FUND PHILOSOPHY

Contained headline inflation and slower growth is positive for fixed income market. It will not only help RBI to infuse necessary durable system liquidity but also opens up the possibility of further rate cuts. Global growth inflation dynamics also prompted other key central banks to maintain their growth supportive stance. All these factors are favourable for the domestic fixed income market. Hence, in the near term interest rate movement is likely to be range bound with softer bias. However, over the medium term, Government’s commitment towards fiscal deficit target, crude price movement, progress of monsoon and FII flows are likely to impact the market sentiment.

OVERVIEW OF MARKET

August was a typically volatile month across equity and debt markets, reflective of the fiscal we have had so far. Nifty continued its recovery with another strong month (+3.5%). After being net sellers for 10 straight months, foreign institutional investors (FIIs) turned net buyers in the month of August in the equity markets. On the fixed income side, the 10-yr G-Sec swung wildly between 7.11% and 7.36%, even traversing the entire range within 2-3 trading sessions, indicative of extremely volatile and uncertain market conditions. At a global level, the conversation continues to be dominated by spiralling inflation and the potential eonomic slowdown as a consequence of trying to bring down the inflation. Central banks are focussed on ensuring price stability and preventing inflationary expectations from becoming more permanent. At its annual summer retreat in Jackson Hole, the US Federal Reserve reiterated its commitment to bring inflation from its current levels of 8-9% to within its target range of ~2%, and sent a clear message that it would not shy away from inflicting pain (read: hike interest rates) till the inflation goal is reached. Domestically, RBI too followed through on its stance of priortising inflation over growth and raised the policy rate by 50 bps to 5.40%, bringing it back to pre-pandemic levels. India’s Q1’23 GDP growth came in at 13.5%, as a result of low base from Q1’22. While this was below analyst estimates, it is still a strong performance amidst the global slowdown. India continues to rebound strongly post the pandemic, as Gross Fixed Capital Formation and Private Consumption Expenditure each grew by >20% in Q1 FY23, on the back of improved demand and new project announcements by private sector. Services sector too witnessed ~18% growth in Q1 FY23. Within Nifty, metals, energy & auto outperformed while IT, pharma & media underperformed in August. During the period, FIIs bought ~Rs22,000 Cr, while domestic mutual funds sold ~Rs 1,640 Cr* in the equities market.

EQUITY

Equity markets are expected to remain range bound in September driven by recessionary concerns and volatile energy prices. Inflation concerns continue to dominate mindshare globally, and European gas prices remain elevated as a fallout from the Russia-Ukraine conflict. Amidst this gloom, the Indian economy appears to be in a sweet spot as falling commodity prices and good (even if delayed) monsoons are likely to drive rural demand in 2HFY23 with a probability of margin improvement. In medium term, we expect auto and retail sector to do well, as easing global semi conductor supplies and softening commodity prices are likely to aid margins and volumes. At a broader level, margin pressures are likely to ease out beginning Oct’22, as businesses pass on the impact of rising input cost to end consumers and re-engineer on their cost structures to improve operating margins. As earnings trajectories improve sequentially, we expect equity markets to slowly and gradually pick up pace from current levels. The key risk to our thesis could be from demand slowdown, either due to muted domestic recovery or spillover effects on economic growth from global macro-economic factors.

FIXED INCOME

Fixed income markets are expected to remain volatile for the foreseeable future under the influence of conflicting forces. On the hawkish side, rising interest rates in advanced economies on account of persistently high inflation puts pressure on the RBI to raise rates to protect the INR. Domesitc inflation also remains above the RBI’s target range, and an unevenly distributed kharif sowing season is expected to create further upward pressure. On the other hand, the expected global economic slowdown has helped cool off crude oil prices, which should help bring down Indian inflation print. Additionally, expectations of Indian G-Sec’s inclusion in global bond indices is also providing a tailwind. In light of its recent commentary, the US Federal Reserve is expected to continue hiking interest rates, and the RBI will have to respond adequately. But softening crude prices and a relatively buoyant overall economy should help keep the 10-yr G-Sec range bound between 7.10% - 7.40% in the medium term.

INVESTOR PHILOSOPHY

Provide customers with the best solutions & services

Vision
To be the preferred Life Insurer; to ensure Safety, Liquidity and Profitability of funds, encompassing integrity and transparency in its operations, with an overall objective to meet the Reasonable Expectations of Policyholders.

Objectives

  • To invest the funds in matching assets, to the extent possible, so as to meet the liabilities as and when due
  • To effectively manage the portfolio of investments to yield optimum return
  • To be compliant with all Regulatory norms and to follow prudent practices in operations
  • To carry out the fund management activities in a cost efficient manner

COMPANY INITIATIVE

Constant growth and development

Attract and retain talent and imparts training to the manpower to develop the needed skill sets; In-house Research team and framework for informed fund management decisions. State of the art Investment Management System seamlessly integrating the Front, Mid and Back offices, to effectively manage risks, investment accounting, MIS etc

MODIFIED NAVCOMPUTATION

As per IRDA Circulars ref: IRDA/F&I/CIR/INV/173/08/2011 dated July 29, 2011 and IRDA/F&I/CIR/INV/187/08/2011 dated August 17, 2011, computation of Net Asset Value stands modified with effect from August 18, 2011, as below:

OLD METHOD NEW METHOD

Fund Nav

NAVs (in Rs) as on 29-Sep-2022

  • Sr. No.1

  • Fund

  • Segregated Fund Identification No.

  • NAV

1 Balanced fundULIF 001 18/02/09 SUD-LI-BL1 14231.3111SD001
2 Equity FundULIF 002 25/02/09 SUD-LI-EQ1 14257.5039SD002
3 Bond FundULIF 004 25/02/09 SUD-LI-BN1 14224.2475SD003
4 Growth FundULIF 003 25/02/09 SUD-LI-GR1 14251.0218SD004
5 Individual Pension Fund - EquityULIF 005 31/03/09 SUD-PI-EQ1 14249.1897SD005
6 Individual Pension Fund - BondULIF 008 31/03/09 SUD-PI-BN1 14224.1920SD006
7 Individual Pension Fund - GrowthULIF 006 31/03/09 SUD-PI-GR1 14240.5684SD007
8 Individual Pension Fund - BalancedULIF 007 31/03/09 SUD-PI-BL1 14230.9421SD008
9 Apex Equity FundULIF 009 20/01/10 SUD-LA-EQ1 14232.6625SD009
10 Apex Bond FundULIF 012 20/01/10 SUD-LA-BN1 14223.6607SD010
11 Apex Growth FundULIF 010 20/01/10 SUD-LA-GR1 14231.1119SD011
12 Apex Balanced FundULIF 011 20/01/10 SUD-LA-BL1 14229.3966SD012
13 Individual Pension Fund - Apex EquityULIF 013 20/01/10 SUD-PA-EQ1 14232.9053SD013
14 Individual Pension Fund - Apex BondULIF 016 20/01/10 SUD-PA-BN1 14222.9703SD014
15 Individual Pension Fund - Apex GrowthULIF 014 20/01/10 SUD-PA-GR1 14230.4784SD015
16 Individual Pension Fund - Apex BalancedULIF 015 20/01/10 SUD-PA-BL1 14228.7116SD016
17 Express Balanced FundULIF 017 29/04/11 SUD-LX-BL1 14224.0047SD017
18 Discontinued FundULIF 018 03/06/11 SUD-UL-DP1 14219.9110SD018
19 Individual Life - Bluechip Equity FundULIF 019 11/12/13 SUD-LI-EQ2 14224.7269SD019
20 Individual Life - Income FundULIF 020 11/12/13 SUD-LI-BN2 14217.4403SD020
21 Individual Life - Growth Plus FundULIF 023 11/12/13 SUD-LI-GR2 14223.2004SD023
22 Individual Life - Balanced Plus FundULIF 024 11/12/13 SUD-LI-BL2 14220.4953SD024
23 Unclaimed Policies Unit Linked FundULIF 025 09/11/16 SUD-LN-UUF14213.6234SD029
24 Group Debt FundULGF 003 20/03/15 SUD-GN-BN1 14215.4052SD027
25 Group Money Market FundULGF 004 20/03/15 SUD-GN-MM1 14211.2900SD028
26 Group Balanced FundULGF 002 20/03/15 SUD-GN-BL1 14212.1834SD026
27 Individual Life - Mid Cap FundULIF 026 14/10/19 SUD-LI-MID 14213.8661SD030
28 Individual Life - Gilt FundULIF 027 14/10/19 SUD-LI-GLT 14210.8142SD031
29 Dynamic FundULIF 028 11/06/21 SUD-LI-DYN 14210.2406SD032
30 Money Market FundULIF 029 11/06/21 SUD-LI-MMF 14210.3006SD033
Fund Philosophy

FUND
MANAGEMENT
TEAM

Get to know the
fund management team
at our company

Mr. Prashant Sharma

CHIEF INVESTMENT OFFICER

Qualifications: CA, CFA

Experience: More than two decades of experience of handling Investments. Prashant has been responsible for overall investment portfolios, formulating investment policies, generating reasonable returns and appropriate risk management. He has been also responsible for Corporate Strategy, Products, MIS and Assurance services in his previous roles and has been an active member of Executive Committee and Steering committees.

Prior to joining the company, he was Chief Investment Officer at Aviva Life Insurance. He was also associated with Max Life Insurance in the capacity of Chief Investment Officer in the past.

Mr. Ram Kamal Samanta

HEAD OF FIXED INCOME AND FUND MANAGER

Qualifications: Post--graduation in Economics from JNU, PGDBA with specialisation in Finance, Chartered Financial Analyst (CFA – ICFAI India), certified Financial Risk Manager (FRM from GARP USA) and Certified Associate of Indian Institute of Bankers (CAIIB).

Experience: More than 18 years of experience in financial markets (both fixed income and equity) as a research analyst and fund manager. Prior to joining SUD Life, he was with SBI DFHI LTD as Vice President, Investment for 13 years.

Guest speaker at various reputed institutes including Indian Institute of Management (IIM) Kolkata, National Institute of Securities Market (NISM) and National Institute of Bank Management (NIBM) Pune.

Mr. Jagdish Bhanushali

FUND MANAGER - EQUITY

Qualifications: CFA (CFA Institute) & FRM (Global Association of Risk Professional)

Experience: More than nine years’ experience as a fund manager and equity Research Analyst in Indian Equity market. Prior to joining SUD Life he was a senior equity analyst with Florintree Advisors Pvt. Ltd.

Earlier associated as guest faculty with Mithibai College of Science & Commerce and SIES College of Commerce & Economics.

Mr. Ankit Shah

EQUITY RESEARCH ANALYST​

Qualifications: BE Electronics (Mumbai University)

Experience:​ Over 9 years of total experience across Equity Research, Investment Banking and Information Technology.​

Mr. Hasmukh Vishariya

EQUITY RESEARCH ANALYST​

A qualified Chartered Accountant started his career with the company in October 2017

CHANGE IN VALUATION OF EQUITY

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