How is Aditya Birla Sun Life MIP II - Wealth 25 to invest for 3 year?
Is there anything I should know before I invest in this fund? Any better option?
AskedAditya Birla Sun Life MIP II - Wealth 25 is one of the top performing debt oriented portfolios at Groww.
Debt oriented means that a major proportion of the total corpus is used to invest in debt securities, and the balance is invested in equity securities. However, the fund manager may choose to hold some part of the corpus in cash also in the absence of attractive investment opportunities.
This portfolio has received 5 star rating by Groww on account of its consistently high returns than its debt benchmark. The Risk adjusted returns are also higher as compared to the category. The fund has major investment in sovereign bonds, with other investments spread across AAA to BBB+ rated debt securities. The fund's 3 year annualized trailing return is 11.51%, with moderate risk exposure to the investor.
Other 5 star rated MIP Funds at Groww are:
- SBI Magnum Monthly Income Plan - Growth
- ICICI Prudential MIP 25 - Growth
Their returns vis-à-vis the returns generated by Aditya Birla Sun Life MIP II - Wealth 25 for different time periods are as under:
As you can see, the returns are higher for Aditya Birla Sun Life MIP II - Wealth 25, but the risk is also marginally higher. It is essentially a trade off between risk and return. This is a call you must take, depending upon your risk appetite.
I hope this helps!
Aditya Birla Sun Life MIP II - Wealth 25 is a Monthly Income Plans(MIPs) which has consistently outperformed its benchmark since its inception.
MIP is a debt oriented hybrid mutual fund scheme that invests around 70-80% of its total corpus in debt instruments such as debentures, government securities, etc. While the remaining part is invested in equity instruments.
The scheme primarily seeks to generate regular income through a predominant exposure to debt and money market instruments. It also aims at capital growth through an equity exposure of maximum 25 per cent.
Key points for Aditya Birla Sun Life MIP II - Wealth 25 fund are:
- This fund has been rated as a 5-star fund by Groww.
- AUM of close to ₹ 2446Cr.
- Age is more than 10 years.
- Past 3 years return is 11.66% per annum
- Has consistently outperformed its benchmark BSE S&P 100 and NIFTY 50 since its launch.
- The top portfolio holdings of the fund include ONGC Petro Additions Ltd., Rajasthan State, GOI and Idea Cellular Ltd..
- The holdings are balanced across various sectors with maximum weightage given to sovereign (55%).
The fund is one of the best option to provide the investor with periodic payments on a monthly basis, with low risk along with decent return on investment.
The similar option available in market are:
Happy Investing!