Mutual Fund Risk Factor : SBI

Mutual funds and securities investments are subject to market risks and there is no assurance or guarantee that the Fund's objective will be achieved.

 

As with any investment in securities, the NAV of the Magnums/Units issued under the scheme(s) can go up or down depending on the factors and forces affecting the capital markets.

Past performance of the Sponsor / AMC / Mutual Fund or its affiliates does not guarantee the future performance of the scheme(s) of the Mutual Fund.

State Bank of India, the sponsor, is not responsible or liable for any loss resulting from the operation of the scheme beyond the initial contribution made by it of an amount of Rs. 5 lakhs towards setting up of the mutual fund.
Magnum Equity Fund, Magnum Taxgain, Magnum Index Fund, Magnum Sector Funds Umbrella, Magnum Multiplier Plus Scheme, Magnum Global Fund, Magnum MidCap Fund, Magnum Comma Fund, Magnum Multicap, BLUE CHIP Fund
Magnum NRI Investment Fund, Magnum Income Plus Fund, Magnum Income Fund, Magnum Children's Benefit Plan, Magnum Monthly Income Plan, Magnum Gilt Fund, Magnum Monthly Income Plan Floater, Magnum Balanced Fund, Magnum Institutional Income Fund-Savings, Magnum InstaCash Fund

As per SEBI circular SEBI/IMD/Cir No. 10/22701/03 dated 12th December 2003 each scheme and individual plan(s) under the schemes should have a minimum of 20 investors and no single investor should account for more than 25% of the corpus of such scheme/plan(s). In case of non fulfillment with either of the above two conditions in a three month time period or the end of the succeeding calendar quarter, whichever is earlier, from the close of the New fund offer of openended schemes or on an ongoing basis for each calendar quarter, the schemes/plans shall be wound up by following the guidelines prescribed by SEBI and the investor's money would be redeemed at applicable NAV.

SEBI has provided further clarifications vide circular SEBI/IMD/Cir No. 1/42529/05 dated 14th June 2005 in respect to determining the breach of the 25% limit by an Investor - (i) the earlier circular would be applicable at the portfolio level. (ii) The average net assets of the scheme would be calculated daily and any breach of the 25% holding limit by an investor would be determined. At the end of the quarter, the average of daily holding by each such investor will be computed to determine whether that investor has breached the 25 % limit over the quarter. If there is a breach of limit by any investor over the quarter, a rebalancing period of one month would be allowed and thereafter the investor who is in breach of the rule shall be given 15 days notice to redeem his exposure over the 25 % limit. Failure on the part of the said investor to redeem his exposure over the 25 % limit within the aforesaid 15 days would lead to automatic redemption by the Mutual Fund on the applicable Net Asset Value on the 15th day of the notice period.