Edelweiss Fund Score Book (Oct - Dec 2007)

Edelweiss Fund Score Book (Oct - Dec 2007)

Mutual Funds are becoming the most
popular investment vehicle offering various
kinds of schemes with different investment
objectives. Mutual Funds offer investors the
facility to easily invest in increasingly more
complicated financial markets. The key
benefits offered by Mutual Funds are
diversification, professional management
and liquidity.
At Edelweiss, we offer life-cycle financial
solutions to high net-worth individuals,
families, Non-Resident Indians, Trusts &
Corporations. For facilitating the same we
have a dedicated Mutual Fund Advisory
Desk (MFA Desk).
We have constructed a comprehensive
Mutual Funds research model “Edelweiss
Fund Scorebook”. Edelweiss Fund
Scorebook is the product of extensive
research done by us over a period of time.
We have zeroed in on certain schemes that
have passed the acid test and appeal to us as
the better funds on a risk return spectrum.
The Edelweiss Edge:
• Dedicated Mutual Fund Research
Analysis
• Need base advisory fully backed
with solid research
• Get Advisory Execution and Monitoring
services under one roof
• Regular (Monthly) and stringent
Monitoring of your portfolio
• Knowledge sharing through
educational seminars and workshops

1. Equity Funds Recommendation Process 5
2. Large-Cap Funds 6-13
(a) DSP ML Equity Fund 6-7 78
(b) Reliance Vision 8-9 77
(c) Franklin India Prima Plus 10-11 76
(d) HDFC Equity Fund 12-13 73
5. Thematic Funds 32-35
(a) DSP ML India Tiger Fund 32-33 78
(b) UTI Thematic Infrastructure Fund 34-35 76
6. Value Funds 36-37
(a) SBI Magnum Sector Umbrella – Contra 36-37 85
7. Tax Planning Funds 38-45
3. Mid-Cap Funds 14-21
(a) SBI Magnum Global Fund 94 14-15 79
(b) Reliance Growth Fund 16-17 74
(c) Birla Mid Cap Fund 18-19 60
(d) ICICI Prudential Emerging STAR Fund 20-21 58
(a) SBI Magnum Tax Gain Scheme 93 38-39 77
(b) Principal Tax Savings Fund 40-41 74
(c) Sundaram BNP Paribas Tax Saver 42-43 69
(d) HDFC Tax saver 44-45 66
4. Opportunity Funds 22-31
(a) SBI Magnum Multiplier Plus 93 22-23 77
(b) Birla Sunlife Equity Fund 24-25 72
(c) Franklin India Opportunity Fund 26-27 71
(d) DSP ML Opportunities Fund 28-29 70
(e) JM Basic Fund 30-31 69

1. Due diligence on Asset Management Companies (AMCs)
• Focus on various qualitative parameters such as AMCs pedigree,
sponsors background, Assets under Management, service
capabilities and management team
• Regular interaction with AMC marketing or product team & fund
managers for appraising any change in investment process and
philosophy •Quarterly update on the fund in terms of the fund
manager’s view on the fund
2. Classifying schemes by their investment style
• Diversified Equity Funds: -
• Large Cap Funds
• Mid Cap Funds
• Opportunity Funds
• Thematic Funds
• Value Funds
• Tax Planning Funds
3. Assets Under Management & Period of Existence
• Select Funds having Performance Track Record with consistent AUM.
Smaller sized funds are exposed to risk of huge recommendations
from single investor.
• Compute the individual scheme AUM average over last three months,
then shortlist the funds if the average for:-
• Diversified Equity scheme is above Rs. 200 crore and has
completed one-year performance
• Equity Linked Saving Scheme is above Rs. 75 crore and has
completed one-year performance
4. Risk Return Analysis
• Risk Parameters: - Beta, Semi-Standard Deviation and Standard
Deviation.
• Consistency Parameters: - R-Squared
• Risk Adjusted Returns Parameters: - Treynor Ratio, Information Ratio
and Sortino Ratio
• Pure Return/Performance Parameters: - Jenson’s Alpha, Average
Returns and 1&3 year returns

DSP ML Equity Fund
LARGE CAP FUND
Market Capitalisation
Small Mid Large
Investment Style
Growth Blend Value
Asset Allocation
4.83
0.00
Fund Information
NAV Growth Plan – Rs. 52.31 , Dividend Plan – Rs. 52.31
Corpus
Inception Date
Rs. 1111.7335 crores
15-Apr-97
52– Week High Growth – Rs. 52.31, Dividend – Rs. 52.31
52– Week Low Growth – Rs. 35.66 Dividend – Rs. 35.66
Benchmark
Fund Manager
Entry Load
Exit Load
Investment
Objective
S&P Nifty
Apoorva Shah
Amount Bet. 0 to 49999999 then Entry load is 2.25%. &
Amount greater than 50000000 then Entry load is 0%.
If redeemed bet. 0 Months to 6 Months; and Amount Bet.
0 to 49999999 then Exit load is 1%. If redeemed bet. 6
Months to 12 Months; & Amount Bet. 0 to 49999999 Exit
load is 0.5%.
Aims to provide long term capital appreciation from a
portfolio substantially constituted of equity and equity
related securities.
Fund Strategy
With a blend of large caps & larger mid-cap
stocks, the fund bears a risk profile similar to
that of a typical diversified fund. The portfolio is
tightly packed with around 80 stocks. The fund
does not take concentrated bets; exposure to
any single stock is restricted to maximum four
per cent in most cases. In a rising market, this
level of diversification might not help
performance, as sharp price movements of a
single stock would not have a significant
impact on returns.
Risk - Return Attributes
95.17
Equity Debt Cash & Equivalent
Fundamental Attributes
P/E Ratio – 43.22
P/B Ratio – 6.70
Div. Yield – 0.92%
Market Cap – 32,286.19
Description – Large Cap Fund
Quartiles
1st
2nd
3rd
Beta
Std Dev
Semi Std Dev
Quartile Analysis
Sortino
Information
Treynor
R-Squared
Jensen’s Alpha
Average
Returns
1 Year Return
3 Year Return
Edelweiss
Fund Score
78
MEdium RISK
6|
4th

PORTFOLIO SUMMARY
PERFORMANCE TRACK RECORD
Portfolio Concentration
Top 3 Sectors
31.65%
Top 5 Holdings
13.90%
Top 10 Holdings 27.78%
Market Capitalisation Range
Categorisation
% of Net Assets
Very Large 36.72
Large 32.82
Mid 24.84
Small 0.79
Very Small -
Debt & Cash 4.83
Dividend History (Last 5 dividends)
Month Dividend (%) Ex-Dividend NAV
25-Jan-07 70 40.66
19-Dec-05 60 31.12
14-Jun-05 40 26.71
26-Mar-04 40 20.60
19-Dec-03 40 24.68
35%
30%
25%
20%
15%
10%
5%
0%
-5%
-10%
-15%
Dec-04
Qtr on Qtr Performance
Mar-05
Jun-05
Sep-05
Dec-05
Mar-06
Jun-06
Sep-06
Dec-06
Mar-07
Jun-07
Sep-07
DSP ML Equity Fund
S&P Nifty
4.88
4.44
4.99
Banks
Sectoral Allocation
4.33
5.09
4.10
5.95
Housing & Construction
Steel
Entertainment
Power Generation,
Transmission & Equip
7.90
14.42
9.33
Oil & Gas, Petroleum
& Refinery
Fertilizers, Pesticides &
Agrochemicals
Engineering & Industrial
Machinery
Telecom
Computers - Software
& Education
Holdings
Top Ten Holding
% of NAV
Reliance Industries Ltd. 5.03
Mahindra Gesco Developers Ltd. 3.33
Nestle India Ltd. 2.92
NIIT Ltd. 2.62
Tata Chemicals Ltd. 2.45
ICICI BANK LTD. 2.42
India Cements Ltd 2.39
UTI Bank Ltd. 2.30
UTV Software Communication Ltd. 2.16
Gmr Infrastructure Ltd. 2.15
Performance (%)
DSP ML Equity Fund S&P Nifty Rel Return
3 Months 15 16.28 -1.28
6 Months 39.95 31.4 8.55
1 Year 53.7 40.06 13.64
2 Years 45.16 39.06 6.1
3 Years 56.77 42.31 14.46
5 Years 59.33 39.16 20.17
Since Inception 29.97 16.12 13.85
Relative Performance Comparison
Edelweiss Benchmark (S&P Nifty)
Category average DSP ML Equity Fund
Returns are calculated on compounded annualised basis for a period of more than a year & absolute basis for a period of
less than or equal a year.
Time
5 Years
3 Years
2 Years
1 Year
6 Months
3 Months
1 Month
0 20 40 60 80
Returns (%)
Edelweiss Fund Score Book (Oct - Dec 2007)
7| Mutual Funds Advisory

Reliance Vision
LARGE CAP FUND
Market Capitalisation
8|
Small Mid Large
Investment Style
Growth Blend Value
Asset Allocation
0.00
14.15
85.85
Equity Debt Cash & Equivalent
Fundamental Attributes
P/E Ratio – 33.93
P/B Ratio – 7.13
Div. Yield – 0.99 %
Market Cap – Rs. 39,405.19 crores
Description – Large Cap Fund
Fund Information
NAV Growth Plan – Rs. 235.29, Dividend Plan – Rs. 60.06
Corpus
Rs. 3764.71crores
Inception Date 7-Oct-95
52– Week High Growth – Rs. 235.29, Dividend – Rs. 60.06
52– Week Low Growth – Rs. 158.90, Dividend – Rs. 41.22
Benchmark BSE 100
Fund Manager Ashwani Kumar
Entry Load Amount Bet. 0 to 19999999 then Entry load is 2.25%.
and Amount Bet. 20000000 to 49999999 then Entry load
is 1.25%. and Amount greater than 50000000 then Entry
load is 0%.
Exit Load
If redeemed bet. 0 Months to 6 Months; and Amount
Bet. 0 to 49999999 then Exit load is 1%. If redeemed bet.
6 Months to 12 Months; and Amount Bet. 0 to 49999999
then Exit load is 0.5%. and Amount greater than
50000000 then Exit load is 0%.
Investment Seeks to provide long term capital appreciation primarily
investing in growth oriented stocks.
Quartiles
1st
2nd
3rd
4th
Beta
Std Dev
Risk - Return Attributes
Semi Std Dev
Quartile Analysis
R-Squared
Treynor
Information
Sortino
Jensen’s Alpha
Average
Returns
1 Year Return
3 Year Return
Edelweiss
Fund Score
77
Fund Strategy
The fund's strategy places greater importance
on focused sector and stock selection than on a
well-diversified portfolio; and this has paid off
for the fund, so far. The fund is aggressively
managed and has taken advantage of market
trends by a high degree of profit booking and
portfolio churn. What enhances the risk profile
is the aggressive nature of fund management.
The fund has delivered returns that more than
compensate for the risk element involved. Also,
it has managed to do so while keeping
volatility levels relatively low.
MEdium RISK

90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
2003 2004 2005 2006 2007
Edelweiss Benchmark
(Large Cap) S&P Nifty
Edelweiss Benchmark
(Tax Planning, Thematic) BSE200
Edelweiss Benchmark
(opportunities, Value) CNX500
Edelweiss Benchmark
(Mid Cap) CNX Midcap

Watch List of Funds
Fund Name Fund Category Performance (%)
Franklin India Flexi Cap Fund
CNX500
Relative Return
HDFC Capital Builder Fund
CNX500
Relative Return
Principal Large Cap Fund
S&P Nifty
Relative Return
ICICI Prudential Infrastructure Fund
S&P Nifty
Relative Return
Tata Infrastructure Fund
BSE Sensex
Relative Return
Kotak 30
S&P Nifty
Relative Return
Sundaram BNP Paribas Select Midcap
BSE MID CAP
Relative Return
HSBC India Opportunities Fund
BSE 500
Relative Return
ICICI Prudential Service Industries Fund
S&P Nifty
Relative Return
Opportunity Fund
Mid Cap Fund
Large Cap Fund
Thematic Fund
Thematic Fund
Large Cap Fund
Mid Cap Fund
Opportunity Fund
Thematic Fund
59.61
62.26
(2.65)
53.78
62.26
(8.48)
64.02
65.30
(1.28)
85.28
65.30
19.97
85.33
72.29
13.04
67.41
65.30
2.11
56.00
55.02
0.97
36.30
68.83
(32.54)
28.40
65.30
(36.90)
The above returns are simple annualised for the period of 30th Jun, 07 to 30th Sep, 07.

Fund House Equity Debt Liquid Total Total % Change in
AUM Sep 07 AUM Sep 06 Total AUM (YoY)
1 ABN AMRO Mutual Fund 1,078 5,258 628 6,964 4,618 51%
2 AIG Global Investment Group Mutual Fund 1,168 0 1,121 2,289 -- --
3 Benchmark Mutual Fund 6 60 0 66 3,882 -98%
4 Birla Mutual Fund 6,519 11,649 9,733 27,901 14,617 91%
5 Canbank Mutual Fund 780 1,114 317 2,212 2,620 -16%
6 DBS Chola Mutual Fund 303 3,007 519 3,829 2,171 76%
7 Deutsche Mutual Fund 170 7,500 2,757 10,427 5,478 90%
8 DSP Merrill Lynch Mutual Fund 9,017 5,724 1,021 15,762 11,467 37%
9 Fidelity Mutual Fund 8,514 290 1,395 10,199 5,378 90%
10 Franklin Templeton Investments 17,285 9,608 3,588 30,482 23,060 32%
11 HDFC Mutual Fund 18,357 14,690 8,287 41,333 25,639 61%
12 HSBC Mutual Fund 4,428 10,611 1,828 16,867 9,518 77%
13 ICICI Prudential Mutual Fund 16,197 17,060 17,112 50,369 30,210 67%
14 ING Mutual Fund 815 4,803 2,360 7,978 3,725 114%
15 JM Financial Mutual Fund 2,990 2,422 493 5,906 4,271 38%
16 JPMorgan Mutual Fund 1,032 414 419 1,866 -- --
17 Kotak Mahindra Mutual Fund 3,847 9,983 5,040 18,870 10,949 --
18 LIC Mutual Fund 878 5,997 4,401 11,277 9,450 19%
19 Lotus India Mutual Fund 541 4,311 1,534 6,386 -- --
20 Morgan Stanley Mutual Fund 3,655 0 0 3,655 2,834 29%
21 PRINCIPAL Mutual Fund 3,035 7,717 4,237 14,989 10,622 41%
22 Quantum Mutual Fund 40 0 21 61 39 55%
23 Reliance Mutual Fund 25,385 32,704 12,351 70,441 28,649 146%
24 Sahara Mutual Fund 50 11 136 198 228 -13%
25 SBI Mutual Fund 17,802 4,066 1,901 23,769 15,112 57%
26 Standard Chartered Mutual Fund 3,991 6,821 2,207 13,019 11,775 11%
27 Sundaram Mutual Fund 5,854 3,497 745 10,097 6,184 63%
28 Tata Mutual Fund 5,516 6,539 5,310 17,365 12,500 39%
29 Taurus Mutual Fund 324 1 21 347 286 21%
30 UTI Mutual Fund 25,512 11,930 7,402 44,844 63,343 -29%
Information as on September 30, 2007

Product Desk:
Amit Dassani - +91 22 4097 9162; amit.dassani@edelcap.com
Kiran Shetty - +91 22 4097 9156; kiran.shetty@edelcap.com
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