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Are Hybrid Funds an option to FDs? Things to consider

Are Hybrid Funds an option to FDs? Things to consider

What are the different types of hybrid funds and do they stay true to label, or are they biased towards equities? Through this presentation, find details about a mutual fund that diversifies across asset classes of equity, debt and gold and manages market ups & downs.
www.Quantumamc.com

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Quantum Mutual Fund

August 17, 2021
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Transcript

  1. Are Hybrid Funds an option to FDs? Things to Consider...

    Speaker: Chirag Mehta, Senior Fund Manager, Alternative Investments August 13, 2021
  2. 2 Are Low & Falling FD Rates hurting your Savings?

    Bank FD interest rates SBI 2.90% - 5.40% HDFC 2.50% - 5.50% ICICI 2.50% - 5.50% Axis 2.50% - 5.75% Kotak 2.50% - 5.30% Data as of August 5th 2021 2 4 6 8 10 12 14 SBI 1 year FD rate Source: FD Interest Rates | Compare Fixed Deposit Interest Rate Today (myloancare.in) Bloomberg, SBI, Data as of July 2021
  3. 3 Despite Low Returns, bulk of Money still in FDs

    53% of household savings are kept in Bank deposits Source: Quarterly Estimates of Households’ Financial Assets and Liabilities, RBI, June 2020
  4. 4 How Efficient is India’s Preferred Saving Instrument? Bank Fixed

    Deposit Pros: •Assured returns •Deposit Insurance •Loan against FD Bank Fixed Deposit Cons: •Low returns / low real returns •Insured upto 5 lacs •Liquidity – penalty on premature withdrawal •Taxation as per tax slab
  5. FD is a Long-term Losing Proposition Consumer Basket 1990* 2000

    2010 2015 2020 CAGR TOTAL SPENDING PER ANNUM 23,759 68,923 151,279 280,064 427,619 10.1% Price of gold, INR/10 grams 3,409 4,528 18,268 26,335 50,104 9.4% Units ( Grams) of gold to consume my basket 70 152 83 106 85 BSE SENSEX 730 4,659 15,585 26,557 47,751 14.9% Units of BSE-30 Index to consume my basket 33 15 10 11 9 Fixed Deposit Basket Index Value (Value of initial investment Jan 1, 1990 =1000) (SBI 1 Year Deposit Rate)* 1,064 2,220 3,550 4,628 5,814 6.0% Units of FD Basket to consume my basket 22 31 43 61 73 Past performance may or may not sustained in future Quarterly compounding and Tax rate on Fixed Deposit assumed to be 30%
  6. Other Assets have Better Return Options, should you opt for

    them?
  7. Asset Class Outlook: Equity

  8. Consensus Earnings Upgrades After Many Years of Flat Growth Source:

    Bloomberg As on 31st July 2021. Past Performance may or may not sustained in future
  9. Spiking PER Overstates Valuation Given The Prior Quarter’s Gap Down

    Source: Bloomberg Data as on 31st July 2021. Past Performance may or may not sustained in future
  10. Foreign Investors Return as New Covid Cases Decline; Third Wave

    if any, Could Again Lead to Outflows Past Performance may or may not sustained in future Source: Sebi.gov.in, NDSL, as of 31st July, 2021 Period Net Foreign Activity (USD bn) Net Local Activity (USD bn) Total Activity (USD bn) Change in S&P BSE-30 TRI in that period (% ) ( % USD) CY 2003 6.6 0.1 6.7 +86.5% CY 2004 8.7 -0.3 8.4 +20.5% CY 2005 10.7 3.0 13.7 +40.2% CY 2006 8.1 3.4 11.5 +51.6% CY 2007 17.7 1.7 19.4 +67.0% CY 2008 -12.0 3.3 -8.7 -60.8% CY 2009 17.5 -1.2 16.3 +90.3% CY 2010 29.4 -6.1 23.3 +24.2% CY 2011 -0.4 1.3 0.9 -35.7% CY 2012 24.4 -3.9 20.5 +24.1% CY 2013 20.1 -3.7 16.4 -1.9% CY 2014 16.1 3.9 20.0 +29.2% CY 2015 3.2 11.1 14.3 -8.1% CY 2016 3.2 7.1 10.3 +0.9% CY 2017 7.8 18.4 26.2 +37.8% CY 2018 -4.4 17.6 13.2 -2.0% CY 2019 14.4 7.6 22.0 +13.1% CY 2020 23.0 -7.5 15.5 +14.5% YTD 2021 6.8 0.6 7.4 +9.0% July 2021 -1.5 2.6 1.1 +0.2% Cumulative 200.9 56.5 257.3 +1218.9%
  11. Asset Class Outlook: Fixed Income

  12. Interest Rates at Historic Lows Source – Bloomberg; Quantum Research,

    Data as of 31st July 2021 Past performance may or may not sustained in future 2.0% 4.0% 6.0% 8.0% 10.0% 10 year Gsec 1 year Gsec
  13. Government Borrowing to Remain Elevated 0 2000 4000 6000 8000

    10000 12000 14000 FY15 FY16 FY17 FY18 FY19 FY20 2021 2022 BE Gross borrowings Net market borrowing Borrowing Amount in INR Billion Govt Borrowings jumped after Source – CMIE, Indiabudget.gov.in, Quantum Research
  14. ‘Das PUT’ in Action -1.0 0.0 1.0 2.0 3.0 4.0

    5.0 FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 FY 2018 FY 2019 FY 2020 FY 2021 FY 2022* Amount in Rs. Trillion RBI's Bond Buying Gross Purchase Net OMO * FY22 data is from 1st April 2021 till 26th July 2021 only Source – RBI, Quantum Research, data as of 26th July 2021
  15. Inflation breached the 6% ‘Laxman Rekha’ Source – MOSPI, Quantum

    Research, data as of July 2021 0.0% 2.0% 4.0% 6.0% 8.0% Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Sep-18 Dec-18 Mar-19 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 CPI-Headline Core-CPI
  16. Asset Class Outlook: Gold

  17. Gold is a Monetary Asset – Gold has kept up

    with money supply growth Data as of June 2021 Source: fred.stlouisfed.org Past performance may or may not sustained in future 0 200 400 600 800 1000 1200 1400 1600 1974 1977 1981 1985 1989 1993 1997 2001 2005 2009 2013 2017 2021 US Money Supply - M2 Gold Prices Rebased = 100
  18. 18  The US central bank signaled it will raise

    rates earlier than planned in 2023. Headwind: Change in Fed stance  With inflation raging, the Fed has to show awareness… Premature tightening could throw economic recovery off track Data as of 23 July 2021. Source: fred.stlouisfed.org Percent change in US Consumer Price Index from a year prio Data as of May 2021. Source: Statista.com
  19. 19  Accommodative Central banks  Interest rates set to

    remain low until 2023 and possibly beyond  Interest rate hike by central banks to lag inflation – Real interest rates to remain low to negative  Central banks continue to fund deficits / asset purchases Gold’s fundamentals remain supportive  Economies will need Government support in form of higher spending  US to soon unveil a massive infra spending  A weaker dollar Real interest rates will continue to be under pressure Data as of July 2021. Source: Bloomberg Data as of July 2021. Source: Bloomberg Central Bank balance sheet – Total Assets -6 -4 -2 0 2 4 6 8 10 12 0 250 500 750 1000 1250 1500 1750 2000 2250 % USD Gold price US Real interest rate 0 1 2 3 4 5 6 7 8 9 10 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 US -FED JAPAN - BOJ EU -ECB CHINA - PBOC $ Trillion
  20. Equities or Fixed Income or Gold? How do you pick

    the winning asset class?
  21. There have been years when equity markets had a brilliant

    run, years when only bonds were dependable, and years when gold shined the brightest, and these periods did not typically overlap Past performance may or may not sustained in future The chart ranks the best to worst performing indexes per calendar year from top to bottom *Data as of July 2021 Past performance may or may not be sustained in future. Based on S&P BSE Sensex; Domestic Gold prices and CRISIL Composite Bond Fund Index Source: Bloomberg Imagine someone holding an all equity portfolio in 2008, or holding none in the equity rally that followed? 21 It is a Challenge to Consistently Pick Winners amidst Unpredictability & Volatility 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021* Sense x 49% Sense x 49% Gold 26% Sense x 83% Gold 23% Gold 32% Sense x 28% Sense x 11% Sense x 32% Bonds 9% Bonds 13% Sense x 30% Gold 8% Gold 16% Gold 28% Sensex 11% Gold 20% Gold 16% Bonds 9% Gold 24% Sense x 19% Bonds 7% Gold 12% Bonds 4% Bonds 14% Sensex -4% Gold 11% Gold 5% Sensex 7% Sensex 14% Sensex 17% Bonds 1% Bonds 4% Bonds 7% Sense x -52% Bonds 4% Bonds 5% Sense x -24% Bonds 9% Gold -5% Gold -8% Gold -7% Sense x 3% Bonds 5% Bonds 6% Bonds 11% Bonds 12% Gold -3%
  22. 22 Each Asset Serves a Role in a Portfolio Context

    EQUITY Long term growth FIXED INCOME Regular income and stability GOLD Diversifies against macro events and a store of value
  23. Combine Asset Classes for better Risk Adjusted Returns One asset’s

    down cycle is balanced by another asset’s up cycle Risk-Return Equity +Debt +Gold * Equity + Debt ** Equity Debt Gold CAGR 11.13% 11.13% 12.80% 7.18% 11.45% Annualized SD 9.37% 13.45% 22.02% 3.27% 17.34% Maximum Drawdown 0.21 0.36 0.56 0.06 0.25 Sharpe Ratio 0.524 0.365 0.299 0.293 0.302 The most diversified strategy yields similar returns with the lower volatility, compared to a pure equity strategy 23 Time frame is November 2004 to July 2021. The period is taken from 2004 since the asset allocation weights are calculated based on normalizing the historical monthly equity and debt indicators. Given the normalization time frame used in the strategy, data availability for certain parameters beyond the time frame analyzed was a constraint. Compiled by Quantum AMC *Equity-Debt-Gold in ratio of 40-40-20. **Equity-Debt allocated in 60-40 range Based on Sensex Index, Crisil Composite Bond Fund Index, and Domestic Gold Prices Note: Past performance may or may not be sustained in the future
  24. Hybrid Funds – Perception vs Reality

  25. Hybrid Fund Mandates Vary Widely Investors need to reconcile what

    suits their Risk – Return profile Type Allocation to Equity Allocation to fixed income Allocation to gold Aggressive hybrid funds 65-80 20-35 0 Balanced hybrid funds 40-60 40-60 0 Conservative hybrid funds 10-25 75-90 0 Dynamic Asset allocation/Balanced Advantage funds 0-100 0-100 0 Multi Asset allocation funds 10-80 10-80 10-80
  26. The Missing Element .. Gold! Gold is an effective portfolio

    diversifier Type Allocation to Equity Allocation to fixed income Allocation to gold Aggressive hybrid funds Balanced hybrid funds Conservative hybrid funds Dynamic Asset allocation/Bal anced Advantage funds Multi Asset allocation funds Risk-Return Equity +Debt +Gold * Equity + Debt ** CAGR 11.13% 11.13% Annualized SD 9.37% 13.45% Maximum Drawdown 0.21% 0.36% Sharpe Ratio 0.524 0.365 Time frame is November 2004 to July 2021. The period is taken from 2004 since the asset allocation weights are calculated based on normalizing the historical monthly equity and debt indicators. Given the normalization time frame used in the strategy, data availability for certain parameters beyond the time frame analyzed was a constraint. Compiled by Quantum AMC *Equity-Debt-Gold in ratio of 40-40-20. **Equity-Debt allocated in 60-40 range. Based on Sensex Index, Crisil Composite Bond Fund Index, and Domestic Gold Prices Note: Past performance may or may not be sustained in the future
  27. Investors’ favorite Aggressive hybrid funds (erstwhile Balanced funds) are not

    as balanced as perceived Higher returns are accompanied with higher risks CRISIL Hybrid 35+65 - Aggressive Index S&P BSE 30 TRI Average annual return 12% 14% Best year 75% 118% Worst year -41% -58% % of years with a loss 17% 23% • There has been a big divergence in investor’s perception of these funds and reality • With minimum 65% allocation to equities, investing in these funds is as good as investing in a pure equity fund! • Unsuitable for conservative investors looking to move out of FDs Source: CRISIL, S&P Time frame of data is 31st July 2007 to 31st July 2021
  28. The Aggressive Hybrid category took on higher risks, comparable to

    the Large cap equity category, and failed to minimize downside. On the other hand, the Multi Asset category of funds gave better risk adjusted returns and minimized the downside Source: Ace MF Past performance may or may not be sustained in the future Note: Off late, performance divergence between MAA category and other Hybrid/Large cap category has been reducing on account of Equity bias of most MAA funds -100.00 -50.00 0.00 50.00 100.00 150.00 200.00 03-Jan-05 To 10-May- 06 10-May-06 To 14-Jun- 06 14-Jun-06 To 08-Jan- 08 08-Jan-08 To 09-Mar- 09 09-Mar-09 To 05-Nov- 10 05-Nov-10 To 20-Dec- 11 20-Dec-11 To 03-Mar- 15 03-Mar-15 To 25-Feb- 16 25-Feb-16 To 14-Jan- 20 14-Jan-20 To 23-Mar- 20 23-Mar-20 To 06-Aug- 21 Average category performance Aggressive Hybrid Fund Balanced Advantage Multi Asset Allocation Large Cap Fund
  29. Most Multi Asset Funds are also biased towards Equities -

    Does that match your risk appetite? Multi Asset Category Average 60 Multi Asset Category Maximum 70 Multi Asset Category Minimum 40 Quantum Multi Asset Fund of Funds 40 Equity allocation in benchmark
  30. Asset allocation should be Unbiased, Dynamic & Agile

  31. QMAFOF: Unbiased Asset Allocation… Not biased to any particular asset

    class.. QMAFOF invests across Asset Classes : Equity, Debt and Gold Diversification across asset classes and within asset classes by investments is done through schemes of Quantum Mutual Fund Asset class Range of Exposure Fund Equity 25-65% Quantum Long Term Equity Value Fund, Quantum Nifty ETF, Quantum India ESG Equity Fund Debt 25-65% Quantum Liquid Fund, Quantum Dynamic Bond Fund Gold 10-20% Quantum Gold Fund (ETF)
  32. QMAFOF: Dynamic Asset Allocation.. Research backed process & discipline Ideal

    asset allocation is not static Asset allocation needs to change depending on an asset class’s relative performance vis-à-vis other asset class. Portfolio allocation between the units of equity, debt/ money markets and gold schemes broadly depends on the relative valuations between the asset classes Relative valuations are determined by evaluation of various influencing factors: • Price/Earnings Ratio relative to historical averages; • The relationship between Earnings Yield to Bond Yield relative to historical averages; • Macroeconomic factors prevailing globally, and within India Data as of July 2021 Asset Class Allocation (% of net Assets) Equity 25.99% Fixed Income 55.64% Gold 14.60% Cash (Net) 3.77% Scheme Allocation (% of net Assets) Quantum Long Term Equity Value Fund 12.13% Quantum Nifty Fund (ETF) 10.98% Quantum Liquid Fund 42.37% Quantum Dynamic Bond Fund 13.27% Quantum Gold Fund (ETF) 14.60% Quantum India Esg Equity Fund 2.88%
  33. QMAFOF: Agile Asset Allocation.. Data as of July 2021; Source:

    Quantum MF Note: Past performance may or may not be sustained in future 0 15000 30000 45000 60000 75000 90000 25.00% 30.00% 35.00% 40.00% 45.00% 50.00% 55.00% 60.00% 65.00% Aug-12 Oct-12 Dec-12 Feb-13 Apr-13 Jun-13 Aug-13 Oct-13 Dec-13 Feb-14 Apr-14 Jun-14 Aug-14 Oct-14 Dec-14 Feb-15 Apr-15 Jun-15 Aug-15 Oct-15 Dec-15 Feb-16 Apr-16 Jun-16 Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17 Oct-17 Dec-17 Feb-18 Apr-18 Jun-18 Aug-18 Oct-18 Dec-18 Feb-19 Apr-19 Jun-19 Aug-19 Oct-19 Dec-19 Feb-20 Apr-20 Jun-20 Aug-20 Oct-20 Dec-20 Feb-21 Apr-21 Jun-21 Equity allocation Sensex TRI
  34. 34 90% of the time, you would have been better

    off than a FD Past performance may or may not be sustained in future. Data as on 31st July, 2021. This graph should be reviewed in conjunction with detailed performance of the scheme provided on slide number 36. The comparison with Fixed Deposits has been given for the purpose of the general information only and not a recommendation to invest. Investments in Quantum Multi Asset Fund of Funds / mutual funds should not be construed as a promise, guarantee on or a forecast of any minimum returns. Unlike fixed deposit with Banks there is no capital protection guarantee or assurance of any return in Quantum Multi Asset Fund of Funds / mutual funds investment. Investment in Quantum Multi Asset Fund of Funds as compared to Fixed Deposits carry moderately high risk, different tax treatment and subject to market risk and any investment decision needs to be taken only after consulting the Tax Consultant or Financial Advisor. Source – Bloomberg, Quantum AMC 90 100 110 120 130 140 150 160 170 180 190 200 210 220 230 240 250 260 11-Jul-12 31-Jul-21 Quantum Multi Asset Fund of Funds SBI 1 year deposit CRISIL Composite Bond Fund Index (20%) + S&P BSE Total Return Index (40%) + CRISIL Liquid Index(25%) + Domestic price of Gold (15%) N A V Period (Base = 100, as on 11th July 2012) Total Days: 3307 Down Days vs SBI FD : 336 Returns since inception: 9.63% Standard Deviation : 5.93%
  35. 35 86% of the time, you would have been better

    off on a 3-Year Rolling Basis Past performance may or may not be sustained in future. This graph should be reviewed in conjunction with detailed performance of the scheme provided on slide number 36. The comparison with Fixed Deposits has been given for the purpose of the general information only and not a recommendation to invest. Investments in Quantum Multi Asset Fund of Funds / mutual funds should not be construed as a promise, guarantee on or a forecast of any minimum returns. Unlike fixed deposit with Banks there is no capital protection guarantee or assurance of any return in Quantum Multi Asset Fund of Funds / mutual funds investment. Investment in Quantum Multi Asset Fund of Funds as compared to Fixed Deposits carry moderately high risk, different tax treatment and subject to market risk and any investment decision needs to be taken only after consulting the Tax Consultant or Financial Advisor. Source – Bloomberg, Quantum AMC 0% 2% 4% 6% 8% 10% 12% 14% 16% July, 15 August, 15 September,… October, 15 November,… December,… January, 16 February, 16 March, 16 April, 16 May, 16 June, 16 July, 16 August, 16 September,… October, 16 November,… December,… January, 17 February, 17 March, 17 April, 17 May, 17 June, 17 July, 17 August, 17 September,… October, 17 November,… December,… January, 18 February, 18 March, 18 April, 18 May, 18 June, 18 July, 18 August, 18 September,… October, 18 November,… December,… January, 19 February, 19 March, 19 April, 19 May, 19 June, 19 July, 19 August, 19 September,… October, 19 November,… December,… January, 20 February, 20 March, 20 April, 20 May, 20 June, 20 July, 20 August, 20 September,… October, 20 November,… December,… January, 21 February, 21 March, 21 April, 21 May, 21 June, 21 July, 21 QMAFOF 3 years rolling returns SBI FD 3 years rolling returns CRISIL Composite Bond Fund Index (20%) + S&P BSE Total Return Index (40%) + CRISIL Liquid Index(25%) + Domestic price of Gold (15%) 3 years rolling returns Total Days : 2212 Down Days vs SBI FB : 306 Down Days % : 14
  36. Performance of Quantum Multi Asset Fund of Funds Direct Plan

    – Growth Option The Scheme is co-managed by Mr. Chirag Mehta and Mr. Nilesh Shetty since July 11, 2012. Past performance may or may not be sustained in the future. Load is not taken into consideration in scheme returns calculation. Data as of 31st July 2021. Returns are calculated on the basis of Compounded Annualized Growth Rate (CAGR). # Indicates CRISIL Composite Bond Fund Index (20%) + S&P BSE SENSEX Total Return Index (40%) + CRISIL Liquid Index(25%) + Domestic price of Gold (15%). It is a customized index and it is rebalanced daily. For performance of other Schemes Managed by Mr. Chirag Mehta please see slide number 44 and 45 and for performance of other Schemes Managed by Mr. Nilesh Shetty please see slide number 43. Period Current Value of 10,000 Invested at the beginning of a given period Scheme Returns (%) 0 Benchmark Returns (%)# S&P BSE Sensex TRI Returns (%) Scheme (Rs) Benchmark (Rs)# S&P BSE Sensex TRI (Rs.) 1 year 12.78% 15.59% 41.55% 11,274 11,555 14,141 3 years 9.61% 11.95% 13.14% 13,167 14,031 14,484 5 years 8.66% 10.80% 14.73% 15,157 16,708 19,896 7 years 8.68% 10.03% 12.05% 17,909 19,526 22,180 Since Inception (11th July 2012) 9.63% 10.63% 14.45% 23,000 24,979 33,974
  37. 37 Based on Rolling Returns, There isn’t a single 3-year

    period since QMAFOF’s inception when it posted a negative return Minimum Return 1.54% Maximum Return 13.63% Average Return 8.79% QMAF 3 year Rolling Returns as of July 2021 Past performance may or may not be sustained in future. This table should be reviewed in conjunction with detailed performance of the scheme provided on slide number 36. The comparison with Fixed Deposits has been given for the purpose of the general information only and not a recommendation to invest. Investments in Quantum Multi Asset Fund of Funds / mutual funds should not be construed as a promise, guarantee on or a forecast of any minimum returns. Unlike fixed deposit with Banks there is no capital protection guarantee or assurance of any return in Quantum Multi Asset Fund of Funds / mutual funds investment. Investment in Quantum Multi Asset Fund of Funds as compared to Fixed Deposits carry moderately high risk, different tax treatment and subject to market risk and any investment decision needs to be taken only after consulting the Tax Consultant or Financial Advisor. Source – Quantum AMC
  38. Asset Class Performance & QMAFOF The performance shown in the

    graph should be reviewed in conjunction with detailed performance of the scheme provided on slide number 36, Time Period: July 11,2012 to July 30 2021. Note: Past performance may or may not be sustained in future 50 100 150 200 250 300 350 400 11-Jul-12 31-Jul-21 Quantum Multi Asset Fund of Funds CRISIL Composite Bond Fund Index (20%) + S&P BSE Total Return Index (40%) + CRISIL Liquid Index(25%) + Domestic price of Gold (15%) S&P BSE Sensex Total Return Index Crisil Composite Bond Fund Index Crisil Liquid Total Return Index Domestic price of Gold N A V Period Quantum Multi Asset Fund of Funds (Base = 100, as on 11th July 2012)
  39. QMAFOF has not changed course - may give less returns

    than other hybrid funds in bull markets but importantly has protected downsides better Source: ACE MF Past performance may or may not be sustained in future -40.00 -20.00 0.00 20.00 40.00 60.00 80.00 100.00 03-Mar-15 To 25-Feb-16 25-Feb-16 To 14-Jan-20 14-Jan-20 To 23-Mar-20 23-Mar-20 To 06-Aug-21 Bear Phase Bull Phase Bear Phase Bull Phase Average category returns vs QMAFOF Aggressive Hybrid Fund Balanced Advantage Multi Asset Allocation Quantum Multi Asset FOF
  40. 40 Options to FDs – What are we looking for?

    Market linked Returns Lower Volatility Better Predictability Lower Downside
  41. 41 Consider an option of QMAFOF before you book your

    next FD Diversifies across asset classes – which mitigates risk inherent of a particular asset class and provides risk adjusted long term returns Reduces dependency on a single asset class to generate returns No need to time markets. Invest in peace – the Fund manager strategically positions the portfolio to generate optimal returns while watching risks Follows regular rebalancing approach within each asset class which allows investors to “buy-low sell-high” Better and a more tax efficient option for investors who park their money in long term FDs (3 years and above) Aims at reducing volatility of returns Note: Unlike Fixed Deposit with Banks there is no capital protection guarantee or assurance of any return in Quantum Multi Asset Fund. Investments in Quantum Multi Asset Fund as compared to Fixed Deposit carry “moderately” high risk and is subject to market risk
  42. 42 It’s time you reconsider your FD which may be

    a losing proportion in terms of inflation and make way for a multi asset allocation strategy option which has the potential to provide a boost of long-term risk adjusted returns with measured equity allocations while minimizing downside risk from the debt and gold allocations.. Make a prudent choice!
  43. Other Schemes managed by Nilesh Shetty Quantum Long Term Equity

    Value Fund Mr. Sorbh Gupta effective from December 1, 2020.Co-managing with Mr. Nilesh Shetty effective from March 28, 2011 Period 1 year 3 years 5 years Scheme Returns (%) Benchmark Returns (%) # Scheme Returns (%) Benchmark Returns (%) # Scheme Returns (%) Benchmark Returns (%) # Quantum Long Term Equity Value Fund–Direct Plan (Gr) 55.45% 49.77% 11.21% 13.60% 10.94% 14.66% Quantum Long Term Equity Value Fund–Regular Plan (Gr) 54.67% 49.77% 10.72% 13.60% NA NA Past performance may or may not be sustained in the future. Load is not taken into consideration in Scheme Return Calculation. Data as of 31st July ,2021 #BSE 200 TRI. Returns are net of total expenses and are calculated on the basis of Compounded Annualized Growth Rate (CAGR). Mr. Sorbh Gupta & Mr. Nilesh Shetty manages 2 schemes of Quantum Mutual Fund.
  44. Quantum Gold Fund Mr. Chirag Mehta is managing the scheme

    effective from May 1, 2009. Ms. Ghazal Jain is co-managing the scheme effective from June 2, 2020 Period 1 year 3 years 5 years Scheme Returns (%) Benchmark Returns (%) # Scheme Returns (%) Benchmark Returns (%) # Scheme Returns (%) Benchmark Returns (%) # Quantum Gold Fund (Gr) -10.23% -9.59% 16.62% 17.72% 7.49% 8.53% Past performance may or may not be sustained in the future. # Domestic Price of Gold. Data as of 31st July ,2021 Returns are net of total expenses and are calculated on the basis of Compounded Annualized Growth Rate (CAGR). Mr. Chirag Mehta manages 5 Schemes and Ms. Ghazal Jain manages 2 Schemes of the Quantum Mutual Fund. The Scheme being Exchange Traded Fund has one plan to invest through stock exchange and having a single expense structure Period 1 year 3 years 5 years Scheme Returns (%) Benchmark Returns (%) # Scheme Returns (%) Benchmark Returns (%) # Scheme Returns (%) Benchmark Returns (%) # Quantum Gold Savings Fund– Direct Plan (Gr) -11.24% -9.59% 16.21% 17.72% 8.23% 8.53% Quantum Gold Savings Fund– Regular Plan (Gr) -11.33% -9.59% 16.08% 17.72% NA NA Past performance may or may not be sustained in the future. # Domestic Price of Gold. Data as of 31st July 2021 Returns are net of total expenses and are calculated on the basis of Compounded Annualized Growth Rate (CAGR). Mr. Chirag Mehta manages 5 Schemes and Ms. Ghazal Jain manages 2 Schemes of the Quantum Mutual Fund. Quantum Gold Savings Fund Mr. Chirag Mehta is managing the scheme effective from May 19, 2011. Ms. Ghazal Jain is co-managing the scheme effective from June 2, 2020 Other Schemes managed by Mr. Chirag Mehta
  45. Quantum India ESG Equity Fund Mr. Chirag Mehta effective from

    July 12, 2019.Co-managing with Ms. Sneha Joshi effective from July 12, 2019 Period 1 year 3 years 5 years Scheme Returns (%) Benchmark Returns (%) # Scheme Returns (%) Benchmark Returns (%) # Scheme Returns (%) Benchmark Returns (%) # Quantum India ESG Equity Fund – Direct Plan (Gr) 56.41% 50.36% NA NA NA NA Quantum India ESG Equity Fund – Regular Plan (Gr) 55.13% 50.36% NA NA NA NA Past performance may or may not be sustained in the future. Data as on of 31st July ,2021 Returns are net of total expenses and are calculated on the basis of Compounded Annualized Growth Rate (CAGR). Mr. Chirag Mehta manages 5 Schemes and Ms. Sneha Joshi 1 Schemes of the Quantum Mutual Fund. # NIFTY 100 ESG TRI. Period 1 year 3 years 5 years Scheme Returns (%) Benchmark Returns (%) # Scheme Returns (%) Benchmark Returns (%) # Scheme Returns (%) Benchmark Returns (%) # Quantum Equity Fund of Funds – Direct Plan (Gr) 50.18% 49.77% 12.76% 13.60% 13.04% 14.66% Quantum Equity Fund of Funds – Regular Plan (Gr) 49.81% 49.77% 12.52% 13.60% NA NA Past performance may or may not be sustained in the future. Data as on of 31st July ,2021. Load is not taken into consideration in Scheme Return Calculation. #BSE 200 TRI Returns are net of total expenses and are calculated on the basis of Compounded Annualized Growth Rate (CAGR). Mr. Chirag Mehta manages 5 schemes of the Quantum Mutual Fund. Quantum Equity Fund of Funds Mr. Chirag Mehta is the Fund Manager effective from November 01, 2013. Other Schemes managed by Mr. Chirag Mehta
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  50. Disclaimer The comparison with Fixed Deposits has been given for

    the purpose of the general information only and not a recommendation to invest. Investments in Quantum Multi Asset Fund of Funds / mutual funds should not be construed as a promise, guarantee on or a forecast of any minimum returns. Unlike fixed deposit with Banks there is no capital protection guarantee or assurance of any return in Quantum Multi Asset Fund of Funds / mutual funds investment. Investment in Quantum Multi Asset Fund of Funds as compared to Fixed Deposits carry moderately high risk, different tax treatment and subject to market risk and any investment decision needs to be taken only after consulting the Tax Consultant or Financial Advisor.
  51. Disclaimer – Terms of Use The data in this presentation

    are meant for general reading purpose only and are not meant to serve as a professional guide/investment advice for the readers. This presentation has been prepared on the basis of publicly available information, internally developed data and other sources believed to be reliable. Whilst no action has been suggested or offered based upon the information provided herein, due care has been taken to endeavor that the facts are accurate and reasonable as on date. Quantum AMC shall make modifications and alterations to the performance and related data from time to time as may be required as per SEBI Mutual Fund Regulations. Readers are advised to seek independent professional advice and arrive at an informed investment decision before making any investment. None of the Sponsors, the Investment Manager, the Trustee, their respective Directors, Employees, Affiliates or Representatives shall be liable for any direct, indirect, special, incidental, consequential, punitive or exemplary damages, including lost profits arising in any way from the data/information/opinions contained in this presentation. The Quantum AMC shall make modifications and alterations to the performance and related data from time to time as may be required. Please visit – www.QuantumMF.com to read scheme specific risk factors. Investors in the Scheme are not being offered a guaranteed or assured rate of return and there can be no assurance that the schemes objective will be achieved and the NAV of the scheme may go up and down depending upon the factors and forces affecting securities market. Investment in mutual fund units involves investment risk such as trading volumes, settlement risk, liquidity risk, default risk including possible loss of capital. Past performance of the sponsor / AMC / Mutual Fund does not indicate the future performance of the Scheme. Statutory Details: Quantum Mutual Fund (the Fund) has been constituted as a Trust under the Indian Trusts Act, 1882. Sponsor: Quantum Advisors Private Limited. (liability of Sponsor limited to Rs. 1,00,000/-). Trustee: Quantum Trustee Company Private Limited. Investment Manager: Quantum Asset Management Company Private Limited. The Sponsor, Trustee and Investment Manager are incorporated under the Companies Act, 1956. 13thAugust 2021 Mutual fund investments are subject to market risks, read all scheme related documents carefully.
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