The SBI Blue Chip Fund is a notable fund that predominantly invests in large-cap stocks. It aims to provide long-term capital growth through a diversified portfolio of established and well-performing companies.
Since its inception on February 14, 2006, the SBI Blue Chip Fund has aimed to deliver long-term growth through active management and a diversified portfolio. The fund has consistently provided competitive returns, though it has faced fluctuations, particularly in comparison to its benchmark and category averages.
SBI Blue Chip Fund – Details
- Type: Open-ended equity scheme
- NAV (as of June 12, 2024): ₹85.5156
- Fund Size: ₹46124.17 Cr
- Expense Ratio: 1.53%
- Benchmark: S&P BSE 100 TRI
- Risk Level: Very High
SBI Blue Chip Fund – Performance
| Period | Absolute Returns | Annualized Returns | Category Avg | Rank within Category |
| 1 Week | 1.60% | – | 1.98% | 29/33 |
| 1 Month | 3.06% | – | 3.44% | 23/33 |
| 3 Months | 6.49% | – | 5.76% | 12/33 |
| 6 Months | 15.76% | – | 21.41% | 29/32 |
| 1 Year | 26.36% | 26.28% | 35.31% | 30/32 |
| 3 Years | 55.55% | 15.85% | 16.86% | 20/29 |
| 5 Years | 106.22% | 15.56% | 15.65% | 15/27 |
| 10 Years | 296.07% | 14.74% | 13.50% | 5/25 |
| Since Inception | 733.75% | 12.30% | 15.85% | 27/33 |
SBI Blue Chip Fund – Portfolio Composition
The SBI Blue Chip Fund maintains a diversified portfolio, heavily weighted towards large-cap stocks, with smaller allocations to mid-cap and small-cap stocks, as well as a minimal allocation to debt instruments.
SIP Performance
| Period Invested for | Investments (₹) | Latest Value (₹) | Absolute Returns | Annualized Returns |
| 1 Year | 13,000 | 14,999.94 | 15.38% | 29.14% |
| 2 Year | 25,000 | 31,755.44 | 27.02% | 24.60% |
| 3 Year | 37,000 | 49,252.70 | 33.12% | 19.34% |
| 5 Year | 61,000 | 100,545.36 | 64.83% | 19.98% |
| 10 Year | 121,000 | 265,881.14 | 119.74% | 15.00% |
SBI Blue Chip Fund – Top Holdings
| Stock | Sector | % of Total Holdings |
| HDFC Bank Ltd. | Private sector bank | 8.37% |
| ICICI Bank Ltd. | Private sector bank | 8.12% |
| Larsen & Toubro Ltd. | Civil construction | 5.72% |
| ITC Limited | Diversified FMCG | 4.83% |
| Bajaj Finance Ltd. | Non-banking financial company | 4.29% |
SBI Blue Chip Fund – Investment Strategy
The fund employs a blend of growth and value investing styles, utilizing both top-down and bottom-up approaches for stock selection. This strategy allows the fund to capitalize on the growth potential of large-cap companies while maintaining the flexibility to invest in mid-cap, small-cap, and debt instruments up to 20% of the portfolio.
Risk Ratios
| Ratio | SBI Blue Chip Fund | Category Average |
| Standard Deviation | 11.08 | 11.53 |
| Beta | 0.91 | 0.94 |
| Sharpe Ratio | 0.84 | 0.89 |
| Treynor’s Ratio | 0.10 | 0.11 |
| Jensen’s Alpha | -0.76 | 0.22 |
The fund exhibits lower volatility compared to the category average, as indicated by its lower standard deviation and beta. However, its risk-adjusted returns, measured by Sharpe, Treynor’s, and Jensen’s Alpha, are below the category average.
SBI Blue Chip Fund – Comparative Performance
Compared to its benchmark, S&P BSE 100 TRI, and category peers, the SBI Blue Chip Fund has shown consistent performance over the long term but has underperformed recently. The fund’s rankings within its category indicate room for improvement, particularly in shorter-term periods.
Disclaimer: The information provided in this article is for educational and informational purposes only. It should not be considered investment advice or a recommendation to invest in any particular mutual fund or asset class. Past performance does not indicate future results, and investors should research and consult with a financial advisor before making investment decisions. Investing in mutual funds involves risks, including the possible loss of principal invested.
