinesh Balachandran has over 22 years of experience in the industry. He joined SBI Funds Management Limited (SBIFM) in 2012 as a Senior Credit Analyst, subsequently becoming Head of Research before moving on to managing equity funds. Dinesh started his career with Fidelity in Boston, USA in 2001, where as an analyst he covered Structured Finance and local US Fixed Income market for over 10 years.

Dinesh holds a B. Tech degree from IIT, Mumbai and a M.S degree from Massachusetts Institute of Technology (MIT). He is also a Charterholder of the CFA Institute, USA. Under his leadership since 2018, the AUM of SBI Contra Fund regular plan Growth grew from Rs.1,800 crores in 2018 to Rs.39,589 crores by March 2025.

Pradeep Kesavan (Co-Fund Manager):

The scheme is also managed by Pradeep Kesavan, who co-manages the fund alongside Dinesh Balachandran. Mr. Kesavan has done B.Com, MBA (Finance) and CFA. Prior to joining SBI MF, he has worked with Elara Capital, Accenture Strategy, Morgan Stanley and 3i Infotech.

About the Fund House (AMC)

SBI Mutual Fund is one of India's largest and most established asset management companies. The SBI Mutual Fund is a Joint Venture (JV) between one of India's largest and most profitable banks, the State Bank of India, and Amundi, which is a French asset management company. The SBI Mutual Fund was set up on June 29, 1987 and was incorporated on February 7, 1992. It was India's second Mutual Fund after the Unit Trust of India started operations in 1963.

As of March 2024, the SBI Mutual Fund manages assets worth Rs. 9.14 lakh crores. In early 2019, it moved past Aditya Birla and HDFC Mutual Funds to emerge as the 3rd largest Mutual Fund body in India based on Assets under Management or AUM. The AMC currently manages AUM of ₹1,145,315.40 crores.

Key highlights of SBI Mutual Fund:

- It was the first Indian Mutual Fund player to launch a 'Contra' fund, called the SBI Contra Fund.

- In 2013, SBI Mutual Fund India acquired Daiwa Mutual Fund, part of the Daiwa Group of Japan.

- SBI Mutual Fund is the first in India to launch an ESG Fund. An acronym for Environment, Social and Governance, the fund provides resources for sustainable investment in major markets.

- The SBI MF is registered with the Securities and Exchange Board of India or SEBI.

Should I Invest in SBI Contra Fund?

SBI Contra Fund can be suitable for investors who meet specific criteria and investment objectives:

Who Should Consider:

- Long-term investors with a minimum investment horizon of 5+ years

- Investors seeking exposure to value/contrarian investing strategy

- Those comfortable with higher volatility for potentially higher returns

- Investors who understand and believe in the contrarian investment philosophy

Performance Track Record:

- The SBI Contra Fund has generated 18.85% of returns in the 3-year Systematic Investment Plan (SIP). The fund has given 24.72% SIP returns in 5 years.

- Over the past five years, SBI Contra Fund has delivered an annualised return of 29.39% as of 20-Aug-2025.

- The fund has delivered a CAGR of 16.65% since inception.

Important Considerations:

- Like for all equity funds, you must invest only through the SIP route.

- The fund follows a contrarian strategy which may underperform during market rallies but can deliver superior returns over long periods

- It's a higher-risk investment option, suitable for investors looking for higher returns over the long term.

FAQs

What is today's NAV of SBI Contra Fund?

The NAV of SBI Contra Fund on Aug 20 2025, is ₹416.8908 (Direct Plan). NAVs are updated daily and can be checked on the official AMC website or financial platforms.

What is the AUM of SBI Contra Fund?

The AUM of SBI Contra Fund, is ₹46947.01 crore. The AUM reflects the total assets managed by the fund and indicates investor confidence.

What is the expense ratio of SBI Contra Fund?

The expense ratio of SBI Contra Fund is 0.65% for the Direct Plan. This is the annual fee charged for managing your investments.

What are the returns of SBI Contra Fund since inception?

The fund has delivered a CAGR of 16.65 since inception. The fund was launched in 2013 and has maintained consistent long-term performance.

What is the minimum SIP amount to invest in SBI Contra Fund?

The minimum SIP for SBI Contra Fund is ₹500. This makes it accessible for small investors to start their investment journey.

How do I invest in SBI Contra Fund?

You can invest through Allvest platform, SBI Mutual Fund website, or any registered mutual fund distributor. Allvest offers a seamless digital investment experience with comprehensive portfolio tracking.

How to start a SIP in SBI Contra Fund?

Register with Allvest, complete your KYC, select SBI Contra Fund, choose SIP amount and frequency, and set up auto-debit instructions from your bank account.

How do I automate an SIP in SBI Contra Fund?

Through Allvest, you can set up automatic SIP with bank mandate or UPI autopay. This ensures regular investments without manual intervention each month.

How can I withdraw/redeem my investment in SBI Contra Fund?

You can redeem through Allvest platform or AMC website. The fund imposes an exit load of 1% if units are redeemed within 1 year from the date of allotment. Redemption proceeds are typically credited within 3-4 business days.