MUTUAL FUND & DEBT 22 August 2016

RETAIL RESEARCH
Weekly Report
Equity Markets Weekly Statistics
Key Indices 19-Aug % Chg
Sensex 28077 -0.27
Key benchmark indices logged tiny-to-small losses in the truncated trading week. The
Nifty 50 8667 -0.06
barometer index, the S&P BSE Sensex, retained the psychologically important 28,000 level.
DJIA 18553 -0.13
Key indices edged lower in three out of four trading sessions during the week ended 19
Nasdaq 5238 +0.10
August 2016. The BSE Mid-Cap and the BSE Small-Cap indices outperformed the Sensex. Stock
FTSE 6859 -0.83
markets remained closed on Monday, 15 August 2016 on account of Independence Day.
DAX 10544 -1.58
Hang Seng 22937 +0.75
In the week ended Friday, 19 August 2016, the Sensex fell 75.40 points or 0.26% to settle at
Nikkei 16546 -2.21
28,077. The Nifty 50 index fell 5.25 points or 0.06% to settle at 8,666.90. The BSE Mid-Cap
index rose 281.76 points or 2.2% to settle at 13,035.17. The BSE Small-Cap index gained Bovespa 59099 +1.37
Indonesia Jakarta 5416 +0.72
245.23 points or 2% to settle at 12,459.46. Both these indices outperformed the Sensex.
Singapore Strait 2844 -0.82

Outlook for the current weeks Mutual Fund Categories watch

1 Week 1 Month 3 Month 6 Month 1 Year 3 Yr
Category Name
Progress of monsoon rains, trend in global markets, investment by foreign portfolio investors Absolute Absolute Absolute Absolute CAGR CAGR
(FPIs) and domestic institutional investors (DIIs), the movement of rupee against the dollar Arbitrage Funds 0.06 0.65 1.65 3.40 6.39 7.77
and crude oil price movement will dictate market trend in the near term. Balanced - Debt 0.03 1.30 5.25 8.48 4.75 14.66
Balanced - Equity 0.83 3.06 9.96 18.45 5.53 22.03
The market may remain volatile as traders roll over positions in the futures & options (F&O) Equity - Banking 2.12 4.99 20.47 39.98 9.40 29.49
segment from the near month August 2016 series to September 2016 series. The near month Equity - Dividend Yield 1.59 3.86 13.64 25.04 5.39 26.02
August 2016 derivatives contracts expire on Thursday, 25 August 2016. Equity - Infrastructure 2.38 4.01 15.07 26.75 1.76 29.70
Equity - LARGE 1.03 3.66 13.57 23.62 2.69 22.85
Investors will continue to track the progress of monsoon rains. The India Meteorological Equity - MID 2.04 5.13 14.12 28.43 6.55 37.91
Department (IMD) in its weekly monsoon update issued on 18 August 2016 said that for the Equity - MNC 0.10 1.85 8.39 16.65 -1.54 34.02
country as a whole, cumulative rainfall during this year's monsoon season so far from 1 June Equity - MULTI 1.39 4.15 13.94 25.36 4.54 26.68
to 17 August was normal with 0% departure from the long period average (LPA). Equity - FMCG 0.97 3.00 14.33 22.49 12.72 18.70
Equity - Infotech -2.33 -0.70 -3.56 1.87 -7.67 16.36
Global Markets Equity - Pharma 0.56 0.97 4.21 3.42 -8.64 26.60
ELSS 1.28 3.96 13.12 24.61 4.00 26.29
U.S. stocks closed lower as investors digested hawkish rhetoric from Federal Reserve officials Gold ETFs 0.83 0.85 6.51 7.59 22.03 0.68
and kept an eye on oil prices. The Dow Jones Industrial Average fell 0.13%, to 18,553. Gilt Funds 0.00 2.33 5.29 9.80 11.73 12.22
Meanwhile the Nasdaq Composite Index rose 0.10%, at 5,238. Income Funds 0.00 1.54 3.71 7.06 9.73 10.64
Liquid Funds 0.12 0.58 1.80 3.82 7.65 8.49
MIP 0.21 1.98 5.43 9.88 8.32 12.94
Short Term Income 0.07 1.04 2.77 5.49 8.68 9.80
Note: NAV/index values are as on August 19, 2016.

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G sec Markets: 10 Year G sec Benchmark move:

Indian bond yields ended flat during the week ended August 19, 2016. G sec Yields were
closed on Monday on account of Independence Day.

G sec yields closed steady on Tuesday after retail inflation and wholesale price index based
inflation rose in Jul, which lowered hopes of a rate cut by the Reserve Bank of India (RBI) in
the near term.

Bond market were closed on Wednesday on account of Parsi New Year.

Bond yields rose on Thursday on profit taking by market participants ahead of the weekly
auction of government securities on Aug 19. Meanwhile, investors awaited the appointment
of a new Reserve Bank of India (RBI) Governor.

Bond yields fell on Friday after govt. stock auction results came in better than expected. Liquidity:

Hence, the yields of the new 10-Year benchmark 7.59% GS 2026 closed flat at 7.10% on Friday 2,500.00
2,000.00
as the last week close of 7.10%. 1,500.00
1,000.00
500.00
Outlook for the week 0.00
-500.00
-1,000.00
We feel that the new 10-year G Sec yields could trade in the 7.20% - 7.35% band for the week. -1,500.00

01-Oct-12
22-Dec-12

20-Jan-14

16-May-14

02-Jan-15
25-Nov-13

10-Nov-14

05-Nov-15
01-Aug-13

18-Mar-14

Jan 4, 2016
07-Jun-13
15-Feb-13

26-Sep-13

09-Jul-14
05-Sep-14

26-Feb-15

09-Jun-15
29-Jul-15
14-Sep-15

26-Feb-16

15-Jun-16
11-Apr-13

23-Apr-15

22-Apr-16
Liquidity, Call & CBLO

RBI infused average gross liquidity via Repo under LAF window worth Rs 5,299 Cr in this week
compared to an infusion of Rs 7,914 Cr in previous week. Infusions via the MSF route
averaged Rs 10 Cr. The Call rate ended at 6.36% compared to 6.43% from the previous week. Net - Repo Net - Term Repo MSF
The CBLO ended at 4.79% compared to 6.42% in the previous week.

T Bill Debt Securities Benchmarks watch

Debt (%) 19-August 12-August Change (bps)
The RBI announced auction cut off yield of 91 Day T-Bill at 6.56% and 364 Day T-Bill at 6.67%.
Call Rate 6.40 6.43 -3
RBI announced auction of 91 Day T-bill and 182 Day T-bill for a notified amount of Rs 8,000 Cr
CBLO 4.79 6.42 -163
and Rs 6,000 Cr respectively to be held on 24-August-16.
Repo 6.50 6.50 0
Reverse Repo 6.00 6.00 0
10 Year G sec 7.10 7.17 0
LIBOR UK 0.39 0.39 0
LIBOR USA 0.81 0.82 +1
LIBOR Europe -0.32 -0.32 0

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AAA Corporate Bond Spread over Gsec:
Corporate Debts Security 19-August 12-August
1 Year 43 40
The 10 year AAA bond ended at 7.69% as compared to 7.63% in previous week. The 1 year CD 3 Year 45 35
yield was seen trading at 7.38% as compared to 7.35% in the previous week. 5 Year 42 28
10 Year 46 40
Currency
Forthcoming Auctions:
The USD depreciated against the Euro by 1.78% for week ended 19th August, 2016. Security Date of Auction Value (Rs. Crs)
91 D T Bill 24-August-16 8,000
The US dollar depreciated against the yen by 1.96% for the week. 182 D T Bill 24-August-16 6,000

The USD depreciated against the pound by 1.43% for the week. Certificates of Deposits:
Maturity 19-August 12-August
Gold & Crude oil 3 Months 6.58 6.60
6 Months 6.85 6.95
International crude oil prices (WTI) ended positively by 9.06% for the week ended 19th 1 Year 7.20 7.25
August, 2016 to close at USD 48.52 per barrel.
Commercial Papers:
International gold prices fell 0.21% for the week ended 19th August, 2016 to close at USD Maturity 19-August 12-August
1,340.40 per troy ounce. 3 Months 7.20 7.20
6 Months 7.65 7.60
Movements of G sec Benchmark Yields across maturities in the last 1 month. 1 Year 8.25 8.25

Commodity Update:
Commodity 19-August 12-August Change (%)
NYMEX Crude Oil ($/bbl) 48.52 44.49 +9.06
Gold (oz/$) 1340.40 1343.20 -0.21

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Mutual Fund Scheme Analysis: Tata Balanced Fund (G)

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Unit Growth of investments Vs. Benchmark (Rebased to 100)
Key points:

Tata Balanced Fund is one of the top performing schemes from Hybrid Equity Oriented
category which has managed to deliver better returns over periods. The scheme registered -
7%, +20% and +14% of compounded returns respectively for one, three and five year periods
while the benchmark posted -6%, +10% and +7% of returns respectively. For the same period,
the category registered the growth of -4%, +16% and +12% of CAGR returns respectively.

Balanced funds also known as Hybrid funds invest in combination of debt and equity
instruments to provide a portfolio which combines the growth opportunities of equity and
steady income from the debt. It also helps in a diversified portfolio which is lower in volatility
as compared to equity funds and also provides potentially higher return opportunities than
debt funds.

Tata Balanced Fund aims at seeking a combination of equity and debt investments which
optimize the returns of the portfolio and at the same time manages the volatility of fund. The
scheme actively manages the combination of the equity and debt investments depending
upon the market conditions and outlook. It aims to seek an optimum combination of capital
Fund Performance Vis-a-vis Benchmark (Excess return):
appreciation and income opportunities. The fund holds a more diversified portfolio of about
68 stocks over 15 different sector. The fund invests about 70-75 per cent of its assets in
equities on most occasions which the fund to outperform its index and peer groups by a
significant margin in up markets.

The fund managers of the scheme prefer to hold maximum assets in large cap stocks. There
has been an average of 69% of equity assets into blue chip stocks considering last one-year
period. The latest portfolio as on Feb 2016 shows 71% of its equity assets into large cap
stocks. The equity portfolio has been churned moderately in last six months period in as
much as it added 15 new stocks and exited from 12. The turnover ratio of 14% represents the
less churning.

L&T, HDFC Bank, Infy and Sun Pharma are the stocks topped in its latest portfolio having
weights of 3.84%, 2.99% and 2.53% to its net assets respectively. The expense ratio of 2.22%
for the scheme is lower compared to the category average of 2.60%. In debt side, considering
the last one year period portfolio, the scheme invested more into Government securities
close to 16% of total assets. It holds close to 7% in corporate bonds. Rating agencies like
Value research & Crisil assigned 5 star and CPR 1 respectively for the scheme. These reflect
the very good performance of the scheme on generating high-risk adjusted returns. The
scheme is managed by Atul Bhole since Jan 2012 and Akhil Mittal since Jul 2015. The corpus
of the scheme as per latest data was at Rs. 5,071 crore. The scheme seems to be relatively
risky in the category as it generated 0.75% (category 0.72%) of Standard Deviation over the
last three-year period.

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Mutual Fund ready Reckoner:

Equity - Diversified - Large CAP

Fund Size 1 Year 3 Year 5 Year Return Since Crisil Value Research Risk Return
Scheme Name NAV (Rs) Top holdings
(Crs. Rs) Return Return Return Inception Rank Rating Grade Grade
Birla Sun Life Frontline Equity Fund (G) HDFC Bank, ITC
177.33 12,335 5.84 22.20 14.68 22.96 CPR 2 5 Star Low Higher
INF209K01BR9 RIL, L&T & Infosys
Franklin India Prima Plus - (G) HDFC Bank, Infy, ICICI Bank, Bharti
482.99 8,408 5.82 26.20 16.39 19.43 CPR 2 5 Star Low Higher
INF090I01239 Airtel & Indus Bank
SBI BlueChip Fund (G) HDFC Bk, Sun Pharm, RIL, INFY, &
31.48 7,042 7.66 24.66 16.78 11.60 CPR 1 5 Star Lower Higher
INF200K01180 L&T

Equity - Diversified - Multi CAP

Fund Size 1 Year 3 Year 5 Year Return Since Crisil Value Research Return
Scheme Name NAV (Rs) Top holdings Risk Grade
(Crs. Rs) Return Return Return Inception Rank Rating Grade
Franklin India High Growth Companies (G) HDFC Bank, Axis bank, SBI, TVS Mot
31.31 4,776 3.03 30.79 19.27 13.51 CPR 2 5 Star Average Higher
INF090I01981 & ICICI Bank
ICICI Pru Value Discovery Fund (G) L&T, NTPC, Axis Bank, Sun Pharma
123.99 13,205 5.88 34.64 19.85 23.46 CPR 2 5 Star Low Higher
INF109K01AF8 & ICICI Bank

Equity - Diversified - Mid n Small CAP

NAV Fund Size 1 Year 3 Year 5 Year Return Since Crisil Value Research Return
Scheme Name Top holdings Risk Grade
(Rs) (Crs. Rs) Return Return Return Inception Rank Rating Grade
Franklin India Smaller Companies Fund (G) Equitas Hold, Finolex Cabl, Yes Bk,
45.50 3,234 15.59 41.13 25.67 15.46 CPR 1 4 Star Lower High
INF090I01569 eClerx Serv & Repco Home
DSP BR Micro-Cap Fund (G) KPR Mills, Sharda Cropchem, SRF,
49.11 3,113 17.15 48.85 24.61 19.06 CPR 1 4 Star Low High
INF740K01797 Eveready Ind & Navin Fluo
Reliance Small Cap Fund (G) Intellect De, Navin Fluor, GIC hou,
28.39 2,241 11.20 45.69 22.73 19.49 CPR 2 3 Star Average Higher
INF204K01HY3 Orient cement, Atul
HDFC Mid-Cap Opportunities Fund (G) Bajaj Finance, Voltas, HPCL, Tube
42.25 11,537 10.15 35.06 20.29 17.18 CPR 3 4 Star Low Average
INF179K01CR2 invest & Cholamand

Equity Thematic / Sector

Scheme Name NAV (Rs) Fund Size 1 Year 3 Year 5 Year Return Since Top holdings Crisil Value Research Risk Return
(Crs. Rs) Return Return Return Inception Rank Rating Grade Grade
Tata Ethical Fund - (G) (Shariah) Hindustan Unil, INFY, Ultratech
133.66 484 1.09 20.67 14.74 16.45 CPR 2 4 Star Lower Higher
INF277K01956 Cement, TCS & Bajaj Auto
ICICI Pru Banking & Fin Serv (G) (Banking) HDFC Bk, ICICI Bk, Indus Bk, Axis
43.27 976 12.58 29.98 17.85 20.29 NA 4 Star Lower Higher
INF109K01BU5 Bank & Yes Bank
Franklin Build India Fund (G) HDFC Bank, ICICI Bank, Axis Bank,
31.98 623 6.55 35.99 22.43 18.37 CPR 1 5 Star Lower Higher
(Infrastructure) INF090I01AE7 SBI & L&T.
UTI-Transportation & Logistics (G) (Auto) Hero Moto, Tata Mot, M&M, Adani
94.08 716 6.61 45.45 27.44 18.71 NA NA NA NA
INF789F01299 Ports & Bosch
Birla Sun Life MNC Fund - (G) (MNC) Maruti Suzuki, Bosch, Gillette, Bayer
615.69 3,510 1.99 32.89 22.27 18.65 CPR 2 NA NA NA
INF209K01322 Crop, Glaxosmithk
Birla Sun Life India GenNext Fund (G) HDFC Bank, Maruti Suzuki India, ITC,
60.45 411 8.65 23.81 18.12 17.81 CPR 2 NA NA NA
(Consumption) INF209K01447 Eicher Motors

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SBI Pharma Fund (G) (Pharma) Sun Pharma, Lupin, Aurobindo Phar,
144.17 1,010 1.32 29.12 24.69 17.60 NA NA NA NA
INF200K01446 Divi's Lab & Strides Sha
ICICI Pru Exports and Other Services Fund Cipla, Motherson Sumi, Natco
47.39 872 1.82 30.15 21.94 15.72 CPR 1 NA NA NA
(G) (Services) INF109K01BB5 Pharma, Astrazeneca Pha

Equity - Tax Planning

NAV Fund Size 1 Year 3 Year 5 Year Return Since Crisil Value Research Risk Return
Scheme Name Top holdings
(Rs) (Crs. Rs) Return Return Return Inception Rank Rating Grade Grade
AXIS Long Term Equity Fund (G) HDFC Bk, Kotak Mahi Bank, TCS, Sun
32.80 9,291 4.69 29.95 20.16 19.80 CPR 1 5 Star Lower Higher
INF846K01131 Pharma & HDFC
Birla Sun Life Tax Relief '96 (G) Sundaram-Clayton, Honeywell
23.36 2,252 5.81 27.74 15.80 10.81 CPR 1 4 Star Low High
INF209K01108 Automation, Bayer Crop, ICRA
DSP BR Tax Saver Fund (G) HDFC Bank, SBI, Indusind Bank, INFY
36.26 1,267 8.59 25.91 16.25 14.48 CPR 3 4 Star Average High
INF740K01185 & BPCL

Hybrid - Equity Oriented (Atleast 65% in equity)

Fund Size 1 Year 3 Year 5 Year Return Since Crisil Value Research Return
Scheme Name NAV (Rs) Top holdings Risk Grade
(Crs. Rs) Return Return Return Inception Rank Rating Grade
HDFC Balanced Fund (G) Eq:ICICI Bank, Infy, HDFC Bank, RIL
117.75 6,207 8.00 25.25 14.95 16.80 CPR 2 4 Star Low Higher
INF179K01392 & SBI
Tata Balanced Fund - Plan A (G) Eq: HDFC Bank, INFY, Yes Bk, HCL &
180.53 6,281 4.68 23.57 16.30 16.63 CPR 2 4 Star Average Higher
INF277K01303 Power Grid
L&T India Prudence Fund (G) Eq: INFY, ICICI Bank, ITC, HDFC Bank
21.11 2,143 6.80 23.30 15.59 14.64 CPR 1 5 Star Low Higher
INF917K01LB0 & Indusind Bank
HDFC Prudence Fund - (G)
401.05 9,357 5.14 23.47 12.80 18.16 INFY, SBI, ICICI Bank, Axis Bk & L&T CPR 4 2 Star Higher Average
INF179K01AV8

Hybrid - Monthly Income Plan - Long Term (About 15% to 20% in equity)
NAV Fund Size 1 Year 3 Year 5 Year Return Since Crisil Value Research Risk Return
Scheme Name Top holdings
(Rs) (Crs. Rs) Return Return Return Inception Rank Rating Grade Grade
Reliance Monthly Income Plan (G) Eq: Sundaram-Clayton, Axis Bk, HDFC
36.22 2,512 7.51 12.73 10.38 10.77 CPR 2 3 Star High High
INF204K01FD1 Bank, RIL & Infy.
HDFC Monthly Income Plan - LTP (G) Eq: SBI, Infy, ICICI Bank, L&T & Axis
38.36 3,629 9.04 14.09 10.26 11.27 CPR 3 2 Star Higher Average
INF179K01AE4 Bk

Liquid Funds
Fund Size 1 Year 2 Year 3 Year Return Since Crisil Value Research Return
Scheme Name NAV (Rs) Top Holdings Risk Grade
(Crs. Rs) Return Return Return Inception Rank Rating Grade
HDFC Liquid Fund (G) Tbill, CP: SAIL, CBLO: Corporation
3,059.00 30,622 8.00 8.40 8.84 7.34 CPR 1 3 Star Average Average
INF179KB1HK0 Bank, IOB,
JM High Liquidity Fund - (G) CD: OBC, Axis Bk, IOB, Canara
42.37 3,002 8.11 8.48 8.92 8.08 CPR 2 5 Star Low High
INF192K01882 Bank. CP: Tata Pow

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Ultra Short Term Funds

Fund Size 1 Year 2 Year 3 Year Return Since Crisil Value Research Return
Scheme Name NAV (Rs) Top Holdings Risk Grade
(Crs. Rs) Return Return Return Inception Rank Rating Grade
ICICI Pru Flexible Income Plan - Regular (G) CP: HDFC, Vedanta, PFC, SIDBI. CD:
294.70 16,334 8.90 9.06 9.51 8.12 CPR 3 3 Star Average Average
INF109K01746 Axis Bk.
IDFC Ultra Short Term Fund (G) Debt: Edelweiss comm, DLF,
21.85 4,200 8.72 8.94 9.42 7.70 CPR 3 2 Star High Average
INF194K01FU8 Albrecht. CD: HDFC Bk. CP:

Short Term Income Funds

Fund Value
1 Year 2 Year 3 Year Return Since Risk Return
Scheme Name NAV (Rs) Size (Crs. Top Holdings CrisilRank Research
Return Return Return Inception Grade Grade
Rs) Rating
Birla Sun Life Treasury Optimizer - Ret (G) GOI, Bonds: Reliance Jio Info,
295.23 5,230 10.98 10.72 10.94 7.88 CPR 2 5 Star Lower Higher
INF209K01LV0 Indiabulls Hou, STFC.
Sundaram Select Debt - STAP (G) Debt: STFC, SIDBI, LIC Hou, CD:
26.72 723 8.29 8.74 9.16 7.33 CPR 3 2 Star High Low
INF903J01FG3 Corp Bank, IDBI Bank

Income Funds
Fund
NAV 1 Year 2 Year 3 Year Return Since Crisil Value Research Return
Scheme Name Size (Crs. Top Holdings Risk Grade
(Rs) Return Return Return Inception Rank Rating Grade
Rs)
ICICI Pru Long Term Plan - Retail (G) GOI: 7.88% GOI 2030, 8.3% GOI
18.90 924 12.63 12.19 12.98 10.26 - 5 Star Average Higher
INF109K01712 2040, 8.3% GOI 2042
UTI-Dynamic Bond Fund (G) GOI: 7.88% GOI 2030, 8.6% GOI
17.60 1,026 10.75 10.29 10.86 9.72 CPR 2 4 Star Low Average
INF789F01JQ5 2028, Debt: Reliance
HDFC Medium Term Opportunities Fund Debt: REC, HDFC, Petronet. CD:
17.08 4,999 9.59 9.79 10.24 9.21 CPR 2 4 Star Lower High
(G) INF179K01DC2 Vijaya Bk, Canara Bank

Gilt Funds
NAV Fund Size 1 Year 2 Year 3 Year Return Since Crisil Value Research Return
Scheme Name Top Holdings Risk Grade
(Rs) (Crs. Rs) Return Return Return Inception Rank Rating Grade
SBI Magnum Gilt Fund - Long term (G) 8.32% GOI 2032, 9.23% GOI 2043,
33.71 1,933 10.97 12.84 11.27 8.11 CPR 1 5 Star Low Higher
INF200K01982 9.2% GOI 2030, 8.17%
L&T Gilt Fund (G) G sec: 7.88% GOI 2030, 8.13% GOI
39.24 111 12.50 12.74 11.99 8.74 CPR 1 5 Star Low Higher
INF917K01BP1 2045

Notes:
NAV value as on July, 25 2016. Portfolio data as on June 2016.
Returns are trailing and annualized (CAGR).
The notations '5 Star & CPR 1' (used by VR &Crisil respectively) are considered as top in respective rating and ranking scales.
The performance of the funds are rated and classified by Value Research in the following ways. Top 10% funds in each category were classified ***** funds, the next 22.5% got a **** star, while the middle 35% got a ***, while the next 22.5% and
bottom 10% got ** and * respectively.
The criteria used in computing the CRISIL Composite Performance Rank are Superior Return Score, based on NAVs over the Quarter Ended Dec 2015, Based on percentile of number of schemes considered in the category, the schemes are ranked as follows:
CPR 1- Very Good performance, CPR 2 - Good performance, CPR 3 - Average performance, CPR 4 - Below average and CPR 5 - Relatively weak performance in the category.
Schemes shortlisted based on the corpus and age. Final picks arrived from return score (respective weightage given for rolling returns for 1m, 3m, 6m, 1yr, 2yr & 3yr) and risk score. Schemes from Quantum and JM Mutual Funds have not been considered.

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Mutual Fund NEWS: Dividend

LIC Mutual Fund has announced that Marzban N. Irani has been appointed as Fund Manager Fixed Gross Ex-Dividend
Scheme Name Record Date
Income, with effect from 10 August 2016. He is aged 41 years and holds PGDBM, B.Com as his educational (%) Date
qualification. L&T Dynamic Equity Fund - Direct (D) 24-08-2016 1.20 25-08-2016
UTI-Spread Fund (D) 23-08-2016 0.65 24-08-2016
Birla Sun Life Mutual Fund has decided to reset the maturity (i.e. extend the maturity) of Birla Sun Life Fixed Indiabulls Arbitrage Fund - Direct (D) 23-08-2016 0.50 24-08-2016
Term Plan - Series HL (1098 days) by 365 days. Pursuant to rollover, the scheme shall mature on 22 August Invesco India Dynamic Equity Fund (D) 22-08-2016 1.10 23-08-2016
2017 or the immediately following Business Day, if such day is not a Business Day. Accordingly, the revised HDFC Arbitrage Fund - WP - Direct (D) 22-08-2016 0.50 23-08-2016
scheme name will be Birla Sun Life Fixed Term Plan - Series HL (1463 days). DSP BR Tax Saver Fund (D) 19-08-2016 4.00 22-08-2016

DHFL Pramerica Mutual Fund has announced introduction of Monthly Dividend Option and Quarterly
Dividend Option (in addition to the existing options) with payout and dividend reinvestment facility under
the Regular and Direct plans of DHFL Pramerica Balanced Advantage Fund, with effect from 16 August 2016.

IDFC Mutual Fund has announced change in exit load structure under the following schemes, with effect
from 18 July 2016. Accordingly, the revised exit load structure will be: IDFC Arbitrage Plus Fund: If
redeemed / switched out within 1 month from the date of allotment: 0.25% IDFC Corporate Bond Fund: Nil

NFO:

Scheme name Open Date Close Date Minimum Investments Tenure Structure
Balanced
AXIS Hybrid Fund - Series 33 (G) 19-08-2016 02-09-2016 5000 1358 Days CLOSE
Canara Robeco CPO Fund - Series 7 (G) 19-08-2016 02-09-2016 5000 1096 Days CLOSE
Equity
Sundaram LT MC Tax Advantage Fund - Sr.III (G) 08-08-2016 11-11-2016 500 10 Years CLOSE
Mahindra Kar Bachat Yojana - Regular (G) 22-08-2016 07-10-2016 500 OPEN
Birla Sun Life Resurgent India Fund - Sr.1 (G) 25-08-2016 08-09-2016 5000 1275 Days CLOSE
IDBI Nifty 50 Exchange Traded Fund 24-08-2016 25-08-2016 5000 OPEN
Fixed Maturity Plans
SBI Dual Advantage Fund - Series XVII (G) 23-08-2016 06-09-2016 5000 1100 Days CLOSE
HDFC DAF - III - 1304Days-August 2016 (G) 19-08-2016 02-09-2016 5000 1304 Days CLOSE
Birla Sun Life FTP - Series NU (G) 24-08-2016 29-08-2016 5000 1099 Days CLOSE
Reliance Fixed Horizon - XXXI - Sr.9 (G) 22-08-2016 24-08-2016 5000 1130 Days CLOSE
ICICI Pru FMP - Sr.79 - 1106Days Plan M - Reg (G) 19-08-2016 23-08-2016 5000 1106 Days CLOSE
ICICI Pru FMP - Sr.79 - 1106Days Plan N - Reg (G) 19-08-2016 23-08-2016 5000 1106 Days CLOSE
Birla Sun Life FTP - Series NT (G) 18-08-2016 22-08-2016 5000 1099 Days CLOSE
DHFL Pramerica Fixed Duration Fund - Sr.31 (G) 08-08-2016 22-08-2016 5000 1100 Days CLOSE
DHFL Pramerica Fixed Duration Fund - Sr.32 (G) 09-08-2016 22-08-2016 5000 1100 Days CLOSE

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Global Updates: (Source: AMC Newsletters)

India:
Wholesale price inflation rose to 3.6 per cent in July, a 23-month high, driven mainly by inflation in the food category, which rose to double digits for the first time since December 2013.
Consumer Price Index (CPI) inflation for the month of July rose to a two-year high of 6.07 percent maintaining the Reserve Bank of Indias (RBI) near-term target of rise in prices of food in the
month of July. Also, food price inflation rose to 8.35 percent versus 7.79 percent in May.
India's industrial growth edged up to 2.1 per cent in June, an eight-month high, riding a pickup in electricity generation and showing some signs of acceleration ahead.

Asia:
Japanese manufacturers' mood soured in August to its lowest since 2013 when the central bank embarked on aggressive monetary easing, reflecting the pain caused by a rising yen and
highlighting the huge task facing policymakers to generate growth. The Reuters Tankan, which tracks the Bank of Japan's quarterly tankan survey, found the service sector's mood rose for the
first time in five months, a sign of fragility rather than strength in private consumption that constitutes about 60 percent of the economy.
Japan posted a trade surplus of 513.5 billion yen ($5.1 billion) in July, though exports sank 14 percent from a year earlier as the yen surged against the dollar, the government reported Thursday.
The fall in exports by the world's third-largest economy was outpaced by a nearly 25 percent drop in imports, suggesting persisting weakness in domestic demand. Both were the sharpest
monthly year-on-year drops since 2009. Japan posted a trade deficit of 261.4 billion yen in July 2015.
Foreign investment in Japan stocks increased to 94.7B in August 12 from previous -492.2B

US:
The number of Americans filing for unemployment benefits fell more than expected last week, reinforcing views of labor market strength that could encourage the Federal Reserve to raise
interest rates soon. Initial claims for state unemployment benefits dropped 4,000 to a seasonally adjusted 262,000 for the week ended Aug. 13. Claims have now been below 300,000, a
threshold associated with a strong labor market, for 76 straight weeks. That is the longest such stretch since 1973, when the labor market was much smaller.
Consumer confidence rose last week from a three-month low as Americans felt better about the economy, their financial situation and the buying climate. Comfort gauge climbed to 43.6 for the
period ended Aug. 14 from 41.8.
The Conference Board leading economic index for the U.S. rose more-than-expected last month. U.S. CB Leading Index rose to a seasonally adjusted annual rate of 0.4%, from 0.3% in the
preceding month.
U.S. MBA mortgage market index sank 4.0% in data released earlier, in addition to the 3.9% drop in the purchase index and 4.2% decline in the refinancing index for the week ended August 12.
The contraction in mortgage activity occurred despite a slight 1 basis point dip in the average 30-year mortgage rate to 3.64%, which still remained near historical lows.
U.S. housing starts unexpectedly rose in July as building activity increased across the board, supporting the view that investment in residential construction will rebound after slumping in the
second quarter. Ground-breaking increased 2.1 percent to a seasonally adjusted annual pace of 1.2 million units, the highest level since February.
U.S. industrial production rose more than expected in July. Industrial output increased 0.7 percent last month after a downwardly revised 0.4 percent increase in June.
U.S. retail sales were unexpectedly flat in July as Americans cut back on purchases of clothing and other goods, pointing to a moderation in consumer spending that could temper expectations of
an acceleration in economic growth in the third quarter. The unchanged reading last month followed an upwardly revised 0.8 percent increase in June.
U.S. businesses increased their inventories modestly in June, as retailers continued to stock up. But factories reduced stockpiles for the 12th straight month. The overall business inventories
rose 0.2 percent in June, same as in May. Business sales shot up 1.2 percent in June, biggest jump since February 2013.

UK:
Warmer weather and a weaker pound helped boost UK retail sales in July, according to official data. Retail sales grew by 5.9% compared with July 2015.
Total UK unemployment dropped between April and June in the run-up to the Brexit vote, official figures indicate. The UK's jobless total fell by 52,000 to 1.64 million, and the unemployment
rate remained at 4.9%.
Rising fuel prices helped to push the UK's inflation rate higher last month. The annual inflation rate as measured by the Consumer Prices Index (CPI) rose to 0.6% in July from 0.5% in June.
The annual rate of UK house price inflation accelerated to 8.7% to June. The rate was higher than the 8.5% rise measured in May, according to the new House Price Index, and brought the cost
of an average home to 213,927.
Consumer prices in the U.K. saw their largest rise in July since November 2014, amid warnings that the country's vote to leave the EU could stoke inflation. Consumer price inflation dropped 0.1
percent in July but saw a 0.6 percent rise compared to the same period last year.

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Euro Zone:
Euros July consumer price index (CPI) inflation data showed a small uptick of the headline inflation rate to 0.6% year-on-year, the highest since 20 months. The core rate, excluding volatile
items such as energy prices and food, remained unchanged at 1.3% year-on-year. The July inflation readings had been widely anticipated, as it was the first set of inflation data following the
Brexit vote on 23 June.
German economic sentiment picked up in August, but the mood among financial analysts remained relatively subdued, a sign that Europe's largest economy will stay on its modest growth path.
Germany's ZEW said the measure of economic expectations rose to 0.5 points in August from minus 6.8 points in July, but remained well below its long-term average of 24.2 points.
The euro zones trade surplus with the rest of the world grew by more than expected in June, as the currency blocs imports fell faster than its exports. With unadjusted exports falling 2 per cent
and imports falling 5 per cent compared with the same period last year, the euro zones trade surplus increased to 29.2-billion ($32.9-billion U.S.).
Germanys economy grew at a faster pace than expected in the second quarter but stagnation in Italy showed the eurozone is still struggling to build the necessary momentum to lift its feeble
recovery. In quarterly adjusted terms, gross domestic product in GermanyEuropes largest economygrew 0.4%.
Japan's economy failed to grow on a quarterly basis during the April-June period, with gross domestic product (GDP) growth coming in at zero and missing already subdued forecasts. On an
annualized basis, GDP expanded 0.2 percent, slowing dramatically from the 1.9 percent spike in the first three months of the year.

Economic Calendar:
Date Country Event Period Frequency Unit Previous
23-08-2016 European Monetary Union EC Consumer Confidence Flash (Level) Aug, 2016 Monthly -7.9
23-08-2016 US New Home Sales (New Home Sales - Level - SAAR) Jul, 2016 Monthly K 592
23-08-2016 European Monetary Union PMI Composite FLASH (Composite - Level) Aug, 2016 Monthly 52.9
23-08-2016 Japan PMI Manufacturing Index Flash (level) Aug, 2016 Monthly 49
23-08-2016 US Redbook wk8/20, 2016 Weekly 0
23-08-2016 US Richmond Fed Manufacturing Index (Level) Aug, 2016 Monthly 10
24-08-2016 India 182 day T-Bills auction of Rs 60 bln (cut-off yld) Fortnightly pct 6.65
24-08-2016 India 91 day T- Bills auction of Rs 80 bln (cut-off yld) Weekly pct 6.56
24-08-2016 US Existing Home Sales (Existing Home Sales - Level - SAAR) Jul, 2016 Monthly Million 5.57
24-08-2016 US FHFA House Price Index (M/M change) Jun, 2016 Monthly Percent 0.2
24-08-2016 Germany GDP (Quarter over Quarter) Q2, 2016 Quarterly Percent 0.7
24-08-2016 US MBA Mortgage Applications wk8/19, 2016 Weekly 0
24-08-2016 Germany PMI Composite FLASH (Composite - Level) Aug, 2016 Monthly 55.3
24-08-2016 US PMI Manufacturing Index Flash (level) Aug, 2016 Monthly 52.9
24-08-2016 India Reserve Money (change on year) Wk to Aug 19 Weekly pct 14.97
25-08-2016 US Bloomberg Consumer Comfort Index wk 8/21, 2016 Weekly 0
25-08-2016 UK CBI Distributive Trades (Level) Aug, 2016 Monthly -14
25-08-2016 US Durable Goods Orders (Core capital goods M/M change) Jul, 2016 Monthly Percent 0.2
25-08-2016 US EIA Natural Gas Report wk8/19, 2016 Weekly 0
25-08-2016 Germany Ifo Survey (Bus. Expectations) Aug, 2016 Monthly 102.2
25-08-2016 US Jobless Claims wk8/20, 2016 Weekly 0
25-08-2016 US Kansas City Fed Manufacturing Index (Level) Aug, 2016 Monthly -6
26-08-2016 US Baker-Hughes Rig Count wk8/26, 2016 Weekly 0
26-08-2016 US Consumer Sentiment (Sentiment Index - Level) Aug, 2016 Monthly 90.4
26-08-2016 US Corporate Profits (After-tax Profits - Y/Y change) Yearly Percent -2.3
26-08-2016 Japan CPI (CPI-M/M) Jul, 2016 Monthly Percent -0.2
26-08-2016 US Fed Balance Sheet wk8/24, 2016 Weekly 0
26-08-2016 India FX reserve (change on wk) Wk to Aug 19 Weekly $ mln 73.2
26-08-2016 US GDP (GDP price index - Q/Q change - SAAR) Q2:2016 Quarterly Percent 2.2
26-08-2016 UK GDP (Quarter over Quarter) Q2, 2016 Quarterly Percent 0.6
26-08-2016 Germany GfK Consumer Climate (level) Sep, 2016 Monthly 10
26-08-2016 European Monetary Union M3 Money Supply (M3-Y/Y) Jul, 2016 Yearly Percent 4.9
26-08-2016 US Money Supply wk8/15, 2016 Weekly 0

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Economy Updates
US Dollar Vs Indian Rupee
The rupee tumbled to close at three-week low of 67.05 a dollar on sustained demand for the US
currency from banks and importers amid rise in crude oil prices. Weak equity markets, too, hit rupee
sentiment
WPI Inflation (YoY)
Wholesale prices in India rose for the fourth-successive month in July, mirroring a sharp rise in
consumer prices driven by costlier food. The wholesale-price index rose 3.55% from a year earlier,
quicker than the 1.62% increase in June and the 2.7% increase that economists were expecting.
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Relationship among policy rates and benchmarks:
Wholesale prices in India rose for the fourth-successive month in July, mirroring a sharp rise
in consumer prices driven by costlier food. The wholesale-price index rose 3.55% from a
year earlier, quicker than the 1.62% increase in June.
Deposit vs. Advance Growth (YoY)%
The growth rate of non-food credit of banks fell marginally to 9.87% (yo-y) in the fortnight
ended July 22, as compared to the 10.02% seen in the previous fortnight. Outstanding non-
food credit in the banking system stood at Rs 71.63 lakh crore as on July 22, as compared to
Rs 65.19 lakh crore in the same fortnight last year a rise of Rs 6.44 lakh crore. Similarly,
the rate of growth in deposits fell further to 8.71% (y-o-y) as compared to 9.52%% (y-o-y) in
the previous fortnight.
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Money Stock (M3) (YoY) (%) Corporate Bonds Spread Vs Gilt Securities:

Indias total foreign exchange reserves at $365,822.5 million got a boost from the increase of $9 Corporate bond yields ended down last week. The one year AAA credit spreads remained
billion in foreign currency reserves which touched $340,359.9 million this week. unchanged while 10 year spread fell by 12 bps.

Foreign Exchange Reserves (mn of USD) Liquidity support from RBI (Bn. Rs)

Indias forex exchange reserves surged by $73.2 million to touch a life-time high of $365.82 billion RBI infused average gross liquidity via Repo under LAF window worth Rs 5,299 Cr in this week
in the week to August 12, helped by increase in foreign currency assets. Foreign currency assets compared to an infusion of Rs 7,914 Cr in previous week. Infusions via the MSF route averaged
(FCAs) a major component of the overall reserves increased by $81.6 million to $340.36 billion. Rs 10 Cr. The Call rate ended at 6.36% compared to 6.43% from the previous week. The CBLO
ended at 4.79% compared to 6.42% in the previous week.

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MFs net investment in Debt (Rs Crs): Certificates of Deposit (%):

In June, MF bought worth Rs. 43,814 crore. In July, they bought debt sec worth Rs.19,174.8 crore. So CD rates are trading down in the recent periods. The CD rates hovered around 7.20% levels
far in August, they bought debt worth Rs. 551.30 crore. (as per the latest data) (one year CD).

FIIs net investment in Debt (RsCrs): Commercial Paper (%):

In June, FII sold bonds worth Rs. 6,505 crore. In July, they bought debt worth Rs. 6,965.23 crore. So Rates of Commercial papers are seen trading flat in the recent periods. The CP rates are
far in August, they sold debt worth Rs. 1,212.18 crore. hovering around 8.25% levels (one year maturity CP).

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This report has been prepared by the Retail Research team of HDFC Securities Ltd. The views, opinions, estimates, ratings, target price, entry prices and/or other parameters mentioned in this document may or
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