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- 15 Years is a pretty long time for any investment
- 15 years give a fair view of the performance of any product as it would
have gone through all up and down cycles
We present to you, the 15 Year Performance of Mutual Funds....
16 YEA8 F NF Ih8TY
16 YEA8 F NF Ih8TY
37
t is a widely held perception among investors that
- Equity investments are highly risky
- Equity investors don't make money
- Other Asset classes Like Gold & Debt give safe and stable returns
We have taken actual performance of schemes which have completed 15
Years as on 1 Jan 2013 and tried to analyse the data to have an objective
approach...
21 Funds have completed 15 Years during the Period, we took return of all
funds and compared it with other investment avenues over the period...
PE0EPTIh F EITY
PE0EPTIh F EITY
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Asset CIass CAGR Current VaIue
lnflation 5.71% 229,899
nvestment of Rs. 1 Lac on 31 Dec 1997, was valued on 31 Dec 12 as
nflation actually halved the value of the money during the period
PEFNAh0E 8NNAY (LNP8N)
PEFNAh0E 8NNAY (LNP8N)
39
nvestment of Rs. 1 Lac on 1 Jan 1998, was
But if you had invested in Gold, your returns were an astonishing 14.40%.
Though majority of the returns came in the last 3 years only
Further Gold prices have softened from their peak too currently
PEFNAh0E 8NNAY (LNP8N)
PEFNAh0E 8NNAY (LNP8N)
Asset CIass CAGR Current VaIue
lnflation 5.71% 229,899
Gold 14.40% 752,682
40
nvestment of Rs. 1 Lac on 1 Jan 1998, was
Bank Deposits considered as SAFE assets, gave 7.82% returns.
Just 2% above inflation.
Net income of the investor post inflation was only Rs. 80,000 in 15 Years!!
Post Tax returns, close to Nil over inflation!!
PEFNAh0E 8NNAY (LNP8N)
PEFNAh0E 8NNAY (LNP8N)
Asset CIass CAGR Current VaIue
lnflation 5.71% 229,899
Gold 14.40% 752,682
Bank Deposits 7.82% 309,394
41
nvestment of Rs. 1 Lac on 1 Jan 1998, was
Co. Deposits, another favourite of investors, did deliver 1% addl return.
Net income to investor post inflation, 1.26 Lacs
(Post Tax probably it will be less than half of that)
So How did Sensex Perform in the period ??
PEFNAh0E 8NNAY (LNP8N)
PEFNAh0E 8NNAY (LNP8N)
Asset CIass CAGR Current VaIue
lnflation 5.71% 229,899
Gold 14.40% 752,682
Bank Deposits 7.82% 309,394
Co. Deposits 8.82% 355,354
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nvestment of Rs. 1 Lac on 1 Jan 1998, was
Sensex still delivered 11.77% Tax free return, better than FD but less
than Gold. The invesment value in Sensex actually went up by 5
times!!!
PEFNAh0E 8NNAY (LNP8N)
PEFNAh0E 8NNAY (LNP8N)
Asset CIass CAGR Current VaIue
lnflation 5.71% 229,899
Gold 14.40% 752,682
Bank Deposits 7.82% 309,394
Co. Deposits 8.82% 355,354
Sensex 11.77% 530,932
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Any Guess what is the Average Return of 21 Diversified
Equity Funds for the period ??
Guess the Returns and Value
But we dont invest in Sensex.....

We invest in Diversified Equity Funds
Managed Actively by Professional Fund Managers....
PEFNAh0E 8NNAY (LNP8N)
PEFNAh0E 8NNAY (LNP8N)
44
nvestment of Rs. 1 Lac on 1 Jan 1998, was
You read it right!!
MF Schemes have multiplied investor wealth by
almost 25 times during the period
PEFNAh0E 8NNAY (LNP8N)
PEFNAh0E 8NNAY (LNP8N)
Asset CIass CAGR Current VaIue
lnflation 5.71% 229,899
Gold 14.40% 752,682
Bank Deposits 7.82% 309,394
Co. Deposits 8.82% 355,354
Sensex 11.77% 530,932
Avg Equity MF Scheme 22.78% 2,487,582
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nvestment of Rs. 1 Lac on 1 Jan 1998, was
The Best MF Scheme has deIivered 30%+ return muItipIying weaIth by 54 times
PEFNAh0E 8NNAY (LNP8N)
PEFNAh0E 8NNAY (LNP8N)
Asset CIass CAGR Current VaIue
lnflation 5.71% 229,899
Gold 14.40% 752,682
Bank Deposits 7.82% 309,394
Co. Deposits 8.82% 355,354
Sensex 11.77% 530,932
Avg Equity MF Scheme 22.78% 2,487,582
Best Equity MF Scheme 30.45% 5,408,212
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nvestment of Rs. 1 Lac on 1 Jan 1998, was
Even the worst scheme has deIivered better than FD
& InfIation returns, that too TAX FREE
PEFNAh0E 8NNAY (LNP8N)
PEFNAh0E 8NNAY (LNP8N)
Asset CIass CAGR Current VaIue
lnflation 5.71% 229,899
Gold 14.40% 752,682
Bank Deposits 7.82% 309,394
Co. Deposits 8.82% 355,354
Sensex 11.77% 530,932
Avg Equity MF Scheme 22.78% 2,487,582
Best Equity MF Scheme 30.45% 5,408,212
Worst Equity MF Scheme 8.94% 361,136
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95% of the funds have multiplied
the investment by 9 times or
more.
16 out of 21 funds (76%) have
delivered more than 20%
returns in 15 years
These all returns have come on
the backdrop of cIose to 0%
return delivered by broader
indices in the Iast 5 years
LI8T F 80hENE8
LI8T F 80hENE8
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We are promoting long term SPs to our investors, so lets have
a look at the SP returns
The SPs in these funds have delivered 21.18% CAGR return,
outperforming sensex by a wide margin of 7% CAGR
The Average return of an SP of Rs. 10000 is
Rs. 1.12 Crore in the period
8IP ETh8
8IP ETh8
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The best performing fund had created
wealth of a staggering Rs. 1.91 crore,
The SP in the worst performing scheme
has also made a healthy Rs. 43 lacs for the
investor.
20 out of 21 funds have deIivered more
than 15% of CAGR
nvestment value in 13 out of 21 Funds is
more than Rs. 1 Cr
8IP ETh8 : 80hENEwI8E
8IP ETh8 : 80hENEwI8E
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