Investment Objective and Approach

The scheme seeks long-term capital appreciation by investing predominantly in equity and equity related securities of Indian companies engaged in the banking and financial services. Minimum investment in equity & equity related instruments of a particular sector/ particular theme - 80% of total assets.

This is a fund that invests mainly in shares of banks and financial services companies. The fund follows a focused investment strategy, concentrating on companies within the banking and financial services ecosystem including commercial banks, non-banking financial companies (NBFCs), insurance companies, and other financial intermediaries.

Key investment characteristics:

- Sector Focus: Exclusively targets banking and financial services companies

- Investment Style: Long-term capital appreciation through equity investments

- Market Cap Agnostic: Can invest across large, mid and small-cap financial services companies

- Minimum Sector Allocation: At least 80% in banking and financial services sector

Fund Managers

The fund is currently managed by experienced professionals:

Rohit Seksaria

Mr. Seksaria is CS, CA & has done MBA from IIM Ahmedabad. Rohit Seksaria, Ashish Aggarwal, with an extensive experience of 15 years while managing equity & related investments. Prior to joining Sundaram Mutual Fund he has worked with Progress Capital/Asia Capital & Advisor Pte Ltd., Matchpoint Investment Management and Progress Capital Pte Ltd.

Ashish Aggarwal

Mr. Aggarwal has done BE, PGPM ... Prior to joining Sundaram Mutual Fund, he has worked with Principal Mutual Fund, IL&FS Investsmart, Tata Securities and Antique Stock Broking.

The fund managers bring deep expertise in equity research and financial sector analysis, with a combined experience spanning over 15 years in fund management and equity research.

About the Fund House (AMC)

Sundaram Mutual Fund is one of India's established asset management companies with a rich heritage spanning over two decades.

Company Overview:

- Establishment: Sundaram Mutual Fund was established in 1996 as a fully owned subsidiary of Sundaram Finance Limited.

- Total AUM: With a total AuM of around Rs. 56666.81 crores, Sundaram is among the top asset management companies in India. (As of recent data)

- Industry Ranking: Sundaram Mutual Fund has been ranked 18th * in the Asset Management industry as well.

- Growth Track Record: Its AUM has grown at a CAGR of 17% over the last 9 years.

Parent Company Heritage:

Sundaram Asset Management Company Ltd., the holding organisation of Sundaram Mutual Funds, is a wholly owned subsidiary of Sundaram Finance Limited, one of India's oldest and most recognisable financial institutions. Its parent organisation, Sundaram Finance Ltd., was incorporated back in 1954, becoming one of the first financial organisations to be formed in independent India.

Key Strengths:

- Customer Base: It boasts 28 years of experience, over 3.5 million customers, and Rs. 60,000+ crores of assets under management (AUM).

- Distribution Network: They have one of the most robust customer-care operations, with 93 centres spread across the length and breadth of the country.

- International Presence: They also have a fully-owned asset management subsidiary in Singapore and a branch office in Dubai.

- Innovation: Notably, Sundaram AMC was the first to launch mutual funds focused on niche areas like Leadership, Rural India, Capex, Mid-cap, and Micro-cap sectors.

Should I Invest in Sundaram Financial Services Opportunities Fund?

Who Should Consider This Fund:

- Sector Believers: Investors with strong conviction in the long-term growth potential of India's financial services sector

- Long-term Investors: Those with investment horizons of 7+ years who can ride through sectoral cycles

- Risk-tolerant Investors: Comfortable with sector-specific risks and higher volatility

Investment Considerations:

Positives:

- Access to India's growing financial services ecosystem

- Professional management by experienced sector specialists

- Part of established AMC with strong track record

- Potential for higher returns during financial sector upcycles

Risks to Consider:

- Sectoral Concentration Risk: We believe that investors should avoid funds that have a narrowly defined investment mandate such as this one.

- Regulatory Risks: Banking and financial services are highly regulated sectors

- Economic Sensitivity: Performance closely tied to economic cycles and interest rate movements

- Time Horizon: Warning: Do not invest in this, or any other banking sector fund, if you need to redeem your investment in less than seven years.

Investment Approach Recommendation:

But if you do invest, you must do so only through the SIP route. Systematic Investment Plans help average out market volatility and are particularly beneficial for sector-focused funds.

Alternative Consideration:

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.

FAQs

What is today's NAV of Sundaram Financial Services Opportunities Fund?

The NAV changes daily based on market conditions. You can check the current NAV on Allvest's platform or the fund house website for real-time updates.

What is the AUM of Sundaram Financial Services Opportunities Fund?

Sundaram Financial Services Opportunities Fund Regular Plan - Growth has achieved Rs 1385.95 Crores worth of assets under management (AUM). (As of recent available data)

What is the expense ratio of Sundaram Financial Services Opportunities Fund?

The expense ratio of this fund is 2.14%. for the regular plan, while direct plans typically have lower expense ratios.

What are the returns of Sundaram Financial Services Opportunities Fund since inception?

Sundaram Financial Services Opportunities Fund Direct-Growth scheme return performance in last 1 year is 7.90%, in last 3 years is 102.11% and 456.02% since scheme launch.

What is the minimum SIP amount to invest in Sundaram Financial Services Opportunities Fund?

It allows minimum SIP of Rs 100 and lumpsum of Rs 100 to start the investment.

How do I invest in Sundaram Financial Services Opportunities Fund?

You can invest through Allvest's platform by completing your KYC, selecting the fund, choosing SIP or lumpsum mode, and making payment via net banking or UPI.

How to start a SIP in Sundaram Financial Services Opportunities Fund?

Log into Allvest, search for the fund, select 'Start SIP', choose your investment amount and frequency, set up auto-debit, and confirm your investment.

How do I automate an SIP in Sundaram Financial Services Opportunities Fund?

Enable auto-debit authorization during SIP setup on Allvest platform to automatically deduct the SIP amount from your bank account on chosen dates.

How can I withdraw/redeem my investment in Sundaram Financial Services Opportunities Fund?

Access your portfolio on Allvest, select the fund units you want to redeem, place a redemption request, and funds will be credited to your registered bank account within 2-4 working days.