Mutual funds: SBI Infrastructure Fund, SBI Long Term Equity, SBI Contra Fund under focus; check returns

Mutual funds remain a top choice for wealth building in today’s diverse investment landscape. They provide benefits such as diversification, liquidity, and the potential for attractive returns. SBI Mutual Fund, a pioneer in the mutual fund industry, offers a variety of mutual fund schemes that have proven to be beneficial for investors looking to build a robust investment portfolio. 

A close look at some of the funds:

SBI Infrastructure Fund: The fund was launched in Jul 6, 2007. The SBI Infrastructure Fund’s regular plan has provided a return of 32.35% in the past year and 16.28% over the past decade. If an individual had invested Rs 10,000 through a SIP in this scheme for 15 years, their investment would have grown to Rs 71,59,243, with an annualised return of 16.72%.

The SBI Infrastructure Fund predominantly allocates its resources to sectors such as Energy, Construction, Services, Materials, Metals & Mining. Compared to other funds in the category, it has a lower proportion of investments in the Energy and Construction sectors. The fund’s top 5 holdings include Reliance Industries Ltd., Larsen & Toubro Ltd., Bharti Airtel Ltd., Shree Cement Ltd., and Indian Energy Exchange Ltd. 

SBI Long Term Equity: SBI Long Term Equity Fund’s regular plan has shown impressive returns of 40.70% in the last 1 year and 14.65% in the last decade. If an individual had invested Rs 10,000 through SIP in the scheme for 15 years, their investment would have grown to Rs 73,47,727, with an annualized return of 17.01%.

The primary objective of the scheme is to achieve capital appreciation by investing in equities, cumulative convertible preference shares, fully convertible debentures, and bonds. The fund predominantly allocates its assets in the Financial, Energy, Technology, Healthcare, Metals & Mining sectors. It has a lower exposure in the Financial and Energy sectors compared to other funds in the same category.

The top 5 holdings of the fund include HDFC Bank Ltd., Reliance Industries Ltd., ICICI Bank Ltd., Bharti Airtel Ltd., and Torrent Power Ltd.

SBI Contra Fund: The SBI Contra Fund’s regular plan has delivered a 30.94% return in the last year and 16.09% return in the last decade. If an individual had invested Rs 10,000 through SIP in the scheme for 15 years, their investment would have grown to Rs 77,09,485, yielding an annualised return of 17.56%. The fund has a significant allocation of 78.76% in domestic equities, with 41.39% in Large Cap stocks, 13.58% in Mid Cap stocks, and 7.04% in Small Cap stocks. The fund’s portfolio is heavily concentrated in Financial, Energy, Technology, Healthcare, and Metals & Mining sectors. Compared to other funds in the category, it has lesser exposure to Financial and Energy sectors.

The top 5 holdings of the fund include Reserve Bank of India, HDFC Bank Ltd., Nifty Bank, Nifty 50, and Reliance Industries Ltd.

Performance of other SBI Mutual fund’s sectoral funds

SBI Healthcare Opportunities Fund: The regular plan of the scheme has delivered strong returns of 43.23% in the last year and 13.36% over the last decade. For investors who had put Rs 10,000 via SIP in the scheme for 15 years, their corpus would have grown to Rs 79,40,582, showcasing annualised returns of 17.9%.

SBI Consumption Opportunities Fund: The regular plan of this scheme has provided returns of 29.28% in the last year and 16.57% over the previous decade. If someone had invested Rs 10,000 via SIP for 15 years, their corpus would have expanded to Rs 86,62,063, with annualised returns of 18.89%.

SBI Technology Opportunities Fund: The regular plan of this scheme has seen returns of 35.56% in the last year and 16.68% over the last decade. Those who invested Rs 10,000 via SIP for 15 years would have grown their corpus to Rs 90,85,892, with annualised returns of 19.43%.