NFO:SBI QUANT Fund

From 04th Dec’24 to 18th Dec’24

open-ended equity scheme following Quant based investing theme.

🖊Quant Fund uses a data-driven approach to identify investment opportunities based on predefined factors like momentum, quality, value, and growth. It follows a disciplined, unbiased process to navigate market conditions, offering a systematic and reliable

strategy for long-term wealth creation.

🖊 Diversifying across factors helps to smoothen the cyclicality of returns while reducing the behavioural bias of selecting factors to invest in. Hence, multi-factor investing is the main concept around which SBI multi factor Fund is based. The fund will invest across four factors – Momentum, Value, Quality & Growth.

factors – Momentum, Value, Quality & Growth.

🔹 Momentum: Captures winning trends for maximum gains.

🔹 Value: Identifies undervalued opportunities.

🔹 Quality: Ensures stability through strong financials.

🔹 Growth: Targets companies with robust growth potential.

🖊 Stock Selection:

Every stock in the universe is ranked on Momentum, Value, Quality & Growth parameters. These 4 ranks are combined to obtain a composite quant rank. The portfolio is constructed using this composite quant rank. Stocks with a better rank will be in the portfolio taking into consideration the risk parameters such as active weights and liquidity.

🖊 The portfolio construction will be a bottom-up process

wherein every stock in the universe is given a composite quant rank. Currently, the universe consists of Top 200 companies by market cap which will be primarily large caps & larger midcaps.

🖊The fund will be rebalanced on a monthly basis and as the impact and longevity of any unforeseen market events cannot be predicted, we do not rebalance the fund on an ad-hoc basis.

🖊Since 1st Jan 2005, the fund has delivered Back Testing 22.2% returns as against BSE 200 Index returns of 15.6% The below table highlighted the trailing performance of the model for different time frames.

🖊 SBI Multi-factor framework Back Testing return: 3 years: 22.3%, 5 years: 22.2%,10 years: 18.9%

🖊Exit Load 0.50% if redeem before 6 months from Date of allotment.

Benchmark Index: BSE 200 TRI