Building

Wealth the
Easy Way!
 If a person (25 years) can
save Rs.5,000/- per month,
What will be his wealth when
he retires (60 years)?
Assuming he invests in an asset generating 15%

SIP 2
 Do you have a child at this
age or lesser?
Then guess seriously!

SIP 3
 At Age 60 , he would have ….

Rs. 7.4 Crores

SIP 4
 If a person can save Rs.5,000/-
per month What will be his
wealth when he retires?

Assuming:
He increases his investments by 5% every year
Invests in an Asset class that gives returns of 20%

SIP 5
 Rs.27 Crores

SIP 6
 Most Common Reasons for Not Investing!
I don’t have enough money to invest!
WHAT IF YOU COULD INVEST SMALL AMOUNTS REGULARLY!
S.I.P IN EQUITIES
THE EASIEST,
SAFEST, MOST I am scared of markets – prefer fixed deposits!
WHAT IF WE SHOWED YOU HOW YOU MAY NEVER LOSE MONEY IN STOCK MARKETS!
CONVENIENT WAY
TO INVEST!
I don’t have the time or expertise to follow the market
movements and make investments at the right time.
WHAT IF WE PROVED IT DOESN’T MATTER WHETHER YOU TIME MARKETS OR DON’T!

SIP 7
 SIP: Your Automated Advisor
SIPS DO SMART Since Fixed Amount Invested, you get less when
prices are high and more when prices are low
INVESTING Over time, the average cost remains low
AUTOMATICALLY! And when prices rise, so do your profits!

100
100
95 95 95
HOW SIP MAKES MONEY :
75
75 70
80
80
75
MARKET PRICE OVER 12 MONTHS
65

50
60 60 A lump sum investor with Rs 12000 invested in Month
1 will be down 5% at end of Month 12. An SIP of
25 Rs 1000 each month at same time would mean the
investor would have made 24% in same time period
0

SIP 8
 SIP: Your Automated Advisor

Rupee Cost Averaging Average Purchase

cost will be less

Automatic Timing At higher prices – less units

At lower prices – more units

SIP 9
 A 10 Year Investment in Nifty
via SIP Generates 15%!
Pick any date!

SIP 10
 Getting 15% is easy !! (Post Tax!)
Annualised 10 Year Return Potential across Timeframes
Nifty Return Annualised 
 SIP in Index- Annualised Return 

Date of Start of 10 Year SIP (End Value/Start Value) (Monthly Investment)
1-4-1991 to 31-3-2001 11% 9%
1-4-1992 to 31-3-2002 0.20% 8%
1-4-1993 to 31-3-2003 4.60% 6.40%
1-4-1994 to 31-3-2004 4.40% 12.30%
1-4-1995 to 31-3-2005 8% 13.50%
1-4-1996 to 31-3-2006 11.80% 18.60%
1-4-1997 to 31-3-2007 13.50% 18.90%
1-4-1998 to 31-3-2008 15.10% 20.20%
1-4-1999 to 31-3-2009 11.90% 13.50%
1-4-2000 to 31-3-2010 14.10% 18.80%
1-4-2001 to 31-3-2011 17.90% 18.70%
1-4-2002 to 31-3-2012 17.20% 15.60%
1-4-2003 to 31-3-2013 19.80% 13.90%
1-4-2004 to 31-3-2014 14.10% 13.60%
1-4-2005 to 31-3-2015 16.10% 14.20%
1-4-2006 to 31-3-2016 8.10% 11.70%
Average of Above Dates 12% 14%
Average of Any Dates 14.70% 16.30%

SIP 11
 Lets see it again!
Specific Time Evidence

LUCKY ENOUGH TO CAPTURE
THE BIGGEST 10 YEAR BULL RUN
IN HISTORY?
1ST JAN 1998 TO 31 DEC 2007:
NIFTY WENT UP 6.5 TIMES
NIFTY ANNUALISED RETURN:
20.3%
SIP RETURN :
23.7%
SIP
UNLUCKY TO GET IN AT THE SCARY! GOT IN THE DAY OF THE
START OF THE WORST NIFTY 10 LEHMAN BROTHERS
YEAR RETURN?
1ST APRIL 1992 TO 28 FEB 22ND JAN , 2008 – MARKETS
2002: NIFTY WENT DOWN 9% CRASHED AND HIT THE
FROM START TO FINISH LOWER CIRCUIT
NIFTY ANNUALISED RETURN : STILL IN THE INVESTMENT AND
-1% RECEIVED
SIP RETURN : 12.2%
8.3% ANNUALISED
REMEMBER – 2 YEARS STILL REMAIN
AND THE GLOBAL ECONOMY IS IN
DOLDRUMS!
12
 Historic returns way above other
asset classes
A MONTHLY SIP FOR 10 YEARS HAS A 0% POSSIBILITY OF
GENERATING LESS THAN 5% RETURN-AVERAGE RETURN = 16.4%
SIPS – Source: PL Analysis of Nifty SIP Performance since 1990
PROTECTION
AGAINST 5 Year 10 Year 15 Year 20 Year

INFLATION GOLD 9.0 12.9 11.0 8.4

EASY BANK FIXED DEPOSIT

PROPERTY
5.7

8.0
5.2

13.4 10.8
5.1 5.5

6.2

CAGR in WPI index 6.2 5.9 5.7 5.5

Avg. inflation for the PD. (%) 7.4 6.3 5.9 5.7

Remember these returns are post tax!!

And you can withdraw your money any time!

SIP 13
 The PL Rule for Future Crorepatis!
15% 15 Yrs 15K PM
=
10,000,000 in 15 Years
SIP 14
 Returns least important:
Instalment Value and Time Invested matters more
Value of Savings at varying Investment Value/ Time Periods and return at 15%
15% Retunrs 10 Yrs 15 Yrs 20 Yrs 25 Yrs 30 YrsENTRY INDEX

Rs 5,000 Rs 13.7 Lakhs Rs 33 Lakhs Rs 74 Lakhs Rs 1.6 Cr. Rs 3.46 Cr.

Rs 10,000 Rs 26 Lakhs Rs 66 Lakhs Rs 1.5 Cr. Rs3.2 Cr. Rs 7 Cr.

Value of Savings at varying Return Levels

12.5% 15% 17.5% 20%

10 Yrs Rs 12.2 Lakhs Rs 13.76 Lakhs Rs 16.56 Lakhs Rs 18.8 Lakhs

15 Yrs Rs 27.4 Lakhs Rs 33.42 Lakhs Rs 45 Lakhs Rs 56 Lakhs

20 Yrs Rs 56 Lakhs Rs 74.5 Lakhs Rs 1.15 Cr Rs 1.55 Cr.

The Incremental Return is faster with longer time

horizons/Value and not so much returns
SIP 15
 Targeting a specific amount?

Instalment Value Required Per Month

10 Yrs 15 Yrs 20 Yrs

AT 10% Rs 48,000 Rs 24,000 Rs 13,000

AT 15% Rs 36,000 Rs 15,000 Rs 6,600

AT 20% Rs 26,000 Rs 9,000 Rs 3,200

Use our financial calculators at www.plclients.com

SIP 16
 Boosting Returns!

Start early Increase value

The more time you invest for, the higher Increase value of investments as your
the return as power of compounding income grows
works extra hard!

The markets give 15% - but a good mutual fund manager

can add extra makes a huge impact over 15 years!

SIP 17
 Mutual Funds
Outsourced expertise!
Instalment Value Required Per MontH
Mutual Fund Category 3 Yr( %) Annualised 5 Yr( %) Annualised 7 Yr( %) Annualised

Mid Cap Avg. 25.51 15.45 23.75

Multi Cap Avg. 17.11 10.14 17.42

Indices
Nifty 50 10.12 6.28 12.86

S&P BSE Sensex 9.88 5.82 12.81

CAGR % as on 28th April 2016 – Source Valueresearchonline.com

Save Tax- Investing via ELSS Schemes helps save tax

expense also though it involves a lockin!
SIP 18
 MUTUAL FUNDS RECOMMENDATION (As on 1st Dec’ 2017)

EQUITY SCHEME RECOMMENDATION

Scheme Details Scheme AUM Latest
Details NAV Risk Return

Scheme Name Inception Total (Cr.) NAV 6 Months 1 Year 3 Years 5 Years 10 Years Since Inception
Date

Largecap

Recommended
SBI BlueChip Fund-Reg(G) 20-01-06 12,586.47 37.47 6.34 25.07 12.05 18.10 8.95 11.77
Aditya Birla SL Frontline Equity Fund(G) 30-08-02 16,351.84 212.91 5.69 25.95 9.96 16.90 10.80 22.18

Schemes Franklin India Bluechip Fund(G) 1-12-93 8,362.67 446.68 4.38 21.89 8.84 13.89 9.16 21.49

DECEMBER 2017 Mid & Small cap

Mirae Asset Emerging Bluechip-Reg(G) 9-07-10 3,531.76 50.45 10.11 40.57 22.27 30.25 24.44
Canara Rob Emerg Equities Fund-Reg(G) 11-03-05 1,642.66 93.04 9.94 43.38 18.91 27.99 14.80 19.14
HDFC Mid-Cap Opportunities Fund(G) 25-06-07 15,734.25 57.07 10.11 32.54 16.86 25.69 16.81 18.15
Franklin India Prima Fund(G) 1-12-93 5,388.62 968.57 7.77 31.84 16.03 24.85 13.16 20.98

Diversified
Aditya Birla SL Equity Fund(G) 27-08-98 4,801.13 699.02 7.21 27.13 14.09 20.92 9.43 24.65
Mirae Asset India Opportunities Fund-
4-04-08 3,409.78 46.29 9.08 33.41 13.64 20.39 17.18
Reg(G)
IDFC Classic Equity Fund-Reg(G) 9-08-05 852.11 44.70 7.39 32.60 13.15 14.71 5.93 12.92
Franklin India High Growth Cos Fund(G) 26-07-07 6,027.28 40.14 10.43 31.57 12.29 22.83 11.89 14.36

SIP 19
 SMALLCAP
L&T Emerging Businesses Fund-Reg(G) 12-05-14 689.11 27.10 15.49 55.21 25.19 32.32

ELSS
Axis LT Equity Fund(G) 29-12-09 12,396.03 40.05 9.74 30.39 11.95 22.01 19.12
Franklin India Taxshield(G) 10-04-99 2,849.77 541.51 6.03 23.30 10.15 17.79 11.24 23.86

Recommended
ICICI Pru LT Equity Fund (Tax Saving)(G) 19-08-99 4,310.09 342.65 4.99 20.40 8.50 17.25 11.47 21.30

Schemes Balanced
ICICI Pru Balanced Fund(G) 3-11-99 9,146.74 126.73 7.32 21.62 12.02 18.32 10.86 15.07

DECEMBER 2017 Reliance Reg Savings Fund-Balanced

Option(G)
10-06-05 5,129.72 54.07 8.69 26.14 11.95 16.49 12.95 14.47

HDFC Balanced Fund(G) 11-09-00 10,185.98 147.03 6.85 22.68 11.77 18.58 14.33 16.88

Hybrid Equity (Conservative)

ICICI Pru Balanced Advantage Fund(G) 30-12-06 18,221.41 32.99 6.66 16.94 10.26 14.23 10.17 11.54
Edelweiss Dynamic Equity Advantage
20-08-09 246.72 21.89 4.54 20.27 6.98 11.63 9.91
Fund-Reg(G)

SIP 20
 FOF
Franklin India Feeder - Franklin U.S.
6-02-12 617.30 24.43 6.81 20.78 9.01 17.05 16.58
Opportunities Fund(G)

Recommended Arbitrage
ICICI Pru Equity-Arbitrage Fund(G) 30-12-06 7,185.30 22.59 2.91 5.68 6.72 7.72 7.44 7.74

Schemes
DECEMBER 2017
Benchmark
NIFTY 50 4.85 25.16 5.84 11.52 5.61
S&P BSE Mid-Cap 13.21 37.36 16.88 19.14 6.69
S&P BSE SENSEX 4.99 25.17 4.91 11.21 5.29
S&P BSE Small-Cap 17.68 49.11 16.38 19.69 5.26

SIP 21
 MUTUAL FUNDS RECOMMENDATION (As on 1st Dec’ 2017)

DEBT SCHEME RECOMMENDATION

Scheme Details Scheme Details AUM Latest
NAV Risk Return

Scheme Name Inception Date Total (Cr.) NAV 6 Months 1 Year 3 Years 5 Years 10 Years Since
Inception

MIP-Aggressive
DSPBR MIP Fund-Reg(G) 11-06-04 427.03 36.41 4.98 8.81 8.68 10.11 8.99 10.06

Recommended Franklin India MIP(G) 28-09-00 449.48 52.59 3.11 5.61 7.95 10.47 8.23 10.14

Schemes Gilt

DECEMBER 2017 SBI Magnum Gilt-LTP-Reg(G)

Franklin India G-Sec-LTP(G)
23-12-00
7-12-01
2338.15
398.71
38.35
39.57
1.76
0.38
3.04
-2.57
10.03
7.96
11.19
8.32
7.85
8.65
8.25
8.98

Debt Income
DSPBR Income Opportunities Fund-
13-05-03 6237.32 28.13 3.22 6.08 9.05 9.26 8.30 7.36
Reg(G)
Aditya Birla SL Dynamic Bond Fund-
27-09-04 15043.39 30.03 1.62 -0.63 8.54 9.31 9.46 8.70
Reg(G)
IDFC Dynamic Bond Fund-Reg(G) 1-12-08 4706.77 20.69 1.28 2.17 8.37 9.10 8.41
Reliance Dynamic Bond(G) 15-11-04 4296.08 23.22 2.07 1.67 8.22 8.95 7.20 6.67

Debt short Term

HDFC Regular Savings Fund(G) 28-02-2002 4249.48 33.87 3.08 6.32 8.88 9.01 9.02 8.05
Reliance STF(G) 18-12-2002 17183.85 32.19 3.17 5.34 8.13 8.67 8.70 8.13

SIP 22
 Liquid
Reliance Liquid-Treasury Plan(G) 09-12-03 28888.75 4129.27 3.26 6.66 7.61 8.23 7.96 10.66
ICICI Pru Liquid Plan(G) 17-11-05 33798.82 250.72 3.24 6.62 7.59 8.23 8.01 7.93
HDFC Liquid Fund(G) 17-10-00 30998.19 3337.92 3.18 6.52 7.54 8.20 7.85 7.29

Recommended Ultra Short Term

ICICI Pru Flexible Income Plan(G) 27-09-02 21405.42 326.16 3.46 6.88 8.44 8.90 8.43 8.10

Schemes UTI Treasury Advantage-Reg(G) 12-07-99 11861.52 4282.50 3.12 6.52 7.80 8.29 7.90 8.23

DECEMBER 2017 Benchmark

Crisil 10 Yr Gilt Index 0.00 -0.20 8.20 7.53 6.86
Crisil Composite Bond Fund Index 2.67 3.81 9.13 9.07 7.90
Crisil MIP Blended Fund Index 3.18 7.03 8.82 9.61 7.93
Crisil Short Term Bond Fund Index 3.11 5.94 8.40 8.78 8.16

SIP 23
 Now, Make a plan!

AIM FOR THE BIG Set your financial goals & list the value targeted
PICTURE Put the timeframes for each goal
(AND STAY AWAY
FROM MARKET Identify a good mutual fund scheme for each goal
EXPERTS!)
Calculate and Invest the SIP amount!

SIP 24
 Two Signatures Away
from a lifetime of wealth!
CONTACT: VIKASVAID@PLINDIA.COM
91-22-66322474
WWW.PLINDIA.COM

SIP 25