SBI Long Term Equity Fund completes 32 years of operations
SBI Long Term Equity Fund (SBI LTEF), an open-ended equity linked savings scheme with a statutory lock in period of 3 years and tax benefit, and one of the oldest schemes in existence completed a milestone of 32 years
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Mumbai, Apr 04: SBI Long Term Equity Fund (SBI LTEF), an open-ended equity linked savings scheme with a statutory lock in period of 3 years and tax benefit, and one of the oldest schemes in existence completed a milestone of 32 years. The fund was launched on March 31, 1993, with IDCW Option (earlier known as Dividend Option) and the Growth Option was introduced later on May 7, 2007.
A monthly SIP invested in the scheme of Rs 10,000 (Rs. 38.5 lakhs invested) since inception would be worth Rs. 14.44 crores as on March 28, delivering returns of 17.94% CAGR. The scheme has delivered returns of 16.03% (15 years), 17.59% (10 years), 24.31% (5 years), and 23.42% (3 years) vis-à-vis its benchmark BSE 500 TRI returns of 14.30% (15 years), 15.14% (10 years), 17.17% (5 years) and 13.89% (3 years). As the scheme was launched before the launch of the benchmark index, benchmark index performance since inception is not available.
According to D P Singh, Deputy Managing Director and Joint CEO of SBI Mutual Fund, "Investors under the old tax regime should adopt a holistic perspective on their investments. This includes considering the potential for wealth creation through optimal tax and inflation-adjusted returns, in addition to the tax benefits. With a 32-year track record, the SBI Long Term Equity Fund remains a viable option, offering equity market-linked returns suitable for those aiming for long-term wealth creation."
The AUM of the scheme stands at Rs 27,730.33 crores as on March 31, and the fund is being managed by Mr. Dinesh Balachandran, Head of Investments, since September 2016.
