GEMGAZE

April 2019

All the GEMs from the 2018 GEMGAZE have been shown the door in view of their lacklustre performance and a set of five completely different funds have been accorded a red carpet welcome in the 2019 GEMGAZE. 

Franklin India Feeder Franklin US Opportunities Fund Gem

Incorporated in February 2012, Franklin India Feeder Opportunities Fund has an AUM of Rs 789 crore. It is a feeder fund and the scheme’s underlying mutual fund, the Franklin US Opportunities Fund, invests a majority of its assets (99.8%) in equity securities of US companies which demonstrate growth at higher levels than the overall US economy. The one-year return of the fund is 18.6% as against the average returns of 21% of the Russel 3000 Growth Index.  The expense ratio of the fund is 1.7%. The fund is efficiently managed by Mr. Srikesh Nair since May 2016.

ICICI Prudential US Bluechip Equity Fund Gem

This Rs. 268 crore ICICI Prudential US Bluechip Equity Fund, incorporated in July 2012, is a relatively recent addition to the foreign funds category. However, even in this relatively short span of time, the scheme has succeeded in emerging as one of the best international funds in India. It has earned a one-year return of 18.58% slightly ahead of the benchmark return of 18.07%. The fund is benchmarked against the S&P 500 TRI.  Equity constitutes 98.3% of the portfolio with FMCG, healthcare and technology forming the top three sectors and the rest of the assets in cash. Thus, the scheme follows a relatively conservative approach when it comes to sector-wise allocation of its funds which helps it in managing its overall risk quotient.  While the portfolio turnover ratio is 63%, the expense ratio is very high at 2.04%. The fund is managed by Mr. Rohan Maru since September 2013 and Ms. Priyanka Khandelwal since June 2017.

DSP US Flexible Equity Fund Gem

DSP US Flexible Equity Fund, incorporated in August 2012, has an AUM of Rs 216 crore. It is a feeder fund and invests in Blackrock Global Funds – US Flexible Equity Fund. The fund invests in equities of issuers with headquarters in a member state of the European economic and monetary union (EMU). The fund management tries to identify current and future market leaders while laying special emphasis on the companies' structural growth and earnings momentum characteristics. 95.73% of the portfolio is made up of equity with the rest in cash. Its one-year return is 14.28% - lower than most of its peers. The expense ratio of the fund is 2.71%. The fund is benchmarked against the Russell 1000 Index. The fund is managed by Mr.Laukik Bagwe since July 2012, Mr. Jay Kothari since March 2013 and Mr. Kedar Karnik since July 2016.

Motilal Oswal NASDAQ 100 Exchange Traded Fund (erstwhile Motilal Oswal MOST Shares NASDAQ - 100 ETF) Gem

Motilal Oswal NASDAQ 100 Exchange Traded Fund, launched in March 2011 sports an AUM of Rs 134 crore. Its one-year return is 21.16%, well ahead of most of its peers. The entire assets allocated to equity are 99.93% with technology, consumer durables and communication being the top three sectors in which the fund’s assets are invested. The expense ratio of the fund is moderate at .05%. The turnover of the fund is a meager 3%. The fund is benchmarked against the NASDAQ 100 TRI. The fund has been managed by Mr. Swapnil P Mayekar since August 2015.

Aditya Birla Sunlife International Equity Fund – Plan A Gem

Incorporated in October 2007, Aditya Birla Sunlife International Equity Fund – Plan A, has an AUM of Rs 60 crore. The one-year return of the fund is 14.05% ahead of the index return of 10.3%. The fund is benchmarked against the S&P Global 1200 Index. The top three sectors are finance, services and healthcare. The equity exposure of the fund is at 94.54%. The portfolio turnover ratio is a towering 103% and the expense ratio is 2.82%.  The fund is managed by Mr. Vineet Maloo since September 2oo7.