Mirae Asset Emerging Bluechip Fund (G)

 Mirae Asset EMERGING BLUE CHIP Mutual Fund-Presentation. 

Yesterday's Mid-caps today's Large-caps

Sr. No.	Company	Market Capitalization(Rs Crores)		Absolute Change (%)
		30-Apr-04	30-Apr-10
1	United Spirits Ltd.	297.39	15793.48	5211%
2	Reliance Capital Ltd.	1856.72	18158.42	878%
3	JSW Steel Ltd.	1174.81	22962.13	1855%
4	Kotak Mahindra Bank Ltd.	2350.44	25711.87	994%

For illustration purpose only. Source: Bloomberg

Note: During the same period i.e. between 30th Apr 2004 and 30th Apr 2010, BSE Sensex delivered 210% returns on an absolute basis. Past Performance may or may not be sustained in future.

The companies/sectors referred in this document are only for the purpose of explaining the concept of Mirae Asset Emerging Bluechip Fund and should not be construed as recommendations from Mirae Asset Global Investments (India) Pvt. Ltd. (Mirae Asset AMC)/ Mirae Asset Mutual Fund). The stocks indicated above are illustrative & may or may not form part of portfolio.

Why Emerging Bluechip companies now?

Emerging Bluechip companies offer relatively better return potential as is evident from the reasons below:

1. Performance:
   Data analyzed over the past several years shows that small and mid-cap indices have outperformed large-cap indices. A consistent track record of outperformance by emerging Bluechip companies makes them an exciting investment proposition.

Source: MFI Explorer as on as on 30th April 2010
The above graph shows the growth of Rs 10000 invested on April 30, 2002 in S&P Nifty and CNX Midcap. The amount invested in CNX Midcap Index has grown far more to Rs 74,778 while that invested in the S&P Nifty has grown to Rs 52,600.
Past Performance may or may not be sustained in future and is no guarantee of future results.
2. Point to Point Performance:

   Date	YTD* Absolute	Last 6 months Absolute	Last 1 year Compounded Annualized	Last 3 years Compounded Annualized	Last 4 years Compounded Annualized
   CNX Midcap	8.5%	22.5%	108.8%	15.4%	11.9%
   BSE Sensex	0.5%	10.5%	54.0%	8.2%	9.9%
   S&P Nifty	1.5%	12.0%	51.9%	8.9%	10.4%

   Source: MFI Explorer as on 30th April 2010: *YTD indicates Year to date returns from 01/01/2010 to 30/04/2010
   Past Performance may or may not be sustained in future and is no guarantee of future results.
3. High earnings growth:
   CNX Mid-cap Index is offering higher earnings growth for FY11 and FY12 (based on consensus forecasts) compared to Sensex. Momentum in earnings upgrade cycle for CNX Mid-cap Index has sustained versus pause/ decline in earnings for Sensex.
4. Reasonable valuations:
   CNX Mid-cap index is trading at 20-30% discount to Sensex based on P/ E and P/ B ratio which makes investing in mid-cap funds an attractive proposition.
   Source: CLSA, Feb 2010
5. Future scope:
   There is scope for P/E multiples to expand when a company moves up from a small/ mid-cap size to a large-cap
6. Growth prospects:
   Mid-cap stocks offer better growth prospects due to presence in a new segment or area that is growing at a faster pace.
   
   
   Why mid-caps should be a part of your portfolio?

   The right mix of mid-caps in your portfolio can help one optimize risk adjusted returns. As seen in the table below, a mix of 50% investments in large-cap and 50% in mid-caps leads to the right mix of returns and risk ratio.

   

   Source: Bloomberg, April 2010

   Past Performance may or may not be sustained in future and is no guarantee of future results.

   Fund Features

   Investment Objective	To generate income and capital appreciation from a diversified portfolio predominantly investing in Indian equities and equity related securities of companies which are not part of the top 100 stocks by market capitalization and have market capitalization of atleast Rs. 100 crores at the time of investment. From time to time, the fund manager may also seek participation in other Indian equity and equity related securities to achieve optimal Portfolio construction. The Scheme does not guarantee or assure any returns.
   Fund Type	An open ended equity fund
   Management Style	Midcap fund with no theme/style bias.
   Plans & Options	The Scheme shall have a Regular Plan and offers two options viz., Growth and Dividend. Dividend Plan will offer Payout & Reinvestment facility.
   Minimum Application Amount & Minimum Additional Application Amount	Rs.5, 000/- and in multiples of Re. 1/- thereafter. Additional investments in an existing folio can be made for Rs.1, 000/- and in multiples of Re.1/- thereafter.
   Benchmark	CNX MIDCAP Index
   New Fund Offer Price	Rs. 10 per Unit

Mirae Asset Emerging Bluechip Fund (G)

Issue Open  24-May-2010

Issue Close  22-Jun-2010

Scheme Objective
Mirae Asset Emerging Bluechip Fund, is an open-ended equity fund. The investment objective of the scheme is to generate income and capital appreciation from a diversified portfolio predominantly investing in Indian equities and equity related securities of companies which are not part of the top 100 stocks by market capitalization and have market capitalization of atleast Rs.100 Crores at the time of investment. From time to time, the fund manager may also seek participation in other Indian equity and equity related securities to achieve optimal Portfolio construction. The Scheme does not guarantee or assure any returns.
Mutual Fund Family	Mirae Asset Global Investment Mgmt (I) Pvt Ltd
Fund Class	Equity Diversified
Fund Type	Open-Ended
Investment plan	Growth
Fund Manager	Gopal Agrawal / Neelesh Surana
Entry Load	0.00 %
Exit Load	1.00 %
Comment	Exit Load: 1.00% If redeemed within 1 year (365 days) from the date of allotment

 

With Warm regards,

  "wealth4u"