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

Indian equity markets declined by 3.5% during the month and the 10Yr G-Sec hardened from 7.21% to 7.32%, on the back of continued rate hikes by US Fed and RBI. While the pace of monetary tightening slowed along expected lines with smaller rate hikes, both the US Fed and the RBI maintained their focus on fighting inflation in light of sticky core inflation. Early in December, RBI raised the benchmark repo rate by 35 bps, following 3 consecutive 50 bps hike. Later in the month, the US yield curve moved upwards on US Fed indicating terminal rates of 5.1% as against the previous expectation of 4.6%. The INR also witnessed selling pressure and depreciated by 1.6% on a monthly basis, reflecting slowdown concerns and global rate actions.

Higher commmodity prices combined with weakening exports saw Q2 CAD at 4.4% of GDP. This is expected to ease up as commodity prices softened in Q3, and are expected to remain rangebound due to a slowing global economy. Domestically, waning of input cost pressures, still buoyant corporate sales and upturn in investments in fixed asset are heralding the beginning of capex cycle which will contribute to a speeding up of growth momentum in the Indian economy.

Within Nifty, IT & media underperformed while metals & financial services outperformed the benchmark. During the period, FIIssold equities to the tune of ~Rs14,281 Cr and domestic mutual funds purchased equities (on net basis) of and ~Rs 10,895 Cr* respectively.

EQUITY

Equity markets corrected by 4% approximately after hitting a closing high of 18,812.5 on December 1, 2022, as recession concerns continued to weigh on the demand outlook. While headline inflation prints have eased off, the persistently high core inflation readings led to fears of inflation remaining higher for longer period. On the domestic side, rural demand has failed to pick up pace despite good monsoons. Globally, rising covid cases in China has led to re-emergence of demand concerns in contact-intensive industries and inflation headwinds from supply side impact.

Going forward, Indian equity markets are likely to take their cue from the upcoming results seasons. Signs of growth rebound in in China following its abandonment of Zero Covid policy will also be closely watched. However, Indian equity investors are expected to remain cautious as Indian indices have relatively outperformed their global peers during the last 12 months and continue trade at a premium. Expectations on upcoming Union Budget on February 1, 2023, could also set the tone for the Indian equity markets during the current month. We expect sectors like Banks & NBFC to outperform on the back of strong credit growth while infrastructure, railways, and defence stocks are always in-play around the budget in anticipation of new government spending plans.

FIXED INCOME

Central banks across the globe have raised rates dramatically in 2022, bringing a likely pause to the rate hike cycle in the shortto-medium term. The absolute yields are now at levels that investors are able to make meaningful returns on bonds in many of the investible markets. Given the shape of the yield curve, money market investments and short duration bonds look attractive in the near-term. Domestically, high-frequency data suggeststhat headline inflation as well as the rate hike cycle may have peaked. Near-term interest rates are expected to remain rangebound, driven by inflation prints, actions & commentary from central banks as well as the anticipation around the union budget on 1st February. The recent spread of covid infections in certain countries will also be closely watched for global impact.

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 27-Jan-2023

  • Sr. No.1

  • Fund

  • Segregated Fund Identification No.

  • NAV

1 Balanced fundULIF 001 18/02/09 SUD-LI-BL1 14232.1890SD001
2 Equity FundULIF 002 25/02/09 SUD-LI-EQ1 14260.2150SD002
3 Bond FundULIF 004 25/02/09 SUD-LI-BN1 14224.7863SD003
4 Growth FundULIF 003 25/02/09 SUD-LI-GR1 14253.1496SD004
5 Individual Pension Fund - EquityULIF 005 31/03/09 SUD-PI-EQ1 14251.5203SD005
6 Individual Pension Fund - BondULIF 008 31/03/09 SUD-PI-BN1 14224.7449SD006
7 Individual Pension Fund - GrowthULIF 006 31/03/09 SUD-PI-GR1 14242.2528SD007
8 Individual Pension Fund - BalancedULIF 007 31/03/09 SUD-PI-BL1 14231.7837SD008
9 Apex Equity FundULIF 009 20/01/10 SUD-LA-EQ1 14234.2691SD009
10 Apex Bond FundULIF 012 20/01/10 SUD-LA-BN1 14224.2245SD010
11 Apex Growth FundULIF 010 20/01/10 SUD-LA-GR1 14232.4334SD011
12 Apex Balanced FundULIF 011 20/01/10 SUD-LA-BL1 14230.4625SD012
13 Individual Pension Fund - Apex EquityULIF 013 20/01/10 SUD-PA-EQ1 14234.5302SD013
14 Individual Pension Fund - Apex BondULIF 016 20/01/10 SUD-PA-BN1 14223.4768SD014
15 Individual Pension Fund - Apex GrowthULIF 014 20/01/10 SUD-PA-GR1 14231.7148SD015
16 Individual Pension Fund - Apex BalancedULIF 015 20/01/10 SUD-PA-BL1 14229.7441SD016
17 Express Balanced FundULIF 017 29/04/11 SUD-LX-BL1 14224.6625SD017
18 Discontinued FundULIF 018 03/06/11 SUD-UL-DP1 14220.2458SD018
19 Individual Life - Bluechip Equity FundULIF 019 11/12/13 SUD-LI-EQ2 14225.8614SD019
20 Individual Life - Income FundULIF 020 11/12/13 SUD-LI-BN2 14217.8281SD020
21 Individual Life - Growth Plus FundULIF 023 11/12/13 SUD-LI-GR2 14224.1311SD023
22 Individual Life - Balanced Plus FundULIF 024 11/12/13 SUD-LI-BL2 14221.0641SD024
23 Unclaimed Policies Unit Linked FundULIF 025 09/11/16 SUD-LN-UUF14213.8833SD029
24 Group Debt FundULGF 003 20/03/15 SUD-GN-BN1 14215.7673SD027
25 Group Money Market FundULGF 004 20/03/15 SUD-GN-MM1 14211.4472SD028
26 Group Balanced FundULGF 002 20/03/15 SUD-GN-BL1 14212.5181SD026
27 Individual Life - Mid Cap FundULIF 026 14/10/19 SUD-LI-MID 14214.1244SD030
28 Individual Life - Gilt FundULIF 027 14/10/19 SUD-LI-GLT 14211.0285SD031
29 Dynamic FundULIF 028 11/06/21 SUD-LI-DYN 14210.5522SD032
30 Money Market FundULIF 029 11/06/21 SUD-LI-MMF 14210.4646SD033
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

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),Fellow of Life Insurance from Insurance Institute of India.

Experience: More than two decades 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: Greater than 13 years’ of Experience in to Indian Equity Market. Prior joining SUD Life, he worked as Senior Equity Analyst with Florintree Advisors.

Along with being Equity Analyst, he was also associated as Guest Faculty with Mithibai College of Science & Commerce and SIES College of Commerce & Economics.

Mr. Sujay Nimkar

FUND MANAGER - FIXED INCOME​

Qualifications: MBA (Finance) & B.E. (Mechanical)

Experience: 10+ years of experience in fixed income markets across rating agencies and Investment banks.

Prior to joining SUD Life, he was working as senior analyst with ICRA Ltd,He has also been associated with Deutsche bank, Credit Suisse and CRISIL Ltd.

Mr. Jimesh Sanghvi

SR EQUITY RESEARCH ANALYST​

Qualifications: Chartered Accountant

Experience: More than 17 years of experience as an Equity Research Analyst for the Indian markets both on the buy side as well as sell side.

Prior to joining SUD Life, he was a senior Equity Research Analyst with Principal Asset Management covering multiple sectors.

He has also been associated with SBICAP Securities and Avendus Securities in the past..

Awarded Reuters Star Mine award for stock picking in Metals and Mining Sector during 2013 and 2014.

Mr. Hasmukh Vishariya

EQUITY RESEARCH ANALYST​

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

Mr. Rishav Jain

CREDIT ANALYST​

Qualifications: Chartered Accountant, B.Com(H)

Experience: 3 years post qualification experience, with 1.5 years as macro and credit analyst.

Prior to joining SUD Life, he was associated with PwC.

Mr. Meet Kachhy

LEAD ANALYST ON ALTERNATE ASSETS​

Qualifications: MBA, CFA, B.E. (Hons)

Experience: More than a decade’s experience across investing (public & private markets ), corporate finance & strategy.

Prior experience includes stints at Goldman Sachs Asset Management, VC fund Jupiter Capital and education start-up XSeed.

CHANGE IN VALUATION OF EQUITY

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