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SBI Mutual Fund | A special scheme of SBI Fund that will change the lives of children in the family, will get Rs 30 lakh in a short period of time

maharashtranama | May 13, 2024 10:20 AM CST

For common investors, mutual funds are a good way to make money from the market at low risk, away from market fluctuations. One such scheme is the SBI Magnum Children's Benefit Fund which has returned investors at a compounded annual rate (CAGR) of 44.39 percent over three years.
The return at this rate means that an investment of Rs 10 lakh has grown to Rs 30.10 lakh after three years. So according to SBI Mutual Fund, if this Rs 10 lakh had been invested in S&P BSE Sensex TRI, it would have generated a capital of only Rs 18.06 lakh. This New Fund Offer (NFO) of SBI Mutual Fund was opened on 29 September 2020.

Strong returns in SIp too
If instead of a lump sum investment a SIP of Rs 10,000 had been started in this scheme, the investment of Rs 3.60 lakh so far would have been Rs 5.41 lakh. This means SBI Magnum Children's Benefit Fund returned 29.8 percent CAGR on SIP, while S&P BSE Sensex TRI gained 13.70 percent during the period.
According to SBI Mutual Fund, Magnum Children's Benefit Fund has returned 34.24 percent CAGR over a one-year SIP, which means an investor of Rs 1.2 lakh has become Rs 1.38 lakh.
About SBI Magnum Children's Benefit Fund -sBI Magnum Children's Benefit Fund is open-ended. This money is invested in shares, debt, and money market instruments. It has a lock-in for at least five years or until the child turns 18, whichever is earlier. According to the fund house, the scheme is tailored to the needs of children. It has an AUM (assets under management) of Rs 1,182.26 crore as of December 31, 2023, invested in 29 companies in India and abroad.
Financial services, chemicals, FMCG, IT, and consumer durables account for the highest share of 65.03 percent. The CRISIL Hybrid 35+65-aggressive index is its first-tier benchmark. The fund is managed by R Srinivasan, the fixed income part by Dinesh Ahuja, and foreign securities by Mohit Jain.
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