Motilal Oswal Nifty 500 Momentum 50 ETF Units Exchange Traded Fund · NSE:MOMENTUM50
Motilal Oswal Nifty 500 Momentum 50 ETF Units Exchange Traded Fund — Motilal Oswal Mutual Fund — Investor Presentation (September 2023)
64 slides from Motilal Oswal Nifty 500 Momentum 50 ETF Units Exchange Traded Fund's investor presentation, September 2023
Slide 1: Motilal Oswal S&P BSE Enhanced Value ETF and Index Fund
Motilal Oswal S&P BSE Enhanced Value ETF and Index Fund (An open ended fund replicating/tracking the S&P BSE Enhanced Value Total Return Index) Sep 23
Slide 2: Veritable Ecosystem in Financial Services
Veritable Ecosystem in Financial Services 2
Slide 3: Motilal Oswal AMC Positioning
Motilal Oswal AMC Positioning A lot of Fund Managers construct portfolios that are very close to the benchmark due to fear of significant underperformance Benchmark Agnostic Benchmark Hugging Benchmark Replicating Style Active Active Passive Portfolio Holding Focused Closer to Benchmark Same as benc
Slide 4: Why Motilal Oswal AMC? Cornerstone of Investment Philosophy
Why Motilal Oswal AMC? Cornerstone of Investment Philosophy Focused Strategies Index-based Strategies Index Funds and ETFs based on first based on time tested investment framework principal of Q G L P Easy Economic Effective To understand Low cost For wealth Quality of Growth in Longevity of Price a
Slide 5: Motilal Oswal AMC in Numbers
Motilal Oswal AMC in Numbers • More than 12 lac investors Investors • More than 19 lac folios Active • 10 active funds Mutual Funds • Total AUM ~20,000 crores PMS and AIFs • 12 PMS and AIFs (Alternates) • Total AUM ~15,000 crores Index-Based Mutual • 29 Index Funds and ETFs Funds • Total AUM ~15,000
Slide 6: Introduction to Factors
Introduction to Factors Moria Oswat [ug
Slide 7: What are Factors?
What are Factors? A factor is any characteristic that helps explain the long-term risk and return performance of an asset. Factors are the foundation of investing - Building blocks in every investing process. Commonly known Factors are Low Volatility, Momentum, Quality, and Value 7
Slide 8: What is Factor Investing?
What is Factor Investing? Defining descriptors for each Factor For e.g., 6M / 12M Price return for Momentum Establishing rules to select a portfolio of companies using these descriptors Applying these rules to create portfolios periodically – for e.g., semi-annually What factor investing isn’t – Amb
Slide 9: Why Factors Matter?
Why Factors Matter? Alpha Alpha Factor Return Portfolio Return Market Market Return Return Pre 1960s 1960s – 1990s Now 9
Slide 10: Factor Industry growth
Factor Industry growth 2017 Source: BlackRock, Simfund for mutual fund data, BlackRock for ETF data, eVestment and Preqin for institutional and alternative data. Mutual fund and ETF data as of 12/31/17, eVestment and Preqin as of 9/30/17. Excludes fund of funds. Projections exclude the impact of bet
Slide 11: Winners keep changing
Winners keep changing 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023* Low Vol Value Quality Quality Value Mom. Mom. Low Vol Value Mom. Low Vol Mom. Low Vol Value Value Value -41.7% 125.5% 30.0% -9.6% 42.3% 12.9% 49.6% 13.5% 16.6% 57.5% 8.7% 10.6% 26.8% 56.9% 26.3% 31
Slide 12: Performance across Market Cycles
Performance across Market Cycles Market Cycle Value Quality Low Vol Momentum Nifty 200 TRI Bull 30.4% 25.4% 26.0% 36.9% 28.0% Bear -48.9% -27.1% -25.6% -38.5% -41.9% Recovery 45.1% 41.0% 37.8% 38.6% 36.5% • Momentum tends to significantly outperform in Bull market cycles • Quality and Low Vol offer
Slide 13: The Value Factor
The Value Factor Moria Oswat [ug
Slide 14: What is Value?
What is Value? “ Price is what you pay Value is what you get ” - Warren Buffet Understanding the difference between Price & Value is the core principle of Value investing 14
Slide 15: What is Value investing?
What is Value investing? Investing in companies that are relatively “inexpensive” compared to their fundamentals with a large “margin of safety” If you want a good deal, you may wait for a mega discount drive on a shopping website and look for items that are on sale. Commonly Used Descriptor: P/B, P
Slide 16: How does Value investing work?
How does Value investing work? Value investing is one of the oldest and best-known styles of investing. It is based on the foundation that “cheap” stocks tend to outperform “expensive” stocks over the long-term Wait for market to recognize the mispricing and correct its course 02 Buy stocks that are
Slide 17: World's most renowned investors are Value investors
World’s most renowned investors are Value investors “ “I make no attempt to forecast the market — my efforts are devoted to finding undervalued securities.” – Warren Buffett “ “All intelligent investing is value investing – acquiring more than you are paying for” – Charlie Munger “ “A great company
Slide 18: Motilal Oswal S&P BSE Enhanced Value ETF & Index Fund
Motilal Oswal S&P BSE Enhanced Value ETF & Index Fund
Slide 19: Motilal Oswal S&P BSE Enhanced Value ETF
Motilal Oswal S&P BSE Enhanced Value ETF Type of Scheme Investment Objective An open ended fund replicating/tracking The investment objective of the scheme is S&P BSE Enhanced Value Total Return to provide returns that, before expenses, Index correspond to the total returns of the securities as repr
Slide 20: Motilal Oswal S&P BSE Enhanced Value Index Fund
Motilal Oswal S&P BSE Enhanced Value Index Fund Type of Scheme Investment Objective An open ended fund replicating/tracking The investment objective of the scheme is S&P BSE Enhanced value Total Return Index to provide returns that, before expenses, correspond to the total returns of the securities
Slide 21: S&P BSE Enhanced Value Index
S&P BSE Enhanced Value Index
Slide 22: Index methodology
Index methodology Constituents of S&P BSE LargeMmidCap Index Top 30 companies Stock eight cap – 5% Rebalanced in basis Value Score* Sector weight cap – 30% March and September S&P BSE Enhanced Value Index Source/Disclaimer: S&P BSE. Data as on 30-Sep-23 *Computed using equal weighted average of P/B,
Slide 23: Historical Performance
Historical Performance S&P BSE Enhanced Value TRI has seen similar long-term performance as the S&P BSE LargeMidCap TRI S&P BSE Enhanced Value TRI S&P BSE LargeMidCap Index TRI 1,200 1,000 800 600 400 200 - Source/Disclaimer: niftyindices, S&P BSE. Performance as of close of 16-Sep-05 to 30-Sep-23 .
Slide 24: Calendar Year Returns
Calendar Year Returns S&P BSE Enhanced Value TRI has outperformed the S&P BSE LargeMidCap TRI in 11 out of last 16 years* Calendar Year Returns S&P BSE Enhanced Value TRI S&P BSE LargeMidCap Index TRI 125.5% 100.2% 88.3% 62.4% 56.9% 42.3% 46.0% 32.8% 40.0% 35.7% 34.2% 28.3% 31.4% 25.4% 26.3% 18.1% 1
Slide 25: Drawdown
Drawdown S&P BSE Enhanced Value TRI has historically seen drawdown for longer period than S&P BSE LargeMidCap TRI S&P BSE LargeMidCap Index TRI S&P BSE Enhanced Value TRI 0% -10% -20% -30% -40% -50% -60% -70% Source/Disclaimer: S&P BSE: Performance as of close of 16-Sep-05 to 30-Sep-23. Performance
Slide 26: Risk-Return Profile
Risk-Return Profile Data Label 1 year 3 year 5 year 10 year 15 year S&P BSE Enhanced Value TRI 59.4% 52.1% 21.9% 17.4% 14.4% CAGR S&P BSE LargeMidcap Index TRI 16.3% 23.2% 14.4% 15.3% 13.5% S&P BSE Enhanced Value TRI 15.6% 21.5% 25.4% 24.4% 25.8% Annualised Volatility S&P BSE LargeMidcap Index TRI 1
Slide 27: Performance vs Nifty 50
Performance vs Nifty 50 Data Label 1 year 3 year 5 year 10 year 15 year S&P BSE Enhanced Value TRI 59.4% 52.1% 21.9% 17.4% 14.4% CAGR Nifty 50 TR Index 16.1% 21.9% 13.8% 14.5% 12.7% S&P BSE Enhanced Value TRI 15.6% 21.5% 25.4% 24.4% 25.8% Annualised Volatility Nifty 50 TR Index 10.1% 14.9% 19.2% 16.
Slide 28: Index SIP Returns
Index SIP Returns S&P BSE Enhanced Value 1 Year 3 Year 5 Year 10 Year TRI Returns 60.5% 39.4% 34.2% 18.6% Amount Invested 1,20,000 3,60,000 6,00,000 12,00,000 Market Value 1,55,968 6,24,899 13,81,603 31,85,215 Data as of close of Sep 30, 2023 For SIP returns, monthly investment of INR 10,000/- inves
Slide 29: Rolling return
Rolling return 3 Year Rolling Returns 5 Year Rolling Returns S&P BSE Enhanced S&P BSE S&P BSE S&P BSE Value TRI LargeMidcap TRI Enhanced Value TRI LargeMidcap TRI Average 17.4% 12.2% 17.5% 12.0% Median 17.4% 12.6% 17.3% 12.8% Min -4.1% -7.6% 1.7% -1.7% Max 43.2% 33.4% 31.2% 23.7% Returns Range % of
Slide 30: S&P BSE Enhanced Value Index Composition
S&P BSE Enhanced Value Index Composition Top 10 Constituents Macro-Economic Sectors (AMFI): S&P BSE Enhanced Value Index S. No. Constituent Name Weight Financial Services 34.7 Energy 32.6 1 NTPC Ltd 8.1% 2 State Bank of India 8.0% Commodities 23.3 3 Oil & Natural Gas Corp Ltd 8.0% Utilities 8.1 4 Hi
Slide 31: Value works when nothing else is
Value works when nothing else is When other Factors are underperforming, Value tends to outperform 1 year Excess Rolling Returns S&P BSE Enhanced Value TRI S&P BSE Quality TRI S&P BSE Low Volatility TRI Nifty200 Momentum 30 TRI 100% 80% 60% 40% 20% 0% -20% -40% -60% Source/Disclaimer: niftyindices,
Slide 32: The Return of Value?
The Return of Value? After stellar performance in 2000s, Value was an underperformer in the 2010s. However, there has been a sharp turnaround with Value showing significant outperformance since the beginning of 2020s S&P BSE Enhanced Value TRI S&P BSE LargeMidCap Index TRI 33.3% 24.1% 20.1% 16.3% 10
Slide 33: True to Label – Cheaper than Nifty 50
True to Label – Cheaper than Nifty 50 P/E Ratio Nifty 50 Index S&P BSE Enhanced Value Index 40 20 0 P/B Ratio Dividend Yield % 5.0 8.0 4.0 6.0 3.0 4.0 2.0 2.0 1.0 0.0 0.0 Source/Disclaimer: niftyindices, S&P BSE. Performance as of close of 31-Dec-20 to 30-Sep-23 . Performance results have many inher
Slide 34: Why should you invest?
Why should you invest? Good way to take Offers diversification advantage of benefit vs other market recovery Factors Potential to benefit from turnaround of True to Label (Pure Value exposure) Value 34
Slide 35: Product Suitability
Product Suitability This product is suitable for Name of the Scheme Scheme Riskometer Benchmark Riskometer investors who are seeking* Fund S&P BSE Enhanced Value Total Return Index Motilal Oswal S&P BSE Enhanced Value ETF • Return that corresponds to the total (An open ended fund returns of the S&P
Slide 36: Annexure
Annexure =A FUNDS MUTUAL FUND
Slide 37: Skew towards Energy & Financials
Skew towards Energy & Financials S&P BSE Enhanced Value Index has historically been overweight on the Energy & Financial Services sectors Commodities Consumer Discretionary Energy Fast Moving Consumer Goods Healthcare Financial Services Information Technology Industrials Utilities Diversified Teleco
Slide 38: Good blend of Large and Midcaps
Good blend of Large and Midcaps S&P BSE Enhanced Value Index has historically has a good mix of Large and Midcaps Large Cap Mid Cap Small Cap 29-Sep-23 72% 28% 31-Mar-23 30-Sep-22 31-Mar-22 30-Sep-21 31-Mar-21 30-Sep-20 31-Mar-20 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Source/Disclaimer: S&P BSE
Slide 39: Complementary Factors – Value & Momentum
Complementary Factors – Value & Momentum Historical data suggests that Value outperforms when Momentum underperforms and vice versa 1 year Excess Rolling Returns S&P BSE Enhanced Value TRI Nifty200 Momentum 30 TRI 100% 80% 60% 40% 20% 0% -20% -40% -60% Source/Disclaimer: S&P BSE: Performance as of c
Slide 40: Combining Value + Momentum
Combining Value + Momentum A 50:50 combination of Value and Momentum helps reduce cyclicality of both factors 1 year Excess Rolling Returns S&P BSE Enhanced Value TRI Nifty200 Momentum 30 TRI Enhanced Value:Momentum (50:50) 100% 80% 60% 40% 20% 0% -20% -40% -60% Source/Disclaimer: S&P BSE: Performan
Slide 41: Combining Value + Momentum
Combining Value + Momentum Data Label 1 year 3 year 5 year 10 year 15 year Enhanced Value:Momentum 40.9% 38.4% 20.3% 19.8% 17.1% (50:50) CAGR S&P BSE LargeMidCap Index TRI 16.3% 23.2% 14.4% 15.3% 13.5% Enhanced Value:Momentum 13.7% 18.9% 21.6% 20.1% 21.3% (50:50) Annualised Volatility S&P BSE LargeM
Slide 42: Factor Correlation (Last 15 years)
Factor Correlation (Last 15 years) The lower correlation within the individual Factors provides good diversification benefit Calendar Year Returns 150% Correlation with Nifty 200 TRI: 125% Momentum = 91.5% Value = 85.9% 100% Quality = 91.7% Low Vol = 91.5% 75% 50% S&P BSE Enhanced Value TRI S&P BSE
Slide 43: Risk-Return Profile
Risk-Return Profile S&P BSE Enhanced S&P BSE Low Nifty200 Momentum Data Label S&P BSE Quality TRI Nifty 200 TRI Value TRI Volatility TRI 30 TRI 1 year 59.4% 20.1% 21.3% 22.1% 15.9% Annualized 3 year 52.1% 23.7% 18.3% 25.5% 22.9% Returns 5 year 21.9% 15.5% 14.6% 18.0% 14.1% 10 year 17.4% 17.8% 17.1%
Slide 44: Index Methodology
Index Methodology Index Objective: The S&P BSE Enhanced Value Index is designed to measure the performance of the 30 companies in the S&P BSE LargeMidCap with the most attractive valuations, as measured by P/E, P/B, and P/S ratios. Universe Constituents of S&P BSE LargeMidCap Index Eligibility Size
Slide 45: Index Methodology
Index Methodology S&P BSE Quality Index Nifty200 Momentum 30 Index S&P BSE Low Volatility Index S&P BSE Enhanced Value Index Constituents 30 30 30 30 Universe S&P BSE LargeMidCap Nifty 200 S&P BSE LargeMidCap S&P BSE LargeMidCap 1. Listing history of 1 year Float-adjusted MCap of ₹20 billion 1. List
Slide 46: Motilal Oswal Factor Schemes Performance
Motilal Oswal Factor Schemes Performance
Slide 47: Motilal Oswal S&P BSE Enhanced Value ETF Performance
Motilal Oswal S&P BSE Enhanced Value ETF Performance Lumpsum Performance 6 Months 3 Year 5 Year 7 Year Since Inception Current Value Current Value Simple Current Value Current Value of Current Value of of of annualized CAGR (%) CAGR (%) of Investment CAGR (%) Investment of CAGR (%) Investment of Inv
Slide 48: Motilal Oswal S&P BSE Enhanced Value Index Fund Performance – Regular Plan
Motilal Oswal S&P BSE Enhanced Value Index Fund Performance – Regular Plan Lumpsum Performance 6 Months 3 Year 5 Year 7 Year Since Inception Current Value Current Value Simple Current Value Current Value of Current Value of of of annualized CAGR (%) CAGR (%) of Investment CAGR (%) Investment of CAGR
Slide 49: Performance of other schemes managed by Swapnil Mayekar
Performance of other schemes managed by Swapnil Mayekar Name of Fund Manager: Swapnil Mayekar Period 1 year 3 year 5 year Scheme Benchmark Scheme Benchmark Scheme Benchmark Return (%) Return (%) Return (%) Return (%) Return (%) Return (%) Motilal Oswal S&P BSE Enhanced Value ETF 58.8 59.6 - - - - Mo
Slide 50: Performance of other schemes managed by Rakesh Shetty
Performance of other schemes managed by Rakesh Shetty Name of Fund Manager: Rakesh Shetty Period 1 year 3 year 5 year Scheme Benchmark Scheme Benchmark Scheme Benchmark Return (%) Return (%) Return (%) Return (%) Return (%) Return (%) Motilal Oswal S&P BSE Enhanced Value ETF# 58.8 59.6 - - - - Motil
Slide 51: Motilal Oswal Passive Fund Offerings
Motilal Oswal Passive Fund Offerings
Slide 52: Motilal Oswal Passive Fund Offerings
Motilal Oswal Passive Fund Offerings 52
Slide 53: Motilal Oswal Passive Fund Offerings
Motilal Oswal Passive Fund Offerings 53
Slide 54: Motilal Oswal Passive Fund Offerings
Motilal Oswal Passive Fund Offerings 54
Slide 55: Motilal Oswal Passive Fund Offerings
Motilal Oswal Passive Fund Offerings 55
Slide 56: Product Suitability
Product Suitability This product is suitable for investors who are Name of the Scheme Scheme Riskometer Benchmark Riskometer seeking* Fund Nifty 50 Total Return Index Motilal Oswal Nifty 50 Index Fund • Return that corresponds to the performance of Nifty 50 (An open ended scheme replicating / Index
Slide 57: Product Suitability
Product Suitability This product is suitable for investors who are Name of the Scheme Scheme Riskometer Benchmark Riskometer seeking* Fund Nifty 500 Total Return Index Motilal Oswal Nifty 500 Index Fund • Return that corresponds to the performance of Nifty 500 (formerly known as Motilal Oswal Nifty
Slide 58: Product Suitability
Product Suitability This product is suitable for investors who are Name of the Scheme Scheme Riskometer Benchmark Riskometer seeking* Fund S&P 500 Total Return Index Motilal Oswal S&P 500 Index Fund • Return that corresponds to the performance of S&P 500 (An open ended scheme replicating / Index sub
Slide 59: Product Suitability
Product Suitability This product is suitable for investors who are Name of the Scheme Scheme Riskometer Benchmark Riskometer seeking* Fund 30% Nifty 500 TRI + 10% S&P 500 TRI (INR) + 10% Domestic Price of Gold + 50% Nifty 5 Yr Benchmark G-Sec • To generate long term growth/capital appreciation by of
Slide 60: Product Suitability
Product Suitability This product is suitable for investors who are Name of the Scheme Scheme Riskometer Benchmark Riskometer seeking* Fund MSCI EAFE Top 100 Select Index Motilal Oswal MSCI EAFE Top 100 Select Index Fund • Returns that corresponds to the performance of MSCI EAFE (An open ended scheme
Slide 61: Product Suitability
Product Suitability This product is suitable for investors who are Name of the Scheme Scheme Riskometer Benchmark Riskometer seeking* Fund S&P BSE Low Volatility Total Return Index Motilal Oswal S&P BSE Low Volatility ETF • Return that corresponds to the total returns of the S&P BSE (An open ended f
Slide 62: Product Suitability
Product Suitability This product is suitable for investors who are Name of the Scheme Scheme Riskometer Benchmark Riskometer seeking* Fund S&P BSE Quality Total Return Index Motilal Oswal S&P BSE Quality ETF (An open ended fund replicating / • Return that corresponds to the total returns of the S&P
Slide 63: Product Suitability
Product Suitability This product is suitable for investors who are Name of the Scheme Scheme Riskometer Benchmark Riskometer seeking* Fund LBMA Price of Gold and Silver Motilal Oswal Gold and Silver ETFs Fund of Funds • Long term capital appreciation (An open ended fund of funds scheme • Return that
Slide 64: Thank you
Thank you “An investor might be Better off buying the market” - By Warren Buffett Contact Us - Speak: +91-22 40548002 | 8108622222 Write: mfservice@motilaloswal.com Visit: www.motilaloswalmf.com 64
Motilal Oswal Mutual Fund — Investor Presentation (September 2023) on 6ix