Fincash » SBI Magnum Multicap Fund Vs SBI Large and Midcap Fund
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SBI Magnum Multicap Fund and SBI Large and Midcap Fund both the schemes are offered by the same fund house. Moreover, both the schemes also belong to the same category of diversified Equity Funds. In simple terms, Diversified Funds are the Mutual Fund schemes that invest the monies in equity and equity-related instruments across all Market capitalizations. In other words, these schemes invest their corpus in stocks of large-cap, mid-cap, and small cap categories. Generally, the schemes invest around 40-60% of their fund money in large-cap companies, 10-40% in mid-cap companies and the remaining in small-cap companies. Diversified funds follow a value or growth Investing approach wherein; they invest in companies having lower stock prices in comparison to their valuations and revenue generating capacity. So, let us understand the differences between SBI Magnum Multicap Fund and SBI Large and Midcap Fund through this article.
SBI Magnum Multicap Fund is managed and offered by SBI Mutual Fund under the diversified category. The investment objective of SBI Magnum Multicap Fund is to attain Capital growth in the long term by investing the pooled money in equity and equity-related instruments of companies across different market capitalization. The scheme was incepted on September 29, 2005, and its benchmark index is S&P BSE 500 Index. Based on the Asset Allocation of the schemes, it invests around 80-100% of its money in equity and equity-related instruments while the remaining in foreign securities, fixed Income, and money market instruments. SBI Magnum Multicap Fund is solely managed by Mr. Anup Upadhyay. HDFC Bank Limited, Infosys Limited, Kotak Mahindra Bank Limited, and Maruti Suzuki India Limited are some of the constituents that form part of SBI Magnum Multicap Fund’s Portfolio as of March 31, 2018.
SBI Large and Midcap Fund (earlier known as SBI Magnum Multiplier Fund) is also a part of SBI Mutual Fund. This scheme is suitable for investors looking for capital appreciation and having a long-term tenure of investment. SBI Large and Midcap Fund was launched on February 28, 1993. The scheme uses S&P BSE 200 Index as its base to build its basket of assets. Mr. Saurabh Pant is the sole fund manager of SBI Large and Midcap Fund. The scheme targets to invest in high growth companies to accomplish its objectives. As on March 31, 2018, some of the stocks that were part of SBI Large and Midcap Fund’s portfolio included Bharti Airtel Limited, Mahindra & Mahindra Financial Services Limited, Jubilant Foodworks Limited, and Tech Mahindra Limited.
Though both SBI Magnum Multicap Fund and SBI Large and Midcap Fund form part of SBI Mutual Fund nevertheless; there are numerous differences between them. So, let us understand the differences between both the schemes by analyzing these parameters that are divided into four section, explained as follows.
Being the first section in the comparison, some of the parameters that form part of the basics section includes scheme category, Fincash Rating, and current NAV. With respect to the scheme category, it can be said that both the schemes belong to the same category of Equity Diversified. The comparison of Fincash Rating shows that both the schemes are rated as 4-Star schemes. However, there are differences in the NAV of both the schemes. As on April 30, 2018, the NAV of SBI Magnum Multicap Fund was approximately INR 48 while of SBI Large and Midcap Fund was approximately INR 219. The comparison of the basics section is as follows.
Parameters Basics NAV Net Assets (Cr) Launch Date Rating Category Sub Cat. Category Rank Risk Expense Ratio Sharpe Ratio Information Ratio Alpha Ratio Benchmark Exit Load SBI Magnum Multicap Fund
Growth
Fund Details ₹107.711 ↑ 0.64 (0.60 %) ₹23,489 on 30 Sep 24 29 Sep 05 ☆☆☆☆ Equity Multi Cap 9 Moderately High 1.72 2.21 0 0 Not Available 0-6 Months (1%),6-12 Months (0.5%),12 Months and above(NIL) SBI Large and Midcap Fund
Growth
Fund Details ₹600.638 ↑ 5.75 (0.97 %) ₹29,234 on 30 Sep 24 25 May 05 ☆☆☆☆ Equity Large & Mid Cap 20 Moderately High 1.74 2.32 -0.08 -2.99 Not Available 0-12 Months (1%),12 Months and above(NIL)
Being the second section, it analyzes the differences in the Compounded Annual Growth Rate or CAGR returns of both the schemes. The CAGR returns are compared at various time intervals such as 1 Month Return, 6 Month Return, 3 Year Return, and Return since inception. The analysis of performance section reveals that there is not much difference between the CAGR returns generated by both the schemes. In certain instances, SBI Magnum Multicap Fund has done better while in others SBI Large and Midcap Fund has performed well. The table given below shows the comparison of the performance section.
Parameters Performance 1 Month 3 Month 6 Month 1 Year 3 Year 5 Year Since launch SBI Magnum Multicap Fund
Growth
Fund Details -3.5% 1.3% 8.1% 27.6% 11.4% 16.3% 0% SBI Large and Midcap Fund
Growth
Fund Details -1.8% 2.5% 12.3% 35.3% 17.5% 21.7% 18.1%
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Yearly Performance section compares the differences in the absolute returns generated by both the schemes for a particular year. It is the third section in the comparison of the schemes. The comparison of absolute returns also states that in certain years, SBI Magnum Multicap Fund leads the race, while in others, SBI Large and Midcap Fund leads the race. The comparison of the yearly performance section is as follows.
Parameters Yearly Performance 2023 2022 2021 2020 2019 SBI Magnum Multicap Fund
Growth
Fund Details 22.8% 0.7% 30.8% 13.6% 11% SBI Large and Midcap Fund
Growth
Fund Details 26.8% 7.3% 39.3% 15.8% 6.8%
Being the last section in the comparison, it includes comparable elements such as AUM, minimum SIP investment, minimum lumpsum investment, and exit load. Both the schemes differ considerably on account of AUM. As on March 31, 2018, the AUM of SBI Magnum Multicap Fund was around INR 4,704 Crores while of SBI Large and Midcap Fund was around INR 2,157 Crores. The minimum SIP amount is same in case of both the schemes, that is, INR 500. However, the minimum lumpsum amount is different for both the schemes. In case of SBI Magnum Multicap Fund the lumpsum amount is INR 1,000 and for SBI Large and Midcap Fund it is INR 5,000. Even the exit load for both the schemes differ. In case of SBI Magnum Multicap Fund, if the Redemption is done within six months of purchase, the exit load is levied at 1%. However, if the redemption is done between 6-12 months, then the exit load is levied at 0.5%. In case of redemptions after 12 months, no exit load is levied. However, in case of SBI Large and Midcap Fund, the exit load is levied at 1% if the redemption is done within 12 months from the date of purchase and after that, there is no exit load. The summary of the other details section is as follows.
Parameters Other Details Min SIP Investment Min Investment Fund Manager SBI Magnum Multicap Fund
Growth
Fund Details ₹500 ₹1,000 R. Srinivasan - 2.75 Yr. SBI Large and Midcap Fund
Growth
Fund Details ₹500 ₹5,000 Saurabh Pant - 8.06 Yr.
SBI Magnum Multicap Fund
Growth
Fund Details Growth of 10,000 investment over the years.
Date Value 31 Oct 19 ₹10,000 31 Oct 20 ₹9,493 31 Oct 21 ₹15,177 31 Oct 22 ₹15,339 31 Oct 23 ₹16,457 31 Oct 24 ₹21,190 SBI Large and Midcap Fund
Growth
Fund Details Growth of 10,000 investment over the years.
Date Value 31 Oct 19 ₹10,000 31 Oct 20 ₹9,764 31 Oct 21 ₹16,219 31 Oct 22 ₹17,958 31 Oct 23 ₹19,575 31 Oct 24 ₹26,693
SBI Magnum Multicap Fund
Growth
Fund Details Asset Allocation
Asset Class Value Cash 2.46% Equity 97.54% Equity Sector Allocation
Sector Value Financial Services 24.72% Consumer Cyclical 18.14% Industrials 12.47% Basic Materials 10% Energy 7.5% Technology 6.88% Communication Services 6.36% Consumer Defensive 5.27% Health Care 3.93% Utility 2.27% Top Securities Holdings / Portfolio
Name Holding Value Quantity HDFC Bank Ltd (Financial Services)
Equity, Since 31 Jul 15 | HDFCBANK6% ₹1,295 Cr 7,475,354
↑ 850,000 Kotak Mahindra Bank Ltd (Financial Services)
Equity, Since 28 Feb 23 | KOTAKBANK5% ₹1,241 Cr 6,694,000
↑ 610,000 Reliance Industries Ltd (Energy)
Equity, Since 30 Apr 20 | RELIANCE5% ₹1,154 Cr 3,908,270
↓ -235,000 ICICI Bank Ltd (Financial Services)
Equity, Since 30 Apr 17 | ICICIBANK3% ₹791 Cr 6,210,055
↑ 1,500,000 Infosys Ltd (Technology)
Equity, Since 31 Oct 20 | INFY3% ₹699 Cr 3,725,000
↓ -770,000 Mahindra & Mahindra Ltd (Consumer Cyclical)
Equity, Since 30 Jun 22 | M&M3% ₹672 Cr 2,170,000 Larsen & Toubro Ltd (Industrials)
Equity, Since 31 Mar 19 | LT3% ₹669 Cr 1,821,034 Bharti Airtel Ltd (Communication Services)
Equity, Since 30 Sep 16 | BHARTIARTL3% ₹641 Cr 3,750,000 Cognizant Technology Solutions Corp Class A (Technology)
Equity, Since 31 Jan 24 | CTSH2% ₹582 Cr 900,000 Nuvoco Vista Corp Ltd (Basic Materials)
Equity, Since 31 Aug 21 | 5433342% ₹457 Cr 12,710,062 SBI Large and Midcap Fund
Growth
Fund Details Asset Allocation
Asset Class Value Cash 3.97% Equity 96.03% Equity Sector Allocation
Sector Value Financial Services 22.52% Basic Materials 13.95% Consumer Cyclical 12.42% Industrials 12% Technology 9.44% Health Care 8.98% Consumer Defensive 6.2% Energy 3.84% Communication Services 3.49% Utility 3.2% Top Securities Holdings / Portfolio
Name Holding Value Quantity HDFC Bank Ltd (Financial Services)
Equity, Since 31 Jul 11 | HDFCBANK6% ₹1,776 Cr 10,255,000 Reliance Industries Ltd (Energy)
Equity, Since 30 Apr 20 | RELIANCE4% ₹1,122 Cr 3,800,000 ICICI Bank Ltd (Financial Services)
Equity, Since 31 Jan 17 | ICICIBANK3% ₹942 Cr 7,400,000 State Bank of India (Financial Services)
Equity, Since 31 Jul 09 | SBIN3% ₹867 Cr 11,000,000
↑ 1,800,000 HDFC Asset Management Co Ltd (Financial Services)
Equity, Since 31 Mar 23 | HDFCAMC3% ₹821 Cr 1,910,000 Abbott India Ltd (Healthcare)
Equity, Since 30 Sep 22 | ABBOTINDIA3% ₹790 Cr 270,874
↑ 25,874 Muthoot Finance Ltd (Financial Services)
Equity, Since 30 Jun 22 | 5333983% ₹779 Cr 3,835,645 Infosys Ltd (Technology)
Equity, Since 30 Apr 18 | INFY2% ₹713 Cr 3,800,000 Voltas Ltd (Industrials)
Equity, Since 30 Nov 22 | VOLTAS2% ₹701 Cr 3,800,000 Coforge Ltd (Technology)
Equity, Since 31 Aug 23 | COFORGE2% ₹646 Cr 920,000
Therefore, from the above pointers, it can be said that both the schemes differ on numerous accounts. As a result, individuals must be careful while investing in any of the schemes. They should understand the scheme’s modalities completely and check whether it matches their investment objective or not. If required, individuals can also consult the opinion of a financial consultant. This will help them to attain their objectives within the stipulated time frame.