Baroda BNP Paribas Balanced Advantage Fund : Baroda BNP Paribas Mutual Fund’s equity scheme Baroda BNP Paribas Balanced Advantage Fund has completed 6 years and in these 6 years, the scheme has proved to be a wealth creator for investors. With this important achievement, the fund has achieved another big milestone and its Asset Under Management (AUM) has crossed Rs 4000 crore. Since its inception, the fund has not only delivered returns above its category average, but has also established itself as a top performer for investors looking to invest in the growth of equity markets with low volatility .
Best SIP Return: Top smallcap fund with high rating, made Rs 5 crore from SIP of Rs 10 thousand, left behind the giants in giving returns
What is investment strategy?
The scheme not only invests in equity and debt options, but also bets on derivatives to take advantage of the pricing difference between the cash and futures markets. The fund uses a proprietary model to actively allocate assets between equity and fixed income. This enables the fund to take advantage of market volatility, making it a better investment option for its investors.
SIP Star: Amazing scheme with 4 star rating, SIP of Rs 10,000 turned into Rs 1 crore, money increased 12 times on one time investment
return performance
Those investing in Baroda BNP Paribas Balanced Advantage Fund through SIP have got strong returns. With tenures of 1 year, 3 years and 5 years, the fund has consistently outperformed the benchmark index since its launch. Returns for lump sum investors have also consistently been better than the benchmark.
Lump sum performance of the fund
1 year return: 26.45%
Value of investment of Rs 1 lakh: Rs 1,26,536
3 year return: 12.53% per annum
Value of investment of 1 lakh: Rs 142640
5 year return: 15.96% per annum
Value of investment of Rs 1 lakh: Rs 2,09,833
Returns since inception: 15.15% per annum
Value of investment of Rs 1 lakh: Rs 2,32,076
|
Compounded annualized rate of growth in % |
1 year |
3 years |
5 years |
Since Inception |
|
Baroda BNP Paribas Balanced Advantage Fund |
26.45 |
12.53 |
15.96 |
15.15 |
|
Nifty 50 Hybrid Composite Debt 50:50 Index |
18.75 |
9.41 |
12.31 |
12.58 |
SIP Return in Oldest Fund: Tata Group’s oldest scheme did wonders in SIP, daily savings of Rs 100 turned into Rs 2.67 crore
SIP performance of the fund
6 year SIP return: 16.12% per annum
Monthly SIP amount: Rs 10,000
Total investment in 6 years: Rs 7,20,000
Value of SIP in 6 years: Rs 11,72,750
|
|
1 year |
3 years |
5 years |
Since Inception |
|
Total Amount Invested |
1,20,000 |
3,60,000 |
6,00,000 |
7,20,000 |
|
Market Value |
1,30,030 |
4,63,471 |
9,04,361 |
11,72,750 |
|
Scheme Return (% CAGR) |
15.79 |
17.10 |
16.41 |
16.12 |
|
Index Amount Invested |
1,27,896 |
4,34,264 |
8,26,291 |
10,55,686 |
|
Index Return (% CAGR) |
12.37 |
12.55 |
12.75 |
12.62 |
Hybrid funds are an attractive option now
In recent times, when Indian stock markets have witnessed high level of volatility due to global factors and some domestic reasons, hybrid funds have attracted more attention from investors. Balanced Advantage funds are an ideal choice for investors with a relatively low risk appetite, providing a balance between growth and capital protection. These schemes adjust equity exposure dynamically. This means that when market valuations become high, the scheme reduces exposure to equities and when there is a short-term decline in the market, the scheme increases exposure to equities. Buying opportunities are taken advantage of with this strategy. Also, in schemes like Baroda BNP Paribas Balanced Advantage Fund, the fund manager ensures that debt investments are placed in high-credit-quality instruments, which provide additional safety.
Most Profitable IPO: 7 highest earning IPOs this year, investors got 110 to 254% returns, these 5 suffered the highest loss.
High returns with diversification
This fund invests in large-cap, mid-cap and small-cap equity shares, which reduces the risk by providing the benefit of diversification. At the same time, since there is no obligation to invest in a single market cap, maximum returns are also ensured by this fund. With its active asset allocation and dynamic management, Baroda BNP Paribas Balanced Advantage Fund remains a preferred choice for investors looking for a growth-oriented strategy along with exposure to different market caps.
(Note: It is not guaranteed whether the past returns in any equity fund will continue or not. This may or may not continue in the future. There are risks in the market, so seek expert advice before investing.)
